IIARD International Institute of Academic Research and Development

IIARD International Journal of Economics and Business Management (IJEBM )

E-ISSN 2489-0065
P-ISSN 2695-186X
VOL. 3 NO. 6 2017

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Perceived Satisfaction with Organizational Response to Complaints and Repeat Purchase Intention

Ateke, Brown Walter and Harcourt, Horsfall

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Abstract

Customers are very important to the survival and prosperity of firms. It is thus essential that firms satisfy their requirements. Firms strive to deliver the best service to customers consistently. Yet service glitches that pitch customers against firms do occur. In such cases, the response of the firm to customers’ complaints is the key to keeping or losing them. The current study investigated the link between customers’ perceived satisfaction with organisational response and repeat purchase intention. The study utilised data collected from four hundred and fifteen (415) respondents who are customers of eateries, through questionnaire and used the Spearman’s Rank order Correlation (rho) as the test statistic, relying on SPSS version 20.0. The study found that perceived satisfaction with organisational response correlate positively and significantly too, with repeat purchase intention, with interaction satisfaction having the strongest relationship with perceived satisfaction with organisational response. The study concludes that competent organisational response to customer complaints informs repeat purchase intention; and that repeat purchase intention depends on customers’ perceived satisfaction with the interactions, the outcomes and the processes involved in the complaint resolution encounter. The study therefore recommends that service firms that crave the repeat business of customers, especially after a service snafu, should satisfy the customers through the interactions, the outcomes and the procedures involved in complaint handling.

keywords:

Interaction satisfactions, outcome satisfaction, organisational response, perceived satisfaction, process satisfaction, repeat purchase intention

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