Patronage Behavior Research Articles

Effects of perceived benefit on online rental service customer behavior

Due to increasing competition among rental service providers, creating and enhancing perceived value is a critical element for sustainable growth. Given the growing interest in sustainable consumption practices, this paper examines the role of perceived benefit in the online rental industry, particularly the relative impacts of economic, social, and environmental benefits on customer patronage behaviors toward service providers. The proposed model is tested using data from 404 online rental platform customers in the United States. The results of partial least squares structural equation modeling show a positive impact of perceived benefits on both consumer attitude and personal norms. In addition, the impacts of attitude and norms on behavioral intention are confirmed. Finally, differences in customer behaviors between low- and high-frequency rental platform users are identified. The economic benefit on subjective norm is only significant among high-frequency customers.

Live streaming marketing campaign, psycho-social factors, and consumers’ patronage behavior: Basis for consumer acquisition framework

Live streaming marketing campaign, psycho-social factors, and consumers’ patronage behavior: Basis for consumer acquisition framework

The Antecedents of the Rural Bank Patronage in Indonesia

Objectives: The objective of the studies is to test the causal models of rural banking patronage behavior are still under research and this study is also aimed at filling the empirical gap. This study operationalizes constructs that better reflect the characteristics and uniqueness of rural banking business processes.Methodology: Data collection was carried out directly by distributing questionnaires to consumers or customers of BPR BKK banks in Banyumas Regency, Purbalingga Regency, and Banjarnegara Regency. The number of samples in this study was determined by the purposive sampling method of as many as 373 people. The analysis tool used is Structural Equation Modeling (SEM) and processed using AMOS software.Finding: The findings of this study stated, among others, the following: (1) Relational benefits have a positive effect on business friendship (2) Relational benefits have a positive effect on brand intimacy (3) Business friendship mediates the effect of relational benefits on brand intimacy (4) Business friendship has a positive effect on brand intimacy (5) Brand intimacy has a positive effect on patronage intention.Conclusion: Customer loyalty to the bank greatly determines the sustainability of the bank's business, especially rural banks which generally have fewer resources than national banks. This study confirms the importance of bank management paying attention to five antecedent variables, namely relational benefits (symbiotic benefits, special treatment benefits, and confidence benefits), business friendships, and brand intimacy.

Unraveling the inconsistency in captive riders’ behaviors and attitudes within public transportation service usage: An integrated modeling approach

Fostering enduring patronage among passengers for public transportation (PT) services is crucial for sustaining ridership. However, a significant concern arises from the inconsistency between passengers' negative attitudes and their robust patronage behaviors toward PT services, particularly evident among the captive riders. This paradox entails the risk of these passengers potentially shifting to alternative transport modes in the future, thereby diminishing ridership. To unravel the intricate dynamics inherent in the relationship between captive riders' attitudes and behaviors, this study introduces a novel integrated model merging Satisfaction-Loyalty Theory (SLT) with Theory of Planned Behavior (TPB). The integrated model seeks to enhance the comprehension of the mechanisms that drive captive riders' ongoing utilization of PT services, specifically within the context of attitude-behavior inconsistency. Evident in a case study involving 637 samples collected in Dalian, China, the integrated model not only shows excellent goodness-of-fit but also outperforms both the conventional SLT and TPB frameworks. It excels in explaining why captive riders may persist in their behaviors towards the service even in the face of dissatisfaction and highlights how the perceived service quality shapes their attitudes and behaviors. This substantially contributes to the development of targeted service improvement strategies for sustaining captive riders’ continued patronage.

Exploring Restaurant Patronage Behaviour in Pakistan: The Influence of Satiation, Alternative Attractiveness, and Word of Mouth with Place Attachment as a Moderator

This study investigates the interplay of satiation, alternative attractiveness, and place attachment on restaurant switching intentions in Pakistan, with a focus on the moderating role of place attachment. Additionally, it examines how switching intentions impact word-of-mouth and patronage behaviour. Data from 239 restaurant customers were collected via online surveys and analysed using SPSS 27.0 and Smart PLS 4.0 through Covariance-based Structural Equation Modelling (CB-SEM). Findings indicate that customer satiation significantly heightens switching intentions, while alternative attractiveness has a non-significant effect. Place attachment moderates these relationships, attenuating the positive impact of satiation on switching intentions and mitigating the negative impact of alternative attractiveness. Moreover, switching intentions positively influence word-of-mouth but do not significantly affect patronage behaviour. Implications for the Pakistani restaurant industry include enhancing customer satiation, exploring alternative attractiveness, fostering place attachment, leveraging word-of-mouth for promotion, and understanding the disconnect between switching intentions and patronage behaviour. Limitations pertain to the study's generalizability across cultures, suggesting future research directions focusing on diverse samples, cross-cultural settings, mixed-methods approaches, specific intervention strategies, and the influence of external variables such as economic conditions or public health emergencies on customer behaviour. This study contributes novel insights into the moderating role of place attachment and the complex dynamics among switching intentions, word-of-mouth, and patronage behaviour within the context of Pakistani restaurants.

Investigating chatbot users’ e-satisfaction and patronage intention through social presence and flow: Indian online travel agencies (OTAs)

PurposeThe concept of ubiquitous assimilation in e-commerce, denoting the seamless integration of technologies into customer shopping experiences, has played a pivotal role in aiding e-satisfaction and, consequently, fostering patronage intention. Among these, text-based chatbots are significant innovations. In light of this, the paper aims to develop a conceptual framework and comprehend the patronage behaviour of artificial intelligence-enabled chatbot users by using chatbot usability cues and to determine whether the social presence and flow theories impact e-satisfaction, which leads to users’ patronage intention. The current research provides insights into online travel agencies (OTAs), a crucial segment within the travel and tourism sector. Given the significance of building a loyal clientele and cultivating patronage in this industry, these insights are of paramount importance for achieving sustained profitability and growth.Design/methodology/approachThe research framework primarily focused on the factors that precede e-satisfaction and patronage intention among chatbot users, which include social presence, flow, perceived anthropomorphism and need for human interaction. The researchers collected the data by surveying 397 OTA chatbot users by using an online questionnaire. The data of this cross-sectional study were analysed using covariance-based structural equation modelling.FindingsFindings reveal that e-satisfaction is positively linked with patronage intention and the variables of social presence and flow impact e-satisfaction along with chatbot usability cues. There were direct and indirect relations between chatbot usability and e-satisfaction. Moreover, the personal attributes, “need for human interaction” and, “perceived anthropomorphism” were found to moderate relations between chatbot usability cues, social presence and flow.Originality/valueThe impact of chatbot’s usability cues/attributes on e-satisfaction, along with perceived attributes – social presence and flow in the realm of OTAs contributes to the human–chatbot interaction literature. Moreover, the interacting effects of perceived anthropomorphism and the need for human interaction are unique in the current contextual relations.

Consumer-based retailer equity and retail patronage behaviors: interaction effect of involvement

Purpose Grounded on brand equity theory and theory of patronage behavior, this study aims to investigate the moderating effect of consumer involvement and shopping situations in the relationship between consumer-based retailer equity (CBRE) and retail patronage behavior. Design/methodology/approach The data is collected through a self-administered survey of 338 shoppers in the three biggest shopping centers in Pakistan. Moreover, the data is analyzed through multi-nominal (multiple) regression and interactions analysis. Findings Results revealed a significant effect of CBRE on patronage behavior and confirmed shopping purpose as a boundary condition in the CBRE-retail patronage behavior relationship. However, the study surprisingly reported that this relationship is not moderated by consumers’ involvement. Research limitations/implications Considering our focus on CBRE-based retail patronage behavior, the authors contribute to extant marketing/retailing literature that also yields ample openings for further research. The study offers valuable implications for retailers, especially for evaluating consumers’ behaviors. Practical implications This study assists retail-brand managers in best comprehending the CBRE-based patronage behavior paves the way for managers to increase retail patronage behavior. Originality/value Regardless of the growing comprehension of consumer-based brand equity and patronage behavior in marketing, more needs to be acknowledged about the relationship between CBRE/retail patronage behavior and related variables, as thus examined in this research.

Understanding tourists’ dining behaviors at traditional Chinese nutraceutical restaurants

ABSTRACT Nutraceutical restaurants providing medical and/or health benefits have become an emerging market; however, the underlying factors and the mechanism explaining dining behaviours in nutraceutical restaurants remain unknown. This study utilized a mixed-methods approach to bridge this research gap. An exploratory qualitative interview was conducted to identify the determinants of patronage behaviour at nutraceutical restaurants. We further conducted a quantitative study utilizing an extended value-attitude-behaviour model to provide quantitative evidence. The results showed that health, cultural values, and social norms significantly influenced customers’ attitudes, thus leading to their revisit intentions. Furthermore, we found a significant role of social norms in determining nutraceutical consumption. Additionally, age was found to moderate the effects of health values and social norms on revisit intention.

Word-of-Mouth Communication and Customer Patronage Behaviour Towards Smartphones

Words are perceived to be powerful, especially in the viral digital age of today. This study focused on investigating the effect of word-of-mouth communication on customer patronage behavior towards smartphones. The specific factors examined were customer referral, celebrity endorsement, and social media. A cross-sectional survey research design was employed to gather primary data from 276 smartphone users, who responded to a 5-point Likert scale questionnaire. The collected data underwent analysis using descriptive statistics and inferential statistics, specifically multiple linear regression, conducted in the Statistical Package for the Social Sciences (SPSS 23). The results indicated that customer referral, celebrity endorsement, and social media exerted significant positive influences on customer patronage behavior towards smartphones. Consequently, we suggest that smartphone marketers should implement incentive programs, capitalize on celebrity endorsements, and utilize social media platforms to attract new customers and foster positive recommendations for smartphone brands. From the limitations of this study, we proposed theoretical directions for future research.

The effects of multidimensional perceived heritage on customer behavior across independent and franchise restaurant contexts

ABSTRACT Given the increasing number of restaurant practices, research suggests that customers’ behavior varies across restaurant type (i.e. independent versus franchise). This study examines the relative role of multidimensional heritage (i.e. stability, longevity, and adaptability) on customers’ patronage behavior toward restaurant service providers. This study tests the model and hypotheses based on responses from a sample of 356 independent 243 franchise restaurant customers recruited by online sampling. A two-stage procedure is used to examine the measurement model and structural model using partial least squares structural equation modeling. The findings demonstrate that perceived adaptability strongly influences perceived quality followed by stability and longevity. Also, a direct and significant impact of perceived quality on revisit and word of mouth intention is found. Lastly, multigroup analysis shows that the impact of stability and longevity on perceived quality is stronger among independent restaurant customers, whereas adaptability has a stronger impact among franchise restaurant customers.

Understanding the roles of interaction and trust in formation of loyalty toward customer-to-customer (C2C) platforms

PurposeAn increasing number of customers are using customer-to-customer (C2C) platforms to buy and sell products and services. Despite this growth, little research has examined customer experiences with C2C e-commerce. This study examines how informational and emotional interactions affect customer patronage behaviors by increasing customer trust in both sellers and platforms.Design/methodology/approachA self-administered questionnaire was used to collect data from 181 customers of C2C platforms in the United States. Partial least squares structural equation modeling was used to analyze the data.FindingsThe results show that informational interactions affect customer trust both in sellers and platforms, resulting in customer loyalty. The findings also show that emotional interactions affect customer trust in sellers. Multi-group analyses suggest that the impacts of informational and emotional interactions on trust vary depending on customer demographics.Research limitations/implicationsTheoretical implications in this study arise from (1) examination of customer experiences with C2C platforms using the stimulus-organism-response framework, (2) identification of the role of informational and emotional interactions in the formation of trust and (3) exploration of the ways in which customer gender, age and income affect the connection between experiences and consequences in C2C settings.Practical implicationsFrom a practical perspective, this study provides useful guidelines to help C2C business practitioners increase customer patronage behavior by means of interactions and trust.Originality/valueThis study provides practical and academic implications by examining how customer interactions affect customer trust in e-commerce C2C platforms.

Exploring international customers’ luxury service experiences during the COVID-19 pandemic

During the COVID-19 pandemic and the associated strain on consumption activities, demand for luxury hotels has risen steadily as a safe way to enjoy leisure services. This study aims to examine the consequences of congruence and identification. An online survey generating 315 datasets from international customers of luxury hotel services is conducted. Partial least squares structural equation modeling is used to test the hypotheses. The results demonstrate that perceived brand authenticity by customers influences both revisit and word-of-mouth intentions via engagement. Also, brand congruence leads to customer engagement with luxury hotel services and word-of-mouth intention. In contrast, no direct impact of congruence on revisit intention was found. Results regarding the effects of brand authenticity and congruence demonstrate that luxury service brands have the potential to influence customers’ patronage behaviors through different approaches. The findings confirm the importance of engagement with brands in the luxury service setting.

The impact of e-retail usage on relative retail patronage formation

PurposeDespite retail digitisation and research efforts focussed on online and omnichannel shopping, there is insufficient knowledge regarding retail patronage formation in the grocery category, where in-store sales dominate. This study analyses the retail patronage formation in grocery in-store fill-in shopping.Design/methodology/approachThe authors designed a questionnaire to measure retail patronage behaviour, consumer satisfaction (CS), store attributes evaluation and e-retail usage. Then, the authors analysed the path structure for retail patronage behaviour formation using structural equation modelling. Additionally, they performed a mediation analysis using the bootstrap method and a moderation analysis based on a chi-square difference test.FindingsThis study provides three main findings. First, the authors' model has two ways to increase Share-of-Wallet (SOW). One is to increase Share-of-Visits (SOV) and another is to increase CS amongst non-users of e-retailing. Second, the results of the moderation analysis suggest the influence of customers' use or non-use of e-retailing on SOW formation. Third, service evaluation plays an interesting role in the overall model: the lower the assessment of service, the higher the SOV; the higher the evaluation of service, the greater the CS; the greater the CS, the higher the SOV.Originality/valueThe authors proposed the framework for the relative retail patronage formation in grocery fill-in shopping to examine the relationship between two relative patronage indicators (SOW and SOV) in the path structure and the mediating effect of CS and the moderating effect of e-retailing usage on retail patronage formation.

Don’t tell me how much to tip: The influence of gratuity guidelines on consumers’ favorability of the brand

This research investigates the potential downstream consequences that occur due to a brand including gratuity guidelines (i.e., tip suggestions) on its receipts. In six studies, including a field study with an actual restaurant, this research documents several major findings. First, we show that gratuity guidelines negatively influence consumers’ favorability of the brand. Second, we demonstrate that the negative effect of gratuity guidelines on brand favorability is mediated by threat to freedom. Third, we document several boundary conditions by showing that the effect manifests for consumers low (vs high) in patronage behavior of the brand or for consumers with a low (vs high) income level. Finally, we demonstrate that including an explanatory message regarding the intended benefits (e.g., greater convenience) that gratuity guidelines can provide to the consumer eliminates this negative effect.

The Influence of Mall Management Dimensions on Perceived Experience and Patronage Intentions in an Emerging Economy

A significant breakthrough in organised retail in an emerging economy such as Bangladesh, coupled with growing competition among mall managers, necessitates determination of the factors that contribute to a satisfactory shopping experience and long-term patronage intentions. Therefore, this study aimed to explore the factors influencing the overall experience of mall shoppers, which, in turn, shapes their patronage behaviour. For this purpose, 284 respondents were surveyed using the convenience sampling technique. Structural equation modelling was employed to test the hypothesised model. Among the three independent factors analysed, entertainment and accessibility wielded significant influence on shoppers’ experience, while tenant mix exerted a statistically insignificant influence. Altogether, these three independent variables, along with shoppers’ experience, accounted for 67% of the total variance in patronage. It was plausible to conclude that managing entertainment and accessibility can result in a more pleasant shopping experience. Being the first of its kind, this study investigated the combined impact of accessibility, tenant mix, and entertainment on the overall shopping experience that shapes patronage behaviour. This study’s findings can help comprehend the dynamics of customer management in the retail market of an emerging economy.

Role of Functional Company Characteristics on Food Franchisee Behavior

ABSTRACT Purpose Due to increasing competition, creating and enhancing franchisee patronage behaviors are critical elements in the food franchise industry. Franchise brand-related characteristics are known to influence franchisees’ evaluations. Thus, this paper examines the antecedents of franchisees’ perceived value, which leads to positive behaviors in the food franchise sector. Design/methodology/approach A research model is proposed to describe relationships among different types of functional company characteristics (i.e. quality, innovation, and price) on perceived value and behavioral intentions, and impact of operational involvement in the context of franchisees. A quantitative approach was leveraged to collect 266 usable online questionnaires, together with SmartPLS to analyze the measurement model and proposed hypotheses. Findings Results show that perceived quality on the part of franchisees is the most significant determinant of perceived value, followed by perceived innovation and price. Also, the impact of perceived value on franchisees’ intentions – including continuous and word-of-mouth intentions – is supported. Last, the role of operational involvement (i.e. duration and number of food franchise operations) in perceived value is examined. Originality/value To add to the limited research in the behaviors of franchisees, this study provides useful insights to achieve sustainable growth in the franchise brand context.

Sustainable Marketing Practices and Patronage Behavior of iPhone 13 Smart Phone

This research work is on the effect of sustainable marketing on student purchase behavior of iPhone 13. Sustainable marketing is the process of the creation, communication and delivery of consumption values to the consumer with a view to meet their needs and observe the requirements of environment preservation without jeopardizing the possibilities of meeting the needs of future generations. Consumer purchase behaviour is the selection and consumption of goods and services for the satisfaction of their wants. It is also the sum total of a consumer’s attitudes, preferences, intentions, and decisions regarding the consumer’s behavior in the marketplace when purchasing a product or service. iPhone 13 is a sustainable phone which many students use. Consumer purchase behavior and the Theory of Planned Behavior explains the relationship between some factors and human behavior, though not exhaustive. The aim of this study is to know the extent sustainable marketing affect student purchase behavior of iPhone 13, and this will be achieved using consumer attitude and green marketing tools (eco labeling, eco advertisement, eco branding) as variables to measure this study. Four hypotheses were formulated in line with the above objective. The population of the study was made up of undergraduate student of Nnamdi Azikiwe University. The sample size was calculated to be 400. A structured questionnaire was used for collecting data for this research work. Both primary and secondary data was used for clarity. Multiple regression was used to test for the effect of the sustainable marketing variables on purchase behavior (student) with the aid of SPSS version 20. The researcher tested for the level of significance and effect of sustainable marketing on students purchase behavior on iPhone. The result showed that there is a statistically significant effect of sustainable marketing on student purchase behavior of iPhone 13. Recommendation was also made.

A continuum perspective of customer choice rules for competitive facility location problems

Customer patronage behavior plays a critical role in estimating market share in the context of locating competitive facilities. Three common rules used to describe customer patronage behaviors are: the binary rule, the proportional rule, and the partially binary rule. Recently, we propose another customer choice rule, the partially proportional rule, to describe the behavior of customers when choosing a chain of facilities that offer exclusive services. Although these four rules describe very different customer patronage behaviors, this paper finds that they actually correspond to optimal solutions for four special cases of a class of optimization problems. For the general cases of this class of optimization problems, we also give the corresponding optimal solutions. This work provides a continuum perspective for understanding customer choice rules, while providing possible theoretical guidance for studying unexplored customer behavior patterns.

Determinants of loyalty programmes and their impact on store patronage

PurposeThe purpose of this study is to measure the impact of perceived benefits offered by loyalty programmes on store patronage behaviour and repeat purchase behaviour of customers. Another purpose of this study is to assess the impact of mediating and influencing factors on patronage behaviour and customer loyalty.Design/methodology/approachThe convenience sampling method was adopted for the sample selection. Structured questionnaire instruments were distributed to subscribers who are enrolled or subscribed to any loyalty programme and asked them to mark their opinions about subscriptions to a loyalty programme and the benefits or perceived values that customers get from the subscribed loyalty program. To determine respondent responses, closed-end questions and Likert scales were used. A SmartPLS statistical programme was used to analyse the coefficient and p-value of the perceived value of the loyalty programme and its relation with patronage behaviour.FindingsThe study finds a significant impact of various loyalty programme determinants on store patronage behaviour, supported by hypothesis testing. Researchers have used variable commitment to the test with satisfaction and trust and found it supportive. Another hypothesis tested for the impact of satisfaction on trust shows a significant relationship. They found a significant relationship between the perceived benefits of a loyalty programme and satisfaction with the store and trust. Another hypothesis tested for the impact of satisfaction on trust shows a similar relationship. The impact of commitment on loyalty behaviour (store patronage) was analysed and found to be significant.Originality/valueTo the best of the authors’ knowledge, to date, this methodology has not been used to measure the influence of loyalty programme values on patronage behaviour in the present context. Based on the understanding that the measurement of the impact of perceived values of loyalty programmes on repeat purchase behaviour could be very useful in providing guidance for decision-making in consumer retention strategy, this paper contributes to the literature on the evaluation of store patronage behaviour with its influencing variables.

The role of perceived value in shaping luxury service customers’ self-brand connection

Building on the literature on luxury consumption behavior, this study investigates customers’ perceived values on their patronage behavior toward luxury service brands. Partial least squares-structural equation modeling is used to test the research model with a sample of 177 American luxury hotel customers. The findings suggest that functional, individual, and social values from experiences influence customers’ perceived connection with a luxury service brand. The bond between customers and brands affects customers’ patronage behavior. Moreover, the role of the self-brand connection on the relationship between the perceived value and behavioral intention indicates that the impact of functional, individual, and social values on patronage behavior, and the self-brand connection is different depending on the perceived congruity with the luxury hotel brand. However, the affluent customers’ perception of financial value does not enhance the self-brand connection. The results suggest that it would be more effective for luxury hotel service providers to build strong and meaningful ties with customers. This study identifies the role of the self-brand connection in the relationships between multidimensional perceived value (i.e. financial, functional, individual, social) and loyal behavior in the luxury service context.