Title: Impact of internal marketing on the customer perceptions in SMEs

Authors: Ahmet Demir

Addresses: Tishk International University (Formerly known as Ishik University), Sulaymaniyah, Kurdistan Region of Iraq

Abstract: Most of the studies on internal marketing and customer perception relations have conducted survey questionnaires only among employees. It is estimated that this methodology increases the risk of biases in evaluation. Secondly, if employees evaluate the estimated perceptions of their customers, it might mean seeing things through rose coloured spectacles. The current study investigates the impact of internal marketing on customer perceptions. A dual questionnaire has been used for the study; one for the employees and another for customers. We have asked employees about internal marketing practices in their firms and perceptions to customers for the concerning firm. The results have shown that rewarding and motivational practices were the most important drivers, which influence the service quality, corporate image, and customer satisfaction. Besides, empowerment of employees had a significantly negative impact on the customer perceptions. The reasons and implications are explained in the paper.

Keywords: internal marketing; motivation; empowerment; communication; rewarding; training; customer perceptions; service quality; corporate image; customer satisfaction.

DOI: 10.1504/IJSOM.2022.124275

International Journal of Services and Operations Management, 2022 Vol.42 No.3, pp.379 - 396

Received: 16 Jan 2020
Accepted: 15 Apr 2020
Published online: 21 Jul 2022 *

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