Using a support vector machine to determine loyalty in African, European, and North American telecoms

Area of Science:

• Business Administration
• Marketing
• Information Systems

Background:

• Customer loyalty is crucial for telecommunication service providers' sustained business success.
• Brand loyalty encompasses repeat purchasing behavior and positive service or product recommendations.
• Understanding factors influencing loyalty is vital in the competitive telecommunication market.

Purpose of the Study:

• To investigate the impact of brand function and corporate image on customer loyalty within the telecommunication industry.
• To analyze the relationship between brand perception and customer satisfaction.
• To identify predictors for customer recommendations of telecommunication services.

Main Methods:

• A quantitative approach utilizing an anonymous online survey.
• Data collected from 971 telecommunication customers across Africa, Europe, and North America.
• Partial Least Squares (PLS) analysis and machine learning algorithms were employed for data analysis.

Main Results:

• Brand function and corporate image were found to have a significant positive effect on customer satisfaction.
• The study successfully modeled key predictors for customer recommendations of telecommunication services.
• Empirical evidence supports the influence of brand attributes on customer loyalty metrics.

Conclusions:

• Enhancing brand function and corporate image are key strategies for telecommunication companies to foster customer loyalty and satisfaction.
• Positive customer perceptions directly correlate with increased likelihood of service recommendations.
• The findings provide actionable insights for telecommunication marketers aiming to improve customer retention and advocacy.