An Empirical Examination of Customer Retention in Mobile Telecommunication Services in Australia

Abstract

The service quality has an impact on customer satisfaction and retention. From Telecommunication annual reports it has been investigated that there are service quality issues due to high complaints in Australia and it can affect end customers and businesses (TIO, 2013, ACMA, 2013). Factors such as behavioural intention which leads to customer intention to repurchase the service are measured through the Unified Theory of Acceptance and Use of Technology (UTAUT2), Marketing Mix Theory and Expectation Confirmation Theory (ECT). Similarly, researchers have studied the habit, hedonic motivation, customer satisfaction, customer experience, marketing mix factors relationship by empirical testing. There has been very little research in the area of customer retention in mobile telecommunication services. Drawing upon theories of marketing mix, ECT and UTAUT2, this study aims to determine what factors affect customer retention in mobile telecommunication services in Australia. Data gathering will be done through online surveys from Australian consumers. Quantitative data analysis techniques, structural equation modelling (SEM) will be used for data analysis. This study will contribute to the customer retention literature through a theoretical framework that shows how the customer retention can be generated in mobile telecommunication services. Additionally, this study will help businesses to have understanding of how to retain their customers which will result in higher business revenues.