Abstract
Purpose The purpose of this paper is to identify the influence of the company’s reputation and individual consumer involvement in the relationship between satisfaction, loyalty and willingness to pay more for a product. Design/methodology/approach The method used is quantitative, by means of a survey with real consumers of automotive services of two vehicle dealerships, whose data were analyzed through linear regression analysis and conditional analysis of moderation. Findings The authors have identified that the relationship between satisfaction and loyalty and between loyalty and willingness to pay more for a product is entirely moderated by the (high) reputation of the brand and the (high) individual involvement of the consumer. Practical implications The study contributes to marketing managers as it demonstrates effect of brand reputation and involvement. Therefore, it is understood that these variables need to be considered in satisfaction surveys, as it has been proven that satisfaction alone cannot explain the variables of business performance (loyalty and willingness to pay). Originality/value The greatest innovation of this study is the identification of the total moderation between stated satisfaction and loyalty and between satisfaction and willingness to pay more. It has been demonstrated that high levels of brand reputation coupled with high levels of consumer involvement account for the fully dependent variables.
Highlights
Several studies have been conducted regarding the importance of satisfaction as a background for consumer attitudes
We generated the constructs with the averages of each item, which resulted in Satisfaction (a = 0.945), Loyalty (a = 0.749), willingness to pay (WTP) (a = 0.719), Reputation (a = 0.751), and Involvement (a = 0.831)
In the specific context of compulsory consumption relationships, the satisfaction effect is mitigated by the effect of the interaction between satisfaction and reputation and involvement but can be increased in the extreme conditions of the two moderating variables when evaluated simultaneously for loyalty
Summary
Several studies have been conducted regarding the importance of satisfaction as a background for consumer attitudes. In this article we test the direct relationship between satisfaction and the attitudinal variables of consumer response (loyalty and willingness to pay), in the presence of two moderators, reputation and involvement, simultaneously. Some researches point that is difficult to accept there is a positive, linear relationship between customer satisfaction and attitude unconditionally (Hamilton, Kaltcheva, & Rohm, 2016). Few studies propose the examination of the direct relationship of satisfaction with aftersales services in conjunction with product loyalty. Some studies investigate dimensions of after-sales services and their influence on consumer satisfaction, retention and loyalty of domestic products, without directly relating satisfaction with after-sales services to loyalty (Fazlzadeh, Bagherzadeh, & Mohamadi, 2011; Murali, Pugazhendhi, & Muralidharan, 2016). Ahmad and Mohsin Butt (2012) studied the impact of aftermarket services in the automotive sector regarding brand value
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