The Impact of Railway Transport Service Quality On Passengers' Satisfaction A Study Based On Kandy Railway Station

See discussions, stats, and author profiles for this publication at: https://www.researchgate.
net/publication/334596352
THE IMPACT OF RAILWAY TRANSPORT SERVICE QUALITY ON

PASSENGERS' SATISFACTION; A STUDY BASED ON KANDY RAILWAY
STATION
Conference Paper · July 2016
CITATIONS READS
4 4,149
1 author:
R. A. S. A. Perera
National Institute of Business Management (NIBM)
15 PUBLICATIONS 7 CITATIONS
SEE PROFILE
Some of the authors of this publication are also working on these related projects:
THE IMPACT OF RAILWAY TRANSPORT SERVICE QUALITY ON PASSENGERS' SATISFACTION; A STUDY BASED ON KANDY RAILWAY STATION View project
All content following this page was uploaded by R. A. S. A. Perera on 21 July 2019.
The user has requested enhancement of the downloaded file.

Proceeding of International Conference on Contemporary Management - 2016 (ICCM-2016), pp 678-692
THE IMPACT OF RAILWAY TRANSPORT SERVICE

QUALITY ON PASSENGERS' SATISFACTION; A STUDY
BASED ON KANDY RAILWAY STATION
Perera.R.A.S.A1 & Bandara.A.B.D.M2
ABSTRACT
Quality of the service and effectiveness of service operations system are considered
as important aspects of achieving the customers' satisfaction of any service organization.
Since it is considered as the low cost, safe and enjoyable travelling method by the passengers,
It is need of the hour to identify the customer satisfaction towards the development of
transport service methods in the Sri Lanka especially in Railway service. The major objective
of this study is to identify the impact of railway transport service quality on passengers'
satisfaction of both locals and foreign travellers. Sub objectives of the study are (1) To
determine the most effective service quality dimension among local railway travellers and
foreign travellers. (2) To identify whether there is a significant differences in customer
satisfaction on Sri Lankan railway transport service between local and foreign railway
passengers. SERVQUAL model is used to identify the service quality dimensions towards
customer's satisfaction. Primary data is used from 150 sample units, including 50 foreign
travellers and 100 local travellers. Sample is drawn using the Convenience sampling
method. Multiple Regression Analysis, Karl Pearson's correlation and Correlation
coefficients comparisonare used to analyses the data. Findings revealed that the SQ
dimensions in ERVQUAL model have positively effect on the customer satisfaction within
foreigners. Empathy is the highest SQ dimension and the Tangible is the lowest SQ
dimensions which effect to the customer satisfaction among the foreign travellers. The
entire dimensions considered in SERVQUAL model, positively effect to customers
satisfaction among local travellers. Assurance is the highest SQ dimension and the
Responsiveness is the lowest SQ dimensions which effect to the customer satisfaction among
the Local travellers. Further the findings reveals that there is a significant difference in
customer satisfaction on Sri Lanka railway Service between local and foreign railway
travellers except Assurance and Empathy.
Keywords: Customer satisfaction, Service quality, SERVQUAL model
1
Department of Operations Management, University of Peradeniya.
2
Department of Economics and Statistics, University of Peradeniya. [email protected]
678
1. INTRODUCTION past few years, various service organizations
Sri Lanka is experiencing steady economic were bloomed and expanded their
growth in the modern highly competitive operations within the island with the various
g l o b a l e c o n o m y. T h i s f a v o r a b l e objectives and goals in order to increase and
environment in Sri Lanka, made an maintain their market share in the economy
increasement in upgrading people's living by fulfilling customers' wants and needs.
standard and they make more demand with Therefore it is a need of the hour to get an
high competition in goods and services when idea about the development of the service
compared to the previous decade. sector, which generates considerable
Continuous incensement in Gross Domestic contribution to the present Sri Lankan
Product (GDP) and Per Capital income of Economy. To get the development in service
the Sri Lanka in last few consecutive years, sector, each and every organization should
persuade that Sri Lanka's economy is draw their attention towards the proper
marching towards the competitive market business strategies that can be applied in to
structure. Agriculture centered economy the service sector organizations which run in
structure of Sri Lanka transferred in to the competitive market economy.
service centered economy structure within
few decades after the independence in 1948. When we look at the Marketing literature,
Manufacturing as well as Service many researchers have given an idea to
organizations are rapidly activate in Sri achieve the success in the businesses in the
Lanka economy with the changes of Sri view point of fulfilling customer satisfaction
Lanka Economy structure. As a result of it, Parker and Mathews (2001). Kotter and
service sector become cardinal as well as Keller (2014) highlighted that retaining
dominant sector in last few years in Sri customers and attract new customers can be
L a n k a n E c o n o m y. S e r v i c e s e c t o r considered as one of the key elements of
contributed considerable amount around achieving pre-determined goals and
57.6% to the GDP in 2014 while Agricultural objectives of an organizations. (Robeire,
sector and Industry sector contribute 10.1% 1993) stated that customers' expectations
and 32.3% to the GDP in Sri Lanka should be satisfied in order to retain
respectively. (Central Bank Annual Report, customers by providing them maximum
2014). value from the product. Therefore address
the customers expected performance of the
When look at the service sector category in product with the actual performance of the
GDP calculations over a past few years in Sri product makes path to fulfill the customers'
Lanka, it can be noticed that service sector expectations. Ultimately it persuades that
has extended in to new diversification satisfying customers is a prudent strategy to
service spheres and also the incensement in retain customers in an organization.
quantity of the services provided. Over a
679
Customers' satisfaction is defined as Department, Sri Lanka Transport Board
persons' feelings of pleasure or have recorded continuous losses during last
disappointment resulting from comparing few years Central Bank Annual Report
product's perceived performance in relation (2014).Especially railway department
to his or her expectations Kotler (2003). continuously recorded the losses during last
Many Researchers Choocharukul and few years due to the lack of commercial or
Sriroongvikarai (2013), Gupta et al (2005) passenger interest which occurred due to the
identified that there is a relationship between common issues such as insufficient railway
service quality and the customer satisfaction networks which cover suburban areas, late
and when service quality is high , it will lead arrival to the destination, rolling stock made,
to increase the customer satisfaction. disruptive trade union actions, etc Kumarage
(2004). though they find difficulties in
Quality is considered as a primary indicator finance and other common issues, Sri Lanka
of organizational performance and key Railway Department showed some progress
parameter in order to measure the in operations in passengers kilometers and
performance of product and services. Freights due to the improvements in railway
Organizations had started putting their infrastructures such as extending railway
maximum effort towards customer-focused line up to Jaffna, implementing double
products and services by considering the tracking in south , upgrading Kalani Valley
quality of them .Many researches had railway line etc in aim of providing good
emphasized that quality initiatives in the services to the local transport system as well
service sector had resulted in gaining as to the tourism industry in Sri Lanka
sustainable competitive advantages Central Bank Annual Report (2014) .
Gronroos (1988).
Thus railway transport method in Sri Lanka
When we look at the service sector in generates considerable amount of income by
government owned in Sri Lanka, they were attracting foreigners, and provide them an
failed to obtain the competitive advantage by experiences on local transport system.
providing quality service to the customers. Therefore Sri Lanka Railway Department
Many government owned service introduce foreign railway transport package
organizations are suffering from lack of to provide them a good service in aim of get
capital due to the lack of profitability Central generated the foreign receipt.
Bank Annual Report (2014).It can be noticed
especially in transport sector such as air It is significant to draw the attention towards
transportation, Land transport sector such as the present situation of the transport system
railway, bus transportation sectors of Sri Lanka especially in railway sector
Kumarage (2004). Sri Lankan Airlines, which is considered as low cost, enjoyable
Mihin Lanka, Sri Lanka Railway travel method in Sri Lanka by both local and
680
foreign passengers. Therefore this paper about the service they provide to the local
made an attempt to identify whether and foreign passengers. Performance Report
customers (including local and foreign) are SL Railway (2014) But World Bank reports
satisfied with the service, provided by the Sri provides a negative image about the railway
Lanka Railway Department to make service provided by Sri Lankan
passengers perception of safety, low cost and Government. Further it catered that the
enjoyable travel destination causes such as poor condition of railways
and deteriorated services, lack of
1.1 Research Problem maintenance funds has led to the poor
The concept quality, also positively effect to condition of tracks, bridges and railway
induce the customer satisfaction in many stations, outdated signaling and
service organizations such as banks, hotels, communication systems, delays in train
libraries, transports services etc., le schedules etc, which make dissatisfaction
Na(2009, Wang and shieh (2013). Many about the railway service in Sri Lanka. In
researchers suggested that a high level of that conflicting environment of railway
service quality should be delivered in order service in Sri Lanka, it is timely important to
to obtain the high level of customer study whether quality of the service
satisfaction and also it will increase the provided by Sri Lanka Railway Department
favorable behavioral intentions as well as make impact on Customer Satisfaction.
decrease the unfavorable intentions Based on these facts this study make an
simultaneously. Pratminingsih Rudatin and attempt to address the research problem as
Suhardi (2013) .Many researchers identified What type of impact is existing among
that there is a relationship between service passengers(both locals and foreigners)
quality and the customer satisfaction in between Service Quality and the Customer
public transport methods and identified the Satisfaction on Railway service in Sri
customer satisfaction level on service Lanka.
quality in many countries Rajeshwari and
Santa Kumari (2014), Irfan et al. (2012). Based on above mentioned research
problems, the study objectives are derived as
In Sri Lanka, the Railway Department follow; The major objective of this study is
indicates that the they are providing a to identify the impact of railway transport
standard quality service as well as they make service quality on passengers' satisfaction of
an attempt to uplift them by many ways such both locals and foreign travellers. Sub
as extending service to sub rural areas, objectives of the study are (1) To determine
providing more infrastructure, etc. From the the most effective service quality dimension
point of view of Railway department in Sri among local railway travellers and foreign
Lanka satisfied up to a certain boundary travellers. (2) To identify whether there is a
681
significant differences in customer quality namely Reliability, Responsiveness,
satisfaction on Sri Lankan railway transport C o m p e t e n c e , A c c e s s , C o u r t e s y,
service between local and foreign railway Communication, Creditability, Security,
passengers. Competence, Understanding the customer
and Tangibility. In 1989 Parasuraman and
2. LITERATURE REVIEW his team distilled these ten dimensions into
Earlier marketing literature has drawn their five such as Reliability (ability to perform
significant attention towards the concept of the promised service dependably and
service quality as the intangible nature of it. accuracy), Tangibility (physical facilities,
During the past few decades this concept of equipment), Responsiveness (willing to help
service quality became an interest area of the customers and provide prompt service),
researchers in many service spheres such as Assurance (Knowledge and courtesy of
Medical, Hotels, and Transport etc. This employees and their ability to inspire trust
important term Service quality is derived and confident) and Empathy (caring
from the word SERVICE which highlights a individualized attention the firm provides its
separate meaning for each letter in the word. customers). By using these five dimensions
“S” is for Satisfaction, “E” is for they introduced the model to measure the
Expectation, “R” is for Readiness, “v” is for service quality and it is well known as
Value, “I ” is for Interest “C” is for Courtesy SERVQUAL Model. Yang Peterson and
and “E” is for Efficiency Proomprow Huang (2001) identify the six dimensions
(2003). Asubanteng, Mccleary and Swan that can be used to measure the customer
(1996) defined service quality as the perception of service quality. They are ease
difference between customers' expectations of use means user friendliness, Accuracy of
for service performance prior to the service contents, Timeless of response, Aesthetics,
counter and their perceptions of service Privacy and availability of details.
received. Parasuraman, Zeithaml and Berry Loociacono , Watson and Goodhue (2000)
(1985) defined service quality as the made a scale named WEBQUAL with
comparison between customer expectations twelve dimensions such as informal fit to
and perceptions of service. To get an idea task, interaction, trust , response time, design
about the service quality it should need to get intuitiveness , visual appeal, innovativeness,
idea about the service quality dimensions. flow, integrated communication , business
Many researches made an attempt to build process and substitutability. In order to
the service quality dimension models for measure the service quality SERVQUAL
benefits for the future studies. Parasuraman Model is used as a valid and reliable and
et al (1985) developed the service quality commonly used model by many service
model with five gap levels in service quality organizations. Maruvada and Bellamkonda
and ten detailed dimensions of service (2010).
682
Customers want a meeting between their important factors determining satisfaction of
values ( needs and wants) and the object of South Indian railway passengers comes as
their evaluation Parker and Mathews (2001) the basic facilities, hygiene, safety &
.Therefore we can find the satisfaction security, catering, health care service,
which associated with the performance that punctuality, behavior towards passengers.
fulfills expectations Swan and Combs Irfanet al (2012) also used a modified
(1976). Many researchers pratminingsih SERVQUAL model to identify the Pakistani
Rudatin and Suhardi (2013) found that railway passengers' satisfaction towards the
customer satisfaction is based upon the level service quality that they received.
of service quality provided by the service Researchers found that Pakistani railway
provider. It highlights that the quality of the passengers also not satisfied with the service
service impact on the customer satisfaction quality in railway transport. Rahaman et al
in many service spheres. Marković(2013) (2009) identified that Bangladesh railway
identified that there is a close relationship travellers also not satisfied with the service
between service quality dimensions and quality of the railway service in their
customer satisfaction in hotel industry. country. The researcher has drawn eight
service quality dimensions in the view point
Rahim et al. (2010) identified that service of overall service quality. Chandrakumara
quality plays a role of a mediator in customer (2015) used SERVQUAL model to identify
satisfaction in Iran bank in Teheran. Wang the Sri Lankan railway Passengers
and Shieh ( 2013 ) identified that service satisfaction in a limited service points, not in
quality is positively impact on user overall service. She has taken in to the
satisfaction in ChangJung Chritian account of Ticketing counters, platforms and
University (CJCU ) Library. Train compartments. Analysis results
reviled that the service quality dimensions in
Therefore through this study researchers SERVQUAL model such as Tangibility,
tried to reveled how the service quality Responsiveness and Empathy showed less
impact on passengers' satisfaction in railway significant to their satisfaction in selected
transport method. Kumari and Rajeshwari service points.
(2014) used modified SERVQUAL model to
measure the Indian railways passengers' Thus literature shows that the Railway
satisfaction towards the service quality in services in some South Asian countries are
eight quality dimensions. The results not address the customers' perspective
revealed that the Indian passengers efficiency. Therefore it's a need of the hour to
perceived that quality of the service identify the overall customers' satisfaction
delivered them is not satisfactory. According towards the service quality of the public
to Sheeba (2013), highlights that most transport especially in railway transport.
683
3. METHODOLOGY identified from SERVQUAL model are
This is a descriptive cross sectional, study in considered as independent variables and
nature. 150 sample units are taken in to customer satisfaction is considered as
account including 100 locals and 50 dependable variable of this study.
foreigners from Kandy railway station. The
City Kandy is considered as Tourism Descriptive statistics and multiple regressions
Destination as well as the secret city of analysis and Correlation coefficients
Buddhists people because of the Temple of comparison are used to analyze the data.
tooth Relic, therefore railway service Following hypothesis were developed in
provide tremendous service to the order to reach the objectives of the study.
passengers who travel to Kandy city. And
also Kandy Railway Station performs as a H1 There is a significant positive
hub of conducting the Operational activities correlation prevails between
to Kandy Colombo, Kandy Mathele, Kandy tangibility and customer satisfaction in
Badullatrain routes. Therefore considerable local passengers.
amount of local passengers from various H2 There is a significant positive
districts and Tourists from various countries correlation prevails between
are catered facilities by this Kandy Railway tangibility and customer satisfaction in
Station. Inclusion criteria for sample were, foreign passengers.
literacy level, (ability to read and write in H3 There is a significant positive
either Sinhala or English), above 18 years correlation prevails between
old passengers whose travel origin were Reliability and customer satisfaction in
f r o m d i ff e r e n t R a i l w a y S t a t i o n s . local passengers.
Convenience sample method under non H4 There is a significant positive
statistical sampling was used to select the correlation prevails between
sample units. Reliability and customer satisfaction in
foreign passengers.
Primary data were collected by field survey H5 There is a significant positive
using a questionnaire. Five likert scale correlation prevails between
questions are included in the questionnaire. Responsiveness and customer
Questionnaire was designed with six parts satisfaction in local passengers.
including Socio Demography questions, as H6 There is a significant positive
well as questions related to five independent correlation prevails between
variables and a dependent variable. Five Responsiveness and customer
Service Quality dimensions, namely satisfaction in foreign passengers.
Tangibles, Reliability, Responsiveness, H7 There is a significant positive
Assurance, and Empathy which are correlation prevails between
684
Assurance and customer satisfactions Table 1: Socio demographic characters of
in local passengers. local passengers
H8 There is a significant positive
correlation prevails between
Assurance and customer satisfaction in
foreign passengers.
correlation prevails between Empathy
and customer satisfaction in local
passengers.
and customer satisfaction in foreign
passengers.
Source Survey data 2015

3.1 Conceptual Framework
Majority (around 55%) of the local

respondents are female in the sample and
Majority of the sample respondents are

Figure 1: Conceptual framework
between the age limit of 31-40 years old.
Ages between 21 to 30 respondents are
4. RESULTS AND DISCUSSION
followed to it. The highest 82% of local
4.1 Sample Profile
respondents were in secondary level
Sample is considered with 150 respondents
category in education background followed
including 100 local railway passengers and
by 7% of diploma level Socio demographic
50 foreign passengers. Socio demographic
characters related to foreign passengers are
characters related to local passengers are
tabulated at Table 02.
tabulated at Table 01.
685
Table 2: Socio demographic characters of Table 4: Descriptive statistics for the
foreign passengers. foreign passengers
4.2 Multiple Regression Analysis.

Multiple Regression model for the
The sample for the study consists with 41% relationship between railway service quality
male respondents and 59% female dimensions and the local passenger
respondents. The highest 36%of the satisfaction is highlighted in equation 01.
respondents were between the age limit of.
Equation 01.
41- 50 followed by respondents between the
age limit 31-40 years. Table 03 is included
with the descriptive statistics of local
passengers and Table 04 is included with the
descriptive statistics of foreign passengers. Where x1= Tangibles
X2= Reliability
Table 3: Descriptive statistics for the local X3= Responsiveness
passengers X4= Assurance
X5= Empathy
Table 5: Model summery
686
Analyzed data revealed that there is a passengers in Sri Lanka. This model is
positive relationship between the railway suitable for the data as the multiple R square
service quality dimensions and the customer is generated as 0.8427.
satisfaction among the local railway
passengers in Sri Lanka. This model is 4.3 Testing Hypotheses
suitable for the data as the multiple R square Pearson Correlation analysis has carried out
is generated as 0.79325 to find the correlation between the
independence and the dependent variables.
Multiple Regression model for the
relationship between railway service quality Table 7 included correlation coefficients
dimensions and the foreign passenger between the considered variables related to
satisfaction is highlighted in equation 02. foreign passengers
Equation 02.
Table 8 included the correlation coefficients

between the considered variables related to
foreign passengers.
Where x1= Tangibles
X2= Reliability
X3= Responsiveness H1 Pearsons' Correlation coefficient
X4= Assurance between tangibility and customer
X5= Empathy satisfaction in local passengers is 0.6063
H2 Pearson Correlation coefficient
Table 6: Model summery between tangibility and customer
satisfaction in foreign passengers is
0.2850.
H3 Pearsons' Correlation coefficient
between Reliability and customer
satisfaction in local passengers is
0.6835.
between Reliability and customer
satisfaction in foreign passengers is
0.5588.
Analyzed data reviled that there is a positive between Responsiveness and customer
relationship between the railway service satisfaction in local passengers is
quality dimensions and the customer 0.5964.
satisfaction among the Foreign railway
687
H6 Pearsons' Correlation coefficient Assurance and customer satisfaction in
between Responsiveness and customer foreign passengers is 0.762.
satisfaction in foreign passengers is H9Pearsons' Correlation coefficient between
0.768. Empathy and customer satisfaction in
H7Pearsons' Correlation coefficient between local passengers is 0.7060.
Assurance and customer satisfaction in H 1 0 Pearsons' Correlation coefficient
local passengers is 0.7068. between Empathy and customer
H8Pearsons' Correlation coefficient between satisfaction in foreign passengers is
0.782 .
Table 7: Correlation coefficients between the considered variables related to

local passengers
Table 8: Correlation coefficients between the considered variables related to

foreign passengers
688
Analyzed data revealed that there are Analyzed data reveals that there is a
positive impact between the railway service significant difference among local and
quality and the customer satisfaction of both foreign railway travellers about the service
local and foreign passengers about the Sri quality dimensions such as Tangibility,
Lankan railway service. The service quality Reliability and Responsiveness.
dimension, Assurance about the railway
service prevails along the local customers 5. CONCLUSION AND
are highly impact on their satisfaction about RECOMMENDATIONS
railway service and followed by service
According to the results of the analysis, the
dimension Empathy. The service quality
most effective service quality dimension
dimension, Responsiveness is the lowest
towards the local passengers' satisfaction is
quality dimension which impact on local
Assurance. And less effective service quality
customers s' satisfaction on Railway service
dimension towards the local passengers'
quality. The service quality dimension,
satisfaction is Responsiveness. Empathy is
Empathy made high impact on foreign
the most effective service quality dimension,
passengers' satisfaction about railway
which impact towards foreign passengers'
service and followed by service dimension
service satisfaction. And Tangibility is the
Responsiveness. The service quality
less effective service quality dimension
dimension, Tangibility is the lowest quality
which impact towards the foreign
dimension which impact on foreign
passengers' satisfaction. When we look at
customers' satisfaction on Railway service
the second sub objective of the study,
quality. Table 09 highlights the summarized
analyzed data reviled that there is no
Correlation coefficient of local and foreign
significant different in Empathy and
passengers.
Table 9: Summarized correlation coefficient
689
assurance service quality dimensions impact maintain an accurate train schedule
on their satisfaction of between the local daily in every Railway station rather
passengers and foreign passengers. But than displaying a traditional train
Tangibility, Reliability and Responsiveness schedule.
service quality dimensions have significant  Direction boards, notice boards should
difference between local and foreign be display in proper way to reduce the
passengers towards the service quality of unnecessary questions and problems of
railway service in Sri Lanka. Through these the customers.
sub objectives the study reaches to the main  Active foreign information centers
objective of the study that service quality should be established in main railway
dimensions in SERVQUAL model station.
positively impact to the both local and  The available foreign information
foreign customer satisfaction about the centers should be activated to provide
railway service in Sri Lanka. It highlights better information flow to foreigners.
that locals as well as foreign passengers also
 Use modern technology which matches
have positive satisfactory level towards the
with the employees and the Sri Lankan
Sri Lankan Railway services.
environment for services points such as
ticket counters, check points to avoid
5.1 Recommendations
the unnecessary rush at the gates.
It is essential and the responsibility of all  Make a project to get customers views
levels of employees and employers to draw and suggestions at least twice a year
their attention towards the improvement of
the service quality dimensions in order to REFERENCES
retain customers to gain benefits for Railway
Central Bank Sri Lanka Annual Report
Departments as well as to themselves.
(2014) Annual Report .Colombo.
Following recommendations are suggested
Central Bank Sri Lanka..
to increase the customer satisfaction based
Chandrakumara, G.S.A. (2015). Service
on service quality dimension.
Quality and its impact on passenger
 Authority should make attempt to
satisfaction in Sri Lanka Railway
make a tidy premises proper
Transport Service. Special reference to
maintenance of station properties,
Anuradhapura Railway Station.
disposal items etc.
International Research Symposium
 Advice boards are displayed in order to
Rajarata University of Sri Lanka.
educate passengers to value of
Choocharukul, K., &Sriroongvikarai, K.
protecting public properties for future
(2013). Multivariate Analysis of
generation.
customer Satisfaction: A case study of
 Management should upload and
690
Bangkok's Mass Rapid Transit (MRT) Vol. 19, No. 2, pp. 149-164, 2013 S.
Passengers. Eastern Asia Society for Marković,s.andJankovi ć, S.R (2013).
Transportation Studies, Vol. 9, 1. Exploring the relationship between
Gronroos, C., (1988). Service quality: service quality and customer
the six criteria of good perceived satisfaction in croatian hotel industry .
service, Review of Business, 9(3): 10- Tourism and Hospitality Management,
13. Vol. 19, No. 2, pp. 149-164, 2013 S.
Gupta,A.,Mc Daniel, J.C. and Herath,S. Maruvada, D.P., &Bellamkonda, R.S.
(2005). Quality management in service (2010). Analyzing the passenger
firms;sustaining structures of total Service Quality of the Indian
quality service. An International Railways using Railqual: Examining
Journal, pp . 389-395 the Applicability of Fuzzy Logic.
Irfan,S.M ., Hung Kee,D.M and Shahbaz, International Journal of Innovation,
S.(2012). Service Quality and Rail Management and Technology, Vol. 1,
Transport in Pakistan: A Passenger No. 5,479.
Perspective. World Applied Sciences Mosahab,R. and Mahamad,O.M and T.
Journal 18 (3): 361-369., Pakistan. Ramayah,T. (2010). Service Quality,
TH
Kotler , Pand Keller , K.L. (14 EDITION) Customer Satisfaction and Loyalty: A
Marketing Management . Prince Hall Test of Mediation www.ccsenet.org/ibr
New Jersey ; International Business Research Vol.
Kumarage A.S.(2004).Regulatory 3, No. 4;
Impediments in the land transport Parasuraman, A., Zeithaml, V.A. and Berry,
sector of Sri Lanka.Institute of policy L.L. (1985) A conceptual model of
studies of Sri Lanka. service quality and its implications for
Le Na, Brun,A. (2009) service quality and future research. Journal of Marketing,
customer satisfaction in the hotel Vol. 49,
industry. Polo Regionale Di Como. Parasuraman, A., Zeithaml, V.A. and Berry,
Lociacono, Eleanor, Richard T. Watson, and L.L. (1988). SERVQUAL: a multi item
Dale Goodhue. 2000.WebQual™: A scale for measuring consumer
Web Site Quality Instrument.” perceptions of the service quality.
Working Paper. Worcester Polytechnic Journal of Retailing, Vol. 64 No. 1.
Institute. Parker, C. and Mathews, B.P. (2001).
Marković,s.andJankovi ć, S.R (2013). Customer satisfaction: contrasting
Exploring the relationship between academic and consumers
service quality and customer interpretations, Marketing Intelligence
satisfaction in croatian hotel industry . & Planning, volume 19, number 1
Tourism and Hospitality Management, Performance Report ( 2013) Department of
Sri Lanka Railway
691
Pratminingsih, S.,Rudatin, C.L., and Sheeba. A. A.,Kumuthadevi K(2013).
Suhardi, A.R. (2013). Retaining Service Quality of South Indian
passengers loyalty in Indonesia Railway- Determinants of Passenger
railway service. International Satisfaction in Trains. International
conference on business and economics Journal of Business and Management
Research Invention.
Proomprow, A. (2003). Customer Swan, J.E. and Combs, L.J. (1976). Product
satisfaction with the internet banking performance and consumer
of Siam commercial Bank. satisfaction: a new concept. Journal of
Srinakharinwirot University, Bangkok. Marketing, Vol. 40,
Rahaman R. K. and Rahaman Md. A. Transport In South Asia. Wold bank Report
(2009). Service quality attributes http://web.worldbank.org/wbsite/exter
affecting the satisfaction of railway nal/countries/southasiaext/extsarregto
passengers of selective route in ptransport/0,contentmdk:20699037~
southwestern part of Bangladesh. menupk:869140~pagepk:34004173~p
T h e o re t i c a l a n d E m p i r i c a l ipk:34003707~thesitepk:579598,00.ht
Researches in Urban Management ml
Number 3(12) Wang ,I.M&Shieh,C. (2006 ) The
Rajeswari,V., Santa kumara,K. (2014). relationship between service quality
Satisfaction and Service Quality in and customer satisfaction: the example
Indian Railways - A Study on of CJCU library. http://dx.doi.org
Passenger Perspective. IOSR Journal /10.1080/ 02522667.2006.10699686
of Economics and Finance (IOSR- Wilton, P. and F.M. Nicosia (1986).
JEF) Emerging Paradigms for the Study of
Rao, P.S. and Sahu, P.C. (2013).Impact of Consumer Satisfaction. European
Service Quality on Customer Research, 14 (January), 4-11.
Satisfaction in Hotel Industry. Yang, Z., Peterson, R.T., Huang, L.,
Bangalore Integrated Development, (2001).Taking the pulse of Internet
AMC - CITY Institutions, Bangalore pharmacies. Marketing Health
Ribeiro, J.M (1993). The components of Services 21(2)
Service Quality An Application to the
transportation industry in Portugal.
ISEE Instituteo Superior de Estudos
Empresariais.
692
PRICE FORECASTING OF JACK FRUIT USING SARIMA

MODEL
Aphinaya.M1, Rathnayake.RMCWM2, Sivakumar.S3 & Amarakoon.AMC4
ABSTRACT
The farmers in some jackfruit growing countries are getting a good return from jackfruit than
other major fruits. By means of bargaining, the price is fixed depending upon the supply,
demand, quality of jackfruit, etc. (APAARI, 2012). In most cases farmers are uncertain about
their future income due to fluctuations in price and / or government policies. Predicting the
price of jack fruit and identification of seasonal month/s supports farmers to earn income and
it is a key element in their decision makings. Therefore, this study focused to fix an
appropriate model on price forecasting of Jack fruit in future. The study area was Jaffna
district where Jack fruit is highly obtained from the home gardens. Wholesale prices of Jack
fruit were accumulated from year 2008-2014 from Department of Agriculture, Jaffna. Time
series plot of prices was observed initially and ensured that data are not stationary.
Therefore, Seasonal Auto-Regressive Integrated Moving Average (SARIMA) model was
applied. The P-value of both of estimated 'parameters and Box-Pierce chi-squared statistics
were hypothesized. Appropriate price forecasting model was fixed after comparisons of error
measurements among various SARIMA models. The model which had the lowest value of
error terms was selected as the best model for forecasting of prices. Finally, time series plot
was observed between actual value and forecasted value after model fitting. Also,
multiplicative decomposition analysis was performed to observe seasonal month/s. Major
findings revealed that price of jack fruit had been increasing from year 2008-2014 with
seasonal fluctuations. SARIMA (1, 1, 1) (1, 0, 0)12 is the best model for forecasting of prices of
jack fruit. Jack fruit is vastly obtainable during the period of April-July. The price forecasting
of jack fruit helps to farmers to achieve high sales of return while evading uncertainty of
income.
Keywords: Jack fruit, Multiplicative decomposition analysis, Price forecasting, SARIMA

model,
1, 3 & 4
Export Agriculture, Faculty of Animal Science and Export Agriculture, UvaWellassa University, Sri Lanka
2
Department of Agriculture, Jaffna, Sri Lanka Email: [email protected]
693
1. INTRODUCTION (p), the degree of differencing (d), and the
Jack tree is a multi-purpose species which number of moving average parameters
provides fruit as a major economic product. (q).Any such model can be written using the
Jaffna district plays a major role in uniform notation ARIMA (p, d, q).If the
producing and marketing of jack fruit in Auto Correlation Function (ACF) trails off
wholesale market of Sri Lanka. Availability and the Partial Auto Correlation Function
of jack fruit varies according to seasons, thus (PACF) shows spikes, then an Auto-
price fluctuation occurs while marketing of Regressive (AR) model with order q equal to
jack fruit throughout the year. Hence, the number of significant PACF spikes is
farmers face to uncertainty of their income considered the “best” model. If the
thereby who could not earn high sales of PACFtrails off and the ACF shows spikes,
return. Forecasting of prices of jack fruit the Moving Average (MA) model with order
helps to farmers to plan their marketing with q equal to the number of significant ACF
an appropriate supply and price. For that, spikes is the best model. If both the ACF and
there should be a model which has to be the PACF trail off then an Auto-Regressive
fixed for price forecasting of jack fruit. Moving Average (ARMA) model is used
with p and q equal to one. If the data had to be
Several attempts have been made in the past differenced for it to become stationary, then
to develop price forecasting models for the Auto-Regressive Integrated Moving
various commodities (Ghosh & Prajneshu, Average ARIMA model is used (Farnum and
2003, Pavlista & Feuz, 2005). The Stanton, 1989).Also, ARIMA models can
objectives of the study were to suggest a only be applied to stationary series, which is
suitable model for price forecasting and to a time series whose mean and variance are
identify the price trend of jack fruit over the essentially constant throughout time, or a
years. At the same time, available months of series which has been made stationary by
jack fruit were recognized which supports to differencing.
farmers in decision making of supply in fruit
marketing. Bogahawatta (1987) has made an attempt to
construct an ARIMA model for studying the
Ahmad and Mustafa (2006) mentioned that a dynamic behavior of rice prices and in
number of methods are used in forecasting of forecasting futures, but the seasonal
price trend such as econometric models, behavior has not been considered.
judgmental approach, univariate time series Changshou Luo et al. (2013) has performed a
models, structure economic models and research using SARIMA model for
multivariate time series models. The forecasting of prices of cucumber.
different Box-Jenkins models are identified
by the number of auto regressive parameters The empirical studies of Chandran and
Pandey (2007) used SARIMA model to
694
forecast the prices of potato in Delhi market. any real trend which might have been
The seasonal univariate Box-Jenkins model, masked by the seasonality pattern.
often referred to as SARIMA is one of the
important and useful tools for time series Identification of relevant models and
modelling (Box et al., 1994). The fruit price inclusion of suitable seasonal variables are
is influenced by the season vastly. So, necessary for seasonal. The seasonal
revealing the rule of price fluctuation need ARIMA which means ARIMA (p, d, q) (P,
the seasonal autoregressive integrated D, Q)s model is defined by:
moving average model (SARIMA). This
paper proposes a quantitative prediction
method of jack fruit price with SARIMA
model in order to provide reference for the
decision of the agricultural production and
marketing. It requires differencing non-
stationary series one or more times to
achieve stationarity. The model includes
different operators, auto regressive terms,
moving average terms, seasonal difference
operators, seasonal auto regressive terms,
and seasonal moving average terms. The
first step in developing this model is to
determine if the series is stationary and if
there is any significant seasonality that needs
to be modeled.
Decomposition procedures are used in time

series to describe the trend and seasonal
factors in a time series. One of the main
objectives for a decomposition is to estimate
seasonal effects that can be used to create
and present seasonally adjusted values. A
seasonally adjusted value removes the
seasonal effect from a value so that trends
can be seen more clearly. Availability of the
2. METHODOLOGY
seasonal index makes seasonal adjustment Monthly wholesale prices of jack fruit were
in forecasting, and it enables us to de- assessed as secondary data from year 2008-
seasonalize time series to reveal if there is 2014 which were available in Department of
695
Agriculture, Jaffna. Time series plot was value of error terms was selected as the best
employed initially to observe whether price model for forecasting of prices. Finally, time
data are stationary or not. Also, auto series plot was observed between actual
correlation function and partial auto value and forecasted value after model
correlation function were used to check fitting.
stationarity of price data. Non-stationary
data were transformed into stationary data Also, multiplicative decomposition analysis
by differencing. Seasonal Auto-Regressive was performed to observe seasonal month/s.
Integrated Moving Average (SARIMA)
model was applied by using thirty different 3. RESULTS AND DISCUSSIONS
models. After that, P-value of both of 3.1 Time Series Plot
estimated parameters and Box-Pierce chi-
Figure 3.1 displays the time series plot of
squared statistics were hypothesized as
price for Jack fruit. Horizontal axis denotes
following:
months which includes the price data from
year 2008 to 2014. Price of Jack fruit has
Hypotheses for estimated parameters can be
been increasing with seasonal fluctuations.
written as:
Price of Jack fruit has increased
Null hypothesis (H 0 ): There is no
approximately Rs.1000 for October in year
significance of parameters (Data is not
2011 which is maximum price in the data
stationary)
obtained, but after that it has not reached the
Alternative hypothesis (H1): There is
maximum price. Also, plot shows clearly
significance of parameters (Data is
that the data is not stationary, thereby
stationary)
differencing should be performed to find a
Decision rule: If P-value is more than 0.05,
suitable model for forecasting.
H0 can be rejected.
Hypothesis for Box-Pierce chi-squared Time Series Plot of Prices for Jack fruit
statistics can be written as: 1000
Price of Jack fruit per one
Null hypothesis (H 0 ): There is no 800

significance of parameters
600
Alternative hypothesis (H1): There is
significance of parameters 400
Decision rule: If P-value is less than 0.05, H0

200
can be rejected. After selection of various
SARIMA models, best model was fixed by 0
Month Jan Jan Jan Jan Jan Jan Jan
comparing error measurements such as Year 2008 2009 2010 2011 2012 2013 2014
Mean Absolute Percentage Error, Mean Figure 3.1: Time series plot of price for jack
Absolute Deviation and Mean Squared fruit
Deviation. The model which has the lowest
696
3.2 Goodness of Fit 3.4 Forecasting of Price for Jack fruit
There are three models which were detected as Figure 3.3 shows that price of Jack fruit
suitable models for forecasting by using Box- decreased from January to April in year
Pierce statistic and estimated parameters as 2015. After that, it follows a seasonal pattern
shown in Table 3.1. SARIMA (1, 1, 1) (1, 0, 0)12 is horizontally. When comparing with the
the best model which hasleast amount of prices of jack fruit in past years, forecasting
residuals among other models. Further, model trend does not indicate any considerable
indicates that data is not stationary, thereby increment of price in future.
model is differentiated by one to convert data as Time Series Plot for Price of Jack fruit
stationary. (with forecasts and their 95% confidence limits)
1200
Seasonal Analysis forPrice of Jackfruit

Multiplicative Model 1000
Seas onal Indices Detrended Data by Season
2. 0 800
3
1. 5 600
2
1. 0 400
1
0. 5
0 200
1 2 3 4 5 6 7 8 9 10 11 12 1 2 3 4 5 6 7 8 9 10 11 12
Percent Variation by Season Res iduals by Season 0

500
1 12 24 36 48 60 72 84 96
20
Time
10 0
Figure 3.3: Time Series Plot of observed and
0 -500 forecasted prices of Jack fruit
1 2 3 4 5 6 7 8 9 10 11 12
1 2 3 4 5 6 7 8 9 10 11 12
Figure 3.2: Decomposition analysis of price 3.5 Time Series Plot of Observed and
for jack fruit Forecasted Prices of Jack fruit
3.3 Decomposition Analysis Observed and forecasted price values are
Figure 3.2 shows seasonal indices of price almost fitted each other as shown in Figure
for Jack fruit. Jack fruit is available with 3.4. There is a large deviation of price of Jack
lower price in one season only. It is from fruit in year 2009 due to irregular variation
April to July. In other months, fruit which means sudden increment of demand
availability is very low where fruits are sold as previously mentioned. However, this
in high price. model is the best one for forecasting of
Table 3.1: Goodness of fit of the different prices among other models identified by
models for jack fruit using Box-Pierce statistic and estimated
parameters.
697
Time Series Plot for Price of Jack fruit
Box, G.E.P., G.M. Jenkins and G.C. Reinsel.
1000
Variable
1 9 9 4 . Ti m e - s e r i e s a n a l y s i s :
Observed Value Forecasting and control, 3 rd edn.,
800 ForecastedValue
Prentice Hall, U.S.A. pp. 73
600
Chandran, K.P. and N.K. Pandey, 2007,
400 Potato Price Forecasting Using
200 Seasonal ARIMA Approach. Central
Potato Research Institute, Shimla-171
0
Month J an J an Jan Jan Jan Jan J an 001, HP, India
Year 2008 2009 20 10 2011 2012 20 13 2014
Changshou Luo, Liying Zhou, Qingfeng
Figure 3.4: Time series plot of observed and Wei, (2013), Application of SARIMA
forecasted prices of Jack fruit Model in Cucumber Price Forecast.
Institute of Information on Science and
4. CONCLUSIONS Technology of Agriculture, Beijing
SARIMA (1,1,1) (1,0,0)12 is the best model Academy of Agriculture and Forestry
for price forecasting of jack fruit in future. Sciences, Beijing, 100097, PR China
Farnum, N.R. and Stanton, L.W. (1989).
According to price trend analysis, price of Quantitative Forecasting Methods.
jack fruit had been increasing from year Massachusetts: PWS-KENT.
2008 to year 2014. There is similar disparity Ghosh, H. and Prajneshu. 2003. Non-linear
in price of jack fruit where price of fruit time series modelling of volatile onion
suddenly raised in year 2009 due to price data using AR (p)-ARCH (q)-in
increasing demand. Highly available season mean. Calcutta Statistical Association
of jack fruit is from April to July. Bulletin 54: 231-47.
Pavlista, A.D. and D.M. Feuz. 2005. Potato
REFERENCES prices as affected by demand and
Ahmad, B., and K. Mustafa, 2006, yearly production. Amer. J. Potato Res.
Forecasting Kinnow Production in 82: 339-43.
Pakistan: An Econometrics Analysis,
International Journal of Agriculture &
Biology, 455-458.
Bogahawatta, C. (1987). Seasonal retail and
wholesale price analysis of some major
agricultural commodities. Occasional
Publication 37, Marketing and food
policy division, Agrarian Research and
Training Institute, Colombo 07.
698
APPENDICES
699
CUSTOMER PERSPECTIVE TOWARDS SERVICE QUALITY

OF TELECOMMUNICATION SYSTEM; A STUDY BASED ON
SRI LANKA TELECOM HOUSEHOLD CUSTOMERS IN
KANDY DISTRICT
Perera.R.A.S.A1, Piumali.W.M.H2 & Herath.H.M.T.R3
ABSTRACT
Telecommunication system of the country directly affect to the expansion of the
market system in that particular country. Various types of telecommunication methods are
used in this highly modern competitive world, in aim of making link with each other. In order
to make it success, customers always draw their attention towards the quality of the service.
Service Quality is one of the measurements to identify the customers' satisfaction which leads
to retain the customers in an organization. Therefore identifying customer satisfaction based
on service quality will help to get optimal future decisions. This study is carried out to
address the main objective of, determine the relationship between the Service quality
dimensions and the customer Satisfaction in telecommunication system in Sri Lanka. The sub
objectives of this study are (1) to identify the most effective Service quality dimension in
household telecommunication in Sri Lanka. (2)To identify the perceived gaps between
customer expectations and perceptions of the Telecommunication service in Sri Lanka. This
study is a Descriptive and Quantitative study. In order to obtain primary data questionnaire
was used. SERVQUAL model used to identify the customers satisfaction related to its' five
service quality determinants.100 household Sri Lanka Telecom customers in Kandy district
are drawn for the sample, based on convenience sampling Method. Regression Analysis and
Correlation Coefficients are used to analyze the data. Findings of the study highlight that
SERVQUAL model dimensions positively effect to the customer satisfaction. The dimension
Reliability is the mostly affected to the Customers Satisfaction on Telecommunication system
in Sri Lanka. The dimension Empathy is the lowest effectual dimension towards customer
satisfaction.
Keywords: Service quality, SERVQUAL model, Telecommunication
1. INTRODUCTION organizational performance. Customer

Quality is one basic parameter to measure satisfaction is defined as persons' feelings of
performance of product or service and pressure or disappointment resulting from
ultimately it is one primary indicator to comparing products perceived performance
1
2
Department of Operations Management, University of Peradeniya [email protected]
3
Department of Marketing Management, University of Peradeniya [email protected]
Department of Management Studies, University of Peradeniya [email protected]
700
in relation to his or her expectations ( Kotler There is close relationship between service
2003). According to service marketing quality and sustainable competitive
literature, service quality is generally advantages (Gronroos, 1988). Also service
defined as the overall assessment of a service sector has realized that the service quality is
by the customers, (Eshghi et al., 2008) or the the main source of gaining sustainable
extent to which a service meets customer's competitive advantages and it helps to
needs or expectations, (Asubonteng et al., remain successfully in competitive market.
1996). (Parasuraman and his team in 1985) Research studies about service quality says
defined service quality as the discrepancy that concept of service quality has been
between consumers' perceptions of services increasingly important the topic customer
offered by a particular firm and their satisfaction. Nowadays service organizations
expectations about firms offering such had started putting their maximum effort
services. If service quality is perceived towards customer-focused services and thus
below expectation, consumer judges quality continuous performance improvement.
as low and if service quality is perceived
meets or exceeds expectation then consumer Many scholars developed various models to
sees quality to be high. measure service quality based on either
attitude-based measurements or
Organizations' succeed, or fail based on the disconfirmation models. It is very important
quality of their products or service they offer. to measure service quality due to various
Today's organizations have recognized that reasons such as comparisons before and after
to compete in market, they must pay changes, identifies quality related problems,
attention on maintaining quality standards. and helps in developing clear standards for
In past, quality was considered only by service delivery. The SERVQUAL model
manufacturing sector organizations but represents service quality as the discrepancy
during last couple of decades there is between a customer's expectations of service
significant growth in service sector in global offering and the customer's perceptions of
as well as Sri Lanka. Today, service sector the service received (Parasuraman et al.,
has become the fastest growing sector in Sri 1985). This makes it an attitude measure.
Lanka (Central Bank Report, 2014). In Sri The SERVQUAL model strives to measure
Lanka, service sector contribution to the the consumer perception of the service
Gross Domestic Product (GDP) quality which depends on the size of the gap
employment rose considerably from 1970 to between expected service and perceived
2014 (Central Bank of Sri Lanka 2014). At service which in turn, depends on the gaps
the time of independency in Sri Lanka, the under the control of the service provider
service sector amounted to 34% GDP. Its such as delivery of service, marketing,
share in GDP increased marginally over the (Parasuraman et al., 1985). This measurement
years and amounted to 58.1% by 2014. of service quality is based on how consumer
701
evaluates the service delivery process and 1.1 Research Problem Statement
the outcome of the service, (Parasuraman et In present, there are many communication
al., 1985). A good service quality is companies make their operations in Sri
considered as one which meets or exceeds Lankan Economy with a huge competition.
consumer's expectation of the service Fixed telephone line services as well as
(Parasuraman et al., 1985). wireless telecommunication services with
various innovative, customer convenience
Telecommunication sector in Sri Lanka is options are introduced to the customers are
expanding rapidly when compare to the continuously done by these telecommunication
previous decades in Sri Lanka. Through it companies. It may create a rat race between
People connected to the world, and the telecommunication companies service
activities of them are speeded to the many quality is considered as one of the major
aspects. Therefore many telecommunication strategies by these companies. Therefore it is
service providers were blooming to address a need of the hour to get idea about the
the customers demand regarding customers' attitudes towards service quality
telecommunication sector. Wireless services of the telecommunication system. It will
and mobile phones, land phones services are help to develop the telecommunication
offered with diversification products. system and bring the updated technology
Among them Sri Lanka Telecom becomes available in the global market to the Sri
most popular telecommunication provider in Lanka. Therefore this research addresses the
the island who provides various services to major problem of “What type of relationship
the customers. Their market share also prevails between the Service quality
expanding very strongly in a competitive dimensions and the customer Satisfaction in
market. Through the provision of high telecommunication system in Sri Lanka”
speed, affordable broadband connectivity through the sub research problems of (1)
SLT seeks to bring about social and what is the most effective Service quality
economic benefits for the people in Sri dimension in household telecommunication
Lanka in an innovative manner. Therefore in Sri Lanka? (2) What are the perceived
Sri Lanka Telecom is used to this study gaps between customer expectations and
which can get a border idea about the Sri perceptions of the Telecommunication
Lanka Telecommunication Sector. service in Sri Lanka?
This paper makes an attempt to put forth the 1.2 Research Objectives
role of service quality in affecting customer
Through the research problems the
satisfaction in the telecommunication in Sri
researchers derived the research main
Lanka, with special reference to Sri Lanka
objective as To determine the relationship
Telecom.
between the Service quality dimensions and
702
the customer Satisfaction in telecommunication there is no generic definition of customer
system in Sri Lanka. The sub objectives of satisfaction. After conducting a study on
this study are (1) to identify the most various definitions on customer satisfaction,
effective service quality dimension in they came up with the following definition,
household telecommunication in Sri Lanka. “customer satisfaction is identified by a
(2) To identify the perceived gaps between response (cognitive or affective) that
customer expectations and perceptions of pertains to a particular focus (e.g. purchase
the Telecommunication service in Sri Lanka. experience and/or the associated product)
and occurs at a certain time (e.g. post-
2.LITERATURE REVIEW purchase, post consumption)”.
2.1 Service Quality
2.3 Relationship between Service
Service quality has received a great deal of
Quality and Customer Satisfaction
attention from both academicians and
practitioners (Negi, 2009) and services (Parasuraman et al 1985) suggested that
marketing literature service quality is when perceived service quality is high, then
defined as the overall assessment of a service it will lead to increase in customer
by the customer (Eshghi et al., 2008). satisfaction. He supports that fact that
(Ghylin et al., 2006) pointed out that, by service quality leads to customer satisfaction
defining service quality, companies will be and this is in line with (Saravana & Rao,
able to deliver services with higher quality 2007) and (Lee et al 2000) who
level presumably resulting in increased acknowledged that the customer satisfaction
customer satisfaction. is based on the level of service quality
provided, by the service provider.
In this study, service quality can be defined
as the difference between customer's According to (Negi, 2009), the idea of
expectation for service performance prior to linking service quality and customer
the service encounter and their perception of satisfaction has existed for a long time. He
the service received. Customer's expectation conducted a study to investigate the
serves as a foundation for evaluating service relevance of customer-perceived service
quality because, quality is high when quality in determining customer overall
performance exceeds expectation and satisfaction in the context of mobile services
quality is low when performance does not (telecommunication) and he found out that
meet their expectation (Asubonteng et al the reliability and network quality (an
1996). additional factor) are the key factors in
evaluating overall service quality, but also
2.2 Customer Satisfaction highlighted that tangibles, empathy and
assurance should not be neglected when
Giese and Cote (2000) clearly stated that
703
evaluating perceived service quality and expectations were represented as “gap 1”,
customer satisfaction. the difference between the management
perceptions about the customer expectations
2.4 SERVQUAL Model and then translate these perception in to
Service quality has been defined differently service quality specification was
by different people and there is no consensus represented as “gap 2”, difference between
as to what the actual definition is. We have the actual services delivered by the front line
adopted the definition by (Parasuraman et al service employees on daily basis and the
1988), which defined service quality as the management specifications is represented as
discrepancy between a customers' “gap 3”, the difference between the service
expectation of a service and the customers' delivery and what is promised to consumers
perception of the service offering. in external communication is represented as
“gap 4” and finally the difference between
Due to intangible in nature service quality is customer expectations and perceptions were
difficult to measure as compare to products represented as “gap 5”. SERVQUAL
and the characteristics of service appears to instrument was based on “gap 5”. Later on
be difficult and considered as a complicated (Parasuraman et al 1988) came out with the
task. The first comprehensive service quality 10 dimensions of service quality. These ten
model was coined by the (Parasuraman et al dimensions were then reduced to 5
1988). He further stated that service quality dimensions namely; Empathy, Assurance,
is influenced by five gaps and earlier this Tangibles, Reliability and Responsiveness.
model was known as gap model. Difference Today, SERVQUAL is most commonly used
between customer expectations and model in order to measure the service quality
management perceptions about the customer and it had been used in almost all the
704
countries and in all types of industries. penetration should drive reasonably strong
According to, SERVQUAL has been growth in the local market moving into 2016
successful used in healthcare, fast food, and 2017. (Central Bank Report)
banking, telecommunication, retail chains,
information systems, library services and 3. METHODOLOGY
many countries around the globe like; USA, This is a descriptive and cross sectional
China, Australia, Cyprus, Hong Kong, study in nature. 100 sample units are drawn
Korea, South Africa, Netherland and United to reach the objective of the study. Kandy
Kingdom etc. district is the sample study area of the study.
Convenience sample method, under non
2.5 Telecommunication sector in Sri statistical sampling method is used to draw
Lanka the sample. Inclusive and exclusive criteria
Sri Lanka's telecommunication industry are applied when sample is selecting.
being completely state owned first began Inclusive criteria are both male female
moves towards deregulation by the should be included to the sample, Age is not
separation of the Policy and Business arms considered as a limitation to select the
i n 1 9 9 2 . T h e f o r m e r, n o w t h e sample. An exclusive criterion is
Telecommunications Authority of Sri Lanka considering only the telephone service
(TASL), is now a separate entity dealing provided by the SLT as a core service.
with regulatory functions while the latter, (Ignore the other services provided by SLT,
now Sri Lanka Telecom (SLT) is a public such as PEO tv, internet)
profit seeking company with 51% shares
held by the state. In Sri Lanka, the number of Primary data are gathered by using the
private companies to provide various structured questionnaire. This questionnaire
telecommunication service sunder the is consisted with the five likert scale
Telecommunication Act 1991. Sri Lanka questions regarding the service quality
Telecom (SLT) losing its monopoly in a dimensions in SERVQUAL model. The
number of key areas earlier on led the way service quality dimensions are in
and since then the market has progressively S E RV Q U A L m o d e l , Ta n g i b i l i t y,
been opened up to more and more Responsiveness, Reliability Assurance,
competition. While mobile penetration has Empathy are considered as independence
historically been relatively low compared variables of the study. Customer satisfaction
with other more developed Asian markets, it is considered as the dependent variable in the
is now catching up, with penetration study. Customer satisfaction also measured
reaching 115% in 2015. Demand for by using five likert scale questions.
broadband data services driven by 3G and
4G adoption and increased smartphone
705
Tangibles Independent Variable Dependent Variable
Reliability
Service Customer
Responsiveness Quality Satisfaction
Assurance
Empathy
Figure1 -Conceptual framework of the study
Descriptive statistics, Multiple Regression 4. RESULTS AND ANALYSIS

Analysis, Pearsons' correlation are the 4.1 SAMPLE PROFILE.
analyzing tools used to analyze the data. 100 household “Sri Lanka Telecom”
Conceptual frame work of the study is as customers who are in Kandy District are
follows. considered for the study. Their socio and
geography characteristics are tabulated in
Following hypothesis are derived based on Table 1.
the conceptual framework of the study to Table 1: Socio and demography
reach the study objectives. characteristics
correlation prevails between tangibility
and customer satisfaction in SLT users
H2 There is a significant positive correlation
prevails between Responsiveness and
customer satisfaction in SLT users
correlation prevails between Reliability
correlation prevails between Assurance
706
Majority of the sample represent the female 4.3 Regression Analysis
nearly 51% and 49% from the sample
The regression model derived from the
represents the male respondents. Majority of
sample data is as follows.
the sample use SLT (Sri Lanka Telecom)
service between 11-20 years. It is a
considerable time period of having
continuous relationship with the SLT. 18%
of the sample represents the respondents
who are having a relationship with SLT Where x1= Tangibles
between 1- 10 years. New users who are X2= Reliability
having a relationship with SLT less than a X3= Responsiveness
year represent 12% from the sample. There X4= Assurance
are 8% of respondents getting SLT service, X5= Empathy
are more than 20 years. It highlights that the
majority of the sample respondents use SLT Regression Analysis reviled that all the
more than a decade. service quality dimensions in SERVQUAL
model are positively impact on customer
satisfaction on SLT Users. This model is fit
Nearly 84% respondents are paying between
as R square value is recorded in higher
Rs.1000 Rs5000 as a telephone bill
value in both R square as well as Multiple R
monthly. It is a considerable amount from square.the model coefficient values
the per capita income of the Sri Lanka. 6% indicates that less impact on perceived gaps
from the sample spend Rs500- Rs 1000 for between customer expectations and
the monthly expenses for SLT services. perceptions of the Telecommunication
Family members between 2-5 are the service in Sri Lanka.
majority of the sample use SLT; followed by Table 3: Model summery
the category of more than 05 members in a
family.
4.2 Descriptive Statistics

Table 2: Highlights the descriptive of the
service dimension.
Source- Survey data 2016
707
Table 4: ANOVA Table dimension towards customer satisfaction is
Assurance among SLT users.
5. CONCLUSION AND
RECOMMENDATION
Analyzed data (Multiple Regression
Results) revealed that there is a positive
relationship between the service quality
dimension and the customer Satisfaction
among the SLT users. It indicates that people
ANOVA Table revealed that the model is have positive perception about the
significant at the table value at = 5%.
telecommunication system in Sri Lanka.
Further it reveled customers are satisfied
4.3 PEARSONS' CORRELATION
with their service provider.
ANALYSIS
Table 5: highlights the correlation Pearsons' correlation indicates that the
coefficients among the variables. service quality dimension Reliability may
highly impact on SLT service satisfaction
while service quality Assurance will make
less impact on customers' satisfaction on
SLT service. All the service quality
dimensions in SERVQUAL model is not
mush strong relationship towards the
customer satisfaction.
Statistical analysis of this study says that

service quality positively effect to the
customer satisfaction and service quality is a
key element to increase customer
Source- Survey data 2016 satisfaction in telecommunication industry
in Sri Lanka. Providing the highest level of
This revealed that the quality dimension customer service is imperative to compete in
which highly impact on customers' telecommunication industry against
satisfaction is Reliability followed by the companies promoting similar services.
quality dimension Responsiveness. Further Following recommendations are suggested
it revealed that lowest impact quality to Sri Lanka Telecom to improve the
708
customer satisfaction based on statistical Eshghi, A., Roy, S. K., &Ganguli, S. (2008).
analysis. Service quality and customer
 Should show a sincere interest to solve satisfaction: An empirical investigation
customer problems when customers in Indian mobile Telecommunications
encounter a problem. services, Marketing Management
 Draw attention towards deadlines and Journal, Vol 18, Number 2, p. 119-144
keep promises given to customers Ghylin, K.M., Green, B. D., Drury, C. G.,
about deadlines. Chen, J., Schultz ,J.L., Uggirala, A.,
 Give training to employees to perform Abraham, J.K. & Lawson, T.A. (2006).
their responsibilities and duties in right Clarifying the dimensions of four
way from first attempt. concepts of quality, Theoretical Issues
 Draw attention to maintain error free in Ergonomics Science, Vol. 9, Number
records and train employees to 1, p.73-94.
maintain records. Giese, J. L., & Cote, J. A. (2002).Defining
Consumer Satisfaction, Academy of
 Update records up to date and get
Marketing Science, Vol. 2000, Number
support from advance technology to
1, p.1-24.
maintain records.
Kumar, M., Kee, F. T. &Manshor, A. T.
 Increase enthusiasm of employees to
(2009). Determining the relative
solve customers' problems.
importance of critical factors in
 Use modern technology for service
delivering service quality of banks; An
points and give proper training to
application of dominance analysis in
employees to handle them.
SERVQUAL model, Managing
 Arrange a system to get customers'
Service Quality, Vol. 19, Number 2, p.
appropriate suggestions and views
211-228.
Lee, H., Lee, Y. &Yoo, D. (2000). The
REFERENCES
determinants of perceived service
Asubonteng, P., McCleary, K.J. & Swan,
quality and its relationship with
J.E. (1996). SERVQUAL revisited: a
satisfaction, Journal of Service
critical review of service quality, The
Marketing, Vol. 14, Number 3, p.217-
Journal of Services Marketing, Vol.10,
231.
Number 6, p.62-81.
Negi, R. (2009). Determining customer
Central Bank Sri Lanka Annual Report
satisfaction through perceived service
(2014) Annual Report. Colombo.
quality: A study of Ethiopian mobile
Central Bank Sri Lanka
users, International Journal of Mobile
Marketing; Vol.4, Number 1; p.31-38.
709
Parasuraman, A., Zeithaml, V. A., & Berry, ofRetailing, Vol. 64, Number 1, p.12-
L. L. (1985).A conceptual model of 40.
service quality and its implications for Saravanan, R. &Rao, K. S. P. (2007).
future research, Journal of Marketing, Measurement of service quality from
Vol. 49, p.41-50. the customer's perspective An
Parasuraman, A., Zeithaml, V. A., & Berry, empirical study, Total Quality
L. L. (1988). SERVQUAL: A multiple- Management, Vol. 18.No. 4, p.435-
item scale for measuring consumer 449.
perceptions of service quality, Journal
710
STP STRATEGIES AND CUSTOMER DEMAND OF PRIVATE

HOSPITALS:
SPECIAL REFERENCE TO JAFFNA DISTRICT
1 2
Sivanenthira.S & Randeni.RKD
ABSTRACT
The aim of this research is to investigate the impact of Customer services on Customer
Demand This study was designed to use the survey research method and the convenience
sampling technique was used in collecting the sample data. Questionnaires were distributed
to qualified respondents who stayed in the private hospitals. A total of 330 respondents were
participated in this study. The data were analyzed and summarized with SPSS 21 software
and Correlation analysis and Regression analysis were used to find out the impact of
Customer services on Customer Demand. The results of this research indicated that
relationship between Customer services and Customer Demand. Correlation analysis was
carried out to find out the nature of relationship among the variable based on the value of
correlation. Customer services and Customer Demand are significantly correlated at 0.01
level. The correlation value between Customer services and Demand is 0.720 which is
significant at 0.01 levels. Regression analysis was carried out to the test the impact of
Customer services on Customer Demand. Research observed that Customer services are
influenced by customer demand by 51.7% respectively. The facilities to be provided to the
customer in order to enhance their customer Demand. Private Hospitals can build up the
commitment among customers by customer Demand both individual and Organizational
objectives. Furthermore future research direction should be in the factor analysis to find out
the factors affecting on the customer demand of other sectors.
Keywords: Customer Services, Customer Demand and Jaffna district.
1. BACKGROUND OF THE STUDY introducing new attract scheme, providing

Nowadays the services of Private Hospital free services to the poor customers. Due to
are important in the world. There are many rapid changes in today's economic, social,
Private Hospital provide services to the political, legal, demographic, competition,
people. The Private Hospitals are providing technological and limited resources, there
variety of services to the people. The Private has been a great shift in customers' taste,
Hospital use different strategies to attract the demand and expectations. Customers are
customers. Such as advertisement, surrounded by unlimited choices.
providing advices to the customers, Businesses, especially the service providers
1
Faculty of Management Studies and Commerce, University of Jaffna [email protected]
2
Faculty of Management Studies, Rajarata University of Sri Lanka [email protected]
711
are facing uphill battle to meet the need of that benefits Private Hospital in Jaffna, Sri
their ever demanding customers. Customers Lanka. The information could be used to
can readily switch to other brands if they are generate ideas to further improve their
not satisfied with any particular product or management style. Since this study is the key
service. The vision of all such business is to into identifying the factors contributing to
provide quality high class services to demand, it will provide solution to superior
customers in order to successfully thrive and customer service quality. Through this
achieve their mission. In today's world research, service providers will be able to
highly competitive hospitality industry, provide innovative ideas into improving
services providers need to be vigilant and service quality and customer service. The
aware of customers' needs and demands. finding of this study can assist service
There are many numbers of Private Hospital providers to identify the important factor to
in the Jaffna peninsula, and the main demand that may be over looked.
objective of the Private Hospital are help of
customers to get better service. Private 1.2 Statement of Research Problem
Hospitals are introducing different strategies Private Hospital is operating in the
to satisfy their customers and to achieve their competitive environment. This center uses
objectives. This center uses different various competitive strategies to achieve the
strategies to achieve competitive advantage long term objectives. A measurement that
in order to achieve their long term objective. obtains reports or ratings from patients about
demand can be used as a strategy to have services received from an organization,
competitive advantages therefore hospital, physician or healthcare provider.
identifying the underlying factors The relationship between healthcare quality
influencing demand in the Private Hospital and patient satisfaction is a great source of
are important to provide better services in debate. Some early researchers' depicted
the medical service market. The factors, service quality perception is as a satisfaction
influencing demand important part in outcome. It is argued that consumer
winning customers over a service and satisfaction leads to an overall evaluation or
become the major motive in choosing the attitude about service quality over time
problem. (Bitner et al., 1990; Parasuraman et al.,
1988). Later works, however, agree that
1.1 Significance of Study service quality is a simpler, primarily a
In terms of theoretical significance, this cognitive construct while satisfaction is a
study proposes to bring empirical evidence complex cognitive and affective construct.
related to factors influencing on the demand Satisfaction is a central construct that
of Private Hospital in Jaffna district. This mediates the effect of service quality
study will contribute valuable information perception on behavioral intention and other
712
outcomes (Bolton and Drew, 1991; Oliver, 1.3 Research Questions
1993; Shemwell et al., 1998; Brady and 1. What is the relationship between customer
Robertson, 2001; Bigne et al., 2003). The services and customer demand of private
importance of satisfaction is a key predictor hospitals?
of patients' intentional behaviors. In 2. What is the level of impact of customer
different countries and for different types of services on customer demand of private
healthcare services, satisfied patients are hospitals?
more likely to return to the same provider
and to recommend them to their families and 1.4 Research Objectives
friends (Bendall-Lyon and Powers, 2004;
A positive customer experience affects
Otani and Harris, 2004; Zineldine, 2006;
corporate business performance, including
Taylor, 1994; Choi et al., 2005). Because
profitability, productivity, market share, and
satisfaction reflects positive judgments
reduce costs (Zeithaml, 2000). Primary
patients form about their healthcare service
objective of the study is to find out the
experiences, satisfied patients appear to
significant relationship between customer
have more trust in their providers, more
services and customer demand of private
confident about their dealings and more
hospitals and the secondary objective is to
willing to recommend them to others.
identify the significant impact of customer
Patient satisfaction in a hospital is basically a
services on customer demand of private
state of mind of the patient. It is the ability of
hospitals.
the hospital service to meet the expectations
of the patient. Patient delight is all about
1.5 Scope of the Research
exceeding the expectations of the patients to
make them highly satisfied with the hospital. This study has focused primarily on
In hospital perspective, customer is any investigating in which the factors
individual or institution who is an actual, influencing demand in medical center. In
potential or future user of the hospital and its this research discussed three main elements
various services. The customer from the demand such as Segmentation, Targeting
hospital is very different from the regular and Positioning. (STP Strategy).
customer, the difference being that they do
not want to be a customer in the first place. 2. LITERATURE REVIEW
The hospital customer is forced to be a 2.1 Demands for Private Hospital
customer because of their illness and parts Private Hospital demand is crucial in helping
with their money unhappily. This study businesses and organizations to allocate
attempts to solve the following problem that limited resources appropriately and stay
what is the Customer services affecting competitive (Song, Witt & Li, 2008).It is a
Customer demand in Private Hospital? widely researched area in the field of service
713
Sectors (Frechtling, 1996; Frechtling, 2001; customer satisfaction. Weather ford (1992)
Palm & Zellner, 1992; Song, Witt & Li, states that yet much of the consumer market
2008). The idea of demand generation is to today is unpredictable. Merely 20 years ago,
get most possible revenue from customer certain behaviours were often positively
demand. Private Hospital would be able to correlated with certain lifestyles, ages,
decide which demand is high and which income or even geographical location.
demand would be focused on in order to
maximize revenue. Gabor (2010) states that 2.3 Market Targeting
using demand generation strategies, revenue Gabor (2010) states that the objective of
managers can take a proactive rather than market targeting is to focus marketing
reactive approach to maximizing revenue. efforts on a group that has the potential to
The following factors are the major respond to a marketing appeal and that the
determinants of demand for private hospital. private hospital is best able to serve The
Process of evaluating different market
2.2 Market Segmentation segments for targeting should and consider a
Market segmentation is one of the most segment's size and growth potential, as well
crucial points in the demand for private as its structural attractiveness. Structural
hospital. Market segmentation provides attractiveness refers to such issues as age
private hospital to clarify their customers' diversity, income brackets, geographic
group and act in customers' expectations distribution, and whether it is easy to reach
way. Private hospital should define their the segment through advertising channels.
customer segment specifically and price Target market is a business term meaning the
strategies should be developed in order to market segment to which a particular good
meet customer segment's expectations. or service is marketed. It is mainly defined
According to John (2006) notes the firm by age, gender, geography, socio-economic
must be able to segment based on its grouping, or any other combination of
differentiating efforts and target the demographics. The private hospital chains
segments to obtain discriminating prices. can differentiate their market strategies in a
How then does a firm know how to segment way they want. It depends on private
consumers and how is the firm to know hospital's management system. The first
which consumer segments have a preference option in principle is that private hospital can
for what type of attributes. Another point in implement undifferentiated market strategy
customer segmentation is chances of which involves one product for a mass group
consumer behaviour with trends, technology strategy. As private hospital chains have a
and new interests. In this case nowadays variety of products, such as room, restaurant,
private hospital revenue management faces spa etc., this strategy is implemented to sell
to manage these changes in order to get high one particular product and service to mass
714
customer segment. Another possibility for positioning strategy will be based on a set of
private hospital chains is differentiated possible competitive advantages that the
market strategy. This strategy involves private hospital identifies. The chosen
deciding to target several segments and positioning needs to be communicated to
develops distinct products/services with target markets that are defined through
separate marketing mix strategies aimed at segmentation. Re-positioning / rebranding is
the different customer groups. The last one effective way to improve the revenue
strategy possibility for private hospital performance of underperforming private
chains is concentrated market strategy. In hospitals (Gabor Forgacs, 2010, pp.73)
terms of this strategy private hospital chains Changing branding or re-branding is also
can create their niche market and as a result one of the ways to improve revenue
of niche market strategy they decide their performance. According to Gabor (2010)
specific one customer segment. Product this effort frequently includes rebranding the
development and promotion are done property as well. The rebranding may
according to needs and expectations of this include branding a non-branded private
niche group. hospital or switching brands. Some owners
drop their brands and become independent
2.4 Marketing Positioning through the repositioning, but re-positioning
Positioning is a concept in marketing which h e l p s f r e q u e n t l y. P r o d u c t / S e r v i c e
was first popularized by Al Ries and Jack Differentiation is a positioning strategy that
Trout (1981) in their best seller book many firms use to distinguish their products
“Positioning- a battle for your mind”. from those of competitors. (Lamb, Hair &
According to them „Positioning is what you McDaniel, 2004). Product differentiation is
do to mind of the prospect.. They iterate that pervasive in markets. It is at the heart of
any brand is valued by the perception it structural empiricism and it smoothes jagged
carries in the prospect or customer's mind. behavior that cause paradoxical outcomes in
Each brand has thus to be 'Positioned' in a several theoretical models. Firms
particular class or segment. Brenda (2010) differentiate their products to avoid ruinous
states that the key component to demand is p r ice co mp etitio n . R ep r es en tativ e
identifying, understanding and maintaining consumer, discrete choice, and location
the proper market position on a consistent models are not necessarily inconsistent, but
basis. Most managers will agree with that performance depends crucially on the degree
statement, but when business drops, more of location of competition. With
often than not, all bets are off and rates drop (symmetric) global competition, rents are
like a lead balloon. Gabor (2010) adds that typically small and market variety near
once a private hospital differentiates its optimal. With local competition, profits may
value proposition, the next step is choosing a be protected because entrants must find
positioning strategy. A successful profitable niches (Anderson, 1992).
715
2.5 Customer Services leaders, remove de motivating systems and
Offering superior services acts as a staff, gain commitment to the objective and
competitive advantage for some private strategies, make physical changes where
hospitals and by emphasizing customer necessary, experiment with the changes,
service and building strong relationship the measure and manage, ask the customers to
business can widen its market share and evaluate if the service product is satisfactory
profits. A relationship exists between for them by maintaining a regular research
customer's satisfaction levels, loyalty and program, modify where necessary, and
company profits which increase with the measure again.
length a customer remains in a relationship
(Brand, 2006). The failure of most 2.6 Conceptual Model and
businesses is a result of low customer Operationalization Model
satisfaction service levels, Management Customer Customer demand
services
Magazine (May, 2011). Lower relative costs
can also be a source of competitive Source: Huyton (2001)
advantage either by focusing on a particular
group of buyers or geographical market and
the business gains a cost advantage in the
target market, Gurley (2008). According to
Berry (1995) the private hospitals need to
work for the 'service surprise', which little
extra that exceeds expectations and make the
tourists say 'wow'. In developing a service
strategy, certain steps are necessary to
provide a sustainable competitive advantage
over the competition. These steps are the
follows according to Baker and Huyton
(2001): establish customer needs and wants
using market segmentation, ask the
customers for their opinions and advice,
review existing products and procedures by
research and analysis, set objectives for
improvements or changes, identify key
strategies for achieve the objectives and
realize the required outcomes, establish
measurable criteria for the strategy, allocate
tasks and responsibilities looking for team
1.9 Hypotheses
716
H1 There is a significant relationship customers were survey to collect data to
between customer services and identify the factors affecting the demand of
customer demand of private hospitals private hospitals in Jaffna district.
H2: There is a significant impact of
customer services on customer demand 3.3 Data Collection Procedure
of private hospitals Primary data collected using structured
questionnaire. Questionnaires will be
3. METHODOLOGY distributed by the researcher individually.
3.1 Population of the Study Each completed questionnaire was check
immediately, and was entered for data
A population consists of the aggregate of all
analysis.
elements sharing some common set of
characteristics that comprise the universe for
3.4 Data Analysis
the purpose of the marketing research
problems (Malhothra, 2007). The Data analysis strategy in this study consists
population of the present study are the of both descriptive statistical analysis and
people who receiver medical services from inferential statistical analysis in addition to
the Private Hospitals. Convenience test of reliability and validity of the
sampling method has been adopted to select measurement scales. The Statistical
respondents. Packages for Social Science (SPSS) version
21 was used for data analysis.
3.2 Sample Size
3.5 Correlation Analysis
Sample size refers to the number of elements
to be included in the study (Malhothra, The research is undertaken to find out the
2007). Once the target population of the relationship between customer services and
study is defined, it is required to decide the customer demand of private hospitals.
sample size for the study. There are 330 Correlation analysis was carried out to find
Table 1: Correlation analysis
717
out the nature of relationship between the 4. RECOMMENDATIONS
variable based on the value of correlation. Private Hospitals must try to create
supportive, pleasant full delivering
Above Table indicates that customer environment internally, in order to satisfy the
services and customer demand of private customer demand with efficiency. Facilitate
hospitals significantly correlated at 0.01 car parking center near to the Private
significance level. The correlation value Hospitals place. Employees should be
between customer services and customer trained according to the present content of
demand of private hospitals is 0.720 which the environment. The facilities to be
is significant at 0.01 levels. So H1 accepted provided to the customer in order to enhance
their customer Demand. Private Hospitals
3.6 Regression Analysis can build up the commitment among
customers by Demand both individual and
Organizational objectives.
Table 2: Model summary
Table 3: Coefficientsa
Regression analysis was carried out to the The facilities provided to the customers
test the impact of customer services and should be compared with that of other
customer demand of private hospitals. Here district Private Hospitals and facilities
customer services is the independent similar to it or more to be service provided
variable and customer demand is dependent quickly.
variable and above table we can observe that
customer demand is influenced by Customer 5. LIMITATIONS OF THE STUDY
Service by 51.7% remaining 48.3% are The analysis was carried out using a sample
determined by other factors. Hypothesis H2 of 350 respondents in Jaffna District so only
is accepted. 330 were taken to analyze. Rest
questionnaire were rejected as it's not reach
718
the criteria. As this may not represent the Akan, P. (1995). Dimensions of service
whole population of the Jaffna District quality: a study in Istanbul. Managing
during the period, there may be a scope for Service Quality, 5(6): 39 Choi, T. Y., &
future research. In this study only Jaffna Chu, R. (2001). Determinants of hotel
district are considered to develop the guests' satisfaction and repeat
analysis and findings this study analyzed patronage in the Hong Kong hotel
only the customers of Jaffna district. But industry. International Journal of
there are different types of customers in Hospitality Management, 20: 277-297.
Jaffna and other district. There are some Boone, L., & Kurtz, D. (1995)
respondents were hesitate to express their Contemporary Business, (9th ed.)The
view and some has refuse to involve into Dryden Press, Harcourt Brace College
data collection. Even some customers were Publishers.
avoid to express their ideas in their point of Best Western Sterling Inn, 2004. Safety and
view but later they released the importance Security, Retrieved December 28,
and corporate with us. 2008.
Barber N. and J. M. Scarcelli (2009). "Clean
6. SUGGESTIONS FOR FUTURE restrooms: how important are they to
RESEARCH restaurant consumers?" Journal of
Foodservice 20(6): 309-320.
Furthermore future research direction Becker, C. and S. K. Murrmann (1999). The
should be in the factor analysis to find out the effect of cultural orientation on the
factors affecting on the customer demand of service timing preferences of
other sectors like as super markets, hotels customers in casual dining operations:
industry in Jaffna district and also in other An exploratory study. International
district in the national level. Journal of Hospitality Management
18(1): 59-65.
REFERENCES Barsky, J., Labagh, R., 1992. A strategy for
Arthur, T., Strickland, A. & Gamble, J. customer satisfaction. The Cornell
(2008). Cracking and Operating Hoteland Restaurant Administration
Strategy. The quest for competitive Quarterly 35 (5), 3240.
advantage concepts and cases (14 Bearden, O. W., Thomas, N.I and
ed.).New Delhi, McGraw Hill. Raymond.W.L.F (2004).marketing
Armistead, C.G. (1990), “Service operations principles and practice. New York:
strategy: framework for matching the McGraw -Hill, Inc., 1221 avenue 10020.
service operations task and the service Brenda Fields (2010), Management:
delivery system”, International Journal Revenue Management: Things to know
of Service Industry Management, Vol. to really maximize revenues.
1 No. 2, pp. 6-17. Dowling, G.R. & Uncles, M. (1997). Do
719
customer loyalty programs really pp. 529-537.
work? Sloan Management Review Lovelock, C. H. (2000). Service marketing
Summer, 71-82. (4th ed.). NJ: Prentice Hall International.
Duncan, T.R., & Moriarty, S.E. (1999). Malhotra, A., Majchrzak, A., & Rosen, B.
Brand relationships key to agency of (2007). Leading virtual teams. The
the future, Advertising Age, 70 (10):44. Academy of Management
Duncan, T., & Moriarty, S. (1998). A Perspectives, 21(1), 60-70..
Communication-based Marketing Ndubisi (2006)Ndubisi, N.O., & Sinti, Q.
Model for Managing Relationships, (2006). Consumer attitudes, system's
Journal of Marketing, 62(2): 113. characteristics and Internet banking
Fennelly, L.J., 2004. Effective Physical adoption in Malaysia. Management
Security, 3rd ed. Elsevier Butterworth, Research News, 29 (1/2), 16-27.
UK Grönroos, C. (1990), Service Otto, J. E., & Ritchie, J. R. B. (2000). The
Management and Marketing, service experience in tourism. In C.
Lexington Books, Lexington, MA. Ryan, & S. Page (Eds.),Tourism
Gabor Forgacs (2010), Revenue management: Towards the new
Management: Maximizing revenue in millennium. Oxford:Elsevier Science
Hospitality Operations. Ltd.
Gronroos, C. (2000). Creating a relationship Oliver, R. (1980). A cognitive model of the
dialogue: communication, interaction antecedents and consequences of
and value. The marketing review, 1(1), satisfaction decisions. Journal of
5-14. Marketing Research, 17, 460469.
John W. O‟Neill and Qu Xiao (2006), The Oliver, Richard L. (1999), “Whence
role of Brand Affiliation in Hotel Consumer Loyalty?” Journal of
Market Value. Marketing, 63 (Special Issue), 3344.
Klara, R. (2004). Consumer insights. Rust, R. T., & Oliver, R. W. (1994). The
Restaurant Business 103(13): 20-21. death of advertising. Journal of
Kotler, P. & Armstrong, G. (2008).Principles Advertising, 23(4), 71-77.
of marketing, (12th ed.). Pearson Roig, J. C. F., Garcia, J. S., Tena, M. A. M., &
Prentice Hall, Pearson Education Monzonis, J. L. (2006). Customer
International. perceived value in banking services.
Lockyer, T., (2005). The Perceived Importance International Journal of Bank
of Price as One Hotel Selection Marketing, 24(5), 266-283.
Dimension. Journal of Tourism Zeithaml, V. A. (2000). Service quality,
Management, Vol. 26, No. 4, pp. 529-537. profitability, and the economic worth of
Lockyer, T., (2005). The Perceived customers: what we know and what we
Importance of Price as One Hotel need to learn. Journal of the Academy
Selection Dimension. Journal of of Marketing Science, 28(1), 67-85.
Tourism Management, Vol. 26, No. 4,
720
AN EMPIRICAL INVESTIGATION INTO THE WORD OF

MOUTH COMMUNICATION IN BUILDING CONSUMER
BASED BRAND EQUITY OF PERSONAL CARE PRODUCTS
Vasan.M1 & Rangasamy.K.S2
ABSTRACT
WOM communication is one of the most powerful forces in the marketplace and tends to
be highly persuasive and, in turn, extremely effective. It is accepted that this form of
communication has valuable source credibility. It occurs on a regular basis amongst friends
and families and has been recognized as an important promotional tool for organizations.
There is a close and inseparable relationship between WOM communication and brand
equity for a product or service. The reason is that, through WOM communication, customers
can contribute to the image of product or service. This ultimately reflects on building image
or equity for a product or service. Keeping this reality in mind, this study investigates the role
of WOM communication on Consumer Based Brand Equity (CBBE) of personal care
products. This study is conducted through a survey method among 720 users of personal care
products. The study, by using factor analysis, identified seven predominant factors
influencing WOM communication, such as, information sharing desire, reciprocity, self
enhancement, source credibility, brand selection, purchase decision and opinion seeking.
The result of the analysis reveals that there is a high degree of positive correlation between
the WOM communication and brand equity (0.60). It indicates that positive information
through WOM communication effectively influences the Consumer-based Brand Equity of
personal care products. As a result, the sellers understand the effectiveness of WOM
communication and takes utmost care to see that positive WOM is spread and customer base
is increased.
Keywords: Brand equity, Factor analysis, Personal care Products, Structural equation
modeling, Word of mouth
1. INTRODUCTION endeavour, they settle with the fact that
In the era of intense competition and volatile satisfying customer needs is of paramount
market dynamics, producers of goods or importance (Liang & Wang, 2007). So, the
services fight relentlessly to sell their producers take every effort, and leave no
inventories and secure a dominant position chance, to satisfy the consumers by
in the market place. In the pursuit of providing them quality products and serving
achieving this hard and ambitious them, after the products are being sold or
1
Department of Commerce (PG) [email protected]
2
College of Arts & Science (Autonomous) Tiruchengode, India.
721
services are being rendered. Hence, 2014). In other words, it is an accepted
satisfying customer needs and wants alone practice in the market place that WOM
determines the success of any business. This communication has positively contributed to
satisfaction results in establishing the brand build brand equity for products or services,
value for products or services. This in general and personal care products, in
ultimately paves the way for enjoying particular. Moreover, the demand for
substantial market share ahead of the personal care products is growing at a rapid
competitors. This brand value, which is pace, with the annual growth rate of 13
often tagged as brand equity, consists of percent. This segment is witnessing the entry
attributes, such as brand awareness, brand of more players day by day. This segment is
association, perceived quality, brand loyalty likely to grow at an estimated rate of 25
and other attributes such as product percent per annum in the next five years
availability, consumers' preference, product (Report of Gyan Research and Analytics Pvt.
familiarity, image and personality cult of Ltd., 2014). The reason attributed to this
producers and competitive products growing trend is the spurt in the income level
available in the market. These attributes can of people in the country and increase in the
be created through various means and one aspiration and living style of the people. The
among them is the Word of Mouth (WOM) recent statistics shows that this segment is
communication. estimated to be worth Rs.54.6 billion
(www.equity master, 2015) in March 2015.
WOM communication implies oral Recently, these products are viewed as
recommendations shared by a satisfied necessities than these were viewed by the
customer of a product or service to his or her people as luxuries in two decades back.
friends, relatives and other people, known to
him or her to buy a product or to avail a 2. IMPORTANCE OF THE STUDY
service, thereby turning them into WOM communication is considered to be
prospective, potential and real customers the best bet in building brand equity for any
(Xu & Chan, 2010; Vasan, 2014). This form product or service (articlesbplans. com,
of communication is highly prevalent in 2013). The positive effects of this method of
almost all products, especially in the creating advertisement and publicity are felt
personal care segments. These personal care very much by the companies, selling
products occupy a significant space of our personal care products. To sustain this
day-to-day lives. Though the companies momentum, all the companies in this
selling these products invest substantial segment must positively contribute to
currency on advertisement and publicity, the customers' satisfaction through supply of
effects of these spending cannot be matched products with fine quality with an affordable
on par with the effects of the WOM price. All companies must take sustained and
communication yields (www.womma.org,
722
concerted efforts to ensure and see that their day and the companies are finding
consumers are fully satisfied with the themselves in a fix to understand the
products or services. This, in turn, induces psychology of the consumers. To overcome
the satisfied consumers to spread positive these problems, all companies in the
image of the products (Paul Oyer, 2014) and personal care products segment should
recommend their near and dear ones to buy realise that WOM communication is the best
them. Bearing this in mind, this research has way to keep the existing customers and bring
been carried out to identify the factors which in more customers in their sales map. In this
influence the WOM communication and its connection, a study on the effectiveness of
effects on brand equity of personal care WOM communication and its impact on
products. The outcomes of the present brand equity of personal care products have
research will help the business houses to been considered fit and proper. The results of
formulate viable strategies in marketing this study will help the companies in the
their products. personal care segments to understand the
contributions of WOM communication to
3. PROBLEM STATEMENT their product performance. As a result, these
Consumers of the present day are well companies can devise appropriate policies
informed about the products or services they and strategies aimed at building customers'
would like to purchase, particularly personal loyalty, thereby increasing market share and
care products. This happens because of the creating strong brand equity.
technological advancements which are
taking place across the nook and corner of 4. RESEARCH QUESTIONS
the world. Today's consumers have various Based on aforesaid issues, the following
product alternatives to choose from. Despite research questions are probed and answered.
being well informed and having numerous 1 Are there factors contribute to the
product alternatives, most of the consumers WOM communication and if so what
fail to choose and buy the right products, are they?
which would have given them immense 2 Are WOM communication influences
satisfaction. The reasons for this failure may the consumer based brand equity of
be attributed to a variety of factors ranging personal care products and if so to what
from being unable to disseminate the right extent?
information by consumers about products or
services to deceptive advertisement 5. LITERATURE REVIEW
campaign resorted to by some companies, Alex (2002) has analysed WOM
with the sole aim of wooing the consumers. communication patterns of restaurant
Moreover, the tastes, preferences and life customers. The study identified that satisfied
style of the consumers are changing day by customers spread positive information about
723
the restaurants. Unsatisfied guests shared Imran (2011) has studied the impact of
their bitter experience with others which led WOM on the consumers' attitude towards
to negative image among prospective guests. the non-deceptive counterfeits. The result
showed that WOM positively influenced the
Gildin (2003) has stated that spreading consumers' attitude towards the non-
information via WOM communication was deceptive counterfeits and their purchase
believed to be the most successful, efficient intentions especially in mobile phone
and effective intermediate than advertising. category in the Asian countries.
Furthermore, he pointed out that WOM
communication influenced the choice of Wenbo (2011) has analysed the effects of
brands and product selection. It was promotional activities and Consumer Based
operated within a structure of acquired Brand Equity creation in Chinese sportswear
customer values, preferences, habits, beliefs market, wherein, WOM was initiated by
and profitability of an organisation. It may loyal customers who were committed to a
limit or encourage, motivate, recommend, brand or shared information or experiences
guidance and advice among the customers in order to help others to make brand
about their preferred brand. selection. Most of the Chinese people were
relying on shared comments or experiences
Debra and Aron (2005) have examined the as information sources to evaluate a product
effects of three communication avenues, Therefore, it has affected the perceived
namely uncontrolled communication quality and brand loyalty.
(WOM/ publicity), controlled
communication (advertising/ promotions), Mehran et al. (2012) have investigated the
and brand name on consumer service brand impact of WOM on Consumer Based Brand
evaluation. The results of the study showed Equity creation in Iran's cell-phone market.
that WOM communication has significantly WOM characteristics such as, volume,
influenced brand reuse intentions. valence, and source quality were studied to
find out how intensely they influenced brand
Thomas et al. (2006) have analysed the awareness, perceived quality, and brand
effects of WOM communication, customer- association. The results of the study
to-customer know-how exchange, customer suggested that volume and valence, the two
perceptions of product value and customer elements of WOM, affected Consumer
loyalty intentions. The survey results Based Brand Equity and there was no
revealed that WOM communication has significant relationship between source type
significantly influenced the customer and brand equity.
perceptions of product value and repurchase
intentions of the customers. Aypar et al. (2013) have identified that there
was no significant difference between
724
German and Turkish consumers' WOM Jill Sweeney et al. (2015) have found that the
behaviour in the mobile phone purchase. positive WOM messages had a greater effect
However, German consumers had more on people's willingness to use a service than
brand loyalty to their mobile phone negative WOM. Paradoxically, the strength
companies compared to their Turkish of WOM and interpersonal factors had more
counterparts. impact on the influence of negative WOM.
Further, brand equity enhanced positive
Kazemi et al. (2013) have analysed the WOM and acted as a buffer to negative
impact of brand identity on customer loyalty WOM. The study suggested that Managers
and WOM advertising and also the variables should maximise the verbal strength of
of customer satisfaction and brand positive WOM messages and generate
commitment have been studied as an positive brand equity perceptions, as this
intermediate variable. The results showed offers a buffer to negative WOM. The study
that there was a significant relationship recommended that addressing customer
between brand identity, customer loyalty education and socialisation enhanced WOM
and WOM advertising. These variables were message influence.
played as a mediating role in customer
satisfaction and brand commitment. 6. SCOPE OF THE STUDY
WOM communication and brand equity can
Sri Murtiasih et al. (2013) have studied the be studied from several perspectives. Earlier
influence of WOM towards brand equity studies were focused on banking industry,
dimensions such as brand awareness, social media, sports wears, mobile market,
association, loyalty, and perceived quality of apparels and automotive products, etc. But
automotive products in Indonesia. The study there is no comprehensive study in the area
revealed that WOM positively influenced on of personal care products. Hence, the
brand awareness, association, loyalty, and researcher has chosen the segment of
perceived quality. personal care products for the present
research. The products that were chosen for
Muhammed and Zeerat (2014) have the present research are bathing soap, talcum
investigated the relationship between WOM powder, shampoo and tooth paste. The
dimensions volume, valance and source type products have been selected, based on the
with customer based brand equity frequency of daily usage for body, face, hair
dimensions such as brand awareness, brand and oral care. The present study would be of
image, perceived quality and brand loyalty. immense help to the producers of personal
The study revealed that volume and valance care products in understanding the
had significant impact on customer based preferences of consumers and to
brand equity while source type was not comprehend how these consumers can turn
significant.
725
the others, through their WOM in household industries, 557,301 other
communication, into potential and prospective workers, 84,722 marginal workers, 4,794
consumers. So, the researcher has measured marginal cultivators, 38,798 marginal
and analysed the effects of WOM agricultural labourers, 5,362 marginal
communication on consumer based brand workers in household industries and 35,768
equity. The outcome of this research will other marginal workers.
serve as a benchmark for all the stakeholders
of personal care segments. 9. RESEARCH METHODOLOGY
Survey Method has been followed for the
7. RESEARCH OBJECTIVES study. Both primary and secondary data have
The following are the objectives of the study: been used. A well-structured questionnaire
i) To identify the factors influencing WOM was constructed to elicit necessary data from
communication; and the consumers of personal care products.
ii) To analyse the influence of WOM The secondary data have been collected
communication on consumer based from books, journals, magazines and web
brand equity. portals, etc.
8. PROFILE OF STUDY AREA 9.1 Pilot Study

A pilot study was carried out with a
Erode District (previously known as Periyar
questionnaire to analyse the influence of
District) is a district in the western part of the
WOM communication on brand equity. The
state of Tamil Nadu, India. The headquarters
questionnaire was served to 75 consumers of
of the district is Erode. It is divided into two
personal care products. The data collected
revenue divisions namely Erode and
has been tested by using Cronbach's Alpha
Gobichettipalayam and further subdivided
for its reliability. The result revealed that the
into 5 taluks (www.erode. tc.nic.in, 2013). As
questionnaire possessed the reliability with
of 2011, the district had a population of
the value of 0.8802. The questionnaire was
2,251,744 with a sex-ratio of 993 females for
best fitted in a normal distribution. So, it is
every 1,000 males, much above the national
inferred that the questionnaire used for pilot
average of 929. A total of 195,213 were
study is highly suitable in ascertaining the
under the age of six, constituting 99,943
responses from the consumers of personal
males and 95,270 females. The average
care products. Based on the experience
literacy of the district was 66.29 percent,
gained in the pilot study, the questionnaire
compared to the national average of 72.99
was suitably restructured to administer for
percent. The district had a total of 658,071
the study.
households. There were a total of 1,195,773
workers, comprising 173,376 cultivators,
331,414 main agricultural labourers, 48,960
726
9.2 Questionnaire 9.4 Statistical Tools Used
The primary data have been collected The data collected from the respondents are
through a well structured questionnaire, analyzed with the help of Statistical Package
comprising optional type and Likert's 5 point for Social Sciences (SPSS) and SPSS-
scale type questions which ranges from AMOS. The statistical tools, such as Factor
Strongly Agree [5] to Strongly Disagree [1]. analysis by principal component method and
The questionnaire covers the demographic Structural Equation Modeling are applied
profile of the consumers, consumers' for the present study.
preference towards personal care products,
WOM communication and dimensions of 10. RESULTS AND DISCUSSION
brand equity. 10.1 Factors Influencing WOM
9.3 Sampling Communication
The convinent sampling method has been

This study explores that the predominant
adopted to gather the necessary information
factors influencing WOM communication
from the consumers of personal care
among the consumers of personal care
products in Erode District. The sample size
products. This is achieved through the higher
of 750 respondents, representing 150 each of
order statistical tool called Factor analysis
5 taluks of Erode District has been duly
by principal component method. Factor
selected to represent the entire universe. Of
analysis primarily concentrates on reducing
the 750 respondents, 30 respondents have
the numerous related variables into
not properly responded. Hence, the
heterogeneous factors consisting of
responses collected from 720 respondents
homogeneous variables. The result of factor
have been duly considered for analysis
analysis is presented in the table below.
(Exhibit 1).
Exhibit 1: Sample size
727
Table 1:Variables and Variable Loadings for the Factors of WOM Communication
728
The KMO and Bartlett's test for sampling variables which are named as 'Self
adequacy for twenty two variables are found Enhancement'. The fourth factor contains
to be 0.678 and the chi-square value of two variables which are named as 'Source
Bartlett's test for Sphericity is 1243.743. Credibility'. The fifth factor contains four
This clearly indicated that all the twenty two variables which are named as 'Brand
variables are different and are perfectly Selection'. The sixth factor contains three
distributed in a normal distribution. This also variables which are named as 'Purchase
emphasized that the factor analysis is Decision'. The seventh factor contains two
suitable for twenty two variables of WOM variables which are suitably named as
communication. 'Opinion Seeking' (Table 1).
The factor analysis by principal component 10.2 Impact of WOM Communication on

method with varimax rotation has revealed Consumer Based Brand Equity - A Model
seven eigen values as 1.942, 1.635, 1.434, Building Approach
1.413, 1.322, 1.236 and 1.228 respectively. The Structural Equation Modeling (SEM) is
This indicated that the eigen values greater the most useful one when assessing the
than 1 led to the existence of seven major causal relationship between the variables as
factors with 46.405 percent of variance. well as verifying the compatibility of the
The variable loadings in each predominant model used (Peter, 2011). With this
factors of WOM communication indicates backdrop, to identify the influence of WOM
that the first factor consists of four variables communication on consumer based brand
which are suitably named as 'Information equity dimensions such as brand awareness,
Sharing Desire'. The second factor contains brand associations, perceived quality and
three variables which are suitably called as brand loyalty have been analyzsed by using
'Reciprocity'. The third factor includes four SEM.
729
The unstandardized coefficients and one unit change in the predicting variable is
associated test statistics is presented in the symbolized by the unstandardized and
table 3. The amount of change in the standardized regression coefficient.
dependent or mediating variable for each
Table 2: Manifest variables and latent variable for influence of WOM

communication on consumer based consumer based brand equity
Table 3: Regression weights for influence of WOM

communication on consumer based brand equity
730
Table 4: Standardized regression weights communication and brand equity
dimensions.
The standardized estimates for the fitted

model shows that the relative contributions
of each predictor variable to each outcome
variable can be evaluated by standardized
estimates (Table - 4).
The relationships and model fit between

WOM communication and brand equity
dimensions are presented in the following
table. It helps to decide whether to accept the
It is found that the estimated values are model or to fine tune the model further.
statistically significant at 5 percent level
except brand selection and brand The results of chi-square test is significant at
association. This shows that brand selection 5 Percent level (p =<0.05) which indicates
is the least influencing factor in WOM that consequently this model is considered
c o m m u n i c a t i o n . S i m i l a r l y, b r a n d for further interpretation in the goodness of
association is the least influencing factor in fit measures (Table - 5).
consumer based brand equity. Hence, the
result proves that there is a significant The entire model fit indices ranges
relationship found between WOM from 0 to 1. The results of Comparative Fit
Table 5: Model fit indices for influence of WOM

communication on consumer based brand equity
731
Index (.858), Adjusted Goodness of Fit relationship with WOM communication. A
Index (.890), Incremental Fit Index (.867) regression coefficient of 0.31 for Brand
and Tucker Lewis Index (.834) indicates that Selection indicates a moderate relationship
the model is fit to the acceptable level. The with WOM communication. The overall
score of Goodness of Fit Index is .928 which regression coefficient value of 0.15 indicates
indicates that the model is fit to the low level influence of all the factors of
satisfactory level. The score of Parsimony WOM.
Goodness-of-Fit Index is 0.405 (<0.05)
The regression coefficient of 1.00 for brand
which proves that the model fit is
awareness, Information Sharing Desire and
satisfactory. The Root Mean Square Error of
1.88 for brand loyalty indicate a very strong
Approximation value of 0.068 indicates that
relationship with consumer based brand
the model is a close fit to a reasonable error
equity. A regression coefficient of -0.07 for
of approximation. Therefore, the result of
brand association indicates substantial
the SEM has a very good fit.
relationship and -0.64 for perceived quality
indicates negligible relationship with
The path diagram for WOM
consumer based brand equity. The overall
communication-brand equity model shows
regression coefficient value is 1.77 which
that the regression coefficients and
indicates a very strong level of influence of
correlations have measured the strength of
all the brand equity dimensions of personal
the relationship between the variables. A
care products.
regression coefficient of 0.70 or higher
indicates a very strong relationship; 0.50 to
The correlation between WOM
0.69 indicates a substantial relationship;
communication and consumer based brand
0.30 to 0.49 indicates a moderate
equity shows that there is a high degree of
relationship, 0.10 to 0.29 indicates a low
positive correlation found between the
relationship; 0.01 to 0.09 indicates a
WOM communication and brand equity
negligible relationship; and a value of 0
(0.60). It indicates that positive information
indicates no relationship.
through WOM communication effectively
influences the consumer based brand equity
The regression coefficient of 1.82 for
of personal care products (Figure - 1).
Information Sharing Desire, 2.15 for
Reciprocity, 2.52 for Self Enhancement,
1.51 for Purchase Decision and 1.00 for
Opinion Seeking indicate a very strong
relationship with WOM communication. A
regression coefficient of 0.62 for Source
Credibility indicates a substantial
732
Figure 1: WOM Communication - consumer based brand equity model
11. RECOMMENDATIONS  It is observed that WOM
The following recommendations have been communication influences the
offered by the researcher to make the brand equity in a positive way. So,
personal care product industry healthy and the sellers of personal care products
viable in the years to come. should satisfy their customers
 It is found that customers of thorough better performance of the
personal care products take product in the hands of customers in
purchase decisions relying on order to have positive WOM
WOM communication which they communication.
receive from near and dear ones. So,  To enhance the effect of WOM
the sellers should take adequate care communication, enterprises should
to see that their products in personal make full use of the opinion of
care segment create positive image market experts and leaders should
in the minds of users so that the be sought and their opinions should
image passes on between people. be carefully considered and
This can be ensured by ensuring analysed in order to have WOM
good quality, quantity and price communication work in sellers'
affordability of the product they favour. Further, while selecting a
sell.
733
brand ambassador for sales information from these sources are
promotion, caution and care should testimonies from consumers; it
be exercised to ensure that such an encourages purchase and
ambassador really knows the repurchase decision in the form of
nuances of the product and he or she brand loyalty.
is socially accepted.  The positive WOM helps
 WOM communication should be companies to build strong brand
relied by the seller only to a limited equity. But management should be
extent. In other words, WOM aware of WOM diffusion as it could
communication should be used by be negative or positive, especially
the seller as a supplementary to the on internet. Satisfied customers
other forms of advertising such as theoretically distribute positive
newspapers, television, social WOM, but dissatisfied customer on
media, etc. the reverse will diffuse negative
 Consumers seek information to WOM.
make brand purchase decision and
share their experience about a brand 12. CONCLUSION
through WOM as well as internet. A The WOM communication has a telling
favourable brand experience could effect for success or failure of any product.
lead to positive comment online, Personal care product is no exception. In
which spreads quickly. Consumers' fact, WOM plays a considerable and
comments on a product through significant role in personal care products
Twitter, MMS, Facebook, Youtube, market as revealed by the overall findings of
WhatsApp and other electronic this study. To substantiate this inference, the
study shows that WOM communication has
means or the internet can encourage
high influence on brand equity dimensions
organizations to secure the
of personal care products. It has been proved
reputation of a brand, expand brand in this study that positive information
awareness, provide more positive through WOM communication effectively
associations and increase consumer influences the consumer based brand equity
loyalty to a brand. This e-WOM of personal care products. Considering the
communications no doubt create factors affecting the WOM communication
awareness on a brand and inculcate and their effects on brand equity of personal
the identity of the brand into the care products, every seller must take a cue
mind of consumers. And since the from this research that he should set a stage
for building a strong WOM communication
734
among his customers and see that this www.erode.tn.nic.in
momentum sustains considerably for a Gildin, S.Z. (2003). Understanding the
longer period of time. This ultimately paves Power of Word-of-Mouth. Magazine of
way for building strong consumer based Administration, 4(1), 91-106.
brand equity for personal care products. Hair, J.F., Anderson, R.E., Tatham, R.L., &
Black, W.C. (1998). Multivariate Data
REFERENCES Analysis, Upper Saddle River, New
Alex, M., Susskind. (2002). I told you so! Jersey: Prentice-Hall.
Restaurant Customers' Word-of-Mouth Hair, J.F., Anderson, R.E., & Tantham, R. L.
Communication Patterns. The Cornell (2006). Multivariate Data Analysis.
Hotel and Restaurant Administration New Jersey: Prentice Hall.
Quarterly, 43(2), 75-85. Hu, L., & Bentler, P.M. (1999). Cutoff
articles.bplans.com. (2013). Retrieved from: Criteria for Fit Indexes in Covariance
http://www.articles. bpla-ns. com/build- Structure Analysis: Conventional
a-better-brand.html Criteria Versus New Alternatives.
Aypar Uslu, Beril Durmus., & Sina Structural Equation Modeling, 6, 1-55.
Tasdesmir. (2013). Word of Mouth, Imran Anwar Mir. (2011). Impact of the
Brand Loyalty, Acculturation and the Word of Mouth on Consumers' Attitude
Turkish Ethnic Minority Group in towards the Non-Deceptive
Germany. Procedia - Social and Counterfeits. Middle-East Journal of
Behavioral Sciences, 99, 455-464. Scientific Research, 9(1), 51-56.
Daire, H., Joseph C., & Michael, R.M. Jill Sweeney., Geoff Soutar., & Tim
(2008). Structural Equation Modeling: Mazzarol. (2015). Factors Enhancing
Guidelines for Determining Model Fit. Word of Mouth Influence: Positive and
Electronic Journal Business Research Negative Service Related Messages.
Methods, 6(1), 53-60. European Journal of Marketing, 48(1),
Debra Grace., & Aron O'Cass. (2005). 336-359.
Examining the Effects of Service Brand Kazemi., Vahid Moradi PaEmami., Arash
Communications on Brand Evaluation. Abbaszadeh., & Javad Pourzamani.
J o u r n a l o f P ro d u c t & B r a n d (2013). Impact of Brand Identity on
Management, 14(2), 106-116. Customer Loyalty and Word of Mouth
equitymaster.com. (2015). Retrived from: Communications, Considering
http://www.equity master .com/ Mediating Role of Customer
researchit/ sectorinfo/ consprds/ Satisfaction and Brand Commitment
products. html (Case Study: Customers of Mellat Bank
erode.tn.nic.in. (2013). Erode District in Kermanshah). International Journal
Profile. Retrived from: http:// of Academic Research in Economics and
735
Management Sciences, 2(4), 1-14. Sri Murtiasih, Sucherly, & Hotniar
Liang, C.J., & W.H. Wang. (2007). An Siringoringo. (2013). How Word of
Insight into the Impact of a Retailer's Mouth Influence Brand Equity for
Relationship Efforts on Customers' Automotive Products in Indonesia.
Attitudes and Behavioral Intentions. Procedia - Social and Behavioral
International of Bank Marketing, 25(5), Sciences, 81, 40-44.
336. Thomas, W., Gruen, Talai Osmonbekov,
Mehran Rezvani, Seyed Hamid Khodadad Andrew, J., & Czaplewski. (2006).
Hoseini, & Mohammad Mehdi WOM: The Impact of Customer-to-
Samadzadeh. (2012). Investigating the customer Online Know-how Exchange
Role of Word of Mouth on Consumer on Customer Value and Loyalty. Journal
Based Brand Equity Creation in Iran's of Business Research, 59(4), 449-456.
Cell-Phone Market. Journal of Vasan.M. (2014). Marketing Management.
Knowledge Management, Economics Coimbatore: Bornfring Publishers, 202.
and Information Technology, 8, 1-15. Wenbo Cui. (2011). Creating Consumer-
Muhammed Farooq, & Zeerat Jabbar. Based Brand Equity in the Chinese
(2014). Role of Word of Mouth in Sports Shoes Market: Measurement,
Building CBBE. Elixir Marketing Challenges and Opportunities. Thesis
Management, 73, 26443-26447. of Master of Science in International
Mulaik, S.A., James, L.R., Van Alstine, J., Marketing, Aalborg University,
Bennet, N., Lind, S., & Stilwell, C.D. Denmark, 1-67.
(1989). Evaluation of Goodness-of-Fit womma.org. (2014). Word of Mouth
Indices for Structural Equation Models. Marketing Association. Retrieved from:
Psychological Bulletin. 105(3), 430- http:// www.womma.org
445. Xu, J,B., & Chen, A. (2010). A Conceptual
Paul Oyer. (2014). Business & Economics. Framework of Hotel Experience and
United States: Harvard Business Press, Customer-Based Brand Equity.
256. International Journal of Contemporary
Peter, T. (2011). Adoption of Mobile Money Hospitality Management, 22(2), 174-
Technology: Structural Equation 193.
Modeling Approach. European Journal
of Business Management. 3(7), 59-78.
Report of Gyan Research and Analytics Pvt.
L t d . , ( 2 0 1 4 ) . R e t r i e v e d f ro m :
http://www. indian personal care
industry.
736
THE RELATIONSHIP BETWEEN

CUSTOMER EXPERIENCE MANAGEMENT
AND BUSINESS PERFORMANCE IN
SRI LANKAN PRINTING AND PUBLISHING INDUSTRY
(COLOMBO REGION)
Sinhalage Hansini Pramudika1 & Wickramasooriya.L.H.T.De.S2
ABSTRACT
Sri Lankan Printing and Publishing Industry fulfill an essential need of people.
Nowadays this industry faces a very serious threat from the digital media.. But unfortunately
there is a lack of attention of authorized parties to protect this particular industry..
Implementing management strategies will be able to build a strong foundation for the safe of
the industry. Therefore, this research was implemented to measure the relationship between
Customer Experience Management and Business Performance in printing and publishing
industry. Colombo region was the study area and from the population 35 companies were
selected as the sample. Both quantitative and qualitative data were collected by using
interview administrated questionnaires. The study disclosed several attractive findings.
Even though there is a relationship between Customer Experience Management and Market
Performance, there is not a relationship between Customer Experience Management and
Financial Performance. So it is somewhat difficult to interpret that there is a relationship
between Customer Experience Management and Business Performance or there is not a
relationship between Customer Experience Management and Business Performance
because. Business performance contains both Market and Financial Performances. From
the dimensions in Customer Experience Management, two dimensions (Emotional Customer
Experiences & Rational Customer Experiences) have been identified as influenced
dimensions to Market Performance. And also this research was found the reasons for not
having a relationship between Customer Experience Management and Financial
Performance. The influence of Political factors and Economical Factors are directly affected
to the Business Performances more than Customer Experience Management strategies when
consider their financial Performances.
Keywords: Business performance, Customer experience management, Financial

performance, Market performance
[email protected] [email protected]
737
1. INTRODUCTION 1.2 Identification of the Research
1.1 Background of the Study Problem
The scholars in Denmark have studied how In recent years, creating and managing
essential dimensions of customer experience customer experiences seem to be key areas
management (CEM) drive business for most companies. When consumers
performance in Danish companies and have search for products, (when they shop for
done a study about Customer Experience them) and receive service, and when they
Management and Business Performance consume them, customers perceive
(Grønholdt, Martensen, Jørgensen, & experience. That means the experiences
Jensen, 2015). And also they have done this include product and service experiences
study by considering 484 companies in during the customer's product search in the
seven industries such as retailing, financial pre-purchase phase (decision process),
s e r v i c e s , i n f o r m a t i o n t e c h n o l o g y, purchase phase, use and post-use phase.
transportation and logistics, tele
communications, pharmaceutical and public Sri Lanka is a country in which people share
administration publishing/ newspapers. The a different culture with a set of values and
findings of this study provide evidence that attitudes with different expectations. That
the seven CEM dimensions influence situation commonly affects to the
differentiation, market performance and consumption patterns also. There may be a
financial performance. High-performing number of critical variations in their
companies differ significantly from low- consumption patterns. Identification of
performing companies with regard to how those factors may create favorable
they master the CEM, meaning that those environment for business organizations.
companies which incorporate superior These conditions are directly affected to the
customer experience into their products and printing and publishing industry. But in
service enjoy measurable financial success. current situation there is a lack of attention of
authorized parties to protect this particular
By mainly going through on above industry. And also there is a huge impact on
mentioned study the researcher has selected digital media to printing and publishing
one area which is publishing companies and industry nowadays. However the printing
hopes to perform on Sri Lankan contest to and publishing industry should be protected
identify the relationship between customer under any of conditions. Implementing
experience management and business management strategies will be able to build a
performance in Sri Lankan printing and strong foundation for the safety of the
publishing industry. industry.
738
Even though the importance of the title is at The main objective of this research is to
an appreciable level still no research has examine how essential dimensions of
been conducted to measure the relationship customer experience management (CEM)
between business performance and drive business performance in Sri Lankan
customer experience management in printing and publishing companies. Simply,
printing and publishing industry in Sri Study the relationship between customer
Lankan contest. experience management and business
performance in printing and publishing
Some scholars (Grønholdt, Martensen, industry (Colombo Region).
Jørgensen, & Jensen, 2015) have performed
a study about Customer Experience And the second objective is to Provide
Management and Business Performance in identified recommendations to improve the
Denmark. They have highlighted how business performance through customer
essential dimensions of customer experience experience management for printing and
management (CEM) drive business publishing industry in Sri Lanka.
performance in Danish companies.
1.4 Scope and Significance of the Study
1.3 Objectives of the Research This research basically emphasizes the
According to the situation mentioned in the essential seven dimensions of customer
previous sections, having a good experience management (CEM) drive
understanding about customer experience business performance in Sri Lankan printing
management in any kind of business sector is and publishing companies. Such as Rational
very important. But here in this task the customer experiences, Emotional customer
printing and publishing industry has experiences, Top management involvement,
concentrated to perform the research. Most Recruitment and training Emotional skills,
of the companies in Sri Lanka do not focus Recruitment and training Rational skills,
on identifying or measure customer Using customer insight, Customer touch
experience and the dimensions related to points.
that. Sri Lanka is a country with an inherent
culture and people with a different set of Thus, the practical implication of this
values and beliefs. It is not appropriate to use research is that the management can
the conclusions of the researches conducted consider the findings of this research when
in other countries as the basis for measuring designing their customer experience
the experience of the customers. Sri Lankan management methods (Grønholdt,
population may highly value those Martensen, Jørgensen, & Jensen, 2015).
dimensions which have not been valued by a They can design those methods in most cost
country with a different culture. effective manner if they can identify what
739
the most important and least important Questionnaires have used as the main
factors of customer experience dimensions. method in the data collection.
 Data analysis
2. METHODOLOGY Data analysis has implemented by SPSS
This research belongs to the quantitative software and the Regression Analysis has
research category according to the majority used as the basic model to identify the
and due to the main purpose of the research. relationship.
And this research basically deals with
making comparison between the seven 2.1 Conceptual Framework
dimensions and the other three variables of The conceptual customer experience model
the conceptual customer experience can be identified as below.
management model, in a way of hypothesis
testing. Apart from that, this research deals
with variables, numbers and testing
hypotheses.
Deductive reasoning approach will be more

suitable for this study. Thus the main stages
of the research process are,
 Selecting the problem area
 Reviewing the previous scholarly
researches conducted customer
experience management and its related
dimensions. Figure2-1: The conceptual CEM model
 Determining a suitable method of Source: Compiled by Author; 2016
sampling and data collection, and According to (Grønholdt, Martensen,

collecting data from the sample Jørgensen, & Jensen, 2015)two of the
selected dimensions are specifically devoted to
The population of printing and publishing rational aspects, whereas two other
companies in Sri Lanka is consisting with dimensions are devoted to emotional aspects
255 (Kompass international, 2014) and as (Rational Customer experiences, Emotional
the sampling method random sampling Customer experiences, Recruitment &
method has used. Training: Rational Skills, Recruitment &
Training: Emotional Skills). This distinction
Data collection has done by conducting is important due to the fact that customer
personal interviews with top management in experiences can be rational (e.g. experiences
p r i n t i n g a n d p u b l i s h i n g i n d u s t r y. of functional product quality, price and
delivery time) and/or emotional involving
740
the customer's affective system through the which has used to recognize the population
generation of moods, feelings and emotions. is (Kompass international, 2014) and Sri
Customer touch points arethe critical Lanka Book Publishers' Association. The
moments when customers interact with the population of printing and publishing
organization and its offerings on their way to companies in Sri Lanka (Colombo Region)
purchase and after. Define touch points in a is consisting with 255 companies. Random
somewhat wider sense as “instances of sampling method has used for select the
contact either with the product or service sample from the population. Thirty five
itself or with representations of it by the companies have been evaluated to collect
company or some third party”, including data.
other customers.
2.3 Methods of Data Collection
True customer insight has been elusive for According to the literature a modified
most companies. CRM tools, which were questionnaire has been developed by the
purported to help, were actually not that author, as well as accordance to the modern,
successful in supporting any sort of actual cultural aspects in the particular industry in
knowledge of individual customers. Sri Lankan context. And also the face to face
Personal information, Social media interview method used to get the ideas of top
monitoring, Data are the main aspects of management.
customer insights. That means they have to
understand customer experiences. 2.4 Method of Data Analysis
MS Office Excel was used to enter the data
Customer Experience Management is a
that collected through questionnaire and
concept that can be mainly changed by top
Statistical Package for Social Sciences
management involvement. Taking actions
(SPSS) software has used for data analysis.
on requests assist in conflict situations and
After loading those data to the SPSS
provide continuous feedbacks to their
software the Reliability and Validity test has
customers are the elements talked by the
done. By implementing Reliability and
scholars.
Validity test according to the Cronbach's
Alpha value several elements have deleted.
2.2 The Population and Sample Selection
Then the Factor Analysis has implemented
To study the relationship between customer for the Validity test. To identify the
experience management and business relationship between CEM and Business
performance in printing and publishing Performance the Regression Analysis has
industry (Colombo Region), all the done.
companies in the particular region has been
identified as the population. The data source
741
2.5 Reliability and Validity Test explained by the underlined measurement
At the reliability study there were several items, and hence contrast (convergence)
elements which had to be deleted under four validity exists. Furthermore, all cronbach's
dimensions to have a successful factor alpha in Table 2.1greater than 0.6 indicating
analysis and also to get an optimum the internal consistency in measurement
Cronbach's alpha value. scales which justifies the reliability.
According to the following Table the reliable 3. DATA ANALYSIS

elements (items) can be identified. 3.1 Quantitative Analysis
Industry awareness about customer
Table 2.1: Overall results of Reliability and experience management
Validity Test Table 3.1: Industry awareness about
customer experience management
Source: Compiled by Author; 2016 Source: Compiled by Author; 2016

According to the Table 3-1, an idea about the
Confirmatory factor analysis and the industry awareness regarding Customer
Cronbach's alpha were used to test the Experience Management can be identified.
validity and reliability. Table 2.1 illustrates By analyzing the data collected from the
the results of the validity and reliability sample, 22.9% of top level management of
analysis. Since all KMO statistics are greater the printing and publishing industry does not
than 0.5 indicating the adequacy of the have any understanding about CEM
sample to extract factors from the concept. And also 77.1% from the sample
measurement items. Further Bartlett's test of has states that their awareness about the
sphericity for identity correlation matrix in concept.
measurement items in each research variable
has been rejected at 5% level. This confirms 3.2 Regression Analysis
that there is a reasonable evidence for Regression Analysis for measure the
detecting factor structures from the relationship between Customer Experience
measurement items. Factor loadings for each Management and Market Performance
research variables indicate that they vary
from moderate to high levels within a
positive range. Thus it can conclude that
each research variable is adequately
742
Table 3.2: Model summery Furthermore results Table 3.3 indicated
overall model is significant. With
reference table no 3.1 adjusted R2 0.554
indicated 55.4% of variation MP is
explain by the above mentioned two
variables.
Source: Compiled by Author; 2016
Table 3.3: ANOVA

Table 3.4: Coefficients
Figure 3.1: Histogram for regression standardized
residual

Y = β0 + 1χ1 + 22
Y = 0.482 + 0.635*D3 + 0.302*D2
 D2 = Dimension 2 = Rational Customer
Experiences
Figure 3.2: Scatterplot for standardized residual &
 D3 = Dimension 3 = Emotional standardized predicted value
Customer Experiences Source: Compiled by Author; 2016
According to the Table 3.4 the two According to the above 2 figures residual
dimensions (name) are significant. This assumptions are satisfied.
means market performance is influenced
Regression Analysis for measure the
by the above mentioned two dimensions.
relationship between Customer Experience
Management and Financial Performance
743
Table 3.5: ANOVA having a general idea about industry
awareness about CEM would be important.
So in Sri Lanka, printing and publishing
industry, 77.1% had some kind of
understanding regarding Customer
experience management. But 22.9% from
Source: Compiled by Author; 2016 the sample did not provide positive answers
According to the Table No3.5 the overall for the question.
model is not significant (p=0.639).This
indicates there is no relationship between According to the Analysis (Regression)
CEM and FP. Emotional Customer Experiences and
Rational Customer Experiences are the two
4. DISCUSSION ON FINDINGS dimensions of CEM influence to MP.
For the purpose of getting a general idea Approximately 55.4% of the total variation
what the perception about CEM of the top of Market Performance was explained by the
management of Sri Lankan printing and fitted model. Customer experience
publishing industry, the respondents' Management is basically attracting
responses has been evaluated. More than customers and because of that the sales
50% from the respondents have no idea to volume is increased. A happy customer
enhance customers' physical experience. makes a good environment for a business. In
But, If consider dealing with customers in that kind of situation a business could
friendly manner all the respondents in the achieve more and more Market
sample are agreed. Empowering employees, Performance.
facilities needed to employees, polite and
friendly employees, employee Further results of the analysis reveal that
understanding about customer experiences, there is no relationship between CEM &
empowered customers for greater selection, Financial Performance. Qualitative Analysis
empowered customer for instantaneous reveals the reasons for this situation.
access to knowledge, availability with lower According to that the vibrations in political
prices, availability with higher quality, environment mainly influenced for that
assisting on conflict situations, providing difference. Government rules and
continuous feedback was the elements those regulations were very strict and Publishers'
have provided significant responses from Co-operate Association was unable to bear
respondents. that situation. They had to publish according
to the regulations. And also the other factor
Before generating an idea about the was economic environment factors. The
relationship between customer experience prices of the materials were growing in a
management and business performance,
744
rocket way. To compete with competitors Performance achievements in an uneducated
they had to provide a better quality book way.
under a low price, but the cost of the
materials has become a considerable barrier. Finally, even the some companies in Sri
Lankan Printing and Publishing Industry
But according to the research done by have implement Customer Experience
(Grønholdt, Martensen, Jørgensen, & Management strategies they could not able
Jensen, 2015) there is a strong relationship to achieve Financial Performances, those
between CEM and BP. All CEM dimensions firms could be able to deal with better
have positive influence on differentiation, Market Performances. It would be a great
which in turn has a positive and significant gate to have more financial benefits in long
influence on both MP and FP. run.
5. CONCLUSIONS AND Suggested recommendations are as follows,

RECOMMENDATIONS The companies in Sri Lankan Printing and
This study was carried out to examine the Publishing Industry should focus their
relationship between Customer Experience attention for CEM. Especially from the
Management and Business Performance. seven dimensions of CEM, Emotional
From the seven dimensions in CEM, the Customer Experiences and Rational
Marketing Performance is influence by only Customer experiences have to be considered
two dimensions, Rational Customer strictly.
experiences and Emotional Customer
Experiences, in Sri Lankan printing and Even though the companies in Sri Lankan
Publishing Industry context. There were Printing and Publishing Industry cannot note
several reasons have identified from the a growth in Financial Performance by
qualitative study, for not having a practicing CEM, but however they can
relationship between Customer Experience generate huge sales volume by increasing
Management and Financial Performance. their market share, customer attraction and
Some of these reasons are the influence of goodwill. Then the industry will be able to
the political environment, new legal factors make economies of scale in the long run and
and policies, economic environmental this will lead to generate profits.
factors such as cost of the materials.
5.1 Limitations of the research
Some of the respondents had not any idea The final results are limited to the printing
about Customer Experience Management. and publishing institutes in Colombo region.
But however they naturally implement some
of elements of the dimensions of CEM Time duration is not enough to perform a
model. Those firms have reached Market well-planned study.
745
5.2 Further Research (2012). Measuring university service
Study the other industries for identify the quality by means of SERVQUAL method.
relationship between Customer Experience Asian Journal on Quality, 13, pp. 204-211.
Management and Business Performance & Abili, K., Thani, F. N., Mokhtarian, F., &
Rashidi, M. M. (2011). Assessing quality
perform this same study by considering all
gap of university services. The Asian
the printing & publishing companies in the
Journal on Quality, Vol. 12, pp. 167-175.
island. Baki, B., Basfirinci, C. S., Cilingir, Z., & Murat,
I. (2009). An application of integrating
Study how to make a relationship between SERVQUAL and Kano's model into QFD
Customer Experience Management and for logistics services. Asia Pacific Journal
Financial Performance. of Marketing and Logistics, Vol. 21, pp.
106-126.
Implement a study to identify the reasons for Balakrishnan, M. S. (2011). Gain the most from
not having a general idea about Customer your marketing spend on loyalty. Business
Strategy Series, 219-225.
E x p e r i e n c e M a n a g e m e n t o f To p
Barabino, B., Deiana, E., & Tilocca, P. (2012).
Management in Sri Lankan printing &
Measuring service quality in urban bus
publishing companies. transport: a modified SERVQUAL
approach. International Journal of Quality
REFERENCES and, Vol. 4, pp. 238-252.
Akesson, M., Edvardsson, B., & Tronvoll, B. Behdioğlu, S., & Şener, H. Y. (2014). Improving
(2014). Customer experience from a self- Service Quality in Special Education
service system perspective. Journal of Institutions: Servqual Scale. Global
Service Management, 677-698. Business and Management Research: An
Kompass international. (2014). Retrieved 08 23, International Journal, Vol. 6, pp. 169-184.
2015, from http://lk.kompass.com/ Caruana, A. (2002). Service Loyalty:The effects
a/printing-and-publishing/17/: of service quality and the mediating role of
http://lk.kompass.com/a/printing-and- customer satisfaction . EUROPEAN
publishing/17/ JOURNAL OF MARKETING, Vol.36, 811-
Oxford Dictionaries. (2015). Retrieved 08 23, 828.
2015, from www.oxforddictionaries.com: Cavana, R. Y., Corbett, L. M., & Lo, Y. (. (2007).
http://www.oxforddictionaries.com/defini Developing zones of tolerance for
tion/english/experience managing passenger rail service quality.
Sri Lanka Development Board. (2016). Retrieved International Journal of Quality &
01 27, 2016, from http://www.srilanka Reliability Management, Vol. 24, 7-31.
business.com/professional-services/pre- Dick, G. P. (2009). Exploring performance
press-services.html: http://www.srilanka attribution. International Journal of
business.com/professional-services/pre- P ro d u c t i v i t y a n d P e r f o r m a n c e
press-services.html Management, 311-328.
Abili, K., Thani, F. N., & Afarinandehbin, M. Donovan, P., & Samler, T. (1994). Delighting
746
Customers The Ten-step Approach to satisfaction and behavioral intentions in
Building a Custome rdriven organization. the sport tourism industry? An application
Managing Service Quality, 38-43. of the SERVQUAL model in an outdoors
Ghose, K. (2009). Internal brand equity defines setting. Journal of Sport Tourism, 10(2),
customer experience. Direct Marketing: 101111.
An International Journal, 177-185. Mascarenhas, O., Kesavan, R., & Bernacchi, M.
Grønholdt, L., Martensen, A., Jørgensen, S., & (2006). Lasting customer loyalty: a total
Jensen, P. (2015). Customer experience customer experience approach. Journal of
management and business performance. Consumer Marketing, 397-405.
International Journal of Quality and Mascarenhas, O., Kesavan, R., & Bernacchi, M.
Service Sciences, 90-106. (2010). Customer experience
Hanaysha,, J. R., Abdullah, H. H., & Warokka, A. management: a critical review of an
(2011). Service Quality and Students' emerging idea. Journal of Services
Satisfaction at Higher Learning Marketing, 196 - 208.
Institutions: The Competing Dimensions Moorman, C., & Rust, R. T. (1999). The Role of
of Malaysian Universities' Marketing. Journal of Marketing, 180-
Competitiveness. Journal of Southeast 197.
Asian Research, Vol. 2011, pp 10. Nagasawa, S. (2008). Customer experience
Hinton, M., & Barnes, D. (2009). Discovering management Influencing on human
effective performance measurement for e- Kansei to management of technology. The
business. International Journal of TQM Journal, 312-323.
P ro d u c t i v i t y a n d P e r f o r m a n c e Palmer, A. (2010). Customer experience
Management, 329-345. management: a critical review of an
Iazzolino, G., Laise, D., & Marraro, L. (2012). emerging idea. Journal of Services
Business multicriteria performance Marketing, 196-208.
analysis: a tutorial. Benchmarking: An Petruzzellis, L., D'Uggento, A. M., &
International Journal, 395 - 411. Romanazzi, S. (2006). Student satisfaction
Jameson, S. M. (2000). Recruitment and training and quality of service in Italian
in small firms. Journal of European universities. JOURNAL OF SERVICE
Industrial Training, 43-49. THEORY AND PRACTICE, Vol. 16, 349-
Jauhari, V., & Sanjeev, G. (2010). Managing 364.
customer experience for spiritual and pine , B., & Gilmore, J. (2002). Customer
cultural tourism: an overview. Worldwide experience places: the new offering
Hospitality and Tourism Themes, 467-476. frontier. Stratergy and Leadership, 4-11.
Ju¨ttner, U., Schaffner, D., Windler, K., & Pine, B. J., & Gilmore, J. H. (1998). The
Maklan, S. (2013). Customer service Experience Economy. Harvard Business
experiences Developing and applying a Review.
sequential incident laddering technique. Pullman, M. E., & Gross, M. A. (1999). Ability of
European Journal of Marketing, 738-769. experience design elements to elicit
Kouthouris, C., & Alexandris, K. (2005). Can emotions and loyalty behaviors. Decision
service quality predict customer Sciences, 551-578.
747
Rawson, A., Duncan, E., & Jones, C. (2013). The Performance Measurement and Metrics,
Truth About Customer experience. Vol. 10, pp. 193-211.
Harvard Business review. Soutar, G., & McNeil, M. (1996). Measuring
Roos, I., & Friman, M. (2008). Emotional service quality in a tertiary institution.
experiences in customer relationships a Journal of Educational Administration,
telecommunication study. International Vol. 34, 72-82.
Journal of Service Industry Management, Teixeira, J., Patrıćio, L., No´brega, L., Nunes,
281-301. N. J., Fisk, R. P., & Constantine, L. (2012).
Roos, I., Friman, M., & Edvardsson, B. (2009). Customer experience modeling: from
Emotions and stability in telecom- customer experience to service design.
customer relationships. Journal of Service Journal of Service Management, 362-376.
Management, 192-208. Yapa, G. (2011). The Historical Development of
Sharma, Meenakshi, Chaubey, & D.S. (2014). Sri Lankan Scholarly Journal Publishing
An Empirical Study of Customer (1845 2010). Sri Lankan Journal of
Experience and its Relationship with Librarianship and Information
Customer Satisfaction towards the Management, 59-75.
Services of Banking Sector. Journal of Yen, N. T. (2013, December). Measuring Service
Marketing & Communication, 18-27. Quality in The Context of Higher
Shoeb, Z. H. (2011). Identifying service Education in Vietnam. Journal of
superiority, zone of tolerance and Economics and Development, Vol. 15, pp.
underlying dimensions. Library Review, 77 - 90.
Vol. 60, pp. 293-311.
Shoeb, Z. H., & Ahmed, Z. (2009). Individual
differences in service quality assessment.
748
MEASURING THE QUALITY OF SERVICE OF UNIVERSITY

OF SRI JAYEWARDENEPURA (SRI LANKA) BY MEANS OF
SERVQUAL METHOD
Marambage.H.M.G.D1 & Wickramasooriya.L.H.T.De.S2
ABSTRACT
This research measures the service quality in the University of Sri Jayewardenepura
(USJP), Sri Lanka. We have distributed 250 questionnaires among undergraduates of the
Faculty of Management Studies and Commerce, Medical Sciences, Humanities and Social
Sciences, and Applied Sciences. The questionnaire is based on well-known SERVQUAL
instruments. We received 223 responses and the collected data are analyzed using descriptive
statistics, paired sample t-test, independent sample t-test, one-way ANOVA, and factor
analysis. Findings revealed that there is an overall negative service quality gapwhich implies
a poor perceived level of service quality compared to the expected level. The gap of each
dimension represents the negative service quality gap and empathy was the poorest service
quality dimension which indicates the highest negative mean value. This gap in service
quality is affected by the faculty but not by gender, residence, employment status, academic
year and faculty. Finally, responsiveness, assurance, reliability, empathy and tangibility are
the right mix of SERVQUAL dimensions in the university service quality. Comments given by
the students indicate that improving the communication between staff and students,
motivating the staff to work better, empowering staff members towards enhancing quality of
education, recognizing the students' expectations, and developing and updating the
university facilities as some of the stated recommendations.
Keywords: SERVQUAL, University of Sri Jayewardenepura, Undergraduates, Service

quality, University services
1 INTRODUCTION Quality Gap and when the perceived quality

Service quality means the assessment of the is greater than the expected quality we can
quality of the service that the customers consider it as the good quality and vice versa.
expected has fulfilled. SERVQUAL was Nowadays there is several number of service
developed in the mid-1980s by Zeithaml, industries operates within Sri Lanka and
Parasuraman & Berry to measure quality in customer expectations of various service
the service sector. In this consider expected industries are different from each other.
quality and perceived quality to calculate the Most of the service providers fail in the
[email protected] [email protected]
749
industry due to lack of identification and release to the world universities have to
prioritization of customer needs and deliver good service for them to learn
expectations. For instance some companies without any doubts.
lose their customer base because give their
highest priority to physical appearance of the 1.1 Identification of the Research
firm, while customer expect more empathy Problem
from staff than physical attractiveness. Several researches have been conducted all
over the world to identify the different mixes
According to Tian and Wang, (2010) in of SERVQUAL dimensions applicable to
(Hanaysha,, Abdullah, & Warokka, 2011) different industries in countries with
argued that satisfaction is the function of the different cultures. Many of them have
congruency between perceived performance focused on the university service quality in
and esteemed benefits resulting from different countries; because higher
consumer personal values, and the education is a service that needs to maintain
configuration of consumer values is affected a very high level of service quality as it deals
by central cultural values. Moreover, they with releasing intellectual property for the
mentioned that cultural differences have a country.
direct influence on the level of students'
satisfaction regarding their perception of the Sri Lanka is also a country in which people
services, and to satisfy the customers with share a different culture with set of values
the same cultural background is not that and attitudes. But still no research has been
easy, then to satisfy the customers with conducted to measure the service quality in
different cultural background will be even the USJP to maintain a high level of students'
more difficult. satisfaction.
Delivering quality service is considered an Therefore, in this research measure the

essential strategy for success and survival in service quality of the university by means of
today's competitive environment. Various SERVQUAL model to identify whether
companies in different service industries there is a better condition for the education in
with different customer bases are still USJP as a renowned university in Sri Lanka
struggling with finding the best way to to build intellectual property for the
delight their customers. Increased intense betterment of the country.
competition among players has made
companies to rethink about their existing 1.2 Objectives of the Research
strategies. But rather than competition there
This research is conducted with the primary
have to have better quality in the universities
objective of:
in Sri Lanka. Since the intelligent people
750
i Measuring the University Service the notion that service quality resides in
Quality in the USJP to satisfy students. favorable judgments, in which perceived
ii Other than the main purpose there are service experiences meet or exceed expected
secondary objectives to conduct this service levels (Soutar & McNeil, 1996). In
research. operationalization of this concept, it can be
iii Identifying does the service quality gap divided into five dimensions on the basis of
and that of each dimension change with SERVQUAL model. They are,
demographic profile. 1. Tangibles - physical facilities,
iv Ranking the dimensions accordingly so equipment, appearance of personnel.
as to figure out what is the most and 2. Reliability - ability to perform the
least important factor that university promised service dependably and
should focus on to increase service accurately.
quality. 3. Responsiveness - willingness to help
v Giving recommendations to improve and provide prompt service.
the service quality of university. 4. Assurance knowledge and courtesy of
employees and their ability to inspire
2. RESEARCH METHODOLOGY confidence. and
An appropriate selection and application of 5. Empathy - caring, individualized
scientific methodology is a pre-requisite for attention the firm provides its
conducting any investigation to ensure customers (Soutar & McNeil, 1996).
precision, reliability and validity of the
findings of a research problem. The selection In this study of SERVQUAL analysis, 18
and application of methodology bears more statements were used to measure the
relevance in social sciences studies. performance across above mentioned five
dimensions, using five point Likert Scale
2.1 Conceptual Framework measuring both customer expectations and
perceptions.
2.2 The Population and Sample

Selection
As this research focus on the service quality
of the USJP, the population here was all the
students in Faculty of Applied Sciences,
Faculty of Management Studies and
Figure 2.1 : Conceptual framework Commerce, Faculty of Medical Sciences and
Source: Compiled by the Author, 2016 Faculty of Humanities and Social Sciences
The SERVQUAL instrument is founded on of the USJP.
751
The researcher used stratified sampling the overall service quality and the
method to select the elements for the sample. importance of the five service quality
Since there are four faculties in the USJP it dimensions, where the student were required
was stratified the population into stratum as to indicate the importance by allocating a
per faculties. And from each faculty students total of 100 points to the five dimensions.
were selected randomly and proportionately
based on number of students in the each Therefore, the Questionnaire used in this
faculty. survey consists five sections: demographic
Table 2.1 : Sample data about the students (gender, year, faculty,
from where: urban area or rural area and
employed or not); statements focused on
students expectations of university service
quality; statements focused on student
perceptions of service quality at USJP; the
overall service quality and the importance of
the five service quality dimensions, where
the students were required to indicate the
importance by allocating a total of 100
Source: Compiled by the author, 2016
points to the five dimensions; and a
qualitative question to mention students
2.3 Method of Data Collection
ideas about university service quality and the
The instrument used in the study to collect required improvements.
primary data is an adaptation of the
S ERV Q U A L s urvey. The original The secondary information was collected
SERVQUAL instrument was specifically from Academic, Student Affairs and
designed to assess organizations and Publication Branch in Administration
businesses in the service area. Some changes Building and Medical Faculty Dean's Office
were made to adapt in this survey to an of USJP on following aspects.
academic setting (Abili et al., 2012).
2.4 Method of Data Analysis
According to (Abili et al., 2012) the
instrument comprises four sections:
demographic data about the respondents
(discipline, year of study, gender);
(SPSS) software and MS Office Excel were
statements focused on student expectations
used for data analysis.
of higher education institutions in general;
statements focused on student perceptions of
service quality at University of Tehran; and
752
Cronbatch's alpha and factor analysis were 3.1 Assessing Reliability and Validity
used to assess the reliability and validity. Table 3.1: Reliability and validity
Descriptive statistics, paired sample t-test,

independent sample t-test, one-way ANOVA
and factor analysis were used to analyze
data.
3. DATA ANALYSIS AND

PRESENTATION
250 questionnaires were distributed among
faculties proportionately and randomly
based on the total number of students of each
faculty. But, the researcher was able to
collect 223 questionnaires which represent
89.2% of response rate. Source: : Compiled by the author, 2016
With the purpose of assessing reliability
Majority of respondents are females (56.5%) Cronbatch's alpha was used to assess
and 43.5% respondents are males. 12.56% internal consistency. Cronbatch's alpha was
students from first year, 24.22% students calculated for each dimension with regards
from second year, as same as third year and to expectation and perception, for overall
majority of students from fourth year mean expectation and perception and also
(39.01%) are appeared. Most of the students for each gap. In all these scenarios reliability
were responded from the faculty of coefficient (Cronbatch's alpha) for all five
management studies and commerce dimensions are greater than 0.7. Since, the
(45.29%) and it represent absolutely the half entire alpha values greater than 0.7, results
of all respondents. Most of the students who shows that the items are reliable.
were responded are coming from rural area
that represents 58.3% from all respondents Factor analysis has been done to test validity
and 41.7% of students from urban area. and in all situations it was proven that these
From all 223 respondents 79.37% of dimensions are valid.
students are not employed.
3.2 C o m p a r i n g P e r c e p t i o n a n d
Expectation to Identify the Gaps
Difference between perception and
expectation of each gap is approximately
normally distributed.
753
Therefore, the parametric test of two related 3.3 Service Quality Gap Analysis
samples (i.e. Paired Sample t-test) was used Table 3.3: Service quality gap
to test whether there is a service quality gap
in in each.
1= Mean points for perception about quality

of dimension / service quality
2= Mean points for expectation about quality
of dimension / service quality
H0: 12
H0: 12 Source: Compiled by the Author, 2016
Table 3.3 shows the mean gaps between
If p value < value, reject H0
perception and expectation of each
Table 3.2: Identify the Gaps
dimension and overall service quality.
Mean gap between perception and

expectation of tangibility represents -
0.3981, reliability represents -0.4511,
responsiveness represents -0.4613,
assurance represents -0.3951 and empathy
represents -0.5161. The overall service
quality mean gap is -0.4396.
All the gaps are negative and that indicate

there is a poor service quality in the USJP
according to the perception of the students.
Empathy is the poorest quality dimension
from all five dimensions and tangibility is
the dimension that have least negative gap.
3.4 Identification of Difference of Gaps

based on Demographic Profile
Identification of Difference of SERVQUAL
Gap based on Gender.
Source: Compiled by the Author, 2016 Since, the gap of each dimension/ service
There is a difference between perception and
quality is scale; gender is consisted of two
expectation of mean points in all gaps.
independent categorical groups and the each
754
gap is approximately normally distributed The mean points about quality of each
within male and female students, dimension / overall service of male students
Independent Sample t-test was used to and female students are not significantly
identify whether there is a difference in each different under the level of significant 0.05.
gap based on gender. That means there is no difference of each gap
based on gender.
1= Mean points about quality (gap) of
dimension / service quality of male students 3.5 Identification of Difference of
2= Mean points about quality (gap) of S E RV Q U A L G a p b a s e d o n
dimension / service quality of female Residence
students. Since, the gap of each dimension/ service
H0: 12 quality is scale; residence is consisted of two
H0: 12 independent categorical groups and the each
If p value < value, reject H0 gap is approximately normally distributed
within male and female students,
Table 3.4 : Difference of SERVQUAL Gap
Independent Sample t-test was used to
based on Gender
identify whether there is a difference in each
gap based on residence.

dimension / service quality of students from
urban area
dimension / service quality of students from
rural area
H0: 12
H0: 12
The mean points about quality of each

dimension / overall service of students from
urban area and rural area are not
significantly different under the level of
significant 0.05. That means there is no
difference of each gap based on residence.
755
Table 3.5 : Difference of SERVQUAL gap The mean points about quality of each
based on residence dimension / overall service of employed
students and not employed students are not
significantly different under the level of
significant 0.05. That means there is no
difference of each gap based on employment
status.
Table 3.6 : Difference of SERVQUAL gap

based on employment status
Source: Compiled by the Author, 2016
Identification of Difference of SERVQUAL

Gap based on Employment Status
Since, the gap of each dimension/ service
quality is scale; employment status is
consisted of two independent categorical
groups and the each gap is approximately
normally distributed within the employed
and not employed students, Independent
3.6 Identification of Difference of
Sample t-test was used to identify whether
S E RV Q U A L G a p b a s e d o n
there is a difference in gaps based on
Academic Year
employment status.
The gap of each dimension/ service quality is
scale; academic year is consisted of four
dimension / service quality of employed
independent categorical groups and the each
students
gap is approximately normally distributed
within the students in first year, second year,
dimension / service quality of not employed
third year and fourth year. Therefore, One-
students
way ANOVA test was used to identify
H0: 12
whether there is a difference in each gap
H0: 12 based on academic year.
756
1= Mean points about quality (gap) of under the level of significant 0.05. That
st
dimension / service quality of 1 year means there is no difference of gap of
students tangibility, reliability, empathy and overall
2= Mean points about quality (gap) of Service based on academic year. And there is
dimension / service quality of 2nd year a difference of gap of responsiveness and
students assurance based on academic year.
dimension / service quality of 3rd year 3.7 Identification of Difference of
students SERVQUAL Gap based on Faculty
4= Mean points about quality (gap) of The gap of each dimension/ service quality is
th
dimension / service quality of 4 year scale; faculty is consisted of four
students independent categorical groups and the each
H0: 1234 gap is approximately normally distributed
H0: At least one ij within the students in Faculty of
If p value < value, reject H0 Management Studies and Commerce,
Applied Sciences, Humanities and Social
Table 3.7 : Difference of SERVQUAL Gap Sciences and Medical Sciences. Therefore,
based on Academic Year One-way ANOVA test was used to identify
whether there is a difference in each gap
based on faculty.

dimension / service quality of management
students
dimension / service quality of applied
sciences students
dimension / service quality of humanities
and social sciences students
Source: Compiled by the Author, 2016 dimension / service quality of medical
sciences students
The mean points about quality of tangibility, H0: 1234
reliability, empathy and overall Service of H0: At least one ij
students of first year, second year, third year If p value < value, reject H0
and fourth year are not significantly different
757
Table 3.8: Difference of SERVQUAL Gap 3.8The Right Mix of SERVQUAL
based on Faculty Dimensions in the University Service
Table 3.9: Factor loading of SERVQUAL

dimensions

According to the factor loading of
At least one mean point about quality of dimensions based on the expectation of
tangibility, reliability, responsiveness and students most important dimension for
overall service of students in Faculty of university service quality is responsiveness
Management Studies and Commerce, (factor loading=0.941). The second
Applied Sciences, Humanities and Social important dimension is assurance (factor
Sciences and Medical Sciences are loading=0.938) with a less difference. Third
significantly different from the others under and fourth important dimensions are
the level of significant 0.05. That means reliability (factor loading=0.913) and
there is a difference of tangibility, reliability, empathy (factor loading=0.891)
responsiveness and overall service gap respectively. And the least important
based on faculty. And there is no difference dimension is tangibility (factor
of assurance and empathy gap based on loading=0.880).
faculty.
3.9 Qualitative Analysis
Students believe that the syllabus and the
university have to up to date, degree should
be based on the job market and there should
have a link to reach job market, relaxation is
must for studies, functioning of can need to
be considered, non-academic staff should be
758
helpful and friendly and the facilities need to dimensions in this research. SERVQUAL
be improved. questionnaire were used to collect primary
data and 18 statements were included in the
4. CONCLUSIONS AND questionnaire. By using five point likert
RECOMMENDATIONS scales measure the both expectation and
4.1 Conclusions perception. The population was all the
students in Faculty of Applied Sciences,
The research was conducted with purposes
of measure the university service quality, to
Commerce, Faculty of Medical Sciences and
identify whether the service quality gap
Faculty of Humanities and Social Sciences
differ based on demographic profile and to
of the USJP and the 250 questionnaires were
give recommendations.
distributed proportionately to the total
number of students in each faculty. But, the
The Oxford English dictionary (2015)
223 were responded. The secondary
defines the service is “The action of helping
information (i.e. total students in each
or doing work for someone” and service
faculty) was collected from Academic,
quality is difficult to measure like product
Student Affairs and Publication Branch in
due the main characteristics: intangibility;
Administration Building and Medical
simultaneity; perishability; and
Faculty Dean's Office of USJP.
heterogeneity.

There are more researchers have been
conducted to measure service quality in
many industries and also in universities. But
(SPSS) software and MS Office Excel were
due the cultural differences of those
used for data analysis. Cronbatch's alpha and
countries with Sri Lanka, the findings of
factor analysis were used to assess the
those researches are not practical in Sri
reliability and validity. Descriptive
Lankan culture. Sri Lanka is also a country in
statistics, paired sample t-test, independent
which people share a different culture with
sample t-test, one-way ANOVA and factor
set of values and attitudes. But, still no
analysis were used to analyze data.
research has been conducted to measure
university service quality in the USJP. Since
Findings suggest that most of the
universities responsible for releasing
respondents are female, in first year, from
intellectual property to the country, the
service quality should be measured.
Commerce, coming from rural area and not
employed. Most of the students expected
The dependent variable is service quality
more and they are neutral about their
and independent variable is SERVQUAL
experience.
759
There is a negative gap of service quality educating and informing them about
means the USJP do not provide the service as the importance of their role in the
the students were expected. Sevice quality quality of university services;
gap did not differ based on gender, area,  Recognizing the students' expectation
employment and year. But, according to the and ranking service quality dimensions
faculty there is a difference of service quality to provide better service with the
gap. purpose of maximizing their
satisfaction; and
The findings suggest that the students expect  Developing and updating the university
responsiveness mostly and the second and facilities.
third important dimensions were assurance
and reliability. Empathy was fourth one and REFERENCES
they expect tangibility was the least Abili, K., Thani, F. N., & Afarinandehbin, M.
important factor for university service (2012). Measuring university service
quality. quality by means of SERVQUAL method.
Asian Journal on Quality, 13, pp. 204-211.
The qualitative analysis suggest students Abili, K., Thani, F. N., Mokhtarian, F., &
believe that the syllabus and the university Rashidi, M. M. (2011). Assessing quality
have to up to date, degree should be based on gap of university services. The Asian
the job market and there should have a link to Journal on Quality, Vol. 12, pp. 167-175.
Baki, B., Basfirinci, C. S., Cilingir, Z., & Murat,
reach job market, relaxation is must for
I. (2009). An application of integrating
studies, functioning of can need to be
SERVQUAL and Kano's model into QFD
considered, non-academic staff should be for logistics services. Asia Pacific Journal
helpful and friendly and the facilities need to of Marketing and Logistics, Vol. 21, pp.
be improved. 106-126.
Barabino, B., Deiana, E., & Tilocca, P. (2012).
4.2 Recommendations Measuring service quality in urban bus
transport: a modified SERVQUAL
Suitable action should be taken to convert
approach. International Journal of Quality
the dissatisfactory items to satisfactory ones.
and, Vol. 4, pp. 238-252.
Therefore, the following recommendations Behdioğlu, S., & Şener, H. Y. (2014). Improving
should be considered: Service Quality in Special Education
 Continuous evaluation of service Institutions: Servqual Scale. Global
quality; Business and Management Research: An
 Improving the communications International Journal, Vol. 6, pp. 169-184.
Caruana, A. (2002). Service Loyalty:The effects
between staff and students;
of service quality and the mediating role of
 Motivating the staff to work better, customer satisfaction . EUROPEAN
giving them more authority and
760
JOURNAL OF MARKETING, Vol.36, 811- Petruzzellis, L., D'Uggento, A. M., &
828. Romanazzi, S. (2006). Student satisfaction
Cavana, R. Y., Corbett, L. M., & Lo, Y. (. (2007). and quality of service in Italian
Developing zones of tolerance for universities. JOURNAL OF SERVICE
managing passenger rail service quality. THEORY AND PRACTICE, Vol. 16, 349-
International Journal of Quality & 364.
Reliability Management, Vol. 24, 7-31. Shoeb, Z. H. (2011). Identifying service
Cavana, R. Y., Corbett, L. M., & Lo, Y. (. (2007). superiority, zone of tolerance and
Developing zones of tolerance for underlying dimensions. Library Review,
managing passenger rail service quality. Vol. 60, pp. 293-311.
International Journal of Quality & Shoeb, Z. H., & Ahmed, Z. (2009). Individual
Reliability Management, Vol. 24, 7-31. differences in service quality assessment.
Hanaysha,, J. R., Abdullah, H. H., & Warokka, A. Performance Measurement and Metrics,
(2011). Service Quality and Students' Vol. 10, pp. 193-211.
Satisfaction at Higher Learning Soutar, G., & McNeil, M. (1996). Measuring
Institutions: The Competing Dimensions service quality in a tertiary institution.
of Malaysian Universities' Journal of Educational Administration,
Competitiveness. Journal of Southeast Vol. 34, 72-82.
Asian Research, Vol. 2011, pp 10. The Oxford English Dictionary. (2015). The
Kouthouris, C., & Alexandris, K. (2005). Can Oxford English Dictionary. Oxford:
service quality predict customer Oxford University Press.
satisfaction and behavioral intentions in Yen, N. T. (2013, December). Measuring Service
the sport tourism industry? An application Quality in The Context of Higher
of the SERVQUAL model in an outdoors Education in Vietnam. Journal of
setting. Journal of Sport Tourism, 10(2), Economics and Development, Vol. 15, pp.
101111. 77 - 90.
761
IMPACT OF SERVICESCAPE ON CUSTOMER

SATISFACTION:
SPECIAL REFERENCE TO LEADING SUPER MARKETS IN
JAFFNA DISTRICT
Kumaradeepan.V1 & Pathmini.MGS2
ABSTRACT
The aim of this study was to assess the impact of Servicescape on customer
satisfaction, giving attention to leading supermarkets located in Jaffna district in Sri Lanka.
For this purpose, correlation method has been applied to find the relationship between
Servicescape and customer satisfaction. Aesthetic factor, cleanliness and layout were
considered as dimensions of the servicescape. The population of the study was all
supermarket customers in Jaffna district and the analysis was carried out using a sample of
240 customers in the Jaffna district based on Cargills food city, Annai Naga Food city and
TCT food city. After cleaning the data only 218 respondents were taken into analyzing due to
the fact that some of the questionnaire was incomplete. Descriptive and inferential statistical
techniques were adopted to analyze the data. Statistical Package for Social Sciences (SPSS)
2
21.0 version was used in order to analyze the data. According to the adjusted R customer
satisfaction was influenced by Servicescape by 18.3% as per the model summary. The results
show that correlation value between Servicescape and customer satisfaction was 0.433
which is significant at 0.01 levels. Accordingly, recommendations were made to the
supermarket authorities and further research ideas were suggested to the other researchers
who are interested in this area.
Keywords: Customer satisfaction, Servicescape, Supermarkets
1. INTRODUCTION aspects are increasing the potential to

In this ever-changing business world, almost succeed within the competition. Customer
every organization pays more attention to centered marketing and customer
the customers ever than before. relationship marketing have occupied the
Organizations need to be aligned with the top place in the modern marketing concept
changing customer needs when having specially in the retail sector. Accordingly,
marketing programs and strategies. For any customers are demand better services from
organization, good understanding of the needs retail supermarkets (Dibb, 2006). This
of a target market and identify expectations situation tells clearly that micro
on price, quality of the products and other environmental factor plays a big role in the
1
Department of Marketing, University of Jaffna, Sri Lanka [email protected]
2
Department of Business Management, Rajarata University of Sri Lanka, [email protected]
762
strategies of retailers. At this juncture, it is Servicescape, the customer retention rate is
obvious that the requirement of having high, and business results tend to follow.
service marketing strategies to address the Thus, satisfying customers are paramount
customer satisfaction and Servicescape have important for every organization.
taken predominant place in the present According to literature high customer
competitive marketing environment for this retention can be determine by Servicescape.
purpose. Most business executives are now Customer satisfaction is "perception of
paying more interest in customer customers towards products or services".
satisfaction and Servicescape which was Customer satisfaction along with
separately discussed from service quality Servicescape is becoming a paramount
literature. Servicescape is generally viewed factor not only in modern retail
as a tool for attaining competitive advantage supermarkets, but also in other businesses
and is the basis for sustained profitability for their long-term and short-term survival.
and growth (Kim et al., 2004). Customer Customer expectation has been considered
satisfaction, on the other hand, is a as the base for customer satisfaction, since
prerequisite to run a business in the context the customers from their expectation for the
of a retail supermarket, satisfaction could be value to be derived from the consumption of
interpreted as just meeting the expectations the product or service.
of the customers, not any sort of exceeding
or falling short of the expectations (Kim et 1.1 Research Problem
al., 2004). Most of the retailers try to achieve In a modern competitive market, a big
competitive advantage by taking t he challenge for all sellers, including modern
responses of the customers towards supermarkets that have to create new
'exceeding their expectations' instead of demand as well as attract customers who are
“just satisfied”. Customer satisfaction is currently a customer of competitive product
expected to be achieved when the value of or sellers. Marketers have to realize in
customer service gained through a service supermarkets that it's only possible by
experience is either meeting or exceeding adhering to different attractive marketing
customer expectations. Another consequence strategies. Because, only satisfied customers
can be that if the satisfaction scores are very would retain while dissatisfied customers
low, t he service provider might be will not aim to switch off. Thus, observing
susceptible to attacks by the competitors the question; what would happen to the
who are prepared to deliver superior value to future is significant since there will be more
the customers. Hence, customer satisfaction competitive outlet with a new strategic view.
is a large factor determining the likelihood of Cargills has opened their third massive outlet
success and profits in an organization. When in heart of Jaffna last year with some more
any organization earns high-level of outlets in one roof. That was big in size and
includes KFC, Signature brand shirts, two
763
digital high class cinema theaters, etc. Also, H2: There is a significant impact of
other modern supermarket such as Laugh, Servicescape strategies on customer
Keells and other may arrive to the rejoin in satisfaction.
the future with “Uthuru Wasanthaya” of the
new government strategy after the war. The 2. LITERATURE SURVEY
basic problem was the arrival of high 2.1 Servicescape
competition into supermarkets that can
Servicescape factors: ambience, spatial
entertain high customer attraction (Kim et
layout and signs, symbols and artifacts were
al., 2004).
positively associated with customer
patronage. Servicescape may influence
Baker, Parasuraman, Grewal and Voss
service quality both directly and indirectly
(2002) found that store employee and store
by influencing the perception of intangible
design perceptions positively affect the
service quality dimensions. Music, lights,
interpersonal quality which in turn has a
colors, displays, fragrances, a soft and many
positive effect on store satisfaction.
more elements shape shoppers' mood and
behavior (Jain and Bagdare, 2011).
Thus, the problem statement of the study
was; how do the Servicescape strategies of
2.2 Customer satisfaction
supermarkets influence the customer
satisfaction and explain is there a significant According to Gronholdt, Martensen, and
relationship between Servicescape and Kristensen, (2000), customer satisfaction is
customer satisfaction. explained as “perception of customers
towards products or services”. Customer
1.2 Objectives of the Study satisfaction along with Servicescape is
The main objective of the study was to find becoming a paramount factor not only in
out the relationship between Servicescape modern retail supermarkets, but also in other
and Customer satisfaction in supermarkets businesses for their long-term survival. As
in Jaffna district. In addition to that specific mentioned earlier, customer satisfaction is
objective was to identify the impact of driven by a variety of latent factors such as
different S ervicescape strategies on customer expectation (through pass
customer satisfaction in supermarkets experience, advertisement, and word of
located in Jaffna district. mouth), product quality, service quality;
store image, price, reliability and timely
1.3 Hypotheses delivery. However, the priority of these
HI: There is a significant relationship determinants differs depending on the time
between Servicescape and customer and the particular industry. Caruana (2002)
Satisfaction defines, customer satisfaction as “a post
purchase, global affective summary
764
response that may be of different intensities, 2.3 Servicescape and Customer
occurring when customers are questioned Satisfaction
and undertaken relative to the retail It signifies that value attainment and positive
(banking) services offered by competitors”. mood do indeed play an additional role in
Cronin, Brady and Hult, (2000), however, explaining servicescape. An important
display different view in the context of implication is that value attainment and
multiple service industries. They argue that positive mood may function as a buffer for
satisfaction with a service provider is diminishing loyalty as a result of lower
perceived as being both an evaluation and levels of service satisfaction. Oliva, Oliver
emotion-based response to a service and Macmillion (1992) argue that the
encounter. The emotion-based satisfaction relationship between service satisfaction and
includes such 5 different measures; interest, service loyalty is nonlinear; meaning that in
e n j o y m e n t , s u r p r i s e , a n g e r, a n d case satisfaction increases above a certain
shame/shyness. The evaluation-based level, Servicescape will increase rapidly.
satisfaction captures three evaluative items.
But emotion-based measures are accepted as Bloemer and Ruyter (1998) reported in their
different concepts, called “in-store study on the department store consumers that
emotional experiences (Yoo & MacInnis store image affects satisfaction, which
1998). Mirinda, Konya and Havrilla (2005) subsequently has an impact on store loyalty.
expressed in their literature as several factors Also, found customer satisfaction is
that influence store satisfaction while positively associated with servicescape and
shopping. Store attributes embraces the word of mouth communication. Testing the
following: location of store (Woodside & rival model demonstrated the effect of
Trappey, 1992); nature and quality of servicescape as a mediator between
assortment stocked (Claxton & Brent- customer satisfaction and word of mouth
Ritchie, 1979); pricing strategy (Williams, communication and indicated that attitudinal
Painter & Nicholas 1978); in-store loyalty serves as a mediator between
promotions (Urbany, Dickson & Sawyer consumer satisfaction and consumer word of
2000; Kumar and Leone, 1988); sales mouth communication. Satisfaction has
personnel as availability of sales assistance often been regarded as an antecedent of
as significant contributor to store satisfaction loyalty for various service providers (Dick
with supermarkets becoming more and Basu, 1994; Cronin and Taylor, 1994;
expansive, shoppers often have difficulty in Spreng and Mackoy, 1996). It is also verified
locating an item that they have never in the retail literature that store satisfaction
purchased from that store before, and may has a positive relationship with store loyalty
therefore need personal assistance. (Bitner, 1990; Bloemer and Ruyter, 1998;
Rust, Zahorik, and Keiningham, 1995;
765
Cronin and Taylor, 1994; Parasuraman, Music, lights, colours, displays, fragrances,
Zeithaml and Berry 1994). a soft and cosy ambience and many more
elements shape shoppers' mood and
Servicescape has been consistently behavior (Jain & Bagdare, 2011).
associated with customer satisfaction or
patronage intentions in retail settings. 3. METHODOLOGY
Environment was the major factor in 3.1 Conceptual Model
predicting the consumer satisfaction in
shopping malls (Fatima & Rasheed, 2012).
Positive perceptions of a retail environment
positively influence emotions and intentions
(Andreu, Bigne, Chumpitaz & Swaen,
2006). Macintosh and Lockshin, (1997);
Magi, (2003); physical attributes (Chain
Store Age Executive, 1987); “atmospherics
is known to lift the mood of the shoppers and
may impel them to buy more, to be more 3.1 Research Approach
adventurous and to try other brands The research approach of the study was
/products. These studies have severally deductive approach. Type of investigation
identified various factors that can contribute was correlation, as the study describes the
to store ambience, namely the configuration servicescape strategies associated with the
of the store, lighting and store customer satisfaction. Also, the study carried
colourscheme”. Kotler, (1973-1974); out in a natural market setting as a cross
Crawley, (1993); Yalch and Spangenberg, sectional in nature. Unit of analysis was
(1990); Babin and Darden, (1996); and individual male and female customers who
loyalty cards Magi, (2003). Miles et al. visited supermarkets to purchase products.
(2012) found that firm competitive strategy Servicescape was the independent variable
has an impact on the strength of the and customer satisfaction was the dependent
relationship between customer satisfaction variable of the study. Aesthetic Factor,
and servicescape characteristics. Of note, cleanliness and layout were considered as
these findings indicate that the payoff for dimensions of the servicescape.
investment in physical surroundings differs
depending on firm competitive strategy. 3.2Data for the Study, Population and
Sampling
Servicescape may influence service quality Both primary and secondary data were used
both directly and indirectly by influencing for the study requirement. The study
the perception of intangible service quality compiled with the help of primary data.
dimensions (Reimer & Kuehn, 2005). Primary data collected administrating
766
interview based structured questionnaires. Table 3.1- Reliability Statistics on
Moreover, the secondary data was covered Servicescape and Customer Satisfaction
various published and unpublished literature
on the discipline.
Study population covers all supermarkets

and supermarket customers who are in the
Jaffna district. The sample was selected
based on three (3) supermarkets located in
the city area; Cargills food city
(Kannathiddy Branch), Annai Naga Food
city and TCT food city. 240 customers were
selected based on convenience sampling Cronbach's alpha is most widely used
visiting the locations three times. Anyhow, method in this regard. It may be mentioned
response of 218 respondents was utilized for that its value varies from 0 to 1, but
the purpose of analyzing after cleaning the satisfactory value is required to be more than
data. 0.6 for the scale to be reliable (Malhotra,
2002 and Cronbach, 1951). The standard
3.3 Analyze of the Data value alpha of 0.6 advocated by Cronbach
Descriptive and inferential statistics were (1951), or with the standard value of 0.60 as
adopted for analyzing data. Coefficient of recommended by Bagozziand Yi's (1988).
correlation (r) has been calculated to Thus, it found that the Cronbach's alpha for
evaluate the relationship between each dimension range from 0.616 to 0.725
servicescape and customer satisfaction. The which exceeding the threshold value of 0.60.
regressions analyze was used to know the The model dimensions are satisfactory.
extent of impact of servicescape strategies
upon customer satisfaction. Data collected 3.5 KMO and Bartlett's Test
were proceed using 'Statistical Package for KaiserMeyer-Olkin (KMO) test for
Social Sciences' (SPSS) 21.0 version in sampling adequacy is another useful method
order to analyze the data. to show the appropriateness of data for
further analysis. The KMO statistics vary
3.4 Reliability of the Scale between 0 and 1 and Kasier (1974)
The reliability coefficients of each construct recommends that values greater than 0.5 are
are given in the table below. acceptable. The more elaborate discussion
presented by Field,( 2000) reveals that 0.5 -
0.7 are mediocre, 0.7 - 0.8 are good, 0.8 - 0.9
are superb. Thus, KMO test (0.500) and
767
Bartlett's Test of Sphericity (χ2= 44.651, 0.01 significant levels. Regression
p<0.000, df=1) were ensured the sampling
analysis was adopted to test the impact of
adequacy appropriateness of the data for Servicescape and customer satisfaction
further analysis. in supermarkets located in Jaffna district.
Table 3.2: KMO and Bartlett's Test on Servicescape and Customer Satisfaction
3.7 Data analysis

Table 3.3: Correlations for Sevicescape and Customer Satisfaction
The results indicate that the multiple

To achieve the main objective of the study,
regression model is moderately significant
researchers were carried out correlation
as indicated by the F-value of 49.728. The
analysis to find out the nature of the
model summary indicates, that the 18.3
relationship between the variables as
percent of the variation in customer
indicated in the conceptual model. The
satisfaction is significantly explained by
above table indicates that relationship
variation in different Servicescape
between variables; Servicescape and
strategies. According to the correlation
Customer satisfaction. The correlation value
coefficient ( r ) results, it can be concluded
(r) between Servicescape and Customer
that cleanliness (r= 0.513) and store layout
Satisfaction was 0.433 which is significant
(r= 0.514) are in a position of average
at 0.01 level. Also, there is a mediocre
compared to the aesthetic facilities (r=0.409)
relationship between variables since r value
adopted by these supermarkets in the Jaffna
was 0.433 which was close to the average
district. When considered the different
point 0.500. Accordingly, H1 is accepted at
768
Table 3.4 (a): Regression Model Summary for Servicescape and Customer Satisfaction
Table 3.4 (b): Model Summary
Table 3.5: ANOVA analysis for Servicescape and Customer Satisfaction
servicescape strategies adopted by them as delivering environment internally, in order

indicated in the model namely facility to satisfy the customer attending to
aesthetics, cleanliness, and store layout, the servicescape strategies. According to the
most powerful factors to determine the findings, management must give prominent
customer satisfaction were cleanliness attention on refreshing their store layout and
2 2
(R =0.257) and store layout (R = 0.254) than cleanliness as servicescape strategies to
2
the aesthetics facilities (R =0.163) as per enhance the customer satisfaction in this
adjusted R2 statistics indicated in the above area. Thus, facilitate such as car parking
table 3.4(b). center near, child playground near to the
supermarket place are significant under the
4. RECOMMENDATIONS
Supermarket management must keen on layout. Accordingly, identifying the
creating a supportive and pleasant service cleanliness facilities and appropriate
769
supermarket layout to be provided to the Backman, S.J., and Crompton, J.L. (1991).
customers in order to enhance their Differentiation between high, spurious,
satisfaction which leads to customer loyalty latent, and low loyalty participants in
is significant. two leisure activities, Journal of Park
and Recreation Administration, 9,(2) 1-
5.SUGGESTION FOR FUTURE 17
RESEARCH Babin, B.J. and Darden, W.R. (1996), “Good
and bad shopping vibes: spending and
This study was only focus on the one patronage satisfaction”, Journal of
particular district, and involved in particular Business Research, Vol. 35, pp. 201-6.
sector as supermarket. In this study, Bagozzi, R. P. and Yi, Y. (1988). On the
researchers have focused the influence of the evaluation of structural equation
Servicescape on the customer satisfaction. model, Spring publication
Future research direction should find out the Baker.J.,Parasuraman., Grewal., & Voss.
other service quality factors to influence the (2002). The Influence of Multiple Store
customer satisfaction in the supermarkets. Environment Cues on Perceived
The servicescape facilities provided to the Merchandise Value and Patronage
customers should be compared with that of Intentions, Journal of Marketing, 66,
other district supermarkets. Furthermore, 120-141
future research direction should be to find Baker, J., Grewall, D,.and Levy, M.
out the servicescape strategies influence on (1992).An Experimental Approach to
customer satisfaction in other sector like Making Recall Store Environmental
hotel sector, banking sector and medical Approach to Making Recall Store
clinic sector, etc. Also, qualitative Environmental Decisions, Journal of
methodology can be taken as a future Retailing, 68, (Winter), 445-60
consideration for doing the same research in Barlett, 1950., Test of significance in factor
the same sector, and in the other sector as analysis, British journal of
well. mathematical and statistical
psychology, the British psychological
REFERENCES society
Barnes, J.G. (1994). Close to the customer:
Andreu. Bigne. Chumpitaz.,andSwaen.
but is it really relationship?, Journal of
(2006). How Does the Perceived Retail
Marketing Management , 10, pp.561-
Environment Influence Consumers'
570
Emotional Experience? Evidence from
Bitner, M.J. (1992). Servicescapes: The
Two Retail Settings, International
impact of physical surroundings on
Review of Retail, Distribution and
customers and employees. Journal of
Consumer Research, 16(5), 559 578
Marketing, 56, 57-71
770
Bloemer, J. (1998). Investigating derivers of Carpenter, J. M., and Fairhurst, A.
bank loyalty: the complex relationship (2005).Consumer shopping value,
between image, service quality and satisfaction, and loyalty for retail
satisfaction, International Journal of apparel brands, Journal of fashion
Bank Marketing, 16(7), 276-286. marketing and management, Emerald
Bloemer, J., &Ruyter, K. (1998).On the group publishing limited, 9 (3), 256-
Relationship between Store Image, 269
Store Satisfaction and Store Loyalty, Caruana, A. (2002) Service Quality: the
European Journal of Marketing, 32 effect of service quality and the
(5/6), 499-513 mediating role of customer satisfaction,
Bloemer, J. (1998).On the relationship European Journal of Marketing, MCB
between store image, store satisfaction press ltd, 36 (7/8),811-828
and store loyalty, European Journal of Churchill, G.A.J., and suprenant, C.
Marketing, MCB University press, 32 (1982).An investigation into the
(5/6),499-513 determine of customer satisfaction,
Bowen, J.T., and Chen, S.L. (2001).The Journal of Marketing Research, XIX,
Relationship between customer loyalty November, 495-504
and customer satisfaction, published Claxton, J.D., and Brent-Ritchie, J.R.
International Journal of contemporary (1979).Consumer pre-purchase
hospitality Management, 13(5),213- shopping problems: a focus on the
217 retailing component, Journal of
Brown, G. J (1970), the number of Retailing, 55, 24-43.
alternatives for optimum test reliability, Crawley, A.E. (1993). Thetwo-dimensional
Journal of Educational Measurement, impact of colour on shopping,
12(2), 109-112 Marketing Letters, 4,59-69.
Brunner,T.A.,Stocklin, M., and Opwis, K. Cronbach, L. J. (1951). Coefficient alpha
(2008).Satisfaction, image and loyalty: and the internal structure of tests.
new versus experienced customers, Psychometrika. 16, 297-334.
European Journal of Marketing, Kim, M.K., Park, M.C. and Jeong, D.H.,
Emerald Group Publishing Ltd, 42 (2004)., The effects of customer
(9/10),1095-1105 satisfaction and switching barrier on
Bucklin, Randolph E., and V. Srinivasan servicescape in Korean mobile
(1991), “determining Inter-brand telecommunication services. 28, pp.
Sustainability through survey 145-159.
measurement of consumer preference Shajahan.S (2006)., Relationship
structures, “Journal of Marketing Marketing: Text and cases. Tata
research, 28 (Feb), 58-71 McGraw-Hill. New Delhi
771
Sivadas, E. and Baker-Prewitt, J.L. (2000)., only key to store loyalty , Marketing
An examination of the relationship Intelligence & Planning Vol. 23 No. 2,
between service quality, customer 2005 pp. 220-232
satisfaction, and store loyalty. Hallowell, R (2005), The relationships of
International Journal of Retail and customer satisfaction, servicescape,
Distribution Management. 28 (2), pp. and profitability: an empirical study,
73-82. International Journal of Service
Stone, M., Woodcock, N. and Machtynger, Industry Management, Vol. 7 No. 4,
L. (2000)., Customer relationship Carpenter, J. M and Fairhurst, A (2005)
marketing: get to know your customers Consumer shopping value, satisfaction,
and win their loyalty. 2nd ed. London and ail apparel brands, Journal of
Story, J. and Hess, 1. (2006)., Segmenting Fashion Marketing and Management
Mario J. Miranda, La´szlo´ Końya Vol. 9 No. 3, 2005 pp. 256-269
Shoppers' satisfaction levels are not the
772
View publication stats

The Impact of Railway Transport Service Quality On Passengers' Satisfaction A Study Based On Kandy Railway Station

Uploaded by

Copyright:

Available Formats

The Impact of Railway Transport Service Quality On Passengers' Satisfaction A Study Based On Kandy Railway Station

Uploaded by

Document Information

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

The Impact of Railway Transport Service Quality On Passengers' Satisfaction A Study Based On Kandy Railway Station

Uploaded by

Copyright:

Available Formats

See discussions, stats, and author profiles for this publication at: https://www.researchgate.

THE IMPACT OF RAILWAY TRANSPORT SERVICE QUALITY ON

Conference Paper · July 2016

The user has requested enhancement of the downloaded file.

THE IMPACT OF RAILWAY TRANSPORT SERVICE

Keywords: Customer satisfaction, Service quality, SERVQUAL model

Source Survey data 2015

Majority (around 55%) of the local

Majority of the sample respondents are

Source Survey data 2015

4.2 Multiple Regression Analysis.

Source Survey data 2015

Table 8 included the correlation coefficients

Table 7: Correlation coefficients between the considered variables related to

Table 8: Correlation coefficients between the considered variables related to

Table 9: Summarized correlation coefficient

PRICE FORECASTING OF JACK FRUIT USING SARIMA

Keywords: Jack fruit, Multiplicative decomposition analysis, Price forecasting, SARIMA

Decomposition procedures are used in time

Null hypothesis (H 0 ): There is no 800

Decision rule: If P-value is less than 0.05, H0

Price of Jack fruit per one

Percent Variation by Season Res iduals by Season 0

CUSTOMER PERSPECTIVE TOWARDS SERVICE QUALITY

1. INTRODUCTION organizational performance. Customer

Figure1 -Conceptual framework of the study

Descriptive statistics, Multiple Regression 4. RESULTS AND ANALYSIS

4.2 Descriptive Statistics

Source- Survey data 2016

Statistical analysis of this study says that

STP STRATEGIES AND CUSTOMER DEMAND OF PRIVATE

1. BACKGROUND OF THE STUDY introducing new attract scheme, providing

AN EMPIRICAL INVESTIGATION INTO THE WORD OF

8. PROFILE OF STUDY AREA 9.1 Pilot Study

The convinent sampling method has been

Exhibit 1: Sample size

The factor analysis by principal component 10.2 Impact of WOM Communication on

Table 2: Manifest variables and latent variable for influence of WOM

Table 3: Regression weights for influence of WOM

The standardized estimates for the fitted

The relationships and model fit between

Table 5: Model fit indices for influence of WOM

THE RELATIONSHIP BETWEEN

Keywords: Business performance, Customer experience management, Financial

Deductive reasoning approach will be more

sampling and data collection, and According to (Grønholdt, Martensen,

According to the following Table the reliable 3. DATA ANALYSIS

Source: Compiled by Author; 2016 Source: Compiled by Author; 2016

Source: Compiled by Author; 2016

Source: Compiled by Author; 2016

5. CONCLUSIONS AND Suggested recommendations are as follows,

MEASURING THE QUALITY OF SERVICE OF UNIVERSITY

Keywords: SERVQUAL, University of Sri Jayewardenepura, Undergraduates, Service

1 INTRODUCTION Quality Gap and when the perceived quality

Delivering quality service is considered an Therefore, in this research measure the

2.2 The Population and Sample

Descriptive statistics, paired sample t-test,

3. DATA ANALYSIS AND

1= Mean points for perception about quality