Customer Perception of Service Quality, Price Fairness and Brand-image of Telecommunication Service Providers in Ghana and Its Impact on Customer Satisfaction and Loyalty

Emmanuel Owusu Ansah

doi:10.7176/jmcr/75-02

Abstract

The rapid development and aggressive competition in the marketing segment in the telecommunication network industry coupled with increasing emergence of new service providers in Ghana has called for strategies aiming at enhancing and optimizing the customer loyalty of existing customer as well attracting newly potential customers. It is against this background that Customer loyalty has taken the center stage in the telecommunication network marketing. Motivated by this, the paper examined the extent to which customer perceptions on service quality, service price fairness and brand image of the telecommunication service providers in Ghana influence customer loyalty. A total sample of two hundred and fifteen (215) customers of the telecommunication service providers in three regions in Ghana were randomly selected for the study. The structural equation modeling with the Smart PLS-SEM computer software version 3.0 was used to analysis the data collected. The results revealed that, there is a positive significant impact of customer perceptions on service quality, service price fairness, and brand image customer loyalty. There is also a positive significant impact of customer perceptions on service quality, service price fairness, and brand image on customer satisfaction. The mediation mechanism analysis also confirmed that customer satisfaction served as a partial mediation between customer perceptions on service quality, service price fairness, and brand image and customer loyalty. The study recommends that, Telecommunication network providers in Ghana place particular emphasis on improving their network, pricing, branding, coverage, connection, voice call, and overall network quality to improve customer satisfaction and loyalty . Keywords: Telecommunication Network Providers, Ghana, Customer Loyalty, Customer perception DOI: 10.7176/JMCR/75-02 Publication date: January 31 st 2021

Highlights

Telecommunication was sseen as and has been the fast-growing industries prior to the last decades
In the last two decades, the Governments of Ghana have restructured the telecommunication sector with the sole aim of elevating competition and improving reliability and affordability of service to the public (NCA, 2004), resulting in quick development and aggressiveness in the competitive market. This has prompted the telecommunications sector to produce an array of products, services and advertising messages targeted at maintaining the existed customers base as well serving as an attractive mechanism to newly and potential customers (NCA, 2004)
The level of customer perception been high in terms of service quality, brand image and service price fairness portrays high level of the customer satisfaction (Ganesh et al, 2000; Caruana, 2002)

Summary

Introduction

Telecommunication was sseen as and has been the fast-growing industries prior to the last decades. In the last two decades, the Governments of Ghana have restructured the telecommunication sector with the sole aim of elevating competition and improving reliability and affordability of service to the public (NCA, 2004), resulting in quick development and aggressiveness in the competitive market. This has prompted the telecommunications sector to produce an array of products, services and advertising messages targeted at maintaining the existed customers base as well serving as an attractive mechanism to newly and potential customers (NCA, 2004). Per Berry et al, (1988), Sservice quality is seen as a big distinguishing feature which serves as a tool that combat a vibrant competitive organization and as such all serious businesses, firms or organizations seems to acquired that

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Conclusion