Causal Factors Influencing Customer Loyalty of Private Parcel Delivery Businesses in Thailand

Main Article Content

Kamonchanok Inthana
Sukumarl Koednok
Worraya Rojchanapaphaporn

Abstract

The objectives of this research are 1) to develop a causal model of factors affecting customer loyalty in private parcel delivery businesses in Thailand and 2) to analyze the direct influence of customer focus factors. Service quality Customer satisfaction and customer retention affect customer loyalty in private parcel delivery businesses. 3) To analyze the indirect influence of customer focus factors. That affects the loyalty of customers in private parcel delivery businesses. Through the interspersing variable of customer satisfaction and 4) to analyze the indirect influence of service quality factors that affect the loyalty of customers in private parcel delivery businesses. Through variables separating customer retention, it is quantitative research. A sample group Is a store owner and someone who has used the parcel delivery service of a private parcel delivery company. A multi-stage random sampling method was used, with 414 responses. Random sampling. Bangkok Province 178 sets, Chonburi 49 sets, Chiang Mai 58 sets, Nakhon Ratchasima 84 sets, and Songkhla 45 sets. The tools used to collect data were questionnaires and structural equation modeling analysis. It was found that the model was consistent with the empirical data. It explains 92 percent of the variance in customer loyalty. The new knowledge that emerges from this study is that operators must consider three aspects of management: customer focus; service quality, and customer satisfaction, to be able to build customer loyalty and use it to formulate marketing strategies to stimulate customer loyalty.

Article Details

How to Cite
Inthana, K., Koednok, S., & Rojchanapaphaporn, W. (2024). Causal Factors Influencing Customer Loyalty of Private Parcel Delivery Businesses in Thailand. Rajapark Journal, 18(57), 379–397. Retrieved from https://so05.tci-thaijo.org/index.php/RJPJ/article/view/270478
Section
Research Article

References

Aburayya, A., Al Marzouqib, A., Alawadhic, D., Abdoulid, F., & Taryam, M. (2020). An empirical investigation of the effect of employees’ customer orientation on customer loyalty through the mediating role of customer satisfaction and service quality. Management Science Letters, 2147-2158.

Ajzen, I. (1991). The theory of planned behavior. Organizational Behavior and Human Decision Process, 50(2), 179-211.

Amelia, R., & Ayani, S. (2020). Optimalisasi Membangun Brand Image Terhadap Customer Loyalty Melalui Customer Value Dan Customer Retention Sebagai Variabel Intervening. Ekonomi Bisnis, 26(1), 268-279. Https://Ejournal.Unis.Ac.Id/Index.Php/Jeb/Article/View/659

Andy, H.P. (2020). Price and Customer Satisfaction on Loyalty: An Empirical Study of Online Transportation in Indonesia. International Journal of Innovative Science and Research Technology, 5(3), 1275-1280.

Arumugam, N., Subramaniam, A. L. B., Mylvaganam, G., & Singh, K. K. M. (2020). Customer Satisfaction Perpetuates Loyalty: A Case Study. International Journal of Academic Research in Business and Social Sciences, 10(12), 149-161.

Auttavivake, P. (2019). Service Quality that Affecting Customer Satisfaction of Kerry Express (Thailand) Company Limited in Bangkok [Master’s thesis, Mahidol University].

Bowen, J., & Shoemaker, S. (1998). The antecedents and consequences of customer loyalty. Cornell Hotel Restaurant and Administration Quarterly, 39(1), 12-25.

Brady, M. K., & Cronin, J. J. (2001). Customer Orientation Effects on Customer Service Perceptions and Outcome Behaviors. Journal of Service Research, 3(3), 241-251.

Brown, T.J., Mowen, J.C., Donavan, D.T., & Licata, J.W. (2002). The customer orientation of service workers: Personality trait effects on self- and supervisor performance ratings. Journal of Marketing Research, 39(1), 110-119.

Cedric, T.E. (2016). Service quality that affects loyalty. of users of Thai Lion Air, Siam University.

Chienwattanasook, K., & Thungwha, S. (2019). Service Quality Affecting Decision to Repurchase Logistic Services. Kasem Bundit Journal, 20(2), 93-105. https://so04.tci-thaijo.org/ index.php/jkbu/article/view/226498

Economic Intelligence Center (EIC). (2022). EIC holds a press conference on Outlook 2022 “Economic Outlook 2022”. https://www.scb.co.th/th/about-us/news/dec-2564/eic-2022.html

Economic Analysis Center ttbBank., Thailand. (2023). ttb analytics expects the parcel transportation business in 2023 to continue growing. https://www.ttbbank.com/th/newsroom/detail/e-commerce-delivery-2566

Gil, S.I., Berenguer C.G., Cervera, T.A., & Moliner, V.B. (2005). Relationships Among Customer Orientation, Service Orientation and Job Satisfaction in Financial Services. International Journal of Service Industry Management, 16(5), 497-525.

Griffin, J. (1995). Customer loyalty. ESENSI.

Hair, J. F., Black, W. C., Black, B., Babin, B. J., & Anderson, R. E. (2010). Multivariate data analysis (7th ed.). Prentice Hall.

Hennig-Thurau, T. (2004). Customer orientation of service employees: Its impact on customer satisfaction, commitment, and retention. International Journal of Service Industry Management, 15(5), 460-478.

Han, Z., Fei, K., & Sai-quan, H. (2018). Senior leadership, customer orientation, and service firm performance: the mediator role of process management. Total Quality Management & Business Excellence, 31(1), 1-16. DOI:10.1080/14783363.2018.1492873

Iacobucci, D., & Duhachek, A. (2003). Advancing alpha: Measuring reliability with confidence. Journal of Consumer Psychology, 13(4), 478-487.

Inpanya, T. (2019). A comparative study of important factors affecting satisfaction with Parcel transportation services provided by Thailand Post Company Limited and Kerry Express Company Limited. University of Phayao.

Jalal, R.H. (2018). Customer retention and the mediating role of perceived value in retail industry. World Journal of Entrepreneurship, 14(1), 2-24.

Jeamthiranart, V., & Donkwa, K. (2020). Causal factors influencing customer loyalty of 4-star hotels in Bangkok. Research and Social Development Journal, 17(4), 144-158. https://so04.tci-thaijo.org/index.php/NRRU/article/view/242044

Kammanee, P. (2022). Factors Influencing Decision Making in Transportation System of Kerry Express (Thailand) Co., Ltd.: A Case Study of Students from Higher Education Institutes in Nakhon Pathom Province[Master’s thesis, Silpakorn University].

Kandampully, J., & Suhartanto, D. (2000). Customer loyalty in the hotel industry: the role of customer satisfaction and image. International Journal of Contemporary Hospitality Management, 12(6), 346-351. https://doi.org/10.1108/09596110010342559

Keawsanenani, T. (2021). Factors Influencing Customer Decisions Who Chose to Use Express Delivery in Bangkok[Master’s thesis, Srinakharinwirot University].

Kim, H.J.J. (2011). Service orientation, service quality, customer satisfaction, and customer loyalty: Testing a structural model. Journal of Hospitality Marketing & Management, 20(1), 619-637. DOI: 10.1080/19368623.2011.577698

Kositanon, A. (2019). Factors Influences Affecting Customers’ Satisfaction with Kerry Express in Bangkok[Master’s thesis, Bangkok University].

Kotler, P. (2016). Marketing Management (15th ed). Pearson Education.

Krungsri Research. (2022). Thai business and industry trends 2022-2024. https://www.krungsri.com/th/research/industry/summary-outlook/outlook-2022-2024

Lee, Y.K., Kim, Y.S., Son, M.H., & Lee, D.J. (2011). Do emotions play a mediating role in the relationship between owner leadership styles and manager customer orientation, and performance in a service environment?. International Journal of Hospitality Management, 30(4), 942-952.

Lie., D., Sudirman, A., Butarbutar, M., & Efendi, E. (2019). Analysis of Mediation Effect of Consumer Satisfaction on the Effect of Service Quality, Price and Consumer Trust on Consumer Loyalty, International Journal of Scientific & Technology Research, 8(8), 421-428.

Micu, A., Capatina A., & Aviaz, K. (2013). Implication of Logistics Service Quality on the Satisfaction Level and Retention Rate of an E-commerce Retailer’s Customers. Economic Computation and Economic Cybernetics Studies and Research/ Academy of Economic Studies, 47(2), 1-9.

Muhammad, B., Basri, M., Jeni, K., & Sabri, H. (2015). Effect of Service Quality, Orientation Services and Pricing on Loyalty and Customer Satisfaction in Marine Transportation Services. International Journal of Humanities and Social Science Invention, 4(6), 1-6.

Namahoot, K., & Inkaew, P. (2021). Innovative Parcel Delivery Service in Thailand during COVID-19 Pandemic Using Structural Equation Modelling. Chulalongkorn Business Review, 43(4), 76-94.

Narunart, T., & Panjakajornsak, V. (2019). An Empirical Analysis of Factors Affecting Customer Loyalty to Sea Freight Forwarders in Thailand. Asia-Pacific Social Science Review, 19(3), 128-143.

Narver, J. C., & Slater, S. F. (1990). The Effect of a Market Orientation on Business Profitability. Journal of Marketing, 54(4), 20-35. https://doi.org/10.2307/1251757

Nielsen, J., & Landauer, T. K (1993). A Mathematical Model of the Finding of Usability Problems (1993). In Proceedings of the INTERCHI'93 and CHI'93 Conference on Human Factors in Computing Systems, May 1993, 206-213.

Nunnally, J. C. (1987). Psychometric theory (2nd ed). McGrow-Hill.

Office of the National Economic and Social Development Board Office of the Prime Minister. (1982). National Economic and Social Development Plan, Volume 5, 1982-1986. http://bic.moe.go.th/

Parasuraman, A., Zeithaml, V.A., & Berry, L. L. (1988). SERVQUAL: A multiple-item scale for measuring consumer perceptions of service quality. Journal of Retailing, 64(1), 12-40.

Rizal, A., & Francis, B. (2002). Customer retention management: a reflection of theory and practice. Marketing Intelligence & Planning, 20(3), 149-161.

Prommetjit, K. (2019). Service Satisfaction to Choose Truck Transportation Service of Maxcore Logistics Company Limited[Master’s thesis, Krirk University].

Salama, A., Muhammad, A., & Barween Al, K. (2020). The Influence of Service Quality on Customers' Retention and Loyalty in the UAE Hotel Sector with Respect to the Impact of Customer' Satisfaction, Trust, and Commitment: A Qualitative Study. PalArch’s Journal of Archaeology of Egypt/Egyptology, 17(4), 541-561.

Sara, A., & Uma, S.S. (2019). A Study on the Effect of Pricing Strategy on Customer Retention in Kurdistan. International Journal of Supply Chain Management, 8(1), 98-112.

Schumacker, R. E., & Lomax, R.G. (2010). A Beginner’s Guide to Structural Equation Modeling (3rd ed.). Routledge.

Shalini, S., & Nidhi, S. (2020): Do Corporate Social Responsibility (CSR) initiatives boost customer retention in the hotel industry? A moderation-mediation approach, Journal of Hospitality Marketing & Management, DOI: 10.1080/19368623.2021.1841705

Shu-Yi, Y. & Kuen-Hung, T. (2019). Lifting the veil on the link between absorptive capacity and innovation: The roles of cross-functional integration and customer orientation. Industrial Marketing Management.

Sim, J., Mak, B., & Jones, D. (2006). A model of customer satisfaction and retention for hotels. Journal of Quality Assurance in Hospitality & Tourism, 7(3), 1-23.

Stauss, B., Chojnacki, K., Decker, A., & Hoffman, F. (2001). Retention effects of a customer club. International Journal of Service Industry Management, 12(1), 7-19.

TOT Public Company Limited. (2020). 5 strategies for making your transportation business stand out. https://www.tot.co.th/sme-tips/SME-tips/2020/08/10/5-strategies-transportation-business

Tulaphan, W. (2017). Brand Royalty and Brand Equity Which Affected to Buying Decision on Korean Brand Sports Shoes[Independent Studies, Bangkok University].

Turhan, G. (2014). Building store satisfaction centred on customer retention in clothing retailing. International Journal of Research in Business and Social Science (2147-4478), 3(1), 89-105. DOI: 10.20525/ijrbs.v3i1.89

Zineldin, M. (2000). Total Relationship Management (TRM) and Total Quality Management (TQM). Managerial Auditing Journal, 15(1/2), 20-28. DOI: 10.1108/02686900010304399

Zulazmi, B.Z. (2021, July 7). Customer Satisfaction and Customer Loyalty on Courier Service Quality in Malaysia: A Review of POSLAJU. https://zenodo.org/records/7847691