Exploring customer engagement value from relationship benefits

Abstract

Purpose“Relationship benefits” (RBs) is an approach in relationship marketing. The concept highlights that both customer and firm must receive benefits from the relationship to establish and maintain it. This study aims to identify the impacts of three types of RBs on creating four kinds of customer engagement value (CEVs).Design/methodology/approachThis study synthesizes previous findings and proposes hypotheses with theoretical supports and reports results from a structural equation model that uses data gathered from 577 Iranian customers across a range of services- based on an extensive review of marketing literature related to RBs.FindingsConfidence benefits are the strongest driver of customer lifetime value and customer influence value, while special treatment benefits are the strongest driver of customer knowledge value (CKV) and customer referral value. Social benefits only affect CKV.Research limitations/implicationsFuture research should examine the role of other types of RBs in creating CEV, beyond the original three types of RBs.Originality/valueThere is no research addressing the impact of delivering RBs on CEV. This study combines RBs and CEV into a single model and demonstrates the roles of different types of RBs in creating CEV for service firms.