Electronic Customer Relationship Management and Electronic Service Quality as Antecedents of Customer Retention
Corresponding Author(s) : Fauziyah Fauziyah
Prosiding International Conference on Sustainable Innovation (ICoSI),
Vol. 2 No. 1 (2022): Optimizing Global Benefit for Future Wellbeing
Abstract
The number of internet users in Indonesia is increasing every year. One of the activities that most users do on the internet is e-commerce. There are many e-commerce service providers in Indonesia. A survey conducted by the Indonesian Internet Service Providers Association (APJII) proves that Tokopedia has the highest number of visitors, up to 157.1 million. It can be a market opportunity for the company. The emergence of many competitors in the marketplace requires research on electronic CRM, electronic service quality, and customer retention. This study aims to analyze the effect of Electronic Customer Relationship Management and Electronic Service Quality on Customer Retention. Research on E-CRM and E-SERVQUAL obtained varied results, especially those conducted in the marketplace in Indonesia. The subjects were customers who had made online transactions at Tokopedia with purchase intensity at least twice in the last six months. The sample of 200 respondents was analyzed using Structural Equation Model (SEM) through the AMOS program. The result shows that electronic customer relationship management and electronic service quality positively and significantly affect customer retention.
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- Harrigan, P., Soutar, G., Choudhury, MM, & Lowe, M. (2015). Modeling CRM in a social media age. Australasian Marketing Journal, 23(1), 27–37. DOI: https://doi.org/10.1016/j.ausmj.2014.11.001
- Haming, M., Murdifin, I., Syaiful, A.Z., & Putra, A.H.P.K. (2019), The Application of SERVQUAL Distribution in Measuring Customer Satisfaction of Retails Company, Journal of Distribution Science, 17-1 (2019), 25-31. DOI: http://dx.doi.org/10.15722/jds.17.02.201902.25
- Hassan, A., MIA, &. NK (2013). ATM Service Quality and its Effect on Customer Retention: A Case from Pakistani Banks. Information Management and Business Review, 5(6), 300–305. DOI: https://doi.org/10.22610/imbr.v5i6.1055
- Khalifa, M., & Shen, N. (2005). Effects of electronic customer relationship management on customer satisfaction: A temporal model. Proceedings of the Annual Hawaii International Conference on System Sciences, 00(C), 171. https://ro.uow.edu.au/dubaipapers/202
- Das, S., Mishra, M., & Mohanty, PK (2018). The Impact of Customer Relationship Management (CRM) Practices on Customer Retention and the Mediating Effect of Customer Satisfaction. International Journal of Management Studies, 5(1(4)), 95. DOI: http://dx.doi.org/10.18843/ijms/v5i1(4)/15
- Al-Tit, AA (2015). The effect of service and food quality on customer satisfaction and hence customer retention. Asian Social Science, 11(23), 129–139. DOI: http://dx.doi.org/10.5539/ass.v11n23p129
- Simanjuntak, M., Putri, NE, Yuliati, LN, & Sabri, MF (2020). Enhancing customer retention using customer relationship management approach in car loan business. Cogent Business and Management, 7(1). DOI: https://doi.org/10.1080/23311975.2020.1738200
- Drucker, P. (1963). The Practice of Management Heinemann.
- Ranaweera, C., & Prabhu, J. (2003). The influence of satisfaction, trust and switching barriers on customer retention in a continuous purchasing setting. International journal of service industry management. DOI: https://doi.org/10.1108/09564230310489231
- Edward, M., & Sahadev, S. (2011). Role of switching costs in the service quality, perceived value, customer satisfaction, and customer retention linkage. Asia Pacific Journal of Marketing and Logistics, 23(3), 327–345. DOI: https://doi.org/10.1108/13555851111143240
- Danesh, S. N., Nasab, S.A., & Ling, C. K. (2012). The Study of Customer Satisfaction, Customer Trust and Switching Barriers on Customer Retention in Malaysia Hypermarkets. International Journal of Business and Management, 7(7), 141–150. DOI: http://dx.doi.org/10.5539/ijbm.v7n7p141
- Purba, S. (Ed.). (2001). Architectures For E-Business Systems: Building The Foundation For Tomorrow's Success. CRC Press
- Kotorov, R. P. (2002). Ubiquitous organization: Organizational design for e-CRM. In Business Process Management Journal (Vol. 8, Issue 3, pp. 218–232). DOI: https://doi.org/10.1108/14637150210428934
- Azila, N. (2011). Electronic Customer Relationship Management Performance: Its Impact on Loyalty from Customers' Perspectives. International Journal of E-Education, e-Business, e-Management, and e-Learning. DOI: http://www.ijeeee.org/show-7-416-1.html#
- Parasuraman, A., Zeithaml, VA, & Malhotra, A. (2005). ES-QUAL a multiple-item scale for assessing electronic service quality. Journal of Service Research, 7(3), 213–233. DOI: http://dx.doi.org/10.1177/1094670504271156
- Cho, Y. C., Sagynov, E., (2015), Exploring Factors That Affect Usefulness, Ease Of Use, Trust, And Purchase Intention In The Online Environment, International Journal of Management & Information Systems, First Quarter 2015 Volume 19, Number 1. DOI: https://doi.org/10.19030/ijmis.v19i1.9086
- Scullin, S., Allora, J., Lloyd, GO, & Fjermestad, J. (2002, April). Electronic Customer Relationship Management: Benefits, Considerations, Pitfalls And Trends. In Proceedings Of The IS One World Conference, Las Vegas, Nevada, April (Pp. 3-5).
- Saragih, MG (2019). The Effect of E-Service Quality on E-Loyalty Through E-Satisfaction (Study on Shopee Online Store Customers in Medan City). Mantik Journal, 3(1), 190-195.
- Haryono, S., & Wardoyo, P. (2015). Structural Equation. In Dictionary of Statistics & Methodology.
- Hair, J., (2015), Multivariate Data Analysis, Pearson Education.
- Sekaran, U., & Bougie, R. (2016). Research Methods For Business: A Skill Building Approach. John Wiley & Sons.
- Ghozali, Imam. (2014), Structural Equation Model Concepts and Applications with the AMOS 22 Program, Semarang: Publishing Agency-Undip.
- Joachim, A. A. (2008). Customer service in the retention of mobile phone users in Nigeria. African Journal of Business Management, 2(2), 026–031. DOI: https://doi.org/10.5897/AJBM.9000176
References
Harrigan, P., Soutar, G., Choudhury, MM, & Lowe, M. (2015). Modeling CRM in a social media age. Australasian Marketing Journal, 23(1), 27–37. DOI: https://doi.org/10.1016/j.ausmj.2014.11.001
Haming, M., Murdifin, I., Syaiful, A.Z., & Putra, A.H.P.K. (2019), The Application of SERVQUAL Distribution in Measuring Customer Satisfaction of Retails Company, Journal of Distribution Science, 17-1 (2019), 25-31. DOI: http://dx.doi.org/10.15722/jds.17.02.201902.25
Hassan, A., MIA, &. NK (2013). ATM Service Quality and its Effect on Customer Retention: A Case from Pakistani Banks. Information Management and Business Review, 5(6), 300–305. DOI: https://doi.org/10.22610/imbr.v5i6.1055
Khalifa, M., & Shen, N. (2005). Effects of electronic customer relationship management on customer satisfaction: A temporal model. Proceedings of the Annual Hawaii International Conference on System Sciences, 00(C), 171. https://ro.uow.edu.au/dubaipapers/202
Das, S., Mishra, M., & Mohanty, PK (2018). The Impact of Customer Relationship Management (CRM) Practices on Customer Retention and the Mediating Effect of Customer Satisfaction. International Journal of Management Studies, 5(1(4)), 95. DOI: http://dx.doi.org/10.18843/ijms/v5i1(4)/15
Al-Tit, AA (2015). The effect of service and food quality on customer satisfaction and hence customer retention. Asian Social Science, 11(23), 129–139. DOI: http://dx.doi.org/10.5539/ass.v11n23p129
Simanjuntak, M., Putri, NE, Yuliati, LN, & Sabri, MF (2020). Enhancing customer retention using customer relationship management approach in car loan business. Cogent Business and Management, 7(1). DOI: https://doi.org/10.1080/23311975.2020.1738200
Drucker, P. (1963). The Practice of Management Heinemann.
Ranaweera, C., & Prabhu, J. (2003). The influence of satisfaction, trust and switching barriers on customer retention in a continuous purchasing setting. International journal of service industry management. DOI: https://doi.org/10.1108/09564230310489231
Edward, M., & Sahadev, S. (2011). Role of switching costs in the service quality, perceived value, customer satisfaction, and customer retention linkage. Asia Pacific Journal of Marketing and Logistics, 23(3), 327–345. DOI: https://doi.org/10.1108/13555851111143240
Danesh, S. N., Nasab, S.A., & Ling, C. K. (2012). The Study of Customer Satisfaction, Customer Trust and Switching Barriers on Customer Retention in Malaysia Hypermarkets. International Journal of Business and Management, 7(7), 141–150. DOI: http://dx.doi.org/10.5539/ijbm.v7n7p141
Purba, S. (Ed.). (2001). Architectures For E-Business Systems: Building The Foundation For Tomorrow's Success. CRC Press
Kotorov, R. P. (2002). Ubiquitous organization: Organizational design for e-CRM. In Business Process Management Journal (Vol. 8, Issue 3, pp. 218–232). DOI: https://doi.org/10.1108/14637150210428934
Azila, N. (2011). Electronic Customer Relationship Management Performance: Its Impact on Loyalty from Customers' Perspectives. International Journal of E-Education, e-Business, e-Management, and e-Learning. DOI: http://www.ijeeee.org/show-7-416-1.html#
Parasuraman, A., Zeithaml, VA, & Malhotra, A. (2005). ES-QUAL a multiple-item scale for assessing electronic service quality. Journal of Service Research, 7(3), 213–233. DOI: http://dx.doi.org/10.1177/1094670504271156
Cho, Y. C., Sagynov, E., (2015), Exploring Factors That Affect Usefulness, Ease Of Use, Trust, And Purchase Intention In The Online Environment, International Journal of Management & Information Systems, First Quarter 2015 Volume 19, Number 1. DOI: https://doi.org/10.19030/ijmis.v19i1.9086
Scullin, S., Allora, J., Lloyd, GO, & Fjermestad, J. (2002, April). Electronic Customer Relationship Management: Benefits, Considerations, Pitfalls And Trends. In Proceedings Of The IS One World Conference, Las Vegas, Nevada, April (Pp. 3-5).
Saragih, MG (2019). The Effect of E-Service Quality on E-Loyalty Through E-Satisfaction (Study on Shopee Online Store Customers in Medan City). Mantik Journal, 3(1), 190-195.
Haryono, S., & Wardoyo, P. (2015). Structural Equation. In Dictionary of Statistics & Methodology.
Hair, J., (2015), Multivariate Data Analysis, Pearson Education.
Sekaran, U., & Bougie, R. (2016). Research Methods For Business: A Skill Building Approach. John Wiley & Sons.
Ghozali, Imam. (2014), Structural Equation Model Concepts and Applications with the AMOS 22 Program, Semarang: Publishing Agency-Undip.
Joachim, A. A. (2008). Customer service in the retention of mobile phone users in Nigeria. African Journal of Business Management, 2(2), 026–031. DOI: https://doi.org/10.5897/AJBM.9000176