Preliminary communication
https://doi.org/10.30924/mjcmi.27.1.10
Contracts versus relationship intention as indicator of customer trust in and commitment to cell phone service providers: An exploratory study
Derik Steyn
orcid.org/0000-0001-5107-282X
; University of Oklahoma, Michael F. Price College of Business, Division of Marketing and Supply Chain Management, USA
Pierre Mostert
orcid.org/0000-0002-4046-3312
; University of Pretoria, Faculty of Economic and Management Sciences, Department of Marketing Management
Abstract
Social exchange theory postulates long-term customer-company relationships are built on trust and commitment. Cell phone service providers seek to secure the trust and commitment of their customers through service contracts. Relationship intention (RI) is a more precise measure of customer trust and commitment. This paper compares the trust of cell phone service customers and their commitment to cell phone service providers based on customers’ contract status and RI classification. Data from 1,473 cell phone customers from South Africa (n = 589) and the Philippines (n = 884) were analyzed. The study shows for both the South African and Philippine samples that there is no relationship between respondents’ contract status and their trust in or commitment to cell phone service providers and that trust in or commitment to cell phone service providers is significantly higher among high relationship intention (HRI) customers than among low relationship intention (LRI) customers. RI is a stronger indicator of customers’ trust in and commitment to cell phone service providers than contracts in both countries. This makes HRI customers more receptive to relationship marketing strategies than customers with contracts or LRI customers, as HRI customers trust and commit to cell phone service providers significantly more.
Keywords
trust; commitment; relationship marketing; cell phone industry; contract; relationship intention; emerging markets
Hrčak ID:
276084
URI
Publication date:
28.6.2022.
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