The effect of service innovation on service loyalty in post offices Online publication date: Mon, 09-Dec-2019
by Shaian Kiumarsi; Salmi Mohd Isa; K. Jayaraman; Azlan Amran; Shiva Hashemi
International Journal of Business Innovation and Research (IJBIR), Vol. 21, No. 1, 2020
Abstract: Globally, post offices are service-oriented organisations which perform many social obligations towards public services. However, the empirical literature on post offices' service innovation is relatively new. Therefore, this study examines the post offices' service innovation that ensures their long-term sustainability. It investigates the influence of customer satisfaction and brand loyalty on the link between the predictors of service innovation and service loyalty. It conducts an enormous primary survey consisting of 123 users of post offices in Malaysia. The study finds that service innovation has a direct positive effect on service loyalty, but service quality has no impact on service loyalty. Remarkably, it shows that service quality influences service loyalty through customer satisfaction. The findings of this study will assist the post offices in their efforts to modernise their services within the limited available resources to satisfy the needs of the society in daily transactions.
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