Abstract
This study evaluates the effect of both service quality and mobile application quality on passenger loyalty towards application-based motorcycle taxi (AMT) services. The data employed for this study were collected from 319 AMT service users in Bandung, Indonesia. To analyse the data, partial least squares structural equation modelling (PLS-SEM) was used to check the influence of both service quality and application quality on passenger loyalty and their indirect influence through passenger perceived value and passenger satisfaction. The result shows that the passenger perception of mobile app quality is an important driver of passenger loyalty towards AMT services. Further, this study suggests that the effect of both service quality and mobile app quality on passenger loyalty is via strengthening passenger perceived value and satisfaction. Finally, this study’s findings reveal the important role of mobile app quality as the determinant of AMT service quality. This study provides a venue for AMT business managers to improve their business performance by developing both service quality and mobile app quality.
Highlights
The rapid Internet technology development has enabled taxi firms to create online platform as a medium of communication and transaction with their customers
This study shows the importance of mobile app quality in influencing passenger loyalty toward application-based motorcycle taxi (AMT) services
In addition to directly affecting passenger loyalty, this study suggests that the mobile app quality influences passenger loyalty through strengthening the customer’s perceived values and the customers’ level of satisfaction
Summary
The rapid Internet technology development has enabled taxi firms to create online platform as a medium of communication and transaction with their customers. In an online business environment, such as in application-based motorcycle taxi (AMT) services, customers expect a high quality of ride service, and a high quality of mobile app (Nguyen-Phuoc, OviedoTrespalacios et al, 2020; Suhartanto et al, 2019). As research in this area is scant, scholars suggest to further explore the outcomes of both service quality and mobile app quality on customer post purchase behaviour (Alonso et al, 2018; Su et al, 2019) Including both service quality and mobile app quality in a single loyalty formation model will potentially extend our understanding on loyalty theory in transportation context which has lack of attention in the previous studies (Nguyen-Phuoc, Su et al, 2020; Vicente et al, 2020). It is suggested that the customer experience with the quality of mobile app service will influence service quality of the AMT service
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