• Title/Summary/Keyword: Perceived Switching Cost

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The Impact of Perceived Risks and Switching Costs on Switching Intention to Cloud Services: Based on PPM Model (지각된 위험과 전환비용이 클라우드 서비스로의 전환의도에 미치는 영향에 관한 연구: PPM 모델 중심으로)

  • Lee, Seung Hee;Jeong, Seok Chan
    • The Journal of Information Systems
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    • v.30 no.3
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    • pp.65-91
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    • 2021
  • Purpose In this study, we investigated the impact of perceived risk and switching costs on switching intention to cloud service based on PPM (Pull-Push-Mooring) model. Design/methodology/approach We focused on revealing the switching factors of the switching intention to the cloud services. The switching factors to the cloud services were defined as perceived risk consisting of performance risk, economic risk, and security risk, and switching costs consisting of financial and learning costs. On the PPM model, we defined the pull factors consisting of perceived usefulness and perceived ease of use, and the push factor as satisfaction of the legacy system, and the mooring factor as policy supports. Findings The results of this study as follows; (1) Among the perceived risk factors, performance risk has a negative effect on the ease of use of pull factors, and finally it was found to affect the switching intention to the cloud services. Therefore, cloud service providers need to improve trust in cloud services, service timeliness, and linkage to the legacy systems. And it was found that economic risk and security risk among the perceived risk factors did not affect the switching intention to the cloud services. (2) Of the perceived risk factors, financial cost and learning cost did not affect the satisfaction of the legacy system, which is a push factor. It indicates that the respondents are positively considering switching to cloud service in the future, despite the fact that the respondents are satisfied with the use of the legacy system and are aware of the switching cost to cloud service. (3) Policy support was found to improve the switching intention to cloud services by alleviating the financial and learning costs required for cloud service switching.

Causal Relationships Among Perceived Risk, Satisfaction, Switching Cost and Loyalty in Outpatient Health Services (외래 의료서비스의 지각된 위험, 만족, 전환비용 및 충성도의 인과관계)

  • Yom, Young-Hee;Lee, Kyu-Eun
    • Journal of Korean Academy of Nursing Administration
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    • v.17 no.4
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    • pp.516-523
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    • 2011
  • Purpose: The purpose of this study was to examine the causal relationships of perceived risk, satisfaction, switching cost and loyalty in outpatient health services. Method: A survey using a structured questionnaire was conducted with 393 hospital outpatients. The analysis of data was done with both SPSS Win 17.0 for descriptive statistics and AMOS 18.0 for structural equation model. Results: The causal model yielded Chi-square=31.44 (p=<.001), df=4, GFI=.98, AGFI=.87, CFI=.97, RMSR=.04, NFI=.96, IFI=.97 and showed relatively good fit indices. Perceived risk had a significant direct effect on customer satisfaction. Customer satisfaction, financial switching cost and relational switching cost had significant direct effects on customer loyalty. Perceived risk and customer satisfaction had significant indirect effects on customer loyalty. Conclusion: These results suggest that we should decrease the perceived risk and improve the customer satisfaction and switching cost to retain loyal customers. Further study with both a larger sample from various hospitals and a longitudinal design is necessary.

The empirical study on e-learning quality and its relevant constructs (이러닝 품질과 관련 변인에 대한 실증연구)

  • Lee, Misook
    • Journal of Korean Society for Quality Management
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    • v.45 no.4
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    • pp.917-932
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    • 2017
  • Purpose: This study aims to identify the most important quality construct among system quality, information quality, and service quality, which are integrated as the second-order construct; perceived quality, and to investigate the relationship between perceived quality, learner satisfaction, learner enjoyment, switching cost, and learner loyalty. Method: Data were collected from learners who had taken e-learning course, and the analysis was conducted in two phases. The first phase described demographic characteristics using SPSS23.0; the second phase involved the second order CFA of perceived quality and the analysis of measurement model and structural model through AMOS 23.0. Results: (1) The explanatory power of system quality, information quality, and service quality appears to be almost equal; (2) Perceived quality positively influences only both learner satisfaction and switching cost; (3) Only learner satisfaction positively influences learner loyalty and switching cost negatively influences learner loyalty. Conclusion: Learner enjoyment does not play an important role in this study, which could be extrapolated in regard to the characteristics of sample. The respondents are over high school students, who emphasize on the acquisition of knowledge rather than enjoyment. Additionally, the result implies that respondents show low loyalty in the high switching cost.

The Effects of Consumer Perception and Propensity on Satisfaction and Switching Intention (소비자 지각 및 성향이 만족도와 전환의도에 미치는 영향)

  • Kim, Hyun-Kyung
    • Journal of Family Resource Management and Policy Review
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    • v.12 no.3
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    • pp.1-21
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    • 2008
  • Research has emphasized that relationship marketing programs enhance customer satisfaction and reduce switching intentions by building switching barriers. However, the psychological reactance theory demonstrates that building switching barriers can make customers fsel that the alternative not chosen is more attractive, because their freedom of choice has been deprived. It can be hypothesized that a relationship marketing program, which is intended to offer various benefits to customers, may not result in positive customer attitude and behavior. This paper examines the effects of relationship marketing programs on customers' perceptions of switching cost and loss of freedom. The effects of those perceptions on customer satisfaction and switching intentions were identified. In addition, the moderating role of personal reactance was examined. The results of this study suggest that (1) perceived switching cost has significant influence on boosting perceived loss of freedom; (2) perceived loss of freedom has no significant effects on customer satisfaction; (3) perceived loss of freedom enhances customers' switching intentions. Furthermore, psychological reactance has a significant influence on customers' switching intentions. This study concludes that the role of relationship marketing programs should be reconsidered, especially in terms of customers' switching intentions. Customer satisfaction is not the key factor of predicting customers' future behavior.

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Effects of Customer Satisfaction, Perceived Switching Costs and Regret on Repurchasing Intention: The Case of Coffee Chains (고객 만족, 인지된 전환 비용, 후회가 재구매 의도에 미치는 영향: 커피 전문점 사례를 바탕으로)

  • Kim, Byoungsoo
    • Journal of Digital Convergence
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    • v.15 no.3
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    • pp.87-98
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    • 2017
  • As the market for coffee chains becomes fierce, it is important for coffee chains to establish an enduring relationship with customers and encourage them to revisit their stores. Thus, it becomes important to understand consumers' repurchase decision-making mechanisms in the context of coffee chains. Customer satisfaction, perceived switching costs, and regret were considered as the main factors of customers' repurchase intentions. Especially, the effect of regret experience of coffee chains on consumers' repurchase decision was examined. In addition, coffee quality, physical environment quality, service encounters performance, and brand trust were considered as attributes of coffee shop selection, and their effects on customer satisfaction and perceived switching cost were investigated. The results of the study showed that customer satisfaction and perceived switching costs had a positive effect on repurchase intention, while regret had a negative effect on repurchase intention. Coffee quality and physical environmental quality had no significant effect on customer satisfaction and perceived conversion cost. Service encounter performance had a significant impact on perceived switching costs alone. Brand trust had a significant impact on both customer satisfaction and perceived switching cost.

The Relationship among Personality Traits, Brand Tribalism, and Brand Commitment: Mediating Effects of Brand Trust and Perceived Switching Cost (성격특질, 브랜드 트라이벌리즘, 브랜드 몰입의 관계: 브랜드 신뢰성과 지각된 전환비용의 매개효과)

  • Choi, Gun;Yang, Byunghwa
    • Journal of the Korea Convergence Society
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    • v.11 no.6
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    • pp.153-161
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    • 2020
  • The present study aimed to investigate the relationships among consumers' personality trait, brand tribalism, and brand commitment through brand trust and perceived switching cost. Data were collected from a convenience sample of three-hundred and ninety-four undergraduate students at a large Korean university. The participants consisted of 54.1% female (N = 213) and 45.9% male (N = 181). The results indicated that extraversion, conscientiousness, and emotional stability traits are directly related to brand tribalism. Also, brand commitment was directly associated with brand tribalism, brand trust, and perceived switching cost. In particular, our results showed the relationship between brand tribalism and brand commitment was mediated by brand trust, but not perceived switching cost. Therefore, our findings suggest that strong emotional connection of brand tribes may increase perceived switching costs and, consequently, affect brand commitment.

The Impact of Patient Satisfaction With Nursing Care Services, Switching Costs and Perceived Risk on Intention of Reuse in the Emergency Medical Center (응급의료센터 내원환자의 간호서비스 만족도, 전환비용 및 지각된 위험이 재이용 의도에 미치는 영향)

  • Kim, Hyun-Jeong;Yom, Young-Hee
    • Journal of Korean Academy of Nursing Administration
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    • v.17 no.4
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    • pp.432-442
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    • 2011
  • Purpose: The purpose of this study was to identify the factors influencing the intention of the reuse in patients admitted in university hospital emergency medical center. Method: The participants were 253 patients admitted to a niversity hospital emergency medical center. Data were collected with self-administrated questionnaires and analyzed by hierarchical multiple regression. Results: Patient satisfaction with nursing care service and switching cost were positively correlated with reuse by patients while the perceived risk was negatively correlated. As levels of satisfaction with nursing care services and switching cost increase, intention of reuse increases. Satisfaction with nursing care service, switching cost and perceived risk in emergency medical center influence intention to reuse and explain 68.8% of total variation of intention to reuse. Conclusion: Findings provide strong empirical evidence for importance of atient satisfaction with nursing care service, the switching costs and the perceived risk in explaining the intention of reuse an emergency medical center.

The Effect Factors on the Purchase Intension of Smart Car as of High Innovative Technology and Product; Consumer's Individual Attributes, Perceived Benefit and Switching Cost

  • Ahn, Yeon S.
    • Journal of the Korea Society of Computer and Information
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    • v.21 no.9
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    • pp.113-119
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    • 2016
  • In this paper, a research model is proved empirically which includes factors related on the purchase intention of smart car as high innovative product in advance of commercialization. As one of relating to consumer's expectation benefit factors, individual attribute factor includes product knowledge, individual innovativeness, and sociality. Consumer's expectation benefit factor includes perceived ease-of-use, usefulness, and enjoyment. As of switching cost variables, there are financial, uncertainty, relational and psychological switching costs factors. Analysis were performed using data from the 257 respondents as random sampling among potential consumers. Purchase intention were affected by individual innovativeness mediated by perceived enjoyment, and individual sociality by perceived ease-of-use and enjoyment also. Relational switching costs factor was only a significant control variable between purchase intention with consumer's expectation benefit factor. This result presents some implications for making the new smart car's detail concept and marketing strategy related to targeting the consumer as high innovative product and technology firms including smart car makers.

A Study on Switching Intention of Mobile Telecommunication Service User: Focused on Group Differences Based on Innovativeness (이동통신 서비스 이용자의 전환의도에 관한 연구: 개인 혁신성에 따른 집단 간의 차이를 중심으로)

  • Oh, Jong-Chul;Yoon, Sung-Joon
    • Journal of Global Scholars of Marketing Science
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    • v.19 no.1
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    • pp.9-21
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    • 2009
  • Recently, the researches to explain Switching Behavior through Theory of Planned Behavior have been discovered. Many researches say that System factors of mobile telecommunication service(MTS) is positively associated with Switching Intention. But There is no difference of system factors between mobile telecommunication services because of IT technique Development. Thus, this study investigated whether switching cost and alternative's attractiveness influence switching intention concerning mobile telecommunication service by adopting Theory of Planned Behavior (TPB) as an underlying theoretical premise. The study also attempted to determine the moderating effects of personal innovativeness on switching intention. For these purposes the author has developed several hypotheses as follows: H-1. The switching cost of different MTS is associated with the attitude of MTS which is using. H-2. The switching cost of different MTS is associated with the subjective norm of MTS which is using. H-3. The switching cost of different MTS is associated with the perceived behavior control of MTS which is using. H-4. The alternative's attractiveness of different MTS is associated with the attitude of MTS which is using. H-5. The alternative's attractiveness of different MTS is associated with the subjective norm of MTS which is using. H-6. The alternative's attractiveness of different MTS is associated with the perceived behavior control of MTS which is using. H-7. The switching cost of different MTS is associated with the switching intention. H-8. The alternative's attractiveness of different MTS is associated with the switching intention. H-9. The attitude of MTS is associated with the switching intention. H-10. The subjective norm of MTS is associated with the switching intention. H-11. The perceived behavior control of MTS is associated with the switching intention. H-12. The personal innovativeness has been a moderating effects to switching intention. Data has been collected from 403 respondents for this study using a questionnaire method. The survey for the actual analysis of the research was done and analyzed with the customers who have an experience of using Mobile telecommunication service and the samples were selected among the middle and high school students who live in Seoul area, the university students who live in Seoul, Gyeonggi and Chungcheng Provinces, and the ordinary workers who are working in Seoul and Gyeonggi Province. The survey was done for 23 days from March 28, 2008 through April 12, 2008. The positive analysis was done with SPSS 12.0K statistics package and visual PLS program using the analysis techniques of frequency analysis, reliability analysis, correlation analysis and factor analysis. In addition, structural equation modeling was conducted using AMOS 5.0. The data was analyzed by frequency analysis using SPSS 12.0 and structural equation modeling using AMOS 5.0. The result of the overall model analysis is as follows: Chi-Square=378.306, d.f.=107, p-value=0.0, GFI=.904, AGFI= 0.863, IFI= 0.939, NFI= 0.917, RMSEA= 0.079, TLI= 0.922. The results of the overall model analysis were coherent. The following study results were revealed: First, switching cost was related positively to attitude, subjective norm and perceived behavior control, three components of TPB. Second, alternative's attractiveness was related negatively to subjective norm but positively to perceived behavior control. Third, switching cost and attitude was related negatively to switching intention, while perceived behavior control was related positively to switching intention. Finally, the study found the moderating effects of personal innovativeness on switching intention. Based on the results, the study offers marketing strategic implications for mobile telecommunication service industry.

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A Study on the Impact of Customer Equity on Customer Loyalty in the Korean Retail Industry: Mediation of Customer Satisfaction and Switching Costs (고객가치가 고객충성도에 미치는 영향에 관한 연구: 고객만족과 전환장벽을 매개변수로)

  • Kim, Soon-Hong
    • Journal of Distribution Science
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    • v.10 no.11
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    • pp.79-88
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    • 2012
  • Purpose - The objective of this paper is to suggest that a company's CRM activities have an effect on customer loyalty in the Korean retail industry. Typically, Korean customers use large local marts with convenience in the absence of any other choice. Therefore, this study aims to shed light on the fact that customers do not break away from their preferred retail stores, either owing to their stringent loyalty (the lie loyalty) or difficulty in turning to alternative choices. Research design, data, methodology - By surveying a sample of 200 hyper-markets through a questionnaire, and excluding dubious and missing responses, I obtained 181 samples to be included in the empirical analysis. The survey was conducted for two weeks during October 2011. AMOS and SPSS18 statistical packages were used for conducting statistical analysis for this study. This paper was developed using the concept of customer equity on CRM, which is known to have a positive impact on customer loyalty through the satisfaction and switching-barrier parameters. The hypothesis of this paper is that customer equity is composed of relationship equity, value equity and brand equity, and that the relationship equity variable has positive effects on the value equity and brand equity amongst other types of customer equity. Moreover, customer equity influences customer loyalty through parameters including customer satisfaction and switching costs in the Korean retail industry. Results - According to the results of the analysis, it was confirmed that relationship value had a positive effect (+) on all variables, including the perceived QoS (Quality of Service), store brand images, economic value, and store convenience. It was also confirmed that the assumption that the perceived QoS (Quality of Service), economic value, and store convenience had a positive effect on customer satisfaction was shown to be statistically significant, with a p-value below 0.05. Only the store brand value variable had an effect on the switching-cost variable with respect to the causal sequence of the variables, including the perceived QoS, store brand value, economic value, and store convenience. The remaining variables did not seem to influence the switching-cost variable. On the other hand, another effect showed that customer satisfaction had a statistically significant influence on the switching-costs variable. Moreover, the customer satisfaction and switching-cost variables also had a statistical influence on customer loyalty. Conclusions - The CRM activities had an influence on various variables (including perceived QoS, perceived economic value, store brand value, and store convenience) pertaining to customer values. Customer satisfaction and switching-cost had some effects on customer loyalty as a parameter. This confirms that stringent loyalty exists with respect to customer loyalty in the retail industry. The fact that the variable had such a statistically significant influence on the switching-cost and store brand equity variables means that consumers react to the reputation of a brand, confidence about the store, and quality confidence. The implications of this study in the retail industry should be further extended to devise strategies for customer retention.

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