Importance - performance analysis of telecommunication industry

Abstract

Customer satisfaction helps to retain the customer which leads to success of the business. In this paper, attempt was made to measure the satisfaction level of the customers using services provided by the mobile network providers. Study was carried out by conducting survey among 200 respondents with a usable questionnaire of 193 having a response rate of 96.5%. Respondents demographic profile was analyzed to see whether there is any significant difference exists between the place of residence using Chi-square test. Exploratory Factor Analysis (EFA) was carried out to identify various factors influencing while purchasing SIM card. Using 23 statements based on SERVQAL model was also administered to find out the satisfaction level among the respondents with the help of Importance-Performance Analysis (IPA). Result revealed that only income among the demographic variables is significance for both locations. Seven factors were identified which influence the buying behaviour viz., Payment, Customer care, Price related factor, Additional services, Technical factor, Promotional and Other factors. Finally, customers are not happy with the services provided by the mobile network operators as 16 statements have negative gap and also 11 statements are significant. Thus, study reveals very low service quality of the telecommunication industry in Goa and needs serious efforts before the existing service provider's customer base shift to another high level quality service provider.