The Effect of Service Quality on Customer Satisfaction in an Automotive After-Sales Service

Abstract

Assessment of service quality has been widely utilized in after-sales service, especially in the automotive industry. The purpose of the study was to determine factors affecting customer satisfaction in an automotive after-sales service at Toyota Dasmarinas-Cavite Philippines by utilizing the SERVQUAL approach. Several SERVQUAL dimensions such as tangibles, reliability, responsiveness, assurance, and empathy were analyzed simultaneously to the customer satisfaction. Structural equation modeling (SEM) indicated that among the five SERVQUAL dimensions, reliability and empathy were found to have significant relationships to the satisfaction of customers at Toyota Dasmarinas-Cavite Philippines. Interestingly, tangibles, responsiveness, and assurance were found to have no significant relationships to satisfaction. The servicing dealer must deliver a high quality of service to meet customer expectations and achieve high customer satisfaction, which subsequently builds customer trust towards the company. With these, customer retention and loyalty can be attained by the company that can also increase the company’s profit and competitive advantage.

Keywords

• service quality
• after-sales service
• structural equation modeling
• SERVQUAL
• customer satisfaction
• customer loyalty