You are on page 1of 3

Customer satisfaction is the central element of the marketing concepts.

There is but little doubt


that the maximization of consumer satisfaction is considered by most to be the ultimate goal of
the market economy. If consumer satisfaction is the fundamental element of the market
economy, it is important to understand satisfaction and dissatisfaction processes among ISPs to
better market ISP services to them, develop new products, manage competitive forces, provide
supporting services, and price service. Customer satisfaction with the purchase is determined by
how tightly consumers’ expectation is linked with the perceived performance of the product. A
satisfied consumer is more likely to spread positive word-of-mouth and information received
through word-of-mouth are more credible than a commercial advertisement. In the Internet
service industry, network quality includes the quality and strength of the network signal, number
of errors, downloading and uploading speed. Stability, transmission speed and network coverage
are the core attributes of network quality. Breaks in Internet connectivity can lead to poor
perceptions of network quality in the customer’s perspective. In this respect, timely recovery of
network connectivity is essential. The uptime of service was tested to have impact on customer
satisfaction as well as customer loyalty. (Source: S. Erevelles, Sh. Srinivasan & S. Rangel.
(2003), Consumer Satisfaction for Internet Service Providers: An Analysis of Underlying
Processes. Information Technology and Management. (2003), 69-89. )

Consumer satisfaction is often measured by how the product or service in question meets
expectations. If the perceived performance is above expectations, then the customer is satisfied.
And if perceived performance will be under expectations, the customer is dissatisfied.
Compatibility between customer's perception of the product and its initial expectations leads to
customer satisfaction. The benefits of satisfied customers lead to much attention from company
management on the subject. (Source: R. L. Oliver. Satisfaction: a behavioral perspective on the
consumer, Armonk, N.Y., M.E. Sharpe. 2010.)

Price is also an important driver for consumers to make buying decisions. The price is defined as
what is given up or sacrificed to acquire a service or product. The sacrifice or price that a
customer pays typically consists of transaction costs and some degree of risk. While suggested
that Price is the amount of money charged for a product or a service; the sum of the values that
customers exchange for the benefits of having or using a product or service. With regards to
price perception, although Internet broadband users are willing to pay more for better service,
they will consider changing to another provider because of the price factor. Therefore, it is
believed that customers of Internet services are sensitive to price and the higher price level could
lead to low demand, accordingly. (Source: L. T. Bei, and Y.C. Chiao. (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. No. 14., pp.125-140.

With regards to price perception, although Internet broadband users are willing to pay more for
better service, they will consider changing to another provider because of the price factor.
Therefore, it is believed that customers of Internet services are sensitive to price and the higher
price level could lead to low demand, accordingly. Customer value is evaluated on the benefit of
the product or service that is perceived by the customers. The price of the product determines the
value of the customers. Customers seek the product and services prior to the payment of the
price. If the product price meets the expectations of the customers, the value will increase
simultaneously otherwise it may decline. However, it is also very important to maintain the
relationship with the customers along with price, product and so on. (Source: P. Kotler, and G.
Amstrong (2018) Principle of Marketing. 14th Edition. New Jersey Published by Prentice Hall.)

A growing number of consumers who are involved in the fulfillment of consumer needs and
desires, then increasingly tight competition caused the company to put the orientation on
customer satisfaction as a primary objective. Satisfaction is a feeling of being happy or upset of
someone that comes from the comparison between the effect on performance of a product and
the expectation. Customer satisfaction can be measured by the overall customer satisfaction. The
simplest way to measure customer satisfaction is directly asking customers how satisfied they are
with a particular service. There are two parts in the measurement process. First, measure the
level of customer satisfaction towards the services of the company concerned. Second, assess
and compare it on the overall customer service of competitors. (Source: Kotler and Keller.
(2009). Marketing Management. Book I, 13th Edition. Erlangga. Jakarta.)

Quality is a dynamic condition that influences the products, services, people, processes, and
environments that meet expectations. Service quality can be defined as effort of the fulfillment of
consumer needs and desires as well as the precision of delivery in customer expectations. Service
quality can be known by comparing the consumer perceptions over the real service they
receive/earn with real service they expect/want against the attributes of service of an enterprise.
If the services received or perceived is as expected, then the quality of service perceived is good
and satisfactory, if the received service is beyond the expectations of the consumer, then the
perceived service quality is very good and quality. Conversely, if the services accepted are less
than expected, then the perceived service quality is bad. (Source: D.A. Mandira, S. Suliyanto,
and A.T. Nawarini (2018). The Influence Customer Trust, Service Quality, and Perceived Price
on Customer Satisfaction and Customer Loyalty. Journal of Research in Management, Vol. 1,
No. 1, , pp. 16 - 21.)

Service is any action or activity that can be offered by one party to the other party that is
essentially intangible and does not result in ownership of any kind. From the definitions of
service quality, could be concluded the conclusion that service quality is any activity done by the
company in order to meet consumer expectation. Service in this case is defined as a service that
is delivered by the owner in the form of the ease, speed, connection, hospitality skills, attitude,
and the nature in delivering services to customer satisfaction. The relationship between producer
and consumer is far beyond from purchase time to after-sales service. The company considers a
consumer as a king who must be served properly. It means that the consumer will give advantage
to company to be able to continue to live. Unlike manufactured products which can result of
keeping the goods in the warehouse or shipped to store, it is purchased by a consumer and then
consumed. (Source: C. Ranaweera, and A. Neely. (, 2003, ) Some moderating effects on the
service quality‐ customer retention link, International Journal of Operations & Production
Management, Vol. 23 No. 2pp. 230-248.

Customer satisfaction has been a popular topic in marketing practice and academic research
initial study of customer effort, expectations and satisfaction. Despite many attempts to measure
and explain customer satisfaction, there still does not appear to be a consensus regarding its
definition. Customer satisfaction is typically defined as a post consumption evaluative judgment
concerning a specific product or service. It is the result of an evaluative process that contrasts
repurchase expectations with perceptions of performance during and after the consumption
experience. The most widely accepted conceptualization of the customer satisfaction concept is
the expectancy disconfirmation theory. There is a positive relationship between service quality
and customer satisfaction. Obtaining customer satisfaction depends to a large extent on ensuring
that the firm maintains high service quality standards. Based on the Sale research study. The
dimension of service quality that most significantly affects customer satisfaction is reliability,
followed by dimension of responsiveness, assurance, empathy, and direct evidence. (Source
Oliver, R. L. (2016). A cognitive model of the antecedents and consequences of satisfaction
decisions. Journal of Marketing Research, 17(4), 460–469.

You might also like