Customer commitment of non-contract customers in the South African cellphone industry

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dc.contributor.advisor Prof. Danie Petzer en_US
dc.contributor.author Mhlongo, Belinda Madumelani
dc.date.accessioned 2012-10-29T07:49:41Z
dc.date.available 2012-10-29T07:49:41Z
dc.date.issued 2012-10-29
dc.date.submitted 2011-01
dc.identifier.uri http://hdl.handle.net/10210/7928
dc.description M.Comm. en_US
dc.description.abstract The number of cellphone users in South Africa has surpassed that of fixed telephone users (Thornton, Carrim, Mtshaulana & Reburn, 2006:23). Cellphone service providers are engaged in price wars and vie for market share offering special deals to both contract and non-contract customers. The three main players in this industry at the time of the study were Vodacom, MTN and Cell C (Mungadze, 2010:1). Contract customers are locked into contracts and switching from one service provider to another is not always easy. Non-contract cellphone customers, however, do not commit easily, since there are no switching costs involved and there is no legal agreement that binds them to a particular service provider (Bolton, Kannan & Bramlet, 2000:96). The main purpose of this study was to investigate the commitment of non-contract customers to cellphone network service providers in the South-African. A self-administered questionnaire was utilised for this study to gather information about the customer commitment of non-contract cellphone users in South Africa. A convenience sampling method was used in this study to select and co-opt 200 respondents. The research study was descriptive in nature and quantitative methods were used to execute the empirical part of the research. Customer commitment and four determinants or factors influencing customer commitment namely, customer satisfaction, service quality, switching behaviour and trust were further investigated. The findings indicated that respondents are committed to their cellphone network service provider. The majority of the respondents have been with their current cellphone network service provider for more than three years. Findings indicate that there is a strong correlation between individual customer commitment and customer satisfaction, service quality and trust. The relationship between customer commitment and willingness to switch is slight. It can be concluded that most respondents are committed to their network service provider and have been it for more than three years. It can thus be recommended that the cellphone industry needs to create an extensive retention strategy programmes to keep their loyal customers. The cellphone business must be committed in building long-term relationship with the customer in order to maintain existing customers. This will result in an increase in profits for the business (Walter, Mueller & Helfert, 2000:3). en_US
dc.language.iso en en_US
dc.subject Cell phone services industry en_US
dc.subject Brand loyalty en_US
dc.subject Brand name products
dc.title Customer commitment of non-contract customers in the South African cellphone industry en_US
dc.type Mini-Dissertation en_US

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