Validation of SERVQUAL Model in Relation to Customer Loyalty: Evidence from FMCGs in Pakistan

  • Ammar Ahmed College of Business, University Utara Malaysia, Sintok Malaysia
  • Faiz Muhammad Khuwaja Department of Business Administration, Sukkur IBA University
  • Ismail Bin Lebai Othman College of Business, University Utara Malaysia, Sintok Malaysia
  • Muhammad Asif Qureshi College of Business, University Utara Malaysia, Sintok Malaysia
  • Rao Akmal Ali College of Business, University Utara Malaysia, Sintok Malaysia

Abstract

The aim of this study is to make a scientific contribution to understanding the relationship between SERVQUAL model and customer loyalty. The primary objective is to examine the composite relationship between SERVQUAL model and customer loyalty from the perspective of FMCG customers. The second objective is to investigate the relationship between each dimension of the SERVQUAL model in relation to customer loyalty. Through the self-rated survey, data was collected from the 400 walk-in customers of FMCG firms. Using PLS-SEM approach, the validation of SERVQUAL model was analyzed in relation to customer loyalty. Also, the influence of each dimension of service quality on customer loyalty was examined. The findings of primary objective revealed that the SERVQUAL model is significantly and positively linked to the customer loyalty. Further, the findings of the second objective revealed that each dimension of the SERVQUAL model has a significant relationship with the customer loyalty and depicts noteworthy contribution of service quality in literature. These findings suggest that SERVQUAL model is capable of being effectively used to evaluate the service quality in the FMCG market of Pakistan. Implications and future opportunities of the study are discussed.

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Published
2017-12-22
How to Cite
AHMED, Ammar et al. Validation of SERVQUAL Model in Relation to Customer Loyalty: Evidence from FMCGs in Pakistan. Sukkur IBA Journal of Management and Business, [S.l.], v. 4, n. 2, p. 54-76, dec. 2017. ISSN 2410-1885. Available at: <http://journal.iba-suk.edu.pk:8089/SIBAJournals/index.php/sijmb/article/view/111>. Date accessed: 25 may 2018. doi: https://doi.org/10.30537/sijmb.v4i2.111.