How Service Quality Results in Customer Satisfaction of Large-Scale Retailers in Malaysia

Abstract

Due to the large number of global marketers and global brands, retailers face many challenges. With an increase in the number of competitors, customers normally have more preferred retailers from which to choose. Therefore, retail stores are searching for affective methods to satisfy and fulfil the needs and expectations of their customers. Service quality is highly associated with customer behaviour in terms of their satisfaction toward retail stores and their intention to visit and purchase. It is important for retailers to evaluate service quality in relation to customer satisfaction. However, there is lack of empirical research in assessing the retail service quality related to customer satisfaction in Johor Bahru, Malaysia. Therefore, this study aimed to empirically measure service quality and satisfaction of customers from four retail stores (Tesco, AEON/Jusco, Giant and The Store) in Johor Bahru. 200 questionnaires were directly collected from customers in retail stores to test and evaluate the hypothesis. The results of the study confirmed the positive and effective relationship between service quality and customer satisfaction. The findings highlight the importance of service quality in purpose of satisfying the customer’s needs.