Journal of Retailing and Consumer Services 15 (2008) 156162

Customer satisfaction and loyalty in service: Two concepts,

four constructs, several relationships
Guillaume Bodet

Institute of Sport and Leisure Policy, School of Sport and Exercise Sciences, Loughborough University, Loughborough LE11 3TU, UK
Abstract
Although the literature on marketing has recognised customer satisfaction as a signicant antecedent to customer loyalty, the
relationships between both satisfaction constructstransaction-specic and overallwith customer loyalty have mostly been studied
separately. As customer loyalty has therefore been infrequently investigated with simultaneous consideration for its attitudinal and
behavioural dimensions, this study aimed to explore the satisfactionloyalty relationships according to a double view of the concepts.
Empirical analysis in a sports-service context highlighted the role of overall satisfaction on attitudinal loyalty and minimised the role of
transaction-specic satisfaction, and therefore found that neither customer satisfaction nor attitudinal loyalty predict customer
repurchase behaviour.
r 2007 Elsevier Ltd. All rights reserved.
Keywords: Repurchase behaviour; Attitudinal loyalty; Transaction-specic and overall satisfaction; Service; Membership; Sport club
1. Introduction
Customer loyalty, a major theme in marketing research,
has become an essential concern for managers, and a
strategic obsession for many. This increasing concern has
mainly been due to intense competition, particularly in
service industries, and the current focus on the relationship
between consumers and organisations, which is the core of
the relational marketing approach.
Basically, marketing research now recognises that
acquiring new customers costs more than retaining current
ones (Reichheld, 1996). However, although customer
loyalty has been recurrently studied, the psychological
processes underlying its formation are still unknown, even
if numerous antecedents have been identied. Among these
antecedents, both researchers and practitioners have
attributed a particular status to customer satisfaction,
recognising it as the main antecedent of loyalty. However,
they have not clearly established the nature of the
relationship, which depends on whether researchers mea-
sure stated intentions or actual behaviour.
This study has therefore attempted to test the satisfac-
tionloyalty relationship based on four constructs which
are usually investigated separately. These are transaction-
specic satisfaction, overall satisfaction, attitudinal loyalty,
and repurchase behaviour. This study aims to reinforce
some existing research ndings by replicating models
adapted from Jones and Suh (2000) in the context of a
different service industry, a type of exercise which is for
Hunter (2001) still underestimated. The reinforcement of
ndings is enhanced by combining the satisfactionloyalty
relationships with a classical bi-dimensional view of
customer loyalty. Indeed, this study relies on both
customer intentions and repurchasing behaviour for the
behavioural dimension of loyalty, which is still rare
according to Chandon et al. (2005).
2. Theoretical framework
2.1. The satisfactionloyalty relationship
According to Henning-Thurau and Klee (1997), studies
dealing with the relationship between customer satisfaction
and loyalty can be classied into three groups. The rst
comes from service management literature and studies the
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E-mail address: G.S.P.Bodet@lboro.ac.uk
relationship at an aggregated, company-wide level. These
studies consider satisfaction to be an antecedent of
customer loyalty, which in turn inuences rms prot-
ability (Anderson et al., 1994; Heskett et al., 1994; Rust
and Zahorik, 1993). The second focuses on the individual
level and has mainly studied customer retention by
customer repurchase intentions. This constitutes an im-
portant shortcoming because of the gap between individual
intentions and behaviours (Chandon et al., 2005). This
second group perceives loyalty to be inuenced by
satisfaction, even if the structure of the relationship does
not appear to be symmetric and linear (Anderson and
Sullivan, 1993; Mittal et al., 1998; Oliva et al., 1995).
The third group, which is the smallest (Bolton, 1998; Mittal
and Kamakura, 2001), has focused on the satisfaction-
loyalty link on a individual level with real purchasing
data. Henning-Thurau and Klee (1997) found that studies
of this group have tended to reveal a weak or insignicant
relationship between satisfaction and repurchase beha-
viour. These views appear complementary, and, accord-
ing to Henning-Thurau and Klee (1997), it is time for
a fourth group of researchers to integrate this dual
conceptualisation.
2.2. Attitudinal and behavioural loyalty
The rst marketing studies perceived customer loyalty in
a behavioural way, measuring the concept as behaviour
involving the repeat purchase of a particular product or
service, evaluated either by the sequence in which it is
purchased, as a proportion of purchases, as an act of
recommendation, as the scale of the relationship, its scope,
or both, or as several of these criteria combined (Hallowell,
1996; Homburg and Giering, 2001; Yi, 1990). Since Day
(1969) criticised this one-dimensional view as behaviourally
centred and therefore unable to distinguish true loyalty
from spurious loyalty, many researchers have recognised
the need to add an attitudinal component to the
behavioural one (Berne et al., 2001; Dick and Basu, 1994;
Jacoby and Kyner, 1973; Oliver, 1997).
Indeed, as Bandyopadhyay and Martell (2007) found,
the existence of such situational factors as stock being out
or unavailable, such individual or intrinsic factors as
resistance to change, or such social and cultural factors as
social bonding reinforces the need to distinguish customer
loyalty from repeat purchase behaviour. These factors also
point to a need to add an attitudinal dimension for
customer loyalty. This seems to be particularly contextual
and therefore relevant in the services area (Bloemer et al.,
1999; Ganesh et al., 2000; Zeithaml et al., 1996).
2.3. Transaction-specic satisfaction and overall satisfaction
Johnson (2001) found that two conceptualisations of
customer satisfaction had emerged over the previous
decade. Before the late 1990s, measurement of satisfaction
essentially focused on particular product or service
transactions, dened as post-choice evaluative judgments
concerning specic purchase decisions (Oliver, 1980). More
recently, another conception emerged that is concerned
with all of a consumers previous experiences with a rm,
product, or service cumulatively (Anderson et al., 1994;
Garbarino and Johnson, 1999; Mittal et al., 1999). This
perspective considers transaction-specic satisfaction
mainly by focusing on consumers emotional reactions to
specic service attributes or service encounters and suggests
that rms link the performance of precise service elements
or variations of them to specic psychological responses
(Olsen and Johnson, 2003).
However, overall satisfaction seems to be a better
predictor of customer intentions and behaviours (Olsen
and Johnson, 2003). Thus, according to Johnson (2001),
these perspectives seem to be more complementary than
competitive, and should therefore be investigated simulta-
neously, as they do not respond to the same managerial
objective-based behaviour.
3. Causal models and hypotheses
Jones and Suh (2000) noted that both satisfaction
constructs have mostly been studied separately. Little
theoretical support exists for describing the relationships
between these constructs themselves and the different
construct of loyalty. This study therefore aims to test
models adapted from Jones and Suh (2000), which were
among the rst to provide theoretical and empirical
support in this area in service industries.
The different denitions for satisfaction constructs
basically support the argument that transaction-specic
satisfaction inuences overall satisfaction, which in turn
inuences both behavioural and attitudinal loyalty. In this
case, overall satisfaction plays a mediating role between
transaction-specic satisfaction and loyalty. Parasuraman
et al. (1994) supported this assumption, which also
corresponds to the full mediation model proposed by
Jones and Suh (2000) (Fig. 1).
However, previous studies hypothesised that transaction-
specic satisfaction could have a direct impact on repurch-
asing intentions, particularly when the specic transaction
was the last experienced by the customer or was a special
one, either for its status or its unusual performance (Oliver
and Swan, 1989; Spreng et al., 1995). This view asserts that
a direct relationship between transaction-specic satisfaction
and attitudinal loyalty can be added to the previous
model. Therefore, considering that some customers return
to service providers even when they have been dissatised
with a particular service experience, it seems likely that
overall satisfaction could play a moderating role on the
link between transaction-specic satisfaction and attitudinal
ARTICLE IN PRESS
TransactionSpecific
Satisfaction
Overall
Satisfaction
Attitudinal
Loyalty
Fig. 1. Full mediation model adapted from Jones and Suh (2000).
G. Bodet / Journal of Retailing and Consumer Services 15 (2008) 156162 157
loyalty, in line with the partial mediation and moderation
model (Jones and Suh, 2000) (Figs. 2 and 3).
It can be hypothesised that both attitudinal and
behavioural loyalty are dependent variables in these
models. Arrondo et al. (2002) and Bandyopadhyay and
Martell (2007) found that attitudinal loyalty is an
antecedent of behavioural loyalty. A fourth model should
therefore integrate transaction-specic satisfaction, overall
satisfaction, and attitudinal loyalty as direct antecedents of
customer repurchasing behaviour, representing the beha-
vioural dimension of loyalty (Fig. 4).
4. The empirical study
4.1. Data collection
The service classications proposed by Lovelock (1983)
indicate some specic characteristics for empirical inquiry
into the service context. A continuous delivery service, and
if possible a personalised one, would be particularly
desirable, as this has seemed particularly relevant to
investigations of service experience evaluations and patron-
age behaviour (Mittal and Lassar, 1996). Membership also
seemed to be a desirable factor for measuring repurchasing
behaviour, as it provides a signicant number of transac-
tion-specic experiences of a particularly active and
volitional-renewal nature. The health and tness club
sector includes all these conditions, with both prot
and non-prot organisations in competition. These often
have completely opposed ideas of customer satisfaction
management, one being rationalised and the other more
intuitive.
The current studys sample was drawn from ve
commercial and three non-prot tness clubs in a French
city with a metropolitan population of about 300,000.
Although the sampling was convenient rather than
random, which produced some limitations, the commercial
clubs were categorically heterogeneous, representing the
entire national sector as described by Bessy (1993). One
belonged to the biggest European chain, one was upmar-
ket, two were independent middle-market, and the last
was a small neighbourhood club. Five of these clubs (two
and three, respectively) agreed to identify their question-
naire respondents to enable us to study their repurchasing
behaviour.
The study collected and used 252 questionnaires. Of
these questionnaires, 110, or 43.6%, were completed by
respondents who allowed themselves to be identied in
order to control for renewal of membership, which was
checked about 3 months after the end of their subscrip-
tions. As some club members do not renew their member-
ships immediately after the expiration of their
subscriptions, in particular when it occurs in the busy
September period, a 3-month period seemed appropriate.
Studies of French consumers in the health and tness
service industry have only dealt with commercial organisa-
tions, and, according to Bessy (1993) and Tribou (1994),
the characteristics of our sample corresponded to the
characteristics of these customers, who tended to be female,
young, urban, well-educated, middle-class, and economic-
ally inactive.
4.2. Construct measurement
Following the example of Jones and Suh (2000), this
study saw no purpose for creating a new satisfaction scale
and therefore opted for an existing and validated one, using
ve of the six items of Olivers (1980) satisfaction scale.
This study adapted their scale to evaluate both transaction-
specic satisfaction resulting from the last experience the
respondents had had with the organisation and their
overall satisfaction, which included all their past experi-
ences from the commencement of their subscription to their
most recent experience with it. Both satisfaction scales were
evaluated on a seven-point Likert scale.
We did not want to evaluate the attitudinal dimension
of loyalty by measuring only repurchasing intentions.
ARTICLE IN PRESS
TransactionSpecific
Satisfaction
Overall
Satisfaction
Attitudinal
Loyalty
Fig. 2. Partial mediation model adapted from Jones and Suh (2000).
TransactionSpecific
Satisfaction
Overall
Satisfaction
Attitudinal
Loyalty
Fig. 3. Partial mediation and moderation model adapted from Jones and
Suh (2000).
Attitudinal
Loyalty
Repurchase
Behaviour
TransactionSpecific
Satisfaction
Overall
Satisfaction
Fig. 4. Repurchase behaviour direct antecedents model.
G. Bodet / Journal of Retailing and Consumer Services 15 (2008) 156162 158
We therefore opted for the measurement of behavioural
intentions described by Zeithaml et al. (1996), using a
three-item measurement reported and used throughout the
services-marketing literature (Babakus and Boller, 1992;
Cronin et al., 2000; Cronin and Taylor, 1992), and
evaluating these three items on a seven-point Likert scale.
This study measured repurchasing behaviour by the
renewal or non-renewal of club membership, with repurch-
asing behaviour being a binary variable.
4.3. Scales validation
Based on an exploratory factor analysis, both transac-
tion-specic and overall satisfaction scales returned only
three items. Two reversed items of each scale were deleted
because they affected the unidimensionality of the scale, a
result Herche and Engelland (1996) found to be frequent.
Furthermore, Herzberg et al. (1959) found that positive
and negative service performance do not contribute the
same weight to customer satisfaction, which could further
explain this result.
The satisfaction scales found that transaction-specic
satisfaction explained 85.8% of the variance and overall
satisfaction 82.9% of it, and the consistency indicators
were satisfactory (see Tables 1 and 2). The scale measuring
behavioural intentions explained 78.8% of the variance
and presented an a of 0.86.
4.4. Statistical analysis
Ideally, structural equation modelling (SEM) would
have been the best way to test and compare the causal
models. Unfortunately, two factors did not allow us to
apply this statistical method. Overall satisfactions moder-
ating role on the link between transaction-specic satisfac-
tion and loyalty (the partial mediation and moderation
model) cannot be tested, and the binary nature of
behavioural loyalty did not allow the inclusion of this
construct in a structural equation model. SEM could not
test the full mediation model and the partial mediation
model, and we preferred not to apply too many statistical
techniques and to keep consistency in the analysis. We
therefore tested the construct relationships by using
regression analyses and Logit analyses when the dependent
variable was binary. Thus, as the moderating role of
variable Z on the relationship XY is characterised by the
signicant interaction effect XnZ (Baron and Kenny,
1986), it was tested here with a multiple regression analysis.
4.5. Results
Based on the full mediation model proposed and
validated by Jones and Suh (2000), we hypothesised that
overall satisfaction plays a mediating role between
transaction-specic satisfaction and attitudinal loyalty,
and our results corroborated this. Indeed, we found that
transaction-specic satisfaction signicantly inuences
overall satisfaction (b 0.545, po0.001), which in turn
signicantly affects attitudinal loyalty (b 0.612,
po0.001), consequently validating Model 1.
The model of partial mediation hypothesised a direct
antecedent link between transaction-specic satisfaction
and attitudinal loyalty. Although we found transaction-
specic satisfaction to inuence attitudinal loyalty signi-
cantly (b 0.325, po0.001), the relationship appeared
to be insignicant when we considered both transac-
tion-specic and overall satisfaction simultaneously
(b 0.016, p40.050). Model 3, which considered both
ARTICLE IN PRESS
Table 1
Description of items used to measure the constructs
Scale/items Factor loading Variance extracted Coefcient a
Transaction-specic satisfaction (TS)
1. I am satised with my decision to come to the club today 0.904
2. I think that I did the right thing by deciding to come today 0.936 0.858 0.917
3. My choice to come to the club today was a wise one 0.915
Overall satisfaction (OS)
1. I am satised with my decision to join this club 0.903
2. I think that I did the right thing by deciding to join this club 0.908 0.829 0.896
3. My choice to join this club was a wise one 0.920
Attitudinal loyalty (AL)
1. The probability that I will renew my membership is 0.900
2. The likelihood that I will recommend this club to a friend is 0.843 0.788 0.864
3. If I had to do it over again, I would make the same choice 0.918
Table 2
Correlation matrix and descriptive statistics
TS OS AL
Transaction-specic satisfaction (TS) 1.00
Overall satisfaction (OS) 0.54
a
1.00
Attitudinal loyalty (AL) 0.33
a
0.63
a
1.00
Mean 6.19 6.33 5.99
SD 0.98 0.88 1.26
a
Correlation is signicant (po0.01).
G. Bodet / Journal of Retailing and Consumer Services 15 (2008) 156162 159
partial mediation and moderation, added a moderating
relationship, played by overall satisfaction, to the relation-
ship between transaction-specic satisfaction and attitudi-
nal loyalty to Model 2. This relationship was not validated
because no interaction effect was found (b 0.824,
p40.050) (Table 3).
Finally, based on the hypotheses of Model 4, our results
showed that neither satisfaction constructs nor attitudinal
loyalty are able to predict repurchase behaviour, measured
in this study by membership renewal. However, when
analysed separately, we found that overall satisfaction
inuences repurchasing behaviour (b 0.419, p 0.072),
with a level of signicance close to the common level of
acceptance (po0.050) (see Tables 4 and 5).
4.6. Discussion
In order to improve knowledge of the relationship
between satisfaction and loyalty in the services area, we
tested different links between mediation and moderation
according to previous models elaborated by Jones and Suh
(2000). Although a signicant contribution of this study
has been to provide added evidence that transaction-
specic satisfaction and overall satisfaction are distinct
constructs, its main contribution relates to the testing of
the relationship between these dual customer-satisfaction
constructs and its links with attitudinal loyalty and
repurchasing behaviour. More precisely, this studys results
have conrmed the mediating role played by overall
satisfaction in the relationship between transaction-specic
satisfaction and attitudinal loyalty. In this way, this
research supports Jones and Suh (2000) and Parasuraman
et al. (1994).
However, contrary to Jones and Suh (2000), this study
did not conrm that transaction-specic satisfaction
directly inuences customer attitudinal loyalty toward
service providers, as it did not nd that overall satisfaction
plays a moderating role between transaction-specic
satisfaction and attitudinal loyalty. One explanation for
this could be related to the nature of the service context.
Sport club membership is generally characterised by an
important number of interactions or experiences with the
organisation which could tend to minimise the role of
transaction-specic satisfaction compared to overall satis-
faction. It can therefore be argued that managers should
focus on overall satisfaction when service consumption
includes numerous interactions, such as membership,
whilst endeavouring to avoid unusual and extraordinary
transaction-specic dissatisfactions. However, they should
keep in mind that even if transaction-specic satisfaction
does not produce a strong impact on attitudinal loyalty, it
constitutes an important antecedent to overall satisfaction.
Although we have conrmed that overall satisfaction is a
signicant direct antecedent to attitudinal loyalty, none of
the constructs, that is, transaction-specic satisfaction,
overall satisfaction, or attitudinal loyalty, thought to be
direct antecedents for repurchasing behaviour demon-
strated a signicant impact. These results tend to corrobo-
rate numerous studies (Andreassen and Lindestad, 1998;
Mittal and Lassar, 1998; Reichheld, 1993) which found
that customer satisfaction is necessary but not sufcient to
predict the repurchasing behaviour.
Berne et al. (2001) found evidence that satised and very
satised customers do decide not to repurchase in service
industries. However, although this study did not nd the
relationship between overall satisfaction and repurchasing
behaviour to be signicant at a level of probability at 5%,
it would have been signicant at 7%. It can therefore be
concluded that overall satisfaction contributes to beha-
vioural loyalty and that the relationship could be validated
with a larger sample. Based on the ndings of Mittal and
Kamakura (2001), we could also hypothesise that the
relationship could be validated by considering specic
segments of the population.
Finally, contrary to Arrondo et al. (2002) and
Bandyopadhyay and Martell (2007), this study found that
attitudinal loyalty was unable to predict behavioural
loyalty, in this case, repurchasing behaviour. Conse-
quently, it is important for managers to understand their
responsibilities in this non-causal relationship. Indeed, in
such services as those in leisure industries, such non-
controllable factors as injury, professional promotion, or
ARTICLE IN PRESS
Table 3
Regression analyses of the models
Hypotheses b t-Value Signicance R
2
VIF
a
TS-OS 0.545 10.143 0.000 0.294 1.000
TS-AL 0.325 5.374 0.000 0.102 1.000
OS-AL 0.612 12.192 0.000 0.372 1.000
TS-AL 0.016 0.264 0.792
0.393
1.422
OS-AL 0.639 10.769 0.000 1.422
TS-AL 0.484 1.351 0.178
0.395
52.045
OS-AL 1.073 3.434 0.001 39.579
TSOS-AL 0.824 1.414 0.159 137.651
a
Variation ination factor (VIF) values superior than 10 generally
indicate multicollinearity (Hair et al., 2006).
Table 4
Logit analysis of the repurchase direct antecedents model
Hypotheses b z-Stat Signicance McFadden R
2
TS-RB 0.399 1.368
0.152 0.048
OS-RB 0.401 1.160
BI-RB 0.232 0.990
Table 5
Logit analysis of the overall satisfactionbehavioural loyalty relationship
Hypotheses b z-Stat Signicance McFadden R
2
OS-RP 0.419 1.794 0.072 0.028
G. Bodet / Journal of Retailing and Consumer Services 15 (2008) 156162 160
moving house can affect repurchasing behaviour without
affecting attitudinal loyalty with the same impact.
Managers therefore have a stake identifying the reasons
for non-renewals of membership in order to determine if
they are situational factors (Bandyopadhyay and Martell,
2007), particularly if they can be attributed to their
organisations.
5. Conclusion
The rst aim of this study was to investigate the
relationships between customer satisfaction and loyalty
and the double conceptualisations of these constructs, as
they have been studied together infrequently. Since
replication in research is, unfortunately, underestimated,
it is essential to construct consistent knowledge (Hunter,
2001), and considering the major shortcomings identied
by the authors themselves, such as the nature and size
of samples, we decided to test the different models
proposed by Jones and Suh (2000), adding repurchasing
behaviour as a dependent variable. It therefore also
constitutes an answer to Bolton (1998, p. 47), who found
no longitudinal studies of how cumulative satisfaction
inuences the subsequent purchase behaviour of individual
customers.
In comparison with Jones and Suh (2000), the results of
this study have tended to reduce the role of transaction-
specic satisfaction and to highlight the role played by
overall satisfaction, even if it did not nd the link with
repurchasing behaviour to be signicant. This difference
could probably be explained by the different type of service
this study tested, as it is one composed of numerous
transactions. Further research testing the same models
should therefore be pursued in other heterogeneous service
areas in order to conrm the status of the double
constructs of satisfaction and loyalty.
Even if longitudinal studies are particularly demanding,
it seems that the main shortcoming of this study was the
size of its controlled sample (110 customers), which could
explain its non-validation of the overall satisfaction
repurchasing behaviour relationship. It would therefore
be interesting to reproduce the same survey with a larger
controlled sample, with the addition of a follow-up after
the potential end of each customers relationship with
the service provider in order to establish whether the
reasons for non-renewal can be attributed to the service
organisation.
Furthermore, as Mittal and Kamakura (2001) demon-
strated, it would be relevant to analyse these relationships
with consideration for the moderating role played by
customer characteristics. Finally, we can also estimate that
customer satisfaction is not sufcient to predict repurchas-
ing behaviour, and numerous surveys dealing with the
attitudinal dimension of loyalty have found, other con-
structs, such as the concepts of value or commitment, could
be added and considered as complementary antecedents for
repurchasing behaviour.
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