Customer retention and cross-buying in the banking industry: An integration of service attributes, satisfaction and trust
Received (in revised form): 8th March, 2007
Tsung-Chi Liu
is a professor in the Department of Business Administration at National Cheng Kung University, Taiwan. He holds a PhD in Management from Keio University, Japan. His research interests are in the areas of distribution management, knowledge creation and services marketing.
Li-Wei Wu*
is an assistant professor in the Department of International Business at Tunghai University, Taiwan. He has a PhD in Marketing from National Cheng Kung University, Taiwan. His research interests focus on financial services marketing, relationship marketing and internet marketing.
Abstract Most previous studies have focused on customer retention and have ignored the importance of customers’ cross-buying behaviour. Customer retention seems to be the result of a kind of repetitive decision by the customers, but their decision to cross-buy involves a more complicated process. In this study, the authors examine the effects of locational convenience, one-stop shopping convenience, firm reputation, firm expertise, and direct mailings on both customer retention and cross-buying. The mediating roles of satisfaction and trust in the relationships between service attributes, customer retention, and cross-buying are also examined. The results indicate that banks can use different service attributes to influence customer retention and cross-buying. Trust and satisfaction play different mediating roles in the relationships between service attributes, customer retention, and cross-buying. Journal of Financial Services Marketing (2007) 12, 132–145. doi:10.1057/palgrave.fsm.4760067 Keywords Customer retention, cross-buying, satisfaction, trust, service attribute
INTRODUCTION Traditionally, customer loyalty has been viewed as a multi-faceted behavioural construct that includes customer retention, positive word of... [continues]
Received (in revised form): 8th March, 2007
Tsung-Chi Liu
is a professor in the Department of Business Administration at National Cheng Kung University, Taiwan. He holds a PhD in Management from Keio University, Japan. His research interests are in the areas of distribution management, knowledge creation and services marketing.
Li-Wei Wu*
is an assistant professor in the Department of International Business at Tunghai University, Taiwan. He has a PhD in Marketing from National Cheng Kung University, Taiwan. His research interests focus on financial services marketing, relationship marketing and internet marketing.
Abstract Most previous studies have focused on customer retention and have ignored the importance of customers’ cross-buying behaviour. Customer retention seems to be the result of a kind of repetitive decision by the customers, but their decision to cross-buy involves a more complicated process. In this study, the authors examine the effects of locational convenience, one-stop shopping convenience, firm reputation, firm expertise, and direct mailings on both customer retention and cross-buying. The mediating roles of satisfaction and trust in the relationships between service attributes, customer retention, and cross-buying are also examined. The results indicate that banks can use different service attributes to influence customer retention and cross-buying. Trust and satisfaction play different mediating roles in the relationships between service attributes, customer retention, and cross-buying. Journal of Financial Services Marketing (2007) 12, 132–145. doi:10.1057/palgrave.fsm.4760067 Keywords Customer retention, cross-buying, satisfaction, trust, service attribute
INTRODUCTION Traditionally, customer loyalty has been viewed as a multi-faceted behavioural construct that includes customer retention, positive word of... [continues]
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