Chapter 5: Analysis of Findings
5.4 Modernized Customer Service and Customer Satisfaction
Ha: Modernized customer service has positive significant impact on customer satisfaction
Service customization predicted direct significant effect (0.103) on customer satisfaction and it is statistically significant (β = .12, t = 2.41, p < .05). The alternate hypothesis (H4) was accepted that service customization and customer satisfaction are correlated positively. These results are also consistent with Alzoubi et al.’s (2022) findings that depict that technology application in the service sector, for example open innovation, helps propel customer happiness and impact customer loyalty and customer satisfaction. Correspondingly, Meuer et al. (2019) also echo similar sentiment relating to personalization as the novel approach to engaging energy customers since they are satisfied with a service initiative that reflect inclination to digitalization.
Filling stations in the digital era ought to ensure that their services meet customer needs. These channels can use automated pumps to ensure you get the right amount of fuel you request. Thus, the petrol station billing and receipting process was ought to be fully automated and with readily available receipts. More than one reliable and advance payment option, such as card, wireless, cash, swipe, loyalty points should be provided to customers. The payment option should be fast
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and secure (Anshari et al. 2019). The petrol station offered new and innovative products should be offered continuously over time as customer tastes and preferences keep changing. It is also recommended that filling stations diversify service provision through offering additional services and products like supermarket, cleaning car screens, car services including oil checking, washing and tire changes. It is also advisable that the petrol station brand offers a comprehensive loyalty program (Anshari et al. 2019).
Customers may generate a service using self-service technical interfaces without requiring the assistance of a service provider. A pleased customer who uses self-checkout may become loyal to the store because of this unique selling point (Fernandes & Pedroso 2017). Improving service quality, which in turn impacts customer happiness, requires integrating uniformity and customization of service offerings. How satisfied a customer is greatly affects how loyal they will be to a business (Kasiri et al. 2017). Customers are more likely to be satisfied when they feel safe, helpful, mobile, and entertained. Adjusting the level of personalization significantly moderate the effects of mobility and trust on customer contentment (Marinkovic & Kalinic 2017). There is a positive relationship between the provision of modernized services and increased customers’ purchasing will (Beurden 2017). Furthermore, Cheng et al. (2022) support this positive contribution in their study by highlighting the effects of providing modernized services on purchasing will of products and services. They investigated the provision of quality internet services, multiple payment options, subscription models, and quality customer support experience and their conclusion were positive, that modernized quality services and customer care service yielded an increase in sales of internet services.
Service innovation influences the magnitude of service quality which further impact customer satisfaction and customer loyalty. Stanton et al. (2020) highlights a study where the provision
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of a loyalty program to a supermarket chain retail did increase customers’ purchasing will. The study also highlights the need for loyalty programs in the petroleum industries by citing that loyalty programs are likely to increase customer retention because customers have a feeling of spending less at the pump as well as earning points. Uniformly, Malhotra et al. (2021) reference another study where a beverage company employed Total Quality Management, TQM, across their chain of stores, which resulted in an increase in sales. These explanations indicate that the provision of modernized services impacts service delivery. This statement is consistent with the findings from a study that attested service modernization in energy sector in Gambian energy sector prevails as a top priority because the effort improves efficiency and sustainability (Manneh & Shams 2019). The importance of service modernization is affirmed to impact customer satisfaction.
The analysis by this dissertation aligns with specification that service modernization within the service industry and customer behaviour intention and customer satisfaction are intertwined and the visible outcome is positive customer experience. Stanton et al. (2020) mention a case study for Dell-branded laptops that supports the notion that customer satisfaction increases customers’
purchasing will. These authors explain that Dell’s strategy employs a customer-centric approach where time and cost are utilized sufficiently without compromising customers’ expectations.
Specifically, Dell’s ability to let users customize their laptops online. This gave users the option to choose their machine specification within their range with a guarantee that Dell will build ship and deliver their PCs. In this regard, sales from upselling have significantly grown up indicating an increase in customer purchasing will.
Malhotra et al. (2021) also look into the fast-food industry and appear to yield positive results concerning the effect of customer satisfaction and purchasing will. In their research, they
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highlight the growth of frequency in which regular customers queue at their famous store to get their daily cup of coffee. Loyalty customers enjoyed the benefit of earning store credit that they could redeem for anything on the menu. Moreover, Malhotra et al. (2021) claim that besides the loyalty affiliations to these queuing customers, more tend to return to have other meals. An indication that modernized customer service, and their loyalty program, led the customers to explore the menu further. Customer satisfaction increases their purchasing will.
Some customers appear loyal to brands to the extent they are willing to queue for services. In a world where competition within the fast food and beverages section seems to be stiff. The likely reason customers would queue and neglect other brands is a clear indication of loyalty. Beurden (2017) and Cheng et al. (2022) seem to agree with this claim by mentioning that modernized customer service can attract and retain a loyal customer base for any business. Similarly, when investigating Dell’s approach to a customer-centric business model, Stanton et al. (2020) mention that modernized customer service and products were a mediating factor between customized laptop quality and future purchasing intentions. It appears that the provision of multiple payment options at retail store encourages customers to remain loyal. According to Garg and Gupta (2017), expanding petroleum industry's payment and charitable donation alternatives is a top priority because smooth billing in petrol stations is highly dependent on the availability of multiple payment options. Moreover, some petrol stations always offer credit points on extra small change and an option to customers (Garg & Gupta 2017). This finding shows that in-store customers who prefer credit retailers are more likely to join loyalty programs. Similarly, using Sobel's test, Stanton et al. (2020) demonstrate that customer happiness is a crucial mediator in the connection between the delivery of updated customer services and Dell customers ' propensity to make purchases. Conclusively, it seems apparent
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that modernized customer service provision yields both customer satisfaction and their purchasing will.
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