Abstract
The objective of this study is to determine the perception of retail service quality and its relationship with satisfaction for customers of hypermarkets in the Kingdom of Saudi Arabia (KSA). Data was collected through self-administered questionnaires using convenience sampling technique. Out of 220 responses, 185 were finally chosen and analyzed for descriptive statistics as well as significant relationship between hypermarket service quality and customer satisfaction. The respondents reported high levels of perceived quality and significant relationship was found between retail service quality dimensions and customer satisfaction. Out of all the dimensions of service quality, physical aspects had the maximum effect on customer satisfaction, which was attributed to the cultural traits and lifestyle of Saudi society. Retail service providers need to recognize the importance of service quality dimensions in order of their significance, and implement appropriate strategy for competitive advantage over domestic and international players vying for share of an expanding consumer base.
Highlights
The Kingdom of Saudi Arabia (KSA) has a population of more than 27 million with growth rate of 1.49 percent, and a median age of 26.4 years (CIA World Factbook, 2014)
The objective of this study is to determine the perception of retail service quality and its relationship with satisfaction for customers of hypermarkets in the Kingdom of Saudi Arabia (KSA)
The respondents reported high levels of perceived quality and significant relationship was found between retail service quality dimensions and customer satisfaction
Summary
The Kingdom of Saudi Arabia (KSA) has a population of more than 27 million with growth rate of 1.49 percent, and a median age of 26.4 years (CIA World Factbook, 2014). The KSA customer base comprises locals, who are among the most eager consumers in the world, and expatriates (more than 30 percent of population), who have a willingness to spend on convenience and shopping products (AT Kearney, 2013; CIA World Factbook, 2014). This growing population with increasing buying power is the focus of retailers. The hypermarkets are presently concentrated in big cities, such as Riyadh, Jeddah, and Dammam, but are expanding aggressively to other regions across KSA
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