Determinants of Customer Satisfaction in the Mobile Telecommunications Service Industry

Abstract

The mobile telecommunications service industry has become one of the most dynamic and vibrant service industries in the contemporary business context. The mobile phone plays an essential role by revolutionizing consumer behaviour and creating a new fashion of life. Identifying the determinants of customer satisfaction in the mobile telecommunications service industry has drawn a greater interest among marketers due to the vibrancy of the services and severe competition in the industry. However, studies in relation to the determinants of customer satisfaction in the context of mobile phone services in Sri Lanka are scarce. Therefore, this study was conducted to identify the determinants of customer satisfaction in mobile telecommunications services in the Sri Lankan business context since identifying the key determinants of customer satisfaction in mobile phone services is of greater importance to deliver an effective service and remain subscribers satisfied. Accordingly, mobile phone subscribers were selected as the unit of analysis of the study. A structured questionnaire was administered, and data were collected from a sample of 722 mobile phone subscribers. Structural Equation Modelling was used to analyse the structural relationships in the study. The results are decisive, which will be interesting for service providers who are highly concerned about the satisfaction of their subscribers. Accordingly, the results indicate that perceived value, corporate image, trust, loyalty programmes, and service quality have a significant positive impact on customer satisfaction. Service quality, among the determinants identified in the study, plays a dominant role in satisfying customers, which has the highest impact on customer satisfaction in the context of the mobile telecommunications service industry.