The Impact of Service Quality and Service Value on Customer Satisfaction through Customer bonding: Evidence from telecommunication Sector

Abstract

In today’s competitive environment customer occupies the central place in business and retaining a satisfied customer can pay more as compared to attracting new one. The main objective of this study is to examine the impact of Service Quality and Service Value on Customer Satisfaction through mediating role of Customer bonding. Self-administered questionnaires were used for collection of data. Questionnaires were distributed among customers of telecommunication companies. Total 420 questionnaires were distributed among students, employees and businessmen. 397 questionnaires were received back out of which 3 questionnaires were rejected due to incomplete information. So, the response rate was 94%. For the purpose of analysis, SPSS and AMOS software have been used and mediation has been tested through online Sobel calculator. The result shows that Service Value and Service Quality have positive significant impact on customer satisfaction and mediation analysis shows that Customer bonding partially mediates the association of Service Quality and Service Value with customer satisfaction. This model may also be applied in banking and other service sectors for increasing the customer satisfaction.