Factor Influencing Customer Choice towards Telecommunication Provider

Abstract

The objective of this research is to examine the factors influencing customer choice towards a telecommunication provider (price, network quality, promotion, customer service, and brand image). The mediator role of customer satisfaction between independent variables and dependent variables and alternative attraction as a moderator role has been investigated. A total of 286 mobile service users participated in a survey conducted online and the hypotheses were tested with PL-SEM. Results from the research show that network quality and brand image have a significant relationship between customer satisfaction while price, promotion, and customer service was found insignificant. Meanwhile, mediating effect of customer satisfaction between network quality and brand image have a significant positive influence towards customer loyalty. Whilst mediating effect of customer satisfaction between price, promotion, and customer service to be insignificant towards customer loyalty. Furthermore, alternative attractiveness is identified as a moderator, weakening the relationship between customer satisfaction and customer loyalty. The adoption of the S-O-R paradigm emphasises the importance and usefulness of the selected theoretical framework in analysing consumer behaviour. This knowledge can help telecommunications companies develop ways to improve consumer experience and satisfaction. This investigation distinguishes out for getting into the unique elements that influence customer choices in the Malaysian telecommunications sector. The use of alternative attraction as a moderator brings another dimension to the understanding of customer loyalty characteristics in the telecommunications sector, providing new perspectives that add to the current research on customer behaviours in communication services. This investigation fulfils a critical gap by providing a specific analysis of the Malaysian context, which makes it an important and unique addition to the industry.