Research

Nonlinear Effects in Relationships between Satisfaction, Attidudinal Loyalty, Purchase Loyalty and Behavioral Intentions

Authors

Published

Journal of Services Marketing, April (2nd Quarter/Spring) 2011

Abstract

This paper examines the mediating role of attitudinal loyalty in the relationship between satisfaction and customer behavioral intentions such as willingness to pay more and internal and external complaining responses. It also examines the nonlinear effects in the relationship between satisfaction, attitudinal loyalty and behavioral intentions. We adopted the structural equation modeling approach to test the hypotheses (sample size 202). We used Marsh et al. (2004) unconstrained method to test latent quadratic effects in the conceptualized relationships. Our results support the fully mediating role of attitudinal loyalty in the relationship between satisfaction and behavioral intentions. We also find partial support for nonlinear effects in the relationship. Results support nonlinearity, and in particular diminishing sensitivity, in the link from attitudinal loyalty to willingness to pay more. We add to existing literature by detangling the complex relationships between satisfaction, attitudinal loyalty and behavioral intentions such as willingness to pay more and external and internal complaining responses. In particular, ours is the first study to simultaneously examine the nonlinear effects of attitudinal loyalty on multiple behavioral intentions constructs. Our study also establishes the superiority of fully mediated model, in which satisfaction affects behavioral intentions through attitudinal loyalty, over a partially mediated model.

Rakesh Niraj