The influence of switching costs and satisfaction on loyalty towards smartphone service providers
by Cristina Calvo-Porral; Jean-Pierre Lévy-Mangin
International Journal of Mobile Communications (IJMC), Vol. 14, No. 4, 2016

Abstract: Introduction: With the rapid development of communication technologies and the introduction of smartphones in the marketplace, the industry of mobile phone communication services is making great efforts to attract new customers and retain current ones. Purpose: This study aims to analyse how the switching costs and customer satisfaction influence customers' loyalty towards the smartphone service provides. Additionally, the mediating role of customer loyalty is also examined. Methodology: For this purpose, drawing on a sample of 370 customers, an analysis was developed through structural equation modelling. Findings: Our findings suggest that customer satisfaction with their smartphone services is determined by two key variables - service value and corporate image - while switching costs exert a low influence on customer satisfaction. Implications: Considering that our findings highlight low switching costs, service providers should focus their marketing efforts towards attracting new customers and increasing primary demand, rather than retaining their existing customers.

Online publication date: Tue, 28-Jun-2016

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