A planned study of the impact of B2C logistics service quality on shopper satisfaction and loyalty
DOI:
https://doi.org/10.7433/s95.2014.05Keywords:
Logistics service quality (LSQ), business to consumer (B2C), retail logistics, satisfaction, loyalty, in-store logisticsAbstract
Purpose of the paper: This paper reports on an in-progress study of the impact of business to consumer (B2C) logistics service quality (LSQ) on in-store shopper satisfaction and loyalty.
Methodology: A comparative research approach is being used across the UK, France and Germany to also investigate country-specific differences of consumer shopping behaviour and channel strategies. The first stage, in-line with a deliberate integrated supply chain approach, consists of structured in-depth interviews conducted with managers at the producer/retailer interface, e.g. producer category captains and retail category managers. This qualitative stage will be followed-up by a quantitative survey stage targeting consumers as shoppers to determine how their expectations of retail LSQ and associated activities influence their satisfaction and ongoing loyalty.
Findings: A broad literature review has generated over 40 variables of interest for both LSQ and loyalty, and almost 10 variables of satisfaction. This study will contribute theoretically by considering a B2C setting for LSQ, which is the final aspect of point of origin to point-of-consumption, whereas most general LSQ literature and LSQ’s impact on customer satisfaction and loyalty has been dominated by business to business (B2B) designs from point-of-origin to point of sale, that is they assume consumer expectations are a given or a different domain.
Research limitations: Although covering three major European grocery retail markets, this study might not be considered as representative, especially when adopting a world-wide perspective.
Practical implications: As this study emphasises consequences of B2C LSQ on downstream or consumer satisfaction and loyalty, rather than considering the upstream origins of related problems that dominate extant research, it will contribute practically by providing managers with an understanding of the components of LSQ considered critical by consumers.
Originality of the paper: LSQ in this study is considered to be a holistic concept and not limited to specific dimensions and trade-offs, for example on-shelf availability versus out-of-stock situations.
References
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BEI L.T., CHIAO Y.C. (2001), “An integrated model for the effects of perceived product, perceived service quality, and perceived price fairness on consumer satisfaction and loyalty”, Journal of Consumer Satisfaction, Dissatisfaction and Complaining Behavior, vol. 14, pp. 125-140.
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BIENSTOCK CC., MENTZER J.T., BIRD M.M. (1997), “Measuring physical distribution service quality”, Journal of the Academy of Marketing Science, vol. 25, n. 1, pp. 31-44.
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DABHOLKAR P.A., OVERBY J.W. (2005), “Linking process and outcome to service quality and customer satisfaction evaluations”, International Journal of Service Industry Management, vol. 16, n. 1, pp. 10-27.
DANAHER P.J., MATTSON J. (1994), “Customer satisfaction during the service delivery process”, European Journal of Marketing, vol. 28, n. 5, pp. 5-16.
DICK A.S., BASU K. (1994), “Customer loyalty: toward an integrated conceptual framework”, Journal of the Academy of Marketing Science, vol. 22, n. 2, pp. 99-113.
DUNN S.C., SEAKER R.F., WALLER M.A. (1994), “Latent Variables in Business Logistics Research: Scale Development and Validation”, Journal of Business Logistics, vol. 15, n. 2, pp. 145-172.
FERNIE J., GRANT D.B. (2008), “On-shelf availability: The case of a UK grocery retailer”, International Journal of Logistics Management, vol. 19, n. 3, pp. 293-308.
GANESH J., ARNOLD M.J., REYNOLDS K.E. (2000), “Understanding the customer base of service providers: an examination of the differences between switchers and stayers”, Journal of Marketing, vol. 64, n. 3, pp. 65-87.
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GÖPFERT I., WEHBERG G. (1995), Ökologieorientiertes Logistik-Marketing, W. Kohlhammer, Stuttgart.
GRANT D.B., PHILIPP B. (2014), “Does B2C online logistics service quality impact urban logistics?”, 4th colloquium of urban logistics (LEMNA/ university), Nantes.
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GRANZIN K.L., PAINTER J.J., BAHN K.D. (2005. “An empirical test of households’ participation in the distribution supply chain process”, Journal of Marketing Channels, vol. 12, n. 4, pp. 67-89.
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HARRIS K., HARRIS R., BARON S. (2001), “Customer participation in retail service: lessons from Brecht”. International Journal of Retail & Distribution Management, vol. 29, n. 8, pp. 359-369.
HUDDLESTON P., WHIPPLE J., MATTICK R.N., LEE S.J. (2009), “Customer satisfaction in food retailing: comparing specialty and conventional grocery stores”, International Journal of Retail & Distribution Management, vol. 37, n. 1, pp. 63-80.
HUTCHESON G.D., MOUTINHO L. (1998), “Measuring preferred store satisfaction using consumer choice criteria as a mediating factor”, Journal of Marketing Management, vol. 14, n. 7, pp. 705-720.
IGD (2014), “Retail Fact Sheet”, http://www.igd.com/ [Accessed 26 March 2014].
INNIS D.E., LA LONDE B.J. (1994), “Customer Service: The Key to Customer Satisfaction, Customer Loyalty, and Market Share”, Journal of Business Logistics, vol. 15, n. 1, pp. 1-27.
JONES T., TAYLOR S.F. (2007), “The conceptual domain of service loyalty: how many dimensions?” Journal of Services Marketing, vol. 21, n. 1, pp. 36-51.
KÄMÄRÄINEN V., PUNAKIVI M. (2002), “Developing Cost-effective Operations for the e-Grocery Supply Chain”, International Journal of Logistics: Research and Applications, vol. 5, n. 3, pp. 286-298.
KLUMPP M., JASPER A. (2008), “Success Factors for Retail Logistics in an E-commerce environment”, Sineuropean Engineering Research Journal, vol. 1, pp. 63-68.
LA LONDE B.J., ZINSZER P.H. (1991), “Customer service: meaning and measurement”, in Ballou, R. (ed.), Logistica empresarial, control y planificacion, Ediciones Diaz de Santos, Madrid.
LIU X., HE M., GAO F., XIE P. (2008), “An empirical study of online shopping customer satisfaction in China: a holistic perspective”, International Journal of Retail & Distribution Management, vol. 36, n. 11, pp. 919-940.
MCKINNON A.C., MENDES D., NABABTEH M. (2007), ‘In-store Logistics: an Analysis of On-shelf Availability and Stockout Responses for Three Product Groups’ International Journal of Logistics: Research and Application, vol. 10, n. 3, pp. 251-268.
MENG Q., GRANT D., FERNIE J., (2012), “Improving on-shelf availability and out-of-stocks in non-food retail”, Supply Chain Forum - An International Journal, vol. 13, n. 4, pp. 4-12.
MENTZER J.T., FLINT D.J., KENT J.L. (1999), “Developing a Logistics Service Quality Scale”, Journal of Business Logistics, vol. 20, n. 1, pp. 9-32.
MENTZER J.T., FLINT D.J., HULT G.T. (2001), “Logistics Service Quality as a Segment-Customized Process”, Journal of Marketing, vol. 65 (October), pp. 82-104.
MITRA A., LYNCH J. (1995), “Toward a reconciliation of market power and information theories of advertising effects on price elasticity”, Journal of Consumer Research, vol. 21, n. 4, pp. 644-660.
MYERS H., ALEXANDER N. (2007), “The role of retail internationalisation in the establishment of a European retail structure”, International Journal of Retail & Distribution Management, vol. 35, n. 1, pp. 6-19.
NOVACK R.A., RINEHART L.M., LANGLEY C.J. (1994), “An internal assessment of logistics value”, Journal of Business Logistics, vol. 15, n. 1, pp. 113-152.
PARASURAMAN A., ZEITHAML V.A., BERRY L.L. (1988), “SERVQUAL: a multiple-item scale for measuring customer perceptions of service quality”, Journal of Retailing, vol. 64, n. 1, pp. 12-40.
PARASURAMAN A., ZEITHAML V.A., BERRY L.L. (1985), “A Conceptual Model of Service Quality and Its Implications for Future Research”, Journal of Marketing, vol. 49, (Fall), pp. 41-50.
PERKINS B. (2001), “The European Retail Grocery Market Overview”, British Food Journal, vol. 103, n. 10, pp. 744-748.
PERRAULT W.D., RUSS F.A. (1976), “Physical distribution service in industrial purchase decisions”, Journal of Marketing, vol. 40, n. 2, pp. 3-10.
RAHMAN S. (2006), “Quality management in logistics: an examination of industry practices”, Supply Chain Management: An International Journal, vol. 11, n. 3, pp. 233-240.
SAURA I.G., FRANCES D.S., CONTRI G.B., BLASCO M.F. (2008), “Logistics service quality: a new way to loyalty”, Industrial Management & Data Systems, vol. 108, n. 5, pp. 650-668.
SHARMA A.G., GREWAL D., LEVY M. (1995), “The Customer Satisfaction/Logistics Interface”, Journal of Business Logistics, vol. 16, n. 2, pp. 1-21.
TELLER C., KOTZAB H., GRANT D.B. (2006), “The consumer direct services revolution in grocery retailing: An exploratory investigation”, Managing Service Quality, vol. 16, n. 1, pp. 78-96.
TELLER C., KOTZAB H., GRANT D.B. (2012), “The relevance of shopper logistics for consumers of store-based retail formats”, Journal of Retailing and Consumer Services, vol. 19, n. 1, pp. 59-66.
THAI V. (2013), “logistics service quality: conceptual model and empirical evidence”, International Journal of Logistics: Research & Applications, vol. 16, n. 2, pp. 114-131.
THIRUMALAI S., SINHA K.K. (2004), “Customer satisfaction with order fulfillment in retail supply chains: implications of product type in electronic B2C transactions”, Journal of Operations Management, vol. 23, n. 3-4, pp. 291-303.
THOMASSON E. (2014), “German grocers push upmarket in cut-throat retail race”, http://www.reuters.com/article/2014/02/14/us-retail-germany-analysis-idUSBREA1D0OJ20140214 [accessed 15 March 2014].
WONG A., SOHAL A. (2003), “Service quality and customer loyalty perspectives on two levels of retail relationships”, Journal of Services Marketing, vol. 17, n. 5, pp. 495-513.
XING Y., GRANT D.B. (2006), “Developing a framework for measuring physical distribution service quality of multi-channel and pure player internet retailers”, International Journal of Retail & Distribution Management, vol. 34, n. 4/5, pp. 278-289.
XING Y., GRANT D.B., MCKINNON A.C., FERNIE J. (2011), “The Interface between retailers and logistics service providers in the online market”. European Journal of Marketing, vol. 45, n. 3, pp. 334-357.
ZEITHAML V.A., BERRY L.L., PARASURAMAN A. (1996), “The behavioural consequences of service quality”, Journal of Marketing, vol. 60, n. 2, pp. 31-46.
ZHANG Q., VONDEREMBSE M.A., LIM J.S., (2005), “Logistics flexibility and its impact on customer satisfaction”, International Journal of Logistics Management, vol. 16, n. 1, pp. 71-95.
ANDREASSEN T.W., LINDESTAD A. (1998), “Customer loyalty and complex services: the impact of corporate image on quality, customer satisfaction and loyalty for customers with varying degrees of service expertise”, International Journal of Service Industry Management, vol. 9, n. 1, pp. 7-23.
BANSAL H.S., TAYLOR S.F. (1999), “The service provider switching model: a model of consumer switching behaviour in the services industry”, Journal of Service Research, vol. 2, n. 2, pp. 200-218.
BARNES J.G. (1997), “Closeness, strength, and satisfaction: examining the nature of relationships between providers of financial services and their retail customers”, Psychology and Marketing, vol. 14, n. 8, pp. 765-790.
BEI L.T., CHIAO Y.C. (2001), “An integrated model for the effects of perceived product, perceived service quality, and perceived price fairness on consumer satisfaction and loyalty”, Journal of Consumer Satisfaction, Dissatisfaction and Complaining Behavior, vol. 14, pp. 125-140.
BETTENCOURT L.A. (1997), “Customer voluntary performance: customers as partners in service delivery”, Journal of Retailing, vol. 73, n. 3, pp. 383-406.
BIENSTOCK C.C., ROYNE M.B., SHERREL D., STAFFORD T.F. (2008), “A expanded model of logistics service quality: incorporating logistics information technology”, International Journal of Production Economics, vol. 113, n. 1, pp. 5-22.
BIENSTOCK CC., MENTZER J.T., BIRD M.M. (1997), “Measuring physical distribution service quality”, Journal of the Academy of Marketing Science, vol. 25, n. 1, pp. 31-44.
BOUZAABIA R., BOUZAABIA O., CAPATINA A. (2013), “Retail Logistics service quality: a cross-cultural survey on customer perceptions”, International Journal of Retail & Distribution Management, vol. 41, n. 8, pp. 627-647.
CHURCHILL G.A. (1979), “A Paradigm for Developing Better Measures of Marketing Constructs”, Journal of Marketing Research, vol. 16 (February), pp. 64-73.
COLIN J., FABBE-COSTES N. (1995), “Les stratégies développées par les prestataires logistiques confrontés à la tentation des chargeurs de réintégrer des opérations logistiques”, 7th world conference on transport research, Sidney.
DABHOLKAR P.A., THORPE D.I., RENTZ J.O. (1996), “A measure of service quality for retail stores: scale development and validation”, Journal of the Academy of Marketing Science, vol. 24, n. 1, pp. 3-16.
DABHOLKAR P.A., OVERBY J.W. (2005), “Linking process and outcome to service quality and customer satisfaction evaluations”, International Journal of Service Industry Management, vol. 16, n. 1, pp. 10-27.
DANAHER P.J., MATTSON J. (1994), “Customer satisfaction during the service delivery process”, European Journal of Marketing, vol. 28, n. 5, pp. 5-16.
DICK A.S., BASU K. (1994), “Customer loyalty: toward an integrated conceptual framework”, Journal of the Academy of Marketing Science, vol. 22, n. 2, pp. 99-113.
DUNN S.C., SEAKER R.F., WALLER M.A. (1994), “Latent Variables in Business Logistics Research: Scale Development and Validation”, Journal of Business Logistics, vol. 15, n. 2, pp. 145-172.
FERNIE J., GRANT D.B. (2008), “On-shelf availability: The case of a UK grocery retailer”, International Journal of Logistics Management, vol. 19, n. 3, pp. 293-308.
GANESH J., ARNOLD M.J., REYNOLDS K.E. (2000), “Understanding the customer base of service providers: an examination of the differences between switchers and stayers”, Journal of Marketing, vol. 64, n. 3, pp. 65-87.
GIESE J.L., COTE J.A. (2000), “Defining consumer satisfaction”, Academy of Marketing Science Review [http://amsreview.org/articles/giese01-2000.pdf], pp. 1-24.
GÖPFERT I., WEHBERG G. (1995), Ökologieorientiertes Logistik-Marketing, W. Kohlhammer, Stuttgart.
GRANT D.B., PHILIPP B. (2014), “Does B2C online logistics service quality impact urban logistics?”, 4th colloquium of urban logistics (LEMNA/ university), Nantes.
GRANT D.B. (2003), A Study of Customer Service, Customer Satisfaction and Service Quality in the Logistics Function of the UK Food Processing Industry PhD thesis, Edinburgh.
GRANT D.B. (2012), Logistics Management. Harlow UK, Pearson Education.
GRANZIN K.L., PAINTER J.J., VALENTIN E.K. (1997), “Consumer logistics as a basis for segmenting retail markets: an exploratory inquiry”, Journal of Retailing and Consumer Services, vol. 4, n. 2, pp. 99-107.
GRANZIN K.L., PAINTER J.J., BAHN K.D. (2005. “An empirical test of households’ participation in the distribution supply chain process”, Journal of Marketing Channels, vol. 12, n. 4, pp. 67-89.
GRIFFIN J. (1996), “The Internet’s expanding role in building customer loyalty”, Direct Marketing, vol. 59, n. 7, pp. 50-53.
HANDFIELD R., STRAUBE F., PFOHL H.C., WIELAND A. (2013), Trends and strategies in logistics and supply chain management DVV Media Group, Bremen.
HARRIS K., HARRIS R., BARON S. (2001), “Customer participation in retail service: lessons from Brecht”. International Journal of Retail & Distribution Management, vol. 29, n. 8, pp. 359-369.
HUDDLESTON P., WHIPPLE J., MATTICK R.N., LEE S.J. (2009), “Customer satisfaction in food retailing: comparing specialty and conventional grocery stores”, International Journal of Retail & Distribution Management, vol. 37, n. 1, pp. 63-80.
HUTCHESON G.D., MOUTINHO L. (1998), “Measuring preferred store satisfaction using consumer choice criteria as a mediating factor”, Journal of Marketing Management, vol. 14, n. 7, pp. 705-720.
IGD (2014), “Retail Fact Sheet”, http://www.igd.com/ [Accessed 26 March 2014].
INNIS D.E., LA LONDE B.J. (1994), “Customer Service: The Key to Customer Satisfaction, Customer Loyalty, and Market Share”, Journal of Business Logistics, vol. 15, n. 1, pp. 1-27.
JONES T., TAYLOR S.F. (2007), “The conceptual domain of service loyalty: how many dimensions?” Journal of Services Marketing, vol. 21, n. 1, pp. 36-51.
KÄMÄRÄINEN V., PUNAKIVI M. (2002), “Developing Cost-effective Operations for the e-Grocery Supply Chain”, International Journal of Logistics: Research and Applications, vol. 5, n. 3, pp. 286-298.
KLUMPP M., JASPER A. (2008), “Success Factors for Retail Logistics in an E-commerce environment”, Sineuropean Engineering Research Journal, vol. 1, pp. 63-68.
LA LONDE B.J., ZINSZER P.H. (1991), “Customer service: meaning and measurement”, in Ballou, R. (ed.), Logistica empresarial, control y planificacion, Ediciones Diaz de Santos, Madrid.
LIU X., HE M., GAO F., XIE P. (2008), “An empirical study of online shopping customer satisfaction in China: a holistic perspective”, International Journal of Retail & Distribution Management, vol. 36, n. 11, pp. 919-940.
MCKINNON A.C., MENDES D., NABABTEH M. (2007), ‘In-store Logistics: an Analysis of On-shelf Availability and Stockout Responses for Three Product Groups’ International Journal of Logistics: Research and Application, vol. 10, n. 3, pp. 251-268.
MENG Q., GRANT D., FERNIE J., (2012), “Improving on-shelf availability and out-of-stocks in non-food retail”, Supply Chain Forum - An International Journal, vol. 13, n. 4, pp. 4-12.
MENTZER J.T., FLINT D.J., KENT J.L. (1999), “Developing a Logistics Service Quality Scale”, Journal of Business Logistics, vol. 20, n. 1, pp. 9-32.
MENTZER J.T., FLINT D.J., HULT G.T. (2001), “Logistics Service Quality as a Segment-Customized Process”, Journal of Marketing, vol. 65 (October), pp. 82-104.
MITRA A., LYNCH J. (1995), “Toward a reconciliation of market power and information theories of advertising effects on price elasticity”, Journal of Consumer Research, vol. 21, n. 4, pp. 644-660.
MYERS H., ALEXANDER N. (2007), “The role of retail internationalisation in the establishment of a European retail structure”, International Journal of Retail & Distribution Management, vol. 35, n. 1, pp. 6-19.
NOVACK R.A., RINEHART L.M., LANGLEY C.J. (1994), “An internal assessment of logistics value”, Journal of Business Logistics, vol. 15, n. 1, pp. 113-152.
PARASURAMAN A., ZEITHAML V.A., BERRY L.L. (1988), “SERVQUAL: a multiple-item scale for measuring customer perceptions of service quality”, Journal of Retailing, vol. 64, n. 1, pp. 12-40.
PARASURAMAN A., ZEITHAML V.A., BERRY L.L. (1985), “A Conceptual Model of Service Quality and Its Implications for Future Research”, Journal of Marketing, vol. 49, (Fall), pp. 41-50.
PERKINS B. (2001), “The European Retail Grocery Market Overview”, British Food Journal, vol. 103, n. 10, pp. 744-748.
PERRAULT W.D., RUSS F.A. (1976), “Physical distribution service in industrial purchase decisions”, Journal of Marketing, vol. 40, n. 2, pp. 3-10.
RAHMAN S. (2006), “Quality management in logistics: an examination of industry practices”, Supply Chain Management: An International Journal, vol. 11, n. 3, pp. 233-240.
SAURA I.G., FRANCES D.S., CONTRI G.B., BLASCO M.F. (2008), “Logistics service quality: a new way to loyalty”, Industrial Management & Data Systems, vol. 108, n. 5, pp. 650-668.
SHARMA A.G., GREWAL D., LEVY M. (1995), “The Customer Satisfaction/Logistics Interface”, Journal of Business Logistics, vol. 16, n. 2, pp. 1-21.
TELLER C., KOTZAB H., GRANT D.B. (2006), “The consumer direct services revolution in grocery retailing: An exploratory investigation”, Managing Service Quality, vol. 16, n. 1, pp. 78-96.
TELLER C., KOTZAB H., GRANT D.B. (2012), “The relevance of shopper logistics for consumers of store-based retail formats”, Journal of Retailing and Consumer Services, vol. 19, n. 1, pp. 59-66.
THAI V. (2013), “logistics service quality: conceptual model and empirical evidence”, International Journal of Logistics: Research & Applications, vol. 16, n. 2, pp. 114-131.
THIRUMALAI S., SINHA K.K. (2004), “Customer satisfaction with order fulfillment in retail supply chains: implications of product type in electronic B2C transactions”, Journal of Operations Management, vol. 23, n. 3-4, pp. 291-303.
THOMASSON E. (2014), “German grocers push upmarket in cut-throat retail race”, http://www.reuters.com/article/2014/02/14/us-retail-germany-analysis-idUSBREA1D0OJ20140214 [accessed 15 March 2014].
WONG A., SOHAL A. (2003), “Service quality and customer loyalty perspectives on two levels of retail relationships”, Journal of Services Marketing, vol. 17, n. 5, pp. 495-513.
XING Y., GRANT D.B. (2006), “Developing a framework for measuring physical distribution service quality of multi-channel and pure player internet retailers”, International Journal of Retail & Distribution Management, vol. 34, n. 4/5, pp. 278-289.
XING Y., GRANT D.B., MCKINNON A.C., FERNIE J. (2011), “The Interface between retailers and logistics service providers in the online market”. European Journal of Marketing, vol. 45, n. 3, pp. 334-357.
ZEITHAML V.A., BERRY L.L., PARASURAMAN A. (1996), “The behavioural consequences of service quality”, Journal of Marketing, vol. 60, n. 2, pp. 31-46.
ZHANG Q., VONDEREMBSE M.A., LIM J.S., (2005), “Logistics flexibility and its impact on customer satisfaction”, International Journal of Logistics Management, vol. 16, n. 1, pp. 71-95.
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2018-10-28
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