The Impact of Corporate Brand Image on Customer Satisfaction, Loyalty and Switching Behavior: A Case Study of Mobile Telecommunications Customers in Zimbabwe.

Abstract

Mobile telecommunication service providers in Zimbabwe are using corporate brand image to market their products and minimize brand switching which is resulting from increased market competition. The aim of the study was to investigate the impact of corporate brand image on customer satisfaction, loyalty, and switching behavior. A cross-sectional survey was conducted among a convenient sample of 385 participants in Harare, the largest city of Zimbabwe. The sample size was determined using Rao soft sample size calculator to extract an acceptable sample size. A self-administered questionnaire with a five point Likert scale was used to collect data. Data collected were tested for reliability and validity using SPSS version 20. Structural models were constructed using SPSS with Amos (version 20). Five study hypotheses were found to be statistically supported. These were: 1) mobile network service providers’ brand image positively affects customer satisfaction; 2) Mobile network service providers’ brand image has a positive effect on customer brand switching behaviour; 3) Customer satisfaction positively affects loyalty; 4) Customer satisfaction has an effect on consumer brand switching and corporate brand image has an indirect effect on consumer brand switching behaviour through customer satisfaction; and 5) Corporate brand image has an indirect effect on customer loyalty through customer satisfaction. Two postulated hypotheses were not statistically supported and these are: 1) Mobile network service providers’ brand image has a positive effect on customer loyalty, and 2) customer satisfaction has an effect on consumer brand switching in the telecommunications sector. The researcher recommends marketers to take the present findings into consideration when designing promotional strategies for mobile network services. Marketers are also recommended to build a positive corporate brand image by participating in corporate social responsibility, improving the shopping environment, service quality and building good corporate reputation and identity for their organisations.