Customer Switching Intention in Service Industries and the Effect of Customer Perceived Value

Abstract

Customer switching behavior in service industries becomes an important research issue gradually because of its great influence on service enterprises. Based on inducting the enablers which caused customer switching behavior in the existing studies, this research designed a customer switching intention model, analyzed the relationship between these enablers and switching intention by introducing the variable of customer perceived value into the model, and gave an empirical test. The result indicated that the customer perceived value plays an important role in the switching intention model as an intermediate variable, most of the controlled incidents by enterprises influence customer switching intention by the adjustment of customer perceived value indirectly. But most ofthe uncontrolled incidents by enterprises can influence switching intention directly. Meanwhile, core service failure is the key enabler of customer switching intention.