Service quality and brand loyalty in the schooling industry of Pakistan

Abstract

This research studied the relationship between core service satisfaction, perceived switching cost, attractiveness of alternatives and brand trust while also establishing the relationship between brand trust and brand loyalty in the context of Pakistan's schools industry. The study was conducted on a sample of 355 parents of school going children and all the respondents were over the age of 30. The study contributes in identifying the dynamics of loyalty in this specific industry because it is unique in its environment as compared to the school industries of Europe and the USA. The study reveals that in a highly competitive industry where expansion is in continuous effect, loyalty is tested thoroughly. The research findings point out a strong positive relationship between service satisfaction and trust. High switching costs also increase brand trust whereas attractiveness of alternatives negatively affects brand trust and brand loyalty. In the end, the analysis shows that brand trust has a strong positive relationship with brand loyalty. This exhibits how a satisfied customer trusts the brand and remains brand loyal. High switching cost help manifest forced whereas the hypothesis of the relationship between attractiveness of alternatives on brand loyalty with mediating effect of brand trust cannot be supported because the relationship is negative but relatively weak.