Determinants of Brand Switching in Mobile Service Providers: A Case Study of Mobile Phone Industry in Southern Punjab-Pakistan

Abstract

This research intended to explore the causes behind customer behavior and preferences regarding brand switching in the context of cellular sector of Pakistan. To conduct this study sample was taken from District Vehari and Multan of Southern Punjab. A sample of 300 respondents was taken. All respondents were switched customers. A well designed questionnaire was constructed, comprising of 19 questions. Reliability test was conducted on sample of 25 respondents and results showed .706 value of Cronbach’s alpha. Descriptive statistics and logistic regression analysis methods were used for analysis and interpretation of data through SPSS Software and STATA. Results showed that determinants such as customer satisfaction, customer services, price, service failure, and Inconvenience (Independent Variables) have significant impact on brand switching (Dependent variable). Customer satisfaction and customer services have negative but significant relationship with brand switching. In case of Price, Inconvenience and service failure, they have positive and significant relationship with brand switching. All respondents had switched their network due to dissatisfaction and they have arbitrary behavior and preferences concerned to brand switching in spite of switching they have further intentions to switch to other network. The reasons is that some customers prefer innovative VAS (Value added services) and new technological attractiveness (3G, 4G-LTE) etc. Arbitrary behavior is clear from analysis that 58% customers have intentions to switch networks maximum time and still they have further intentions to switch. This study suggest that the companies should focus on the preferences of customers to win their loyalty.

Keywords: Brand Switching, Customer Satisfaction, Customer Services, Service Failure, Price, Inconvenience, Customer Behavior, Preference