Title: The effect of service quality on customer loyalty, given the mediating role of customer engagement and perceived value (case study: Taban Airline, Mashhad, Iran)

Authors: Naser Azad; Mohammad Sadeghifar

Addresses: Department of Management, South Tehran Branch, Islamic Azad University, Tehran, Iran ' Kish International Branch, Islamic Azad University, Kish Island, Iran

Abstract: Today's customer is the key factor in strengthening the organisation's adaptation and adjustment with complex and difficult environmental conditions, to the extent that all goals, strategies and resources are focused round the ultimate purpose of securing customer acquisition and retention. This research is particularly concerned with the effect service quality might have on customer loyalty, in absence and presence of the mediators 'perceived value' and 'engagement' among customers of Taban Air in Mashhad, Iran. The required actual data, according to the conceptual model, was collected from the sample respondents using questionnaire. The validity of the questionnaire was confirmed by experts and the reliability of the research was confirmed using the Cronbach's alpha value. For test of the hypothesised relationships between the variables, multiple regression analysis and structural equation modelling (path analysis) were used. The results indicated a positive and significant relationship (p < 0.05) between service quality, on the one side, and perceived value, customer engagement, and loyalty, on the other side. The results, in addition, supported the mediating effect of perceived value and customer engagement on the relationship between service quality and customer loyalty.

Keywords: service quality; perceived value; customer satisfaction; customer loyalty.

DOI: 10.1504/IJBIR.2019.101693

International Journal of Business Innovation and Research, 2019 Vol.20 No.1, pp.129 - 144

Received: 14 Feb 2018
Accepted: 05 Apr 2018

Published online: 14 Aug 2019 *

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