Customer satisfaction in a service encounter mainly depends on quality of the service provided. However, technological advancements and higher internet usage rates led to an over dependence of customers to social media. A research to identify the role played by information in the formation of satisfaction in service encounters is warranted. Thus, this study aims to examine the importance given by customers to various types of information in evaluating a service encounter and attempts to conceptualize the hierarchical process of formation, retention and modification of customer satisfaction under perceived information importance.
Perceptions of 385 bank customers were collected on their information-seeking behavior (ISB), importance of information on satisfaction, satisfaction modification intentions (SMI) and loyalty using a structured questionnaire. A variance-based structural equation modeling helped to identify significant linkages among variables such as satisfaction developers, satisfaction retainers, satisfaction modifiers, ISB, SMI and information allied loyalty.
The study could identify three distinct dimensions such as developers, retainers and modifiers for satisfaction construct under perceived importance to information measured using various attributes relevant to a service setting. ISB of customer emerged as an antecedent that cause paradigm changes in satisfaction as well as loyalty feel. The study could also establish that SMI significantly moderates loyalty from satisfaction dimensions even though intensities are different.
Theoretically, this study examined the manner in which information intervenes in the satisfaction–loyalty link, but many predispositions of the customer about service capabilities of the service provider might have critically influenced their modification intentions.
Providing customers with consistent and reliable information is critical to the development of stable satisfaction judgements. Understanding the true impact of information and its role in modifying satisfaction can help marketers to fine tune their strategies for effective relationship management. Now, to remain competitive, firms must constantly analyze the implications of emerging information and the importance customers assign to such information.
This paper helped marketers to identify new areas to focus their attention to ensure lasting customer loyalty.
