Factors affecting the loyalty of GSM customers

Number of pages: 125 File Format: word File Code: 30630
Year: 2014 University Degree: Master's degree Category: Management
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    Academic Thesis for Master Degree

    Field: Business Management, Marketing Orientation

    Factors Affecting Customer Loyalty of West Mazandaran GSM

    Abstract:

    The secret of sustainability in today's business world is to have satisfied customers who not only buy from the company's services again and again, but by introducing the company's products or services to others, practically minimize the cost of attracting new customers. they deliver The organizations, companies and industries of our country are not exempted from this rule, therefore, with a different attitude towards the needs and demands of the customer, they must know what the customer wants and how they can accompany themselves with the customer's demands considering the variability of the customer's tastes over time. In this thesis, the factors affecting the satisfaction and loyalty of Gsm customers in West Mazandaran were examined and then, using statistical methods and techniques, the role and the degree of influence of each of the factors affecting their loyalty were analyzed. The members of the statistical population were 739,060 customers of First Mobile, Irancell and local mobile phone companies (customers of Mazandaran telecommunications) in the west of Mazandaran province, including the cities of Chalus, Nowshehr, Abbasabad, Tankabon and Ramsar, with a sample size of 385 people, and a total of 377 acceptable questionnaires were collected from the 500 distributed questionnaires. The collected data were analyzed by structural equation modeling using LISREL 8.54 software. The results of the research showed that the variable of mental image of the company has the most and the variable of attention to the customer has the least impact on customer satisfaction and loyalty. It was also found that the highest level of satisfaction is related to mobile first customers and the lowest is related to local mobile phone customers (rural GSM). Keywords: mobile phone services, satisfaction and loyalty, Gsm west of Mazandaran. Introduction: Long-term customer loyalty remains an unattainable dream for many organizations and shows that there is still much to learn about this issue. Customers have a direct relationship with customer retention, market share and organization's interests, the present research is an attempt to show the factors affecting customer satisfaction and loyalty in the GSM market [1]. In this chapter, first the main problem and necessity of the research is presented, then the questions and hypotheses are raised by stating the objectives and theoretical framework of the research. In the following, while introducing the model and defining the research variables, we will discuss the topic of the research area.

    2-1. Statement of the research problem:

    The increasing advancement of technology in the telecommunication industry has caused the transmission of voice, image and data to be done with higher speed and better quality. Following these developments, the environment of companies active in this industry has become turbulent and the marketers of this industry are looking to create a sustainable competitive advantage through creating innovation and customer satisfaction to maintain the current customers of the company (Haqighi, 2011). In line with the global market, the existence of this turbulent competitive environment can also be seen in Iran's telecommunications industry. After a period of government monopoly in Iran's telecommunications industry, this monopoly market, with privatization and the entry of new mobile phone operators in the country, has moved towards a competitive market, and now Iran's mobile phone industry is composed of six operators (First Companion, Irancell, Rightel, Talia and two regional operators of Aspadan and Kish). These changes have increased the competition among operators and the ever-increasing diversity of the services provided by them, so that the managers of these companies, while trying to retain current customers and gain new customers, gradually focus their marketing strategies on attracting customers from other operators. Managers of good mobile phone service providers know that their customers are the reason for their existence and failure to maintain them puts the profitability and survival of the organization at risk. Therefore, it becomes necessary to know the dimensions of services that provide satisfaction to customers and make them want to avoid going to another operator to receive better services (preventing customers from changing their behavior).In fact, gaining such recognition on the one hand helps to maintain existing customers and prevents them from receiving services from another operator (the results of this include a: preventing the wastage of investments made for attracted customers and spending future costs to attract new customers, b: preventing the wastage of benefits related to services that the customer needs and uses throughout his life, c: preventing negative word of mouth from dissatisfied customers, etc.) and on the other hand, telephone service providers By being aware of these dimensions and creating a competitive advantage for the organization, they can attract customers of competing operators who intend to leave their organization. As a result, knowing the factors of increasing the level of customer satisfaction in order to convert them into loyal customers (loyalty in the GSM market is related to the length of time and the number of times that customers stay on the network and buy and use the company's services repeatedly (Adepojia, 2012)), has become one of the basic challenges of the managers of this industry.

    Issue The main thing in this research is to firstly understand the concept of customer loyalty in the GSM sector of West Mazandaran and secondly to identify the factors affecting customer satisfaction and loyalty in this sector. For this purpose, among the customers of First Mobile, Irancell and local mobile phone companies (Mazandaran Telecom customers) in the western level of Mazandaran province, including the cities of Chalus, Nowshahr, Abbas Abad, Tankabon and Ramsar, a sample was selected using the available method and the factors affecting loyalty were analyzed by purifying the information obtained. Changing the position of the organization from a pure service to a commercial service, on the one hand, and the high current costs of the telecommunication company compared to competitors (personnel costs, maintenance (cable network, switch, building), interconnection between operators), on the other hand, the necessity of maintaining and increasing market share in order to survive and respond to shareholders with appropriate profitability (EPS) has become a necessary and undeniable matter. The competition between mobile phone operators and the saturation of the market according to the penetration rate of mobile phones (the penetration rate of the first mobile phone in Mazandaran is 6.70 with 54% of the market share and the penetration rate of Irancell is 62 with 46% of the market share and the entry of a new operator (Rightel) into the market with new technology) confirms this important necessity that the loyalty program has no value without strategies that value long-term customers and thus create trust in new customers. Therefore, this research aims to identify the factors affecting the loyalty of GSM customers and the extent of the effect of each of the factors affecting the loyalty of GSM customers, such as service quality (comparison of received performance and expected performance, as well as the customer's general feeling of the organization's strength and weakness in providing services), customer service (it is a process between the buyer, seller and a third party (companies that obtain permission from the seller to provide services to the customer, such as service offices)), price (the amount of money demanded for a product or service, or the total amount that the customer benefits, owning or using goods or services) and the mental image of the company (the sum of people's impressions of an organization including human and physical resources that show the overall credibility and dignity of the company). With regard to the above-mentioned items, providing customer satisfaction is one of the most important tasks of mobile phone service providers and is emphasized by the managers of these companies. In order to obtain customer satisfaction, companies must provide services with optimal quality, but resource limitations do not allow providing all services with optimal quality and as a result, satisfying customers in all areas. For this reason, if the factors affecting customer satisfaction and the services that are more important in their opinion are prioritized, we can see completely satisfied and loyal customers by using the company's resources in the right directions.

    4-1. Research objectives:

    1-4-1. The main objective:

    The main objective of the research is to investigate the factors of satisfaction and loyalty of mobile phone customers in the west of Mazandaran province according to the presented conceptual model.

    2-4-1. Sub-goals:

        . Checking customer satisfaction with the quality of services provided. Checking customer satisfaction with the service tariff (price) received

        . Checking customer satisfaction with the services received according to the customer's mental image of the company. Checking customer satisfaction with the services received from the customer care department. Investigating customer loyalty to mobile phone service providers according to their level of satisfaction with the services received

    5-1. Research questions and hypotheses:

    1-5-1. The main research question:

    What are the factors affecting the satisfaction and loyalty of GSM customers in West Mazandaran?

    2-5-1.

  • Contents & References of Factors affecting the loyalty of GSM customers

    List:

    Page Title

    Abstract ..1

    Chapter One: Research Overview

    Introduction .. 3

    Problem Statement .. 3

    The Importance and Necessity of Conducting Research .4

    4-1 Research Objectives ..5

    1-4-1 Main Research Objective ..5

    2-4-1 sub-objectives of research.5

    5-1 research questions..6

    1-5-1 main research question..6

    2-5-1 sub-research questions.6

    6-1 explanation of research hypotheses.6

    7-1 introduction of the model cited in this research.6

    1-7-1 introduction of components Model..6

    2-7-1 Theoretical and operational definition of research variables.7

    1-2-7-1 Customer loyalty. / Attention to the customer. 11

    6-2-7-1 Mental image of the company. 11

    8-1 Research tools and methods.

    Chapter Two: Research literature, research background

    1-2 Introduction..15

    2-2 Research literature..15

    1-2-2 Marketing..16

    2-2-2 Marketing strategies for service organizations.16

    3-2-2 Service quality..17

    1-3-2-2 Concept of quality Services. 17

    2-3-2-2 dimensions of quality in the field of services. 18

    4-2-2 customer satisfaction..20

    1-4-2-2 definition of customer satisfaction.

    3-3-2 types of loyalty..25

    4-3-2 difference between customer loyalty and customer retention.26

    1-4-3-2 concept of customer..27

    2-4-3-2 types of customer..27

    3-4-3-2 customer needs and expectations.27

    5-3-2 customer satisfaction and its relationship with loyalty Customer.28

    4-2 History of mobile phones..31

    1-4-2 History of mobile phones in the world.32

    2-4-2 different generations of mobile phones. 34

    1-2-4-2 First generation mobile phones. 34

    4-2-4-2 The third generation of mobile phones. 35

    5-2-4-2 The fourth generation of mobile phones. 36

    3-4-2 The history of mobile phones in Iran. 36

    1-3-4-2 Privatization in the telecommunications company. 37

    2-3-4-2 The second operator (Irancell) 38

    3-3-4-2 The third operator (Rightel) 39

    5-2 Overview of research done 39

    1-5-2 Introduction 39

    2-5-2 Overview of research done in Iran. 40

    3-5-2 Review of research done in other countries. 43

    Chapter 3: Implementation method Research 1-3 Introduction..50

    2-3 Research method..50

    3-3 Statistical community..51

    4-3 Sampling method and sample size estimation. or reliability. 54

    3-7 Data and information analysis method. 56

    Chapter four: Data analysis and research findings

    1-4 Introduction..58

    2-4 Demographic characteristics of the statistical sample. 59

    3-2-4 Status of respondents in terms of age. 60

    4-2-4 Status of respondents in terms of education. 61

    5-2-4 Status of respondents in terms of number of years using the network. 62

    6-2-4 Status of respondents in terms of occupation. 63

    3-4 How the research variables are distributed based on central indicators. Dispersion.64

    4-4 Checking the normality of the variables.66

    5-4 Validity and reliability of the questionnaire.67

    1-5-4 Exploratory factor analysis.67

    2-5-4 Confirmatory factor analysis.70

    3-5-4 Confirmatory factor analysis of research variables.70

    4-5-4 convergent validity..72

    5-5-4 diagnostic validity..73

    6-4 hypothesis test..73

    1-6-4 conceptual model fit.74

    2-6-4 structural equation modeling.74

    3-6-4 model fit test Concept. 75

    4-6-4 Goodness of model fit. 77

    7-4 Ranking of research variables.82

    4-7-4 mental image of the company.82

    5-7-4 customer satisfaction.83

    6-7-4 customer loyalty.83

    Chapter five: discussion, conclusions and suggestions

    1-5 introduction.85

    2-5 research results.85

    1-2-5 statistical results Descriptive. 85

    2-2-5 inferential statistics results. 86

    3-2-5 secondary statistics results. 87

    3-5 practical suggestions. 88

    4-5 research limitations. 91

    5-5 research suggestions. 91

    List of sources

    A) Farsi. 94

    B) English. 95

    Appendices

    Questionnaire. 97

    Software output. 99

    English abstract.

    Figure 1-1. Conceptual model of adopygia research. 7

    Figure 1-2. Definition of the concept of customer satisfaction. 22

    Figure 2-2. The relationship between satisfaction and loyalty in different industries. 30

    Figure 3-2. Relationship between customer satisfaction and customer loyalty and organization profitability. 31

    Figure 4-2. The image of the country's most historic check worth 1,563 billion tomans. 39

    Figure 1-3. The relationship between research plans. 51

    Chart 1-4. Frequency diagram of respondents according to the type of mobile phone. 59

    Chart 2-4. The graph of the frequency of respondents in terms of nesset. 60

    Diagram 3-4. Status of respondents in terms of age. 61

    Chart 4-4. Status of respondents in terms of education. 62

    Chart 4-5. The status of respondents in terms of the number of years of using the network. 63

    Chart 6-4. Status of respondents in terms of job. 64

    Figure 1-4. Standard factor loading of factor analysis. 70

    Figure 2-4. Factor analysis significance statistic. 72

    Figure 3-4. Standard estimation coefficients of the research structural model. 76

    Figure 4-4. Significant numbers of the structural model of the research. 76 Cronbach's alpha for research indicators. 55

    Table 1-4. Frequency distribution of respondents according to the type of mobile phone. 58

    Table 2-4. Frequency distribution of respondents by gender. 59

    Table 3-4. Frequency distribution of respondents in terms of age. 60

    Table 4-4.  Frequency distribution of respondents in terms of education. 61

    Table 4-5.  Frequency distribution of respondents in terms of the number of years of using the network. 62

    Table 6-4.  Frequency distribution of respondents according to occupation. 63

    Table 7-4. Central indices, dispersion and distribution of variables investigated in the research. 65

    Table 4-6. Kolmogorov Smirnov test of research variables. 67

    Table 4-7. Abbreviated dimension table of research variables. 67

    Table 8-4. KMO and Bartlett test for questionnaire questions. 68

    Table 9-4. Matrix of factors rotated by principal component analysis and Varimax rotation method with Keyser normalization for research questionnaire questions. 69 Table 10-4. Examining the extracted average variance values ??of research indicators. 73

    Table 11-4. AVE and correlation between research variables. 73

    Table 12-4. Structural model fit indices. 77

    Table 4-13. The results of structural model evaluation. 78

    Table 14-4. Output of the relationship between service quality and customer satisfaction. 78

    Table 15-4. The output of the relationship between the tariff and customer satisfaction. 79

    Table 16-4. Output of the relationship between customer attention and customer satisfaction. 79

    Table 17-4. Output of the relationship between the mental image of the company and customer satisfaction. 80

    Table 18-4. The output of the relationship between customer satisfaction and customer loyalty. 80

    Table 19-4. Kruskal-Wallis test results of service quality variable. 81

    Table 4-20. The results of the Kruskal-Wallis test on the service tariff variable. 81

    Table 4-21. The results of the Kruskal-Wallis test for the customer attention variable. 82

    Table 4-22. The results of the Kruskal-Wallis test of the variable mental image of the company. 82

    Table 4-23. The results of the Kruskal-Wallis test of satisfaction variable. 83

    Table 4-24. The results of the Kruskal-Wallis test of loyalty variable. 83

    Source:

    Persian sources:

Factors affecting the loyalty of GSM customers