Customer Orientation and Cross-Buying: The Mediating Effects of Relational Selling Behavior and Relationship Quality

Su-Yin Lin

Abstract


This study explores customer orientation whether to influences cross-buying of bank customers. Using structural equation modeling to verify overall model this study proposed and test two sets of mediators namely relational selling behavior (interaction intensity and mutual disclosure of information) and relationship quality (satisfaction and trust), the results indicate: 1. The customer orientation positively influences both the interaction intensity and mutual disclosure of information which in turn influence customer satisfaction and trust respectively; in addition, trust positively influences cross-buying, but satisfaction does not. 2. Relational selling behavior plays a mediation role between customer orientation and relationship quality; however, relationship quality does not have a mediation effect between relational selling behavior and cross-buying.

Full Text:

PDF

References


Ali, H., & Birley, S. (1998). The role of trust in the marketing activities of entrepreneurs establishing new ventures. Journal of Marketing Management, 14(7), 749-763.

Ambler, T., Bhattacharya, C. B., Edell, J., Keller, K. L., Lemon, K. N., & Mittal, V. (2002). Relating brand and customer perspectives on marketing management. Journal of Service Research, 5(1), 13-25.

Anderson, E. W., Fornell, C., & Lehmann, D. R. (1994). Customer satisfaction, market share, and profitability: Findings from Sweden. Journal of Marketing, 58(3), 53-66.

Anderson, E. W., & Sullivan, M. W. (1993). The antecedents and consequences of customer satisfaction for firms. Marketing Science, 12(2), 125-143.

Anderson, J. C., & Narus, J. A. (1990). A model of distributor firm and manufacturer firm working partnerships. Journal of Marketing, 54(1), 42-58.

Armstrong, G., & Kotler, P. (2000). Marketing: An introduction (5th ed.). New Jersey: Prentice Hall.

Auh, S. (2005). The effects of soft and hard service attributes on loyalty: The mediating role of trust,” The Journal of Services Marketing, 19(2), 81-92.

Baker, T. L., Simpson, P. M., & Siguaw, J. A. (1999). The impact of suppliers’ perceptions of reselling market orientation on key relationship constructs. Journal of the Academy of Marketing Science, 27(1), 50-57.

Barnes, J. G. (2001). Secrets of customer relationship management: It’s all about how you make them feel. McGraw-Hill, Inc.

Baron, R. M., & Kenny, D. A. (1986). The moderator-mediator variable distinction in social psychological research: Conceptual, strategic, and statistical considerations. Journal of Personality and Social Psychology, 51(6), 1173-1182.

Bendapudi, N., & Berry, L. L. (1997). Clients’ motivations for maintaining relationships with service providers. Journal of Retailing, 73(1), 15-38.

Berry, L. L. (1995). Relationship marketing of service-growing interest, emerging perspectives. Journal of the Academy of Marketing Science, 23(4), 236-245.

Bloemer, J., Brijs, T., Swinnen, G., & Vanhoof, K. (2002). Identifying latently dissatisfied clients and measures for dissatisfaction management. The International Journal of Bank Marketing, 20(1), 27-37.

Bolton, R. N., & Lemon, K. N. (1999). A dynamic model of customers’ usage of services: Usage as an antecedent and consequence of satisfaction. Journal of Marketing Research, 36(2), 171-186.

Bolton, R. N., Lemon, K. N., & Verhoef, P. (2004). The theoretical underpinnings of customer asset management: A framework and propositions for future research. Journal of Academy of Marketing Science, 32(3), 271-292.

Cannon, J. P., & Perreault, W. D. (1999). Buyer-seller relationships in business markets. Journal of Marketing Research, 36(4), 439-460.

Cho, J. (2006). The mechanism of trust and distrust formation and their relational outcomes. Journal of Retailing, 82(1), 25-35.

Chow, W. S., Wei, T. C., & Wang, H. W. (2004). Model building and empirical study of customer relationship quality for life insurance industry. Journal of Management and Systems, 11(2), 199-220.

Christy, R., Oliver, G., & Peen, J. (1996). Relationship marketing in consumer markets. Journal of Marketing Management, 12(1-3), 175-187.

Crosby, L. A., Evans, K. R., & Cowles, D. (1990). Relationship quality in services selling: An interpersonal influence perspective. Journal of Marketing, 54(3), 68-81.

Daniel, H. M. (2001). A conceptual model of building and maintaining relationships between manufacturers’ representatives and their principals. Industrial Marketing Management, 30(2), 165-181.

De Wulf, K., Odekerken-Schröder, G., & Iacobucci, D. (2001). Investments in consumer relationships: A cross-country and cross-industry exploration. Journal of Marketing, 65(4), 33-50.

Delgado-Ballester, E., & Munuera-Aleman, J. L. (2001). Brand trust in the context of consumer loyalty. European Journal of Marketing, 35(11/12), 1238-1258.

Demarest, M. (1997). Understanding knowledge management. Long Range Planning, 30(3), 374-384.

Doney, P. M., & Cannon, J. P. (1997). An examination of the nature of trust in buyer-seller relationships. Journal of Marketing, 61(2), 35-51.

Dorsch, M. J., Swanson, S. R., & Kelley, S. W. (1998). The role of relationship quality in the stratification of vendors as perceived by customers. Journal of the Academy of Marketing Science, 26(2), 128-42.

Dwyer, F. R., Schurr, P. H., & Oh, S. (1987). Developing buyer-seller relationships. Journal of Marketing, 51(2), 11-27.

Ellinger, A. E., Daugherty, P. J., & Gustin, C. M. (1997). The relationship between integrated logistics and customer service. Transportation Research: Part E, 33(2), 129-138.

Ellinger, A. E., Daugherty, P. J., & Plair, Q. J. (1999). Customer satisfaction and loyalty in supply chain: The role of communication. Transportation Research: Part E, 35(2), 121-134.

Evans, J. R., & Laskin, R. L. (1994). The relationship marketing process: Conceptualization and application. Industrial Marketing Management, 23(5), 439-452.

Flanagan, P., Johnston, R., & Talbot, D. (2005). Customer confidence: The development of a “pre-experience” concept. International Journal of Service Industry Management, 16(3/4), 373-384.

Fornell, C., & Larcker, D. F. (1981). Evaluating structural equation models with unobservable and measurement errors. Journal of Marketing Research, 18(1), 39-50.

Frank, L. J., & Richard, R. (2000). Trust and adaptation in relational contacting. Academy of Management Review, 25(4), 873-882.

Fynes, B., Voss, C., & de Búrca, S. (2005). The impact of supply chain relationship quality on quality performance. International Journal of Production Economics, 96(3), 339-354.

Gao, T., Sirgy, M. J., & Bird, M. M. (2005). Reducing buyer decision-making uncertainty in organizational purchasing: Can supplier trust, commitment, and dependence help? Journal of Business Research, 58(4), 397-405.

Garbarino, E., & Johnson, M. (1999). The different roles of satisfaction, trust, and commitment in customer relationship. Journal of Marketing, 63(2), 70-87.

Genzi, P., & Pelloni, O. (2004). The impact of interpersonal relationships on customer satisfaction and loyalty to the service provider. International Journal of Service Industry Management, 15(3/4), 365-384.

Grönroos, C. (1990). Relational approaches to marketing in service context: The marketing and organizational behavior interface. Journal of Business Research, 20(1), 3-11.

Gutiérrez, S. S., Cillán, J. G., & Izquierdo, C. C. (2004). The consumer’s relational commitment: Main dimensions and antecedents. Journal of Retailing and Consumer Services, 11(6), 351-367.

Hennig-Thurau, T. (2000). Relationship quality and customer retention through strategic communication of customer skills. Journal of Marketing Management, 16(1-3), 55-79.

Hennig-Thurau, T., & Klee, A. (1997). The impact of customer satisfaction and relationship quality and customer retention: A critical reassessment and model development. Psychology and Marketing, 14(8), 737-764.

Hu, K. C., & Jen, W. L. (2008). Exploring the effects of relational performance and service quality on customer’s satisfaction and loyalty in the freight shipping industry from the viewpoint of business-to-business. Journal of the Chinese Institute of Transportation, 20(2), 201-228.

Huang, S. M., & Fang, S. R. (2006). The effects of market orientation, relationship marketing capabilities and customer knowledge managerial capabilities on enterprise capital. Management Review, 25(2), 29-60.

Huang, S. M., & Fang, S. R. (2008). A study of service recovery strategy: A relationship marketing’s perspective. Journal of Management and Systems, 15(1), 1-31.

Jacobs, R. S., Hyman, M. R., & McQuitty, S. (2001). Exchange-specific self-disclosure, social self-disclosure, and personal selling. Journal of Marketing Theory and Practice, 9(1), 48-72.

Jamal, A., & Naser, K. (2002). Customer satisfaction and retail banking: An assessment of some of the key antecedents of customer satisfaction in retail banking. International Journal of Bank Marketing, 20(4/5), 146-160.

Johnson, D., & Grayson, K. (2005). Cognitive and affective trust in service relationships. Journal of Business Research, 58(4), 500-507.

Joshi, A. W., & Stump, R. L. (1999). The contingent effect specific asset investments on joint action in manufacturer-supplier relationships: An empirical test of the moderating role of reciprocal asset investments, uncertainty, and trust. Journal of the Academy of Marketing Science, 27(3), 291-305.

Kamakura, W. A., Mittal, V., de Rosa, F., & Mazzon, J. A. (2002). Assessing the service-profit chain. Marketing Science, 21(3), 294-317.

Kamakura, W. A., Wedel, M., de Rosa, F., & Mazzon, J. A. (2003). Cross-selling through database marketing: A mixed data factor analyzer for data augmentation and prediction. International Journal of Research in Marketing, 20(1), 45-65.

Keiningham, T. L., Perkins-Munn, T., & Evans, H. (2003). The impact of customer satisfaction on share-of-wallet in a business-to-business environment. Journal of Service Research, 6(1), 37-50.

Kumar, N., Scheer, L. K., & Steenkamp, J.-B. E. M. (1995). The effect of supplier fairness on vulnerable resellers. Journal of Marketing Research, 32(1), 54-65.

Lagace, R. R., Dahlstrom, R., & Gassenheimer, J. B. (1991). The relevance of ethical salesperson behavior on relationship quality: The pharmaceutical industry. Journal of Personal Selling and Sales Management, 11(4), 39-47.

Laing, A. W., & Lian, P. C. S. (2005). Inter-organizational relationships in professional services: Towards a typology of service relationships. Journal of Services Marketing, 19(2), 114-127.

Lemon, K. N., White, T. B., & Winer, R. S. (2002). Dynamic customer relationship management: Incorporating future considerations into the service retention decision. Journal of Marketing, 66(1), 1-14.

Li, S., Sun, B., & Wilcox, R. T. (2005). Cross-selling sequentially ordered products: An application to consumer banking services. Journal of Marketing Research, 42(2), 233-239.

Liljander, V., & Roos, I. (2002). Customer-relationship levels: From spurious to true relationships. Journal of Services Marketing, 16(7), 593-614.

Lin, N. P., Weng, J. C. M., & Hsieh, Y. C. (2003). Relational bonds and customer’s trust and commitment: A study on the moderating effects of web site usage. The Service Industries Journal, 23(3), 103-124.

Liu, T. C., & Wu, L. W. (2008). Relationship quality and customer purchase behavior: Decision-making uncertainty as dual roles of the moderator and mediator. Sun Yat-Sen Management Review, 16(1), 149-174.

Liu, T. C., & Wu, L. W. (2009). Cross-buying evaluations in the retail banking industry. Service Industries Journal, 29(7), 903-922.

McAllister, D. J. (1995). Affect- and cognition-based trust as foundation for interpersonal cooperation in organizations. Academy of Management Journal, 38(1), 24-59.

Mittal, V., & Kamakura, W. (2001). Satisfaction, repurchase intent, and repurchase behavior: Investigating the moderating effect of customer characteristics. Journal of Marketing Research, 38(1), 131-142.

Moorman, C., Deshpande, R., & Zaltman, G. (1993). Factors affecting trust in market research relationships. Journal of Marketing Research, 57(1), 81-101.

Morgan, R. M., & Hunt, S. D. (1994). The commitment-trust theory of relationship marketing. Journal of Marketing, 58(3), 20-38.

Nagar, V., & Rajan, M. V. (2005). Measuring customer relationships: The case of the retail banking industry. Management Science, 51(6), 904-919.

Narver, J. C., & Slater, S. F. (1990). The effect of a market orientation on business profitability. Journal of Marketing, 54(4), 20-35.

Ngobo, P. V. (2004). Drivers of clients’ cross-buying intentions. European Journal of Marketing, 38(9/10), 1129-1157.

Oliver, R. L. (1980). A cognitive model of the antecedents and consequences of satisfaction decision. Journal of Marketing Research, 17(4), 460-469.

Oliver, R. L. (1997). Satisfaction: A behavior perspective on the consumer, New York: McGraw-Hill.

Panayides, P. M., & So, M. (2005). The impact of integrated logistics relationships on third-party logistics service quality and performance. Maritime Economics and Logistics, 7(1), 36-55.

Parasuraman, A., Zeithaml, V. A., & Berry, L. L. (1991). Refinement and reassessment of the SERVQUAL scale. Journal of Retailing, 67(4), 420-450.

Park, J. W., & Kim, K. H. (2001). Role of consumer relationship with brand in brand extensions: Some exploratory findings. Advances in Consumer Research, 28(1), 179-185.

Prahalad, C. K., & Ramaswamy, V. (2004). Co-creating unique value with customer. Strategy and Leadership, 32(3), 4-9.

Reichheld, F. (1996). The loyalty effect: The hidden force behind growth, profits, and lasting value, Harvard Business School Press: Boston, MA.

Reinartz, W., Krafft, M., & Hoyer, W. D. (2004). The customer relationship management process: Its measurement and impact on performance. Journal of Marketing Research, 41(3), 293-305.

Reinartz, W. J., & Kumar, V. (2000). On the profitability of long-life customers in a non-contractual setting: An empirical investigation and implications for marketing. Journal of Marketing, 64(4), 17-35.

Ruekert, R. W. (1992). Developing a market orientation: An organizational strategy perspective. International Journal of Research in Marketing, 9(3), 225-245.

Rust, R., & Zahorik, A. (1993). Customer satisfaction, customer retention, and market share. Journal of Retailing, 69(2), 193-215.

Sanzo, M. J., Santors, M. L., Vazquez, R., & Alvarez, L. I. (2003). The effect of market orientation on buyer-seller relationship satisfaction. Industrial Marketing Management, 32(4), 327-345.

Schoenbachler, D. D., & Gordon, G. L. (2002). Trust and customer willingness to provide information in database-driven relationship marketing. Journal of Interactive Marketing, 16(3), 2-16.

Selnes, F. (1998). Antecedents and consequences of trust and satisfaction in buyer-seller relationships. European Journal of Marketing, 32(3/4), 305-322.

Sharma, N., & Patterson, P. G. (1999). The impact of communication effectiveness and service quality on relationship commitment in consumer, professional services. The Journal of Services Marketing, 13(2), 151-170.

Shih, H. A., Chan, H. C., Chu, K. M., & Huang, J. Y. (2008). A study into the antecedent, mediator and moderator of customer retention behavior from CRM’s perspective. Sun Yat-Sen Management Review, 16(1), 119-148.

Singh, S., & Ranchhod, A. (2004). Market orientation and customer satisfaction: Evidence from British machine tool industry. Industrial Marketing Management, 33(2), 135-144.

Slater, S. F., & Narver, J. C. (1995). Market orientation and the learning organization. Journal of Marketing, 59(3), 63-74.

Smith, J. B. (1998). Buyer-seller relationships: Bonds, relationship management, and sex-type. Canadian Journal of Administrative Sciences, 15(1), 76-92.

Smith, J. B., & Barclay, D. W. (1997). The effects of organizational differences and trust on the effectiveness of selling partner relationships. Journal of Marketing, 61(1), 3-20.

Stank, T. P., Goldsby, T. J., & Vickery, S. K. (2003). Logistics service performance: Estimating its influence on market share. Journal of Business Logistics, 24(1), 27-55.

Tax, S. S., Brown, S. W., & Chandrashekaran, M. (1998). Customer evaluations of service complaint experiences: Implications for relationship marketing. Journal of Marketing, 62(4), 60-76.

Verhoef, P. C. (2003). Understanding the effect of customer relationship management efforts on customer retention and customer share development. Journal of Marketing, 67(4), 30-45.

Verhoef, P. C., & Donkers, B. (2005). The effort of acquisition channels on customer loyalty and cross-buying. Journal of Interactive Marketing, 19(2), 31-43.

Verhoef, P. C., Franses, P. H., & Hoekstra, J. C. (2001). The impact of satisfaction and payment equity on cross-buying: A dynamic model for a multi-service provider. Journal of Retailing, 77(3), 359-378.

Verhoef, P. C., Franses, P. H., & Hoekstra, J. C. (2002). The effect of relational constructs on customer referrals and number of services purchased from a multi-service provider: Does age of relationship matter? Journal of the Academy of Marketing Science, 30(3), 202-216.

Vickery, S. K., Droge, C., Stank, T. P., Goldsby, T. J., & Markland, R. E. (2004). The performance implications of media richness in a business-to-business service environment: Direct versus indirect effects. Management Science, 50(8), 1106-1119.

Wernerfelt, B. (1984). A resource-based view of the firm. Strategic Management Journal, 5(2), 171-180.

Williams, L. J., Edwards, J. R., & Vandenberg, R. J. (2003). Recent advances in causal modeling methods for organizational and management research. Journal of Management, 29(6), 903-936.

Wirtz, J., & Bateson, J. E. G. (1995). An experimental investigation of halo effects in satisfaction measures of service attributes. International Journal of Service Industry Management, 6(3), 84-102.

Wray, B., Palmer, A., & Bejou, D. (1994). Using neural network analysis to evaluate buyer-seller relationships. European Journal of Marketing, 28(10), 32-48.

Yen, H. J., & Gwinner, K. P. (2003). Internet retail customer loyalty: The mediating role of relational benefits. International Journal of Service Industry Management, 14(5), 483-500.

Zhao, X., Flym, B. B., & Roth, A. V. (2007). Decision sciences research in China current status, opportunities, and propositions for research in supply chain management, logistics, and quality management. Decision Sciences, 38(1), 39-80.




DOI: https://doi.org/10.5296/jmr.v4i4.2350

Copyright (c)



Journal of Management Research ISSN 1941-899X

Email: jmr@macrothink.org

Copyright © Macrothink Institute

 

To make sure that you can receive messages from us, please add the 'macrothink.org' domain to your e-mail 'safe list'. If you do not receive e-mail in your 'inbox', check your 'bulk mail' or 'junk mail' folders.