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Strengthening the satisfaction loyalty link: the role of relational switching costs

Author

Listed:
  • Heiner Evanschitzky

    (Alliance Manchester Business School)

  • Valentina Stan

    (ESSCA School of Management)

  • Liane Nagengast

    (University of St)

Abstract

The extant retail research has placed much emphasis on understanding customer switching and the concept of switching costs (SCs). However, the empirical evidence is inconclusive with respect to the moderating role of SCs in general and relational switching costs (RSCs) in particular. Therefore, this research focuses on the moderating role played by SCs on the satisfaction-loyalty link. Specifically, our study attempts to clarify the nonlinear moderating effect of RSCs. Furthermore, we investigate RSCs in greater depth, considering their two dimensions, brand relationship loss costs (BRLCs), and personal relationship loss costs (PRLCs). We find that there is an optimal level of BRLC whereas increasing PRLCs decreases the impact of satisfaction on loyalty in a linear manner, calling for a more nuanced assessment of this type of SC in future studies. Our findings contribute to a deeper understanding of the effectiveness of SCs as a retention strategy.

Suggested Citation

  • Heiner Evanschitzky & Valentina Stan & Liane Nagengast, 2022. "Strengthening the satisfaction loyalty link: the role of relational switching costs," Marketing Letters, Springer, vol. 33(2), pages 293-310, June.
    • Handle: RePEc:kap:mktlet:v:33:y:2022:i:2:d:10.1007_s11002-021-09590-8
    DOI: 10.1007/s11002-021-09590-8
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    References listed on IDEAS

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    7. Blut, Markus & Beatty, Sharon E. & Evanschitzky, Heiner & Brock, Christian, 2014. "The Impact of Service Characteristics on the Switching Costs–Customer Loyalty Link," Journal of Retailing, Elsevier, vol. 90(2), pages 275-290.
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