Title: Determinants of customer loyalty for home delivery

Authors: Chin-Sen Lin; Chia-Lin Hsu; Mu-Chen Chen

Addresses: Department of Industrial Engineering and Management, China University of Science and Technology, No. 245, Section 3, Academia Road, Taipei 115, Taiwan ' Department of International Business Administration, Chinese Culture University, 55, Hwa-Kang Road, Yang-Ming-Shan, Taipei 11114, Taiwan ' Department of Transportation and Logistics Management, National Chiao Tung University, 4F, No. 118, Section 1, Chung Hsiao W. Road, Taipei 100, Taiwan

Abstract: The purpose of this study was to investigate the crucial factors, namely service quality and service convenience, that lead to customer loyalty in the home delivery (HD) industry in Taiwan. An investigation of customer loyalty in the HD industry was conducted, with a total of 426 effective questionnaires collected. After validating the measurement scales, empirical analyses were conducted using structural equation modelling (SEM). The results confirm that service quality and service convenience both correlate positively with customer loyalty in the HD industry. In a mature market such as that of Taiwan, it is of great importance for home delivery service (HDS) providers to understand the nature of the drivers of customer loyalty. The current study presents findings useful to managers of HDS providers in their efforts to develop and implement successful customer loyalty strategies.

Keywords: service quality; service convenience; customer loyalty; home delivery services; logistics; Taiwan; structural equation modelling; SEM.

DOI: 10.1504/IJLSM.2015.071539

International Journal of Logistics Systems and Management, 2015 Vol.22 No.2, pp.125 - 154

Received: 11 Jun 2014
Accepted: 10 Jul 2014

Published online: 31 Aug 2015 *

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