Service quality and customer retention: building long‐term relationships

Abstract

The study extends the existing knowledge by taking a relationship perspective to study the effect of service quality on customer retention. We integrate business‐to‐business marketing literature with service quality literature to develop a model to capture relationship commitment and other influencing factors. The model is improved with help of semi‐structured interviews which is later tested through a survey of 241 companies in the advertising sector. Findings indicate that service quality indeed contributes to the long‐term relationships and customer retention.