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THE STRENGTH OF AFFECTIVE
COMMITMENT IN SECURING LOYALTY IN
SERVICE RELATIONSHIPS
Heiner Evanschitzky, Gopalkrishnan R. Iyer, Hilke
Plassmann, Joerg Niessing, Heribert Meffert

Gonzalez, Kara, Macazaga, Rellama, Velickaite, Wcislo
Services Marketing – IESEG School of Management
Background of the Study

   Customer Loyalty
   • Attitudinal
   • Behavioral
   Commitment
   • Affective
   • Continuance
Objective of the Study

     To determine the
  importance of each of
    the dimensions of
      commitment in
   achieving customer
          loyalty.
H1: Affective
commitment has a             AC involves the self-evaluation of the
 positive impact on          consumption context and the active
  attitudinal loyalty.       decision to engage in a long-term
Reflective measurement       relationship.
                models

Affective commitment
  Capture the extent to      AC → AL: Attitude strength and the
      which customers:
                 •  Trust
                             extent to which the customer is willing to
              •   Identify   lock into a specific relationship.
            •   Emotional

    Attitudinal loyalty      AL is when the relative strength of the
  Was measured using:
                             attitude towards the brand is stonger.
        •     Satisfaction
             •  Affective
             commitment                             SUPPORTED
H2: Continuance
commitment has
a positive impact
    on attitudinal
           loyalty.
        Continuance
       Commitment:

   •  Definition: The
                      • Costumers may remain in a relationship
  consumer’s desire      for mainly 2 reasons:
     to remain in the
   relationship when 1. They have no reason to evaluate the
       the switching    relationship or to take active measures   to
   costs are high or    seek out alternative relationships.
  when the costumer
       perceives that 2. High perceived costs.
         other viable
    alternatives are
              scarce.
H2: Continuance          Continuance commitment has a weak,
 commitment has a          yet significant, impact on attitudinal
 positive impact on        loyalty, and a relatively strong impact
  attitudinal loyalty      on behavioral loyalty.
Continuance
commitment - a
formative construct.
Formative indicators:
the major factors that
costumers identified as
being important in their
use of a particular
service provider, and
include:
•    measures for
    scarcity of
    alternatives
•    availability of
    options involuntary
    choiseloyalty
    program
                                                SUPPORTED
    membership.
H3: Affective commitment has a positive
impact on behavioral loyalty.
• Continuance commitment is based on consumers
 consumptions.
• In some cases…
 • Consumers are not able to manipulate direct on his/her
   continuance commitment level
   • Example: Continuance commitment = lack of alternatives
 • Some customers can be low-satisfaction consumers
   • Examples of low-satisfaction industries:
     • airlines, local phones
                                            SUPPORTED
H4: Continuous commitment has a
positive impact on behavioral loyalty.
• Model: Formative measurement model with 4 indicators
  • Scarcity of alternatives
  • Availability of options
  • Involuntary choice
  • Loyalty program membership
• These indicators explain 60% of the variation (acceptable
  validity).
• Results: Continuance commitment has a relatively strong
  impact on behavioral loyalty.


                                         SUPPORTED
H5: The impacts of affective commitment
on both attitudinal and behavioral loyalty
are greater than the impacts of
continuance commitment on attitudinal
and behavioral loyalty.
• Method used: Multi-group causal analysis
• End result: The critical value was high and
 significant, thus supporting the claims of H5.



                                          SUPPORTED
Summary of Results
Hypothesis                                                    Result
Affective commitment has a positive impact on attitudinal       Supported
loyalty.
Continuance commitment has a positive impact on                 Supported
attitudinal loyalty.
Affective commitment has a positive impact on behavioral        Supported
loyalty.
Continuous commitment has a positive impact on behavioral       Supported
loyalty.
The impacts of affective commitment on both attitudinal and     Supported
behavioral loyalty are greater than the impacts of
continuance commitment on attitudinal and behavioral
loyalty.
Managerial Implications
• Loyalty has a multi-dimensional construct.
• Affective commitment drives behavioral loyalty.

• Loyalty cards, discount cards may not be doing enough to
  secure loyalty.
• Deep discounts may not even be that necessary at all.
• Service-providers must slowly switch to enhancing
  customer attachment through non-economic means.
  • One possible solution: loyalty clubs where customers can share
   their own experiences
Limitations and Recommendations
• Limited to the Mass Transit industry
• The study used cross-sectional survey data, rejecting
 possible time-lag effects.
THANK YOU!

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The Strength of Affective Commitment in Securing Loyalty in Service Relationships

  • 1. THE STRENGTH OF AFFECTIVE COMMITMENT IN SECURING LOYALTY IN SERVICE RELATIONSHIPS Heiner Evanschitzky, Gopalkrishnan R. Iyer, Hilke Plassmann, Joerg Niessing, Heribert Meffert Gonzalez, Kara, Macazaga, Rellama, Velickaite, Wcislo Services Marketing – IESEG School of Management
  • 2. Background of the Study Customer Loyalty • Attitudinal • Behavioral Commitment • Affective • Continuance
  • 3. Objective of the Study To determine the importance of each of the dimensions of commitment in achieving customer loyalty.
  • 4. H1: Affective commitment has a AC involves the self-evaluation of the positive impact on consumption context and the active attitudinal loyalty. decision to engage in a long-term Reflective measurement relationship. models Affective commitment Capture the extent to AC → AL: Attitude strength and the which customers: • Trust extent to which the customer is willing to • Identify lock into a specific relationship. • Emotional Attitudinal loyalty AL is when the relative strength of the Was measured using: attitude towards the brand is stonger. • Satisfaction • Affective commitment SUPPORTED
  • 5. H2: Continuance commitment has a positive impact on attitudinal loyalty. Continuance Commitment: • Definition: The • Costumers may remain in a relationship consumer’s desire for mainly 2 reasons: to remain in the relationship when 1. They have no reason to evaluate the the switching relationship or to take active measures to costs are high or seek out alternative relationships. when the costumer perceives that 2. High perceived costs. other viable alternatives are scarce.
  • 6. H2: Continuance Continuance commitment has a weak, commitment has a yet significant, impact on attitudinal positive impact on loyalty, and a relatively strong impact attitudinal loyalty on behavioral loyalty. Continuance commitment - a formative construct. Formative indicators: the major factors that costumers identified as being important in their use of a particular service provider, and include: • measures for scarcity of alternatives • availability of options involuntary choiseloyalty program SUPPORTED membership.
  • 7. H3: Affective commitment has a positive impact on behavioral loyalty. • Continuance commitment is based on consumers consumptions. • In some cases… • Consumers are not able to manipulate direct on his/her continuance commitment level • Example: Continuance commitment = lack of alternatives • Some customers can be low-satisfaction consumers • Examples of low-satisfaction industries: • airlines, local phones SUPPORTED
  • 8. H4: Continuous commitment has a positive impact on behavioral loyalty. • Model: Formative measurement model with 4 indicators • Scarcity of alternatives • Availability of options • Involuntary choice • Loyalty program membership • These indicators explain 60% of the variation (acceptable validity). • Results: Continuance commitment has a relatively strong impact on behavioral loyalty. SUPPORTED
  • 9. H5: The impacts of affective commitment on both attitudinal and behavioral loyalty are greater than the impacts of continuance commitment on attitudinal and behavioral loyalty. • Method used: Multi-group causal analysis • End result: The critical value was high and significant, thus supporting the claims of H5. SUPPORTED
  • 10. Summary of Results Hypothesis Result Affective commitment has a positive impact on attitudinal Supported loyalty. Continuance commitment has a positive impact on Supported attitudinal loyalty. Affective commitment has a positive impact on behavioral Supported loyalty. Continuous commitment has a positive impact on behavioral Supported loyalty. The impacts of affective commitment on both attitudinal and Supported behavioral loyalty are greater than the impacts of continuance commitment on attitudinal and behavioral loyalty.
  • 11. Managerial Implications • Loyalty has a multi-dimensional construct. • Affective commitment drives behavioral loyalty. • Loyalty cards, discount cards may not be doing enough to secure loyalty. • Deep discounts may not even be that necessary at all. • Service-providers must slowly switch to enhancing customer attachment through non-economic means. • One possible solution: loyalty clubs where customers can share their own experiences
  • 12. Limitations and Recommendations • Limited to the Mass Transit industry • The study used cross-sectional survey data, rejecting possible time-lag effects.

Notas del editor

  1. Continuous commitment is based on the consumer’s consumption context.It may result from scarcity of alternatives.Behavioral loyalty is customers’ actions and measurement of the purchases of the same brands and services.Consumers can be highly loyal, although, there are low customer satisfaction levels because of the non-existence of other alternatives.