Effect of Service Quality on Customer Retention at Mount Kilimanjaro, Tanzania

R. Delphin and R. G. Mashenene ()
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R. Delphin: Public Service Social Security Fund
R. G. Mashenene: College of Business Education

A chapter in Sustainable Education and Development – Sustainable Industrialization and Innovation, 2023, pp 827-839 from Springer

Abstract: Abstract Purpose: The main objective of this study was to investigate the effect of service quality on customer retention at Mount Kilimanjaro National Park (KINAPA) specifically, the study intended to (i) examine the level of customer retention at Mount Kilimanjaro National Park, (ii) determine the effect of service quality dimensions on customer retention at Mount Kilimanjaro National Park. Design/Methodology/Approach: Cross-sectional research was employed in this study. A sample of 104 respondents was secured. Data were collected using questionnaires, interviews and documentary reviews. Levels of customer retention were determined through the transformation of data. Binary logistic regression was used to determine the effect of service quality on customer retention. Findings: The study found that all service quality dimensions such as tangibility, assurance, responsiveness, empathy and reliability were significantly affecting the customers’ retention. On the other hand, the study revealed that KINAPA is faced with environmental degradation, poor tax policy, inadequate empirical studies, and financial leakages challenges in serving customers. Implications/Research Limitations: This study was confined to the hotel services in Tanzania and ignored the specificity of Mount Kilimanjaro tourists. Practical Implications: The study concluded that service quality significantly affects customer retention. It was recommended that the quality of service be improved to retain a reasonable number of customers. Originality/Value: The effects of service quality on customers’ retention due to its vitality as an economic source for Tanzania was established.

Keywords: Assurance; Customer; Retention; Service quality; Tangibility (search for similar items in EconPapers)
Date: 2023
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Persistent link: https://EconPapers.repec.org/RePEc:spr:sprchp:978-3-031-25998-2_63

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DOI: 10.1007/978-3-031-25998-2_63

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