Integrating service quality as a second-order factor in a customer satisfaction and loyalty model

Robin Nunkoo · Viraiyan Teeroovengadum · Peta Thomas · Llewellyn Leonard

131 citations0/0 files storedInternational Journal of Contemporary Hospitality Management

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Customer Service Quality and Loyalty Consumer Behavior and Marketing Influence Service and Product Innovation

Abstract

Purpose The study conceptualizes service quality as a second-order factor and analyzes its influence on customer satisfaction, perceived value, image, consumption emotions and customer loyalty by testing a structural equation model. Design/methodology/approach The model is tested using data collected from 672 guests staying in accommodation establishments located in South Africa. The study follows a hierarchical approach using confirmatory factor analysis to test the second-order factor model and structural equation modeling to test the overall model. Findings The results indicate that the second-order factor model is acceptable both empirically as well as conceptually and performs better than other competing models of service quality. The findings provide support for all hypotheses and evidence of a structural model with a high explanatory power. Research limitations/implications The second-order factor model is less useful when fine-grained analyses are needed, such as when a detailed assessment of the level of quality of service offered by a hospitality organization is required. Practical implications The second-order factor model allows for an analysis of service quality at different levels of abstraction. Accommodation managers interested in customers’ evaluation of service on a cumulative basis can make use of the global measure to determine service quality evaluations. Practitioners can also use the findings to manage the different dimensions of service quality. Originality/value The study demonstrates that service quality is best represented as a second-order factor, and in doing so, it provides an improved measurement of the construct. More so, by integrating the variable in a nomological network, the research develops a more parsimonious model than the existing ones.

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References

1988Structural equation modeling in practice: A review and recommended two-step approach.1988SERVQUAL: A multiple-Item Scale for measuring consumer perceptions of service quality 1988Consumer Perceptions of Price, Quality, and Value: A Means-End Model and Synthesis of Evidence 2011An assessment of the use of partial least squares structural equation modeling in marketing research 2010Satisfaction: a behavioral perspective on the consumer 1990The Service Encounter: Diagnosing Favorable and Unfavorable Incidents 1990Relationship Quality in Services Selling: An Interpersonal Influence Perspective 1998Issues and opinion on structural equation modeling

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2023Mengukur Kepuasan Pelanggan 2020Understanding customer loyalty in the coffee shop industry (A survey in Jakarta, Indonesia)2020Influence of self-service technology (SST) service quality dimensions as a second-order factor on perceived value and customer satisfaction in a mobile banking application 2020Service quality dimensions as predictors of customer satisfaction and loyalty in the banking industry: moderating effects of gender

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