Relationship Quality as a Predictor of B2B Customer Loyalty

This study aims to provide a picture of how relationship quality can influence customer loyalty or loyalty in the business-to-business context. Building on prior research, we propose relationship quality as a higher construct comprising trust, commitment, satisfaction and service quality. These dimensions of relationship quality can reasonably explain the influence of relationship quality on customer loyalty.

This study was conducted in a business-to-business setting of the courier and freight delivery service industry in Australia. The survey was targeted to Australian Small to Medium Enterprises (SMEs). Two methods were chosen for data collection: mail survey and online survey. The total number of usable respondents who completed both survey was 306.

In this study, a two step approach (Anderson and Gerbing 1988) was selected for measurement model and structural model. The results also show that all measurement models of relationship dimensions achieved a satisfactory level of fit to the data. The hypothesized relationships were estimated using structural equation modeling. The overall goodness of fit statistics shows that the structural model fits the data well.

As the results show, to maintain customer loyalty to the supplier, a supplier may enhance all four aspects of relationship quality which are trust, commitment, satisfaction and service quality. Specifically, in order to enhance customer’s trust, a supplier should promote the customer’s trust in the supplier. In efforts to emphasize commitment, a supplier should focus on building affective aspects of commitment rather than calculative aspects. Satisfaction appears to be a crucial factor in maintaining purchase intentions whereas service quality will strongly enhance both purchase intentions and attitudinal loyalty.

Keywords: Loyalty, Relationship Quality, B2B, Service Quality, Courier Services 


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