The role of loyalty and satisfaction in forming word-of-mouth influence in a B2B environment: EvIdence from the knitting industry of Indonesia

Abstract

This research aims to find how effective word of mouth in a B2B environment is based on loyalty and customer satisfaction. Word of mouth (WOM) influence among the knitting industry is very important, since it provides sustainability for the business itself. Using PLS (Partial Least Square) modeling, this study provides additional evidence indicating customer satisfaction has both direct and indirect effects on B2B partners’ positive WOM activities. The B2B samples were collected from knitting industries in Indonesia. The research finding indicates that a high level of customer satisfaction directly increases positive WOM activities; the mediation effect of customer loyalty between customer satisfaction and WOM activities also has a significant effect.