Marketing of Public Services The impact of Service quality, Reputation and Consumer Engagement on Customer Perceived Value, Satisfaction and Loyalty
Main Article Content
Abstract
Public services are provided by government and have been traditionally supply-oriented. Changing citizen expectations put pressure on government agencies and public sector organizations to be accountable for efficiency and effectiveness. Further, the quest to enhance international competitiveness by ranking high in the echelons of world’s best governments, led to the adoption of proven marketing philosophy and methodologies in the domain of public service as well. The present study aims at examining the impact of Service quality, Reputation and Consumer Engagement on Customer Perceived Value, Satisfaction and Loyalty for an important public service viz., Dubai Metro which operated in an intensely competitive market. The study aimed at developing and empirically testing a structural model of travel behavior based on variables such as satisfaction, value, quality, reputation and engagement that have been found to drive loyalty in various industry settings. An understanding of the drivers of satisfaction contributes to the government’s aim of delivering services that rival the best in the private sector; contributes to the neglected public service context in the service management literature and captures insights that help the shift to service-dominant thinking within the public sector.
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References
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Churchill G.A. Jr., 1979. A paradigm for developing better measures of marketing constructs, Journal of Marketing Research. 16: 64-73.
Cronin J.J., M.K. Brady and C.T. Hult. 2000. Assessing the effects of quality, value, and customer satisfaction on consumer behaviour intentions in service environments. Journal of Retailing, 76(2): 193-218.
Deng, Z., Lu, Y., Wei, K. K. and Zhang, J. 2009. Understanding customer satisfaction and loyalty: an empirical study of mobile instant messages in China. International Journal of Information Management, 30(4):289-300.
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Edvardsson, B, G. Ng, C.Z. Min, R. Firth, and D. Yi. 2011. Does service-dominant design result in a better service system? Journal of Service Management, 22:440 – 556.
Edvardsson, B, M.D Johnson, A. Gustafsson, and T. Strandvik. 2000. The effects of satisfaction and loyalty on profits and growth: products versus services. Total Quality Management 11:917-27.
Emma Dudley, Diaan-Yi Lin, Matteo Mancini, and Jonathan Ng (2015). Implementing a citizen-centric approach to delivering government services, Mckinsey Quartlery, July https://www.mckinsey.com/industries/public-sector/our-insights/implementing-a-citizen-centric-approach-to-delivering-government-services. accessed on 3rd November
Fornell C, G.J., Tellis, and G. Zinkhan. 1982. Validity assessment: A structural equations approach using partial least squares. In: B.J. Walker et al. (eds.), AMA educators' proceedings, 405-409. Chicago: American Marketing Association.
Fouracre P, C. Dunkerley, and G. Gardner. 2003. Mass rapid transit systems for cities in the developing world. Transport Reviews. 23, 3: 299–310.
Gaebler, T. and Osborne, D.(1993), Reinventing Government. How the entrepreneurial spirit is transforming the public sector. Penguin, New York.
Garbarino E. and M.S. Johnson. 1999. The different roles of satisfaction, Trust and commitment in customer relationships. Journal of Marketing, 63: 70-87.
Gebauer, H, M. Johnson, and B. Enquist. 2010. Value co-creation as a determinant of success in public transport services: A study of the Swiss Federal Railway operator (SBB). Managing Service Quality, 20(6): 511 – 530.
Gerbing, D.W. and Anderson, J.C. 1988. An updated paradigm for scale development Incorporating unidimensionality and its assessment’, Journal of Marketing Research, ( 25)2: 186–192.
Gerbing, D.W. and Anderson, J.C. 1988. An updated paradigm for scale development Incorporating unidimensionality and its assessment, Journal of Marketing Research, 25(2):186–192.
Goldman T. and G. Roger. 2006. Sustainable urban transport: Four innovative directions. Technology in Society, 28:261–273.
Graham, M.E., and Bansal, P. 2007. Consumers' Willingness to Pay for Corporate Reputation: The Context of Airline Companies, Corporate Reputation Review, 10(3): 189–200.
Gulf News. 2012. Dubai Metro on right track: Green line extension project will make it the most viable form of public transport. Editorial, p 8.
Hayashi Y, K. Doi, M. Yagishita, M., and M. Kuwata, 2004. Urban Transport Sustainability: Asian Trends, Problems and Policy Practices. European Journal of Transport and Infrastructure Research, 4(1): 27-45.
Helgesen, O. and Nesset, E. 2007. Images, Satisfaction and Antecedents: Drivers of Student Loyalty? A Case Study of a Norwegian University College. Corporate Reputation Review, 10(1): 38 –59.
Hellier, P.K., Geursen G.M, Carr, R.A, and Rickard J.A. 2003. Customer repurchase intention, a general structural equation model. European Journal of Marketing, 37(11-12): 1762-1800.
Hessa Buhumaid, Margaux Constantin, and Jörg Schubert (2016), How the UAE government modernized citizen services, McKinsey Article, July, https://www.mckinsey.com/industries/public-sector/our-insights/how-the-uae-government-modernized-citizen-services
Hu, L. and Bentler, P.M. 1999. Cutoff criteria for fit indexes in covariance structure analysis: Conventional criteria versus new alternatives. Structural Equation Modeling, 6(1):1–55.
Hu, L. and Bentler, P.M. 1999. Cutoff criteria for fit indexes in covariance structure analysis: Conventional criteria versus new alternatives. Structural Equation Modeling, 6(1):1–55.
HY, and J. John, 2008. Role of customer orientation in an integrative model of brand loyalty in services. The Service Industries Journal, 30(7): 1025–1046.
Ian R. Hodgkinson, Claire Hannibal, Byron W. Keating, Rosamund Chester Buxton, Nicola Bateman, (2017). Toward a public service management: past, present, and future directions. Journal of Service Management, Vol. 28 Issue: 5, pp.998-1023, https://doi.org/10.1108/JOSM-01-2017-0020 Permanent link to this document: https://doi.org/10.1108/JOSM-01-2017-0020
Jansson, K. (1996). Welfare and markets in passenger transport. International Journal of Social Economics, 23(10/11): 120-136.
Järvinen R, and K. Suomi, 2011. Reputation attributes in retailing services: managerial perspective, Managing Service Quality, 21(4): 410 – 423.
275m use Dubai public transport in first half of 2017. (2017 August 5). Khaleej Times. retrieved from https://www.khaleejtimes.com/nation/dubai/275m-use-dubai-public-transport-in-first-half-of-2017. Accessed on August 15th August 2017
Kleine R.E., S.S. Kleine, and G.J. Brunswick. 2009. Transformational consumption choices: building an understanding by integrating social identity and multi-attribute attitude theories. Journal of Consumer Behaviour, Vol. 8: 54–70.
Kleine RE, Kleine SS. and Brunswick GJ. 2009. Transformational consumption choices: building an understanding by integrating social identity and multi-attribute attitude theories. Journal of Consumer Behaviour, 8(1): 54–70.
Knutsson S., 2003. Valuing rider quality in Swedish special transport services new findings. Journal of Public Transportation, 6, 3: 65-84.
Kwak D.H. and Kang, J.H. 2009. Symbolic purchase in sport: the roles of self-image congruence and perceived quality. Management Decision, 47(1): 85 – 99.
Lee H.S., 2010. Factors Influencing Customer Loyalty of Mobile Phone Service: Empirical Evidence from Koreans. Journal of Internet Banking and Commerce, August, 15 (2): 1-10.
Liang C.J., W.H., Wang and J.D. Farquhar. 2009. The influence of customer perceptions on financial performance in financial services. International Journal of Bank Marketing, 27(2): 129-149.
Lovelock C., G. Lewin , G. Day, J. and Bateson. 1987. Marketing Public Transit, Praeger, Marketing, 68(1): 1-17.
Madhavan, N. (2010). Mass Rejected Transit System: Case study Urban Infrastructure. Business Today, April 4.
Mahtani, S., and Wong, C.H. (2013), “Singapore metro blog”, In Wall Street Journal SouthEast Asia, (December 16, 2011), available at http://blogs.wsj.com/searealtime/2011/12/16/singapore-subway-breakdowns-raise-ire/ (Accessed 15 January 2013).
Maitha (2011). Dubai metro reduces traffic congestion. Article dated 29 April 2011. http://dubaimetro.eu/featured/7629/dubai-metro-reduces-traffic-congestion. (Accessed January 7 2012).
Mc Dougall, G, H G and Levesque T. 2000. Customer satisfaction with services: putting perceived value in the equation. Journal of services marketing, 14(5): 392-410.
Metro (2012). Performance on target, customer satisfaction. Available at http://www.metrotrains.com.au/About-us/News/Performance-on-target-customer-satisfaction-up-.html. (Accessed January 28, 2012).
MoEW (UAE Ministry of Environment and Water) (2015), United Arab Emirates State of Green Economy Report 2014, MoEW, Dubai
Nguyen N. and G. LeBlanc. 2001. Corporate image and corporate reputation in Customers’ retention Decisions in Services. Journal of Retailing and Customer Service,s 8(4): 227-236.
Nunnally, J.C. 1978. Psychometric Theory. McGraw-Hill, New York, NY.
Oliver R.L. 1997. Satisfaction: A Behavior Perspective on the Consumer. NY: McGraw-Hill.
Osborne, S.P., Radnor, Z. and Nasi, G. (2013), “A new theory for public service management? Toward a (public) service-dominant approach”, The American Review of Public Administration, Vol. 43 No. 2, pp. 135-158
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