The Role of Customer Trust, Service Quality and Value Dimensions in Determining Satisfaction and Loyalty: An Empirical Study of Mobile Telecommunication Industry in Pakistan

Abstract

Purpose – The primary purpose of this study is to investigate the factors which influence customer satisfaction and customer loyalty in telecommunication services. Customer satisfaction and loyalty are considered to be major components ensuring effectiveness and growth in the services industry. Design/Methodology/Approach – The data of 406 respondents was gathered via an adapted questionnaire. The statistical techniques of reliability analysis, exploratory factor analysis (EFA), confirmatory factor analysis (CFA), and SEM Path analysis were employed to test the hypotheses. Findings and implications – The findings of the research study show that trust and satisfaction have a significant impact on customer loyalty, with satisfaction holding a strong position. Trust and service quality have a significant impact on customer satisfaction. Also, from the point of view of perceived value, emotional value and monetary value are significantly correlated to customer satisfaction. According to TRA, this shows that positive consumer attitude leads towards a strong intention to fulfil their belief. Limitations – The sample of the study may be one of the limitations. Cross-cultural comparison may be conducted in future to identify the differences among the cultures. Also, comparison between developed and under-developed countries may provide holistic results. Originality – The study focused on an examination of customer satisfaction and loyalty on the basis of perceived value determinants, trust, and service quality.