The impact of service quality drivers on customer satisfaction in internet provision services of Zimbabwe

Abstract

The purpose of the research was to examine the impact of service quality on customer satisfaction amongst customers in the internet service provision sector of Zimbabwe. In the study, service quality consisted of six dimensions, namely, reliability, empathy, responsiveness, tangibles, location and price. The study employed a cross-sectional quantitative design from which a sample of 341 successfully completed questionnaires were obtained. Data analysis was performed using SPSS 23 software. Multiple regression was performed to ascertain the cause-effect relationship between the independent variables (namely, reliability, empathy, responsiveness, tangibles, location and price) and the dependent variable (customer satisfaction). The results of the study indicated that reliability, responsiveness and price displayed a positive statistically significant impact on customer satisfaction. On the other hand, empathy, tangibles and location were noted as not having a statistically significant positive impact on customer satisfaction. The main implication for internet service providers in Zimbabwe is that responsiveness and prices-sensitive offerings are key to satisfying customers. Corresponding author: Tinashe Chuchu Email addresses for the corresponding author: tinashe.chuchu@up.ac.za First submission received: 20th May 2019 Revised submission received: 9th August 2019 Accepted: 21st August 2019 Introduction Customer satisfaction has become an imperative subject, generating great interest within organisations, practitioners and researchers alike. The primary objective of organisations is to maximize profits whilst at the same time minimising costs. Profit maximisation can be achieved by increasing sales while reducing costs. Customer satisfaction is one of the most significant factors that can aid organizations to increase profits, customer satisfaction leads to customer loyalty which in turn leads to repeat purchases and referrals (Wilson, Zeithaml, Bitner & Gremler, 2008). The universal challenge for businesses today is to move from product orientation to customer orientation. This challenge is becoming more difficult because customers are becoming increasingly sophisticated, educated and well informed. Customers have knowledge and high expectations of the service they want to receive from organisations. They now want greater choices and involvement in the purchasing process. The focus on customers/consumers has increased more as the consumption era also shifts to post-consumption. In the post-consumption era organizations are obliged to render more services in addition to what they currently provide to their customers. In this vein, it is imperative to gain insight of the levels of customer satisfaction and service Journal of Business and Retail Management Research (JBRMR), Vol. 14 Issue 1 October 2019 www.jbrmr.com A Journal of the Centre for Business & Economic Research (CBER) 99 quality experienced by customers. The Internet Service Provision (ISP) industry has become an increasingly competitive industry worldwide, in African and in Zimbabwe alike. Internet service providers that understand their customers’ expectations and experiences are better positioned to implement focused performance initiatives designed to increase overall customer satisfaction, brand loyalty, and advocacy, and to maximize product penetration (Samen, Akroush & Abu‐Lail, 2013). The internet service provision sector in Zimbabwe is characterized by intense competition. Furthermore, the customer satisfaction index is low among Zimbabwean customers within this sector. To this end the issue of service quality and service delivery has become very important. From service quality stems the issue of customer satisfaction (Samen et al., 2013). Nonetheless, seeking to achieve a high level of customer satisfaction is one of the most challenging tasks for internet service providers in Zimbabwe as indicated by the lower customer satisfaction index. The internet service provision sector is increasingly becoming more competitive and dynamic, thus internet service providers who guarantee customer satisfaction are more likely to survive in the market. Customer satisfaction is influenced by various service quality drivers which include, tangibility, reliability, responsiveness, assurance, empathy, price and location (Parasuraman, 1988). When customers are satisfied with the performance of a service, they often become loyal to it (Chen & Chen, 2010; Mashwama, Chiliya & Chuchu, 2019). Therefore, prioritising customer satisfaction makes businesses to become competitive and ultimately successful. According to Johnson and Gustafsson (2000) the process of satisfying and retaining current customers is far less expensive than constantly replacing customers. Hence, in the contemporary business environment keeping customers satisfied saves money as well as increasing profits for organisations. Furthermore, customer satisfaction creates repeat purchases and referrals (Johnson & Gustafsson, 2000). In Zimbawe, the internet service provision sector is drastically growing, therefore making the concepts of customer satisfaction and service quality as key priorities. This means that for organisations who are internet service providers, it is imperative for them offer a superior service quality to their customers to ensure customer satisfaction and retention. Hence, this creates a gap in terms of studying and comprehending how service quality drivers influence customer satisfaction within the internet service provision sector in Zimbabwe. The purpose of the study is to investigate the impact of the drivers of service quality (namely, tangibility, reliability, responsiveness, assurance, empathy, price and location) on customer satisfaction achieved by internet service providers in Zimbabwe. The drivers of service quality are noted as significant predictors of customer satisfaction (Parasuraman, 1988). Internet service providing organisations face a number of challenges as they operate in the turbulent business environment in Zimbabwe which impact on the satisfaction experienced by customers (Masevo, 2015). It can be noted that optimising on the level of service quality ensures a high level of customer satisfaction Gera (2011) which translates to increased sales and profits (Kotler, 2015). The objective of the present study is to investigate the impact of service quality drivers on customer satisfaction within the internet service provision sector, specifically looking at the largest internet service provider in Zimbabwe. In order to achieve the objective of the study, the following research question was proposed: What is the impact of service quality drivers on customer satisfaction achieved by internet service providers in Zimbabwe? Literature Review In the present study, literature on customer satisfaction and service quality will be discussed. The literature review section will commence by providing a discussion of customer satisfaction followed by service quality and the SERVQUAL model. Customer satisfaction There is no single and standard generally accepted definition of customer satisfaction in literature since different scholars conceptualise the concept differently. Tahir, Waggett and Hoffman (2013) Journal of Business and Retail Management Research (JBRMR), Vol. 14 Issue 1 October 2019 www.jbrmr.com A Journal of the Centre for Business & Economic Research (CBER) 100 proposed that customer satisfaction is a customer's viewpoint based on the customer’s expectation and then the customer’s subsequent post purchase experience. This proposition is supported by Nguyen (2014), who argued that the customers’ level of satisfaction is a result of cumulative consumer experiences. Maziriri and Madinga (2015) are of the view that if customer satisfaction is not met, the customer will experience buyer’s remorse, and this justifies the need of customer satisfaction for retailers. Customer satisfaction is identifiable by a response from the customer (Giese & Cote, 2000). In addition, customer satisfaction is generally a product of technology (Cheung & Vogel, 2013; Koenaite, Chuchu & Venter de Villiers, 2019). On the other hand, Kotler and Keller (2009) consider satisfaction to be an individual’s feelings of pleasure or displeasure that result from comparing a product’s perceived performance or quality or outcome with their expectations. The response can either be cognitive or affective. This response pertains to the purchase experience by the customer which occurs either during or after the purchase experience. Service quality There are various definitions that relate to the concept “service”. Most of these definitions are dependent on the context in which the concept is being examined. Kotler and Keller (2009) define services as any intangible act or performance that one party offers to another. Services according to Kotler and Keller do not result in ownership. Eshghi (2008) suggested that services may also be described as an intangible offer by one person or organisation to another in return for money or pleasure. Solomon (2009) postulates that quality happens to be one of the most important things that customers look for in an offering of which service happens to be one. Kotler and Keller (2009) argued that quality is the entirety of features as well as characteristics of a product or services that bears on its capability to satisfy stated or implied needs. In this vein, Eshghi (2008) defined service quality as the overall assessment of a service by a customer. In the context of marketing management literature, Bowen and David (2005) suggest that service quality is the extent to which the customer’s perceptions of service either meet or exceed their expectations. In light of this suggestion service quality can therefore be perceived as how good or how bad customers are served by a service provider. Ghylin, Green, Drury, Chen, Schultz, Uggirala, Abraham & Lawson (2006) proposed th