The impacts of perceived service-dominant orientation dimensions on customer satisfaction, leading to repurchase intentions : A study of package tour sector.

Abstract

This study attempts to identify the relationship between six components of service-dominant orientation and customer satisfaction, and to investigate the effect of customer satisfaction on repurchase intentions of customers who use the package tour service of travel companies. Data were conveniently collected at tourist attractions and airports in Da Nang and Ho Chi Minh City (HCMC). The study employed SPSS 20.0 and AMOS 20.0 for analyzing data and assessing the SEM model. The unit of analysis was at individual level with the sample size of 342 tourists in Da Nang and HCMC. The findings of this study showed that the higher levels of relational interaction, ethical interaction, empowered interaction and developmental interaction, the higher level of customer satisfaction. In turn, customer satisfaction plays crucial roles and significantly affect repurchase intentions. Based on the results of Structural Equation Modeling (SEM), this study provided managerial implications in enhancing co-creation and service-dominant orientation, especially focusing on developmental interaction, ethical interaction, relational interaction, empowered interaction to satisfy customers with good package tour service. This would increase the level of repurchase intentions and build the differentiation for long term success. Key words: Customer Satisfaction, Package tour service, Repurchase Intentions, Service-dominant orientation.