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Examining a hybrid model for e-satisfaction


and e-loyalty to e-ticketing on airline websites

Article in Journal of Air Transport Management · May 2014


Impact Factor: 0.91 · DOI: 10.1016/j.jairtraman.2014.01.006

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Journal of Air Transport Management 37 (2014) 36e44

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Journal of Air Transport Management


journal homepage: www.elsevier.com/locate/jairtraman

Examining a hybrid model for e-satisfaction and e-loyalty to


e-ticketing on airline websites
Naeimeh Elkhani a, *, Sheida Soltani a, Mir Hadi Moazen Jamshidi b,1
a
Department of Information System, Faculty of Computing, Universiti Teknologi Malaysia (UTM), Skudai, 81310 Johor Bahru, Johor, Malaysia
b
Department of Management, Payame Noor University, Tehran

a b s t r a c t
Keywords: In the air transportation industry, web-based marketing has already been widely applied to service
Airline website quality frequent customers as well as to attract new ones. The importance of attracting new customers and
E-SERVQUAL
keeping existing ones loyal to e-ticketing on airline websites is crucial. Accordingly, this study proposes
Marketing mix 4Ps
Expectancy Disconfirmation Theory
an integrated model for evaluating the effectiveness of airlines’ websites from a customer point of view.
E-satisfaction This model is based on the three perspectives of the marketing mix 4Ps, E-SERVQUAL and Expectancy
E-loyalty Disconfirmation Theory. E-marketing and E-SERVQUAL features are divided into three dimensions,
specifically information, system and service disconfirmations. The methodology was applied based on
Structural Equation Modeling (SEM) and was administered to online customers who carry out e-ticketing
via an airline website. The results show that customer disconfirmations have a positive significant impact
on overall customer e-satisfaction. The significance of this relationship was more considerable in the
service dimension of e-marketing, as well as the system dimensions of E-SERVQUAL and e-marketing.
Moreover, overall e-satisfaction was found to mediate the relationship between customer dis-
confirmations and consumer e-loyalty.
Ó 2014 Published by Elsevier Ltd.

1. Introduction also for the provision of electronic/paperless tickets, as well as


transparent and clear pricing led by both proactive and reactive
Information Communication Technologies (ICTs) have revolu- yield management, financial incentives for self-booking online,
tionized the whole business world. They can provide powerful online promotions, powerful customer relationship management
strategic and tactical tools for organizations which, if properly systems and online advertising strategies (Yu, 2008).
applied and used, lead to great advantages in promoting and A direct relationship with customers causes airlines to pay more
strengthening their competitiveness. The airline industry in attention to determine what customers want and do not want
particular has fostered a dependency on ICTs since a number of (Chen and Chang, 2005). Accordingly, this allows airlines to gain a
airline functions rely greatly on them. The popularity of the Internet closer relationship with their customers. In this regard, companies
and e-commerce technologies have provided a platform for air have long viewed striving for customer satisfaction as an important
transportation companies to bypass intermediaries such as travel goal. The extant literature substantiates the positive effects of
agents and transact with their customers directly (Nyshadham, customer satisfaction on desirable outcomes. Most importantly,
2000; Tsai et al., 2005). One of the most valid solutions for satisfaction is seen as being the major determinant of subsequent
attracting more customers and enhancing business values is to sell loyalty (Anderson and Sullivan, 1993; Szymanski and Henard, 2001;
low-fare air tickets and facilitate boarding processes, such as e- Fassnacht and Köse, 2007; Blattberg et al., 2009). Therefore, as
ticketing and online check-in, through an airlines’ own website online retailing is increasing in importance, analysis is required to
(Wei and Ozok, 2005). Airlines are increasingly resorting to the understand the drivers of satisfaction and loyalty within website e-
Web, not only as a useful tool by which to obtain information but quality.
Evaluating website quality in previous research has been
applied based on the three approaches, namely information sys-
tems (IS), marketing and a mixture of these two (Chiou et al., 2008;
* Corresponding author. Tel.: þ60 1114247210. Chiou et al., 2010). The E-SERVQUAL model which was proposed by
E-mail addresses: Naeimeh.Elkhani@gmail.com (N. Elkhani), Iranjamshidi.hadi@
Parasuraman et al. (2005) is the most well-known model with the
gmail.com (M.H.M. Jamshidi).
1
þ98 91412246209. IS approach for analyzing website quality. In the context of airline

0969-6997/$ e see front matter Ó 2014 Published by Elsevier Ltd.


http://dx.doi.org/10.1016/j.jairtraman.2014.01.006
N. Elkhani et al. / Journal of Air Transport Management 37 (2014) 36e44 37

websites, prior studies (e.g., Lee and Wu, 2011; Llach et al., 2012; and SERVQUAL model (Parasuraman et al., 1988). However, ac-
Forgas et al., 2012) have used the adapted criteria of original E- cording to previous studies such as Ladhari (2009), it seems that the
SERVQUAL for evaluating customer satisfaction and loyalty. More- most widespread criteria used to assess service quality in an elec-
over, in recent years, a marketing approach, namely the Web- tronic context is E-SERVQUAL by Parasuraman et al. (2005). This is
Marketing Mix (WMM) has been used to evaluate website qual- an adaptation of the well-known SERVQUAL criteria designed to
ity. With this approach, Chiou et al. (2010) proposed a strategic assess quality of services in general. Originally, E-SERVQUAL was
evaluation framework for website quality including information, structured into 22 items grouped into four dimensions, namely
agreement and settlement phases. Here the criteria for evaluating efficiency (the ease and speed of accessing and using the site),
website quality are categorized into four factors, product, promo- fulfillment (the extent to which the site’s promises about order
tion, price and place (the ‘4Ps’), and are used in the case of online delivery and item availability are fulfilled), system availability (the
travel agencies to evaluate website quality. As regards a mix of IS correct technical functioning of the site) and privacy (the degree to
and marketing approaches for evaluating airlines’ websites, Tsai which the site is safe and protects customer information). In the
et al. (2011) proposed a model which was applied to analyze the context of airline websites, prior studies (e.g., Lee and Wu, 2011;
websites of five air transportation companies in Taiwan based on Llach et al., 2012; Forgas et al., 2012) have used the adapted
the point of view of experts in the industry. criteria of the original E-SERVQUAL model for the purposes of
However an assessment of previous research dealing with the evaluating customer satisfaction and loyalty.
evaluation of airline website quality shows that there is still the
existence of a significant gap. This mainly relates to the evaluation 2.2. The marketing mix and the 4Ps
of airline website quality based on the mixed or integrated E-
SERVQUAL and 4Ps model considering the customer point of view. The marketing mix and 4Ps are useful to highlight some unique
For evaluating the customer point of view, this study integrates aspects of e-marketing (Kalyanam and McIntyre, 2002). The defi-
Expectancy Disconfirmation Theory (EDT) with the proposed nition of 4Ps in e-marketing, and particularly in the airline website
mixed model; this theory still remains unexplored in the literature. context, can be explained in the following manner:
EDT has five measurement methods for evaluating customer Product: air transportation companies provide an array of travel
satisfaction; among them is the Additive Difference Model (ADM) information (e.g., product, destination, flight) on their websites to
which is used in this research. enhance the product offerings, and facilitate web-based marketing
Accordingly, this study aims to: first, propose a hybrid model to (Ho and Lee, 2007). The perceived uniqueness of information
define the airline website quality criteria from both 4Ps and E- concerning product detail and variety, product comparison and
SERQUAL perspectives in three e-quality dimensions covering in- ease of cancellation or modification of ordered products are
formation, system and service respectively. Following that, EDT will differentiated features that would potentially increase the interests
be mixed with the marketing mix 4Ps and E-SERVQUAL to measure of online customers (Chiou et al., 2010).
customer disconfirmations separately in each dimension of airline Price: the e-marketing environment enables online differenti-
website e-quality criteria. This subsequently leads to the creation of ated pricing strategies. Differentiated pricing includes last minute
a multi-dimension model to measure customer satisfaction and discounts, web-only prices and other online-only deals for various
loyalty regarding website e-service and e-marketing criteria. Sec- tourism products (Han and Mills, 2006). Price information includes
ond; the proposed model will be examined with an airline website all relevant charge details, price comparisons and competitive
to determine whether each of the disconfirmation dimensions have prices which are the criteria for website evaluation of pricing
a positive effect on overall customer e-satisfaction. In addition, it (Chiou et al., 2010).
will seek to establish whether overall e-satisfaction plays a medi- Promotion: in an e-commerce environment, the virtual value
ating role between customer disconfirmations and e-loyalty. chain can offer several venues to advertise products and services.
This paper is organized as follows. First, a literature review is For example, a company may advertise discounts to customers
provided on the concept of E-SERVQUAL, the marketing mix 4Ps through its website. With airlines, special travel packages or dis-
and EDT, in the context of airline website quality. Second, a con- counted packages are offered to attract the interest of internet
ceptual framework is built by formulating hypotheses on the effects users. Criteria such as advertising promotion and discounts, as well
of customer disconfirmations from E-SERVQUAL and e-marketing as reputation and credibility of the site, are important (Chiou et al.,
criteria on customer overall e-satisfaction and e-loyalty. Thereafter, 2010).
the empirical study is described by presenting the methodology, Place: the basic function of place is to provide a transactional
followed by the hypotheses testing. Finally, the paper closes with a channel, such as online reservations, reservations tracking and
discussion of the results, implications and conclusions. online payment (Ho and Lee, 2007). Chiou et al. (2010) identified
the criteria for place evaluation of websites as ease of finding target
2. Literature review information, ease of understanding and reading, up to date content,
content relevancy and usefulness, ease of navigation, product
2.1. The perspective of e-quality and E-SERVQUAL search, loading speed and processing, efficient and quick linkage,
ease of access, ease of online transaction, as well as a convenient
The term e-quality is a requirement for effective web-based payment method.
marketing. Marketing performance of an e-commerce website re-
lies on its capability to deliver quality customer service. A great deal 2.3. Expectancy Disconfirmation Theory (EDT)
of effort has been devoted to assessing the e-quality of websites
according to various dimensions. A review by Balfagih et al. (2008) In order to measure customer satisfaction, EDT is introduced as
shows that six models designed to evaluate the quality of e-com- an important theory which can measure customer satisfaction from
merce websites have been used commonly in previous studies. the perceived quality of products or services (Oliver, 1980;
These are the: DeLone & McLean E-commerce Model (DeLone and Patterson and Johnson, 1997; Spreng and Page, 2003). EDT has
McLean, 2004); ISO 9126 Quality Model (ISO/IEC, 2001); WebQual two well-known variables, expectation or desire, and experience or
4.0 Model (Barnes and Vidgen, 2003); Palmer’s Model (Palmer, perceived performance. These variables are defined in two different
2002); Stefani & Xenos Quality Model (Stefani and Xenos, 2001), time periods. Expectation or desire are related to the pre-purchase
38 N. Elkhani et al. / Journal of Air Transport Management 37 (2014) 36e44

time period, and experience or perceived performance are related Evaluating airline’s website
to the after-purchase time period. The difference between initial
expectation and perceived experience is known as disconfirmation
of expectation (Bhattacherjee and Premkumar, 2004; Oliver, 1980;
E-SERVQUAL E-marketing
Spreng and Page, 2003). The result of this difference is that dis-
confirmation of expectation can be either positive or negative.
When customer perceived performance about the quality of a
specific product or service is better than customer expectation, Information System Service Information System Service
positive disconfirmation will occur. Conversely, if the customer
perceives the performance as being worse than they expected
Efficacy Place
about the quality of a specific product or service, negative discon-
Fulfillment Price
firmation will emerge. According to Yi (1990) positive disconfir-
Privacy Product
mation will lead to customer satisfaction, while negative System Availability Promotion
disconfirmation means perceived performance of products or ser-
vices have not succeeded in attracting customer satisfaction. Fig. 1. Proposed model comprised of E-SERVQUAL and e-marketing measures.
EDT has been applied by many researchers in different fields to
acquire better understanding of customer expectations and re-
quirements in relation to attracting their satisfaction. These fields
include marketing, tourism, information technology, repurchase the original criteria using airline website studies. We then catego-
behavior and retention (Oliver, 1980; Fallon and Schofield, 2003; rized E-SERVQUAL features into three dimensions of e-quality,
Bhattacherjee and Premkumar, 2004; Hsu et al., 2006; Patterson namely information quality, system quality and service quality
and Johnson, 1997) and airline websites (Chen, 2008; Finn et al., (DeLone and McLean, 2004; Lee and Wu, 2011; Llach et al., 2012) as
2009). described below:
EDT has five measurement methods for evaluating customer
satisfaction, among them is the Additive Difference Model (ADM). (1) Information quality is the quality of the information pro-
This model provides a more distinct assessment in comparison duced and delivered by a system as perceived by the user
with other methods. Prior studies in the field of evaluating airline (Lee and Kozar, 2006; Negash et al., 2003). In our proposed
websites, for instance Chen (2008), used one of the measurement model, the information quality dimension includes infor-
methods of EDT based on Parasuraman et al. (1994) known as mation efficiency with two items of E-SERVQUAL, as follows:
Difference score (DIFF) for measuring customer satisfaction. In EF1: easy-to-find information that is needed on the site
addition, Finn et al. (2009) used another measurement method of including business-related (e-ticketing) and general infor-
EDT, based on Churchill and Surprenant (1982), known as Better mation. EF2: helpful information: business-related (e-tick-
than/worse than (BTWT) for measuring airline customer satisfac- eting) and general information.
tion of website quality. To the best of our knowledge, none of the (2) System quality is not only a measure of the information
studies of airline websites have used ADM for assessing customer processing system itself but also an engineering-oriented
satisfaction concerning airline website quality. performance characteristic (Ahn et al., 2007; Negash et al.,
Due to the problems associated with the use of difference scores 2003). A high level of system quality may provide users
such as low reliability (which assumes pre-use expectations are the with more convenience, privacy and faster responses. In our
same as retrieved expectations), the difference component of the proposed model, system quality includes system efficiency
operationalized ADM is a subjective assessment of the difference with three items, system availability with two items, and
between standard and performance and is not actually a difference privacy with two items, as follows: EF3: ease of getting
score. Thus the operationalizations of the constructs are as follows: anywhere on the site (ease of navigation). EF4: fast loading of
X pages. EF5: ability to get on site quickly. SysA1: availability of
DC ¼ ei ðSDCi Þ site. SysA2: the site does not crash. PRI1: the site does not
share personal information with other sites. PRI2: site
where DC ¼ desires congruency for the product, ei ¼ a weighting adequately protects credit card information.
parameter that is the consumer’s evaluation of the goodness or (3) Service quality refers to the overall support delivered by the
poorness of the difference between the expected and the actual website (i.e., how well a delivered service level matches
performance. SDCi ¼ the consumer’s subjective perception of the customer expectations) (Ahn et al., 2007; Lee and Kozar,
congruency between their desires (D) regarding attribute i and the 2006). In the current study, service quality comprises ser-
performance of the product (PP) on attribute i. The ADM method has vice efficiency with one item, and fulfillment with two items:
appeared to work well in both a service setting and in a product EF6: ability to complete a transaction quickly. FUL1: ease of
setting (Spreng and Page, 2003). In addition, this operationalization canceling or modifying a reservation. FUL2: searching
is a more general form of other combinatorial methods such as the mechanism (flight search).
ideal point model (e.g., Teas’s 1993 “evaluative performance” model).
From the perspective of e-marketing, our model categorized the
criteria of Chiou et al. (2011) for the 4Ps in the three dimensions as
3. The proposed model and hypothesis shown below:

For the purposes of evaluating customer e-satisfaction, we need (1) Information quality
to know the customer point of view in relation to combination-
oriented features related to IS and marketing factors. To evaluate Price: price detail including all relevant charge details; Place:
website quality, we used E-SERVQUAL features as an IS approach up-to-date content, relevance of information; Promotion: adver-
with the four dimensions being efficiency (EF), system availability tising promotion and discount; and Product: product detail and
(SysA), fulfillment (FUL), and privacy (PRI). This was adapted from variety (flight selection, seat selection, meal selection).
N. Elkhani et al. / Journal of Air Transport Management 37 (2014) 36e44 39

(2) System quality dimensions of customer disconfirmations and e-loyalty. With the
six dimensions of customer disconfirmations including informa-
Price: price comparison; Place: convenient payment method; tion, system, and service disconfirmation, we conjecture as follows:
Promotion: reputation and credibility of the site; Product: product
comparison (offered flights). H5: customer overall e-satisfaction mediates the effects of dis-
confirmations on consumer e-loyalty.
(3) Service quality
The proposed model for analyzing the hypotheses is shown in
Price: competitive price; Place: ease of online transaction, on- Fig. 2.
line assistant and help function; Promotion: promotion and dis-
count to members and nonmembers; Product: possibility of 4. Methodology
canceling or modifying flight.
The proposed model for evaluating airline website quality is 4.1. Measures
shown in Fig. 1. EDT is added to Fig. 1 to evaluate customer dis-
confirmation. However, a single stage disconfirmation for all E- As discussed, the model in this study was adapted from the
SERVQUAL features or for all e-marketing features is unlikely to original E-SERVQUAL. The measures of E-SERVQUAL comprise four
adequately account for the complexity of quality evaluation of dimensions including efficacy, fulfillment, privacy, and system
websites. Our model will measure customer disconfirmation from availability for airline websites. From the perspective of E-SERVQ-
the specific features in each e-quality dimension using both E- UAL, the model is based on 12 items categorized in three di-
SERVQUAL and e-marketing criteria. If a customer realizes that the mensions, namely information quality, system quality, and service
perceived information of a product or service satisfies their ex- quality. From the perspective of e-marketing, our model catego-
pectations, then this positive disconfirmation successfully leads to rized 17 criteria for 4Ps in the same three dimensions. For the
customer satisfaction. Thus, we hypothesize that customer positive measurement criteria of overall e-satisfaction, the first question has
information quality disconfirmation in both E-SERVQUAL and e- two set answers which are based on Spreng and Page (2003); while
marketing aspects exert a positive influence on customer satisfac- the second question is adapted from Finn et al. (2009). In relation to
tion. Hence, in both aspects of E-SERVQUAL and e-marketing, we e-loyalty, two questions of Lee and Wu (2011) and Llach et al. (2012)
hypothesize as follows: have been adapted. Table 1 provides a detailed summary of items
measured through multi-item criteria for the measurement of the
H1: customer information disconfirmation has a positive direct constructs in which responses from the participants were
influence on overall customer e-satisfaction. (H1a and H1b) measured.
H2: customer system disconfirmation has a positive direct in-
fluence on overall customer e-satisfaction. (H2a and H2b)
4.2. Sample and data collection
H3: customer service disconfirmation has a positive direct in-
fluence on overall customer e-satisfaction. (H3a and H3b)
The study was carried out with the online customers of the
AirAsia airline website. These customers comprised a selection of
Past studies have suggested that service quality satisfaction af-
students, lecturers and staff members from Universiti Teknologi
fects loyalty and post-purchase behavior (Oliver, 1980; Anderson
Malaysia, who had carried out online ticketing booking at least once
and Sullivan, 1993). Also, e-satisfaction has been found to be the
on the website. The respondent sample was drawn from two cul-
principal antecedent of e-loyalty (Chiou, 2004) and intention to
tural groups of online customers, specifically Malaysian residents
recommend (Finn et al., 2009). In order for satisfaction to affect
and international customers. 357 questionnaires were handed out
loyalty, frequent and accumulated satisfaction is necessary, such
personally and a total of 309 questionnaires were returned, which
that episodes of individual satisfaction are aggregated and mixed.
made a response rate of 86 percent. Of the returned questionnaires,
In our study, overall e-satisfaction is the result of customer dis-
nine were incomplete and these were excluded from the data
confirmation aggregations in the aspects of E-SERVQUAL and e-
analysis. The remainder comprised 300 completed questionnaires.
marketing. We anticipate that overall customer e-satisfaction from
Table 2 presents the demographic information.
disconfirmations will lead to customers being encouraged to create
new business with the airline websites in the future and retain
customer loyalty to e-ticketing. Hence, on the basis of Flavian et al. 4.3. Analysis
(2006) we relate overall customer e-satisfaction to e-loyalty, by
determining specifically: The two components of the ADM measure of desires disconfir-
mation were captured by first asking the subject the following
H4: overall customer e-satisfaction with an airline website has a
positive influence on customer e-loyalty to the airline com- E-serv Disc 1
pany’s website. H1a
E-serv Disc 2
H2a
Moreover, there is evidence in literature studies which shows H5
E-serv Disc 3 H3a
how customer e-satisfaction mediates the relationship between Overall H4
E-loyalty
customer disconfirmations and loyalty components. For example, E-satisfaction
E-mark Disc 1 H1b
the model proposed by Finn et al. (2009) indicates that overall
satisfaction has a mediating effect between system disconfirmation H2b
E-mark Disc 2
and intention to recommend. Further, there is a link between of-
H3b
fering disconfirmation and intention to recommend. In the context E-mark Disc 3
of airline website, we defined e-loyalty explicitly by the intention to
re-purchase and intention to recommend. We hypothesize that Fig. 2. Disc 1: information disconfirmation, Disc 2: system disconfirmation, and Disc 3:
overall e-satisfaction mediates the relationship between six service disconfirmation.
40 N. Elkhani et al. / Journal of Air Transport Management 37 (2014) 36e44

Table 1 which construct validity and reliability of the measures are key.
Measurement scales. Second, the structural model with hypotheses is tested. In addition,
Constructs Measures for assessing goodness-of-fit measures, the model fit was tested in
ESD1 E-S-D-1: easy to find information I need on the site
LISREL 8.7.1.
including business-related (e-ticketing) and general
information. 5. Results
E-S-D-2: helpful information (business-related (e-ticketing)
and general information).
ESD2 E-S-D-3: easy to get anywhere on the site (ease of
5.1. Validity and reliability
navigation).
E-S-D-4: loads its pages fast. Convergent and discriminant validity was used to assess the
E-S-D-5: get on site quickly. construct validity of the instruments used. Composite reliability
E-S-D-6: availability of site for business.
(CR) values should be greater than 0.7 while the average variance
E-S-D-7: site does not crash.
E-S-D-8: site does not share personal information with extracted (AVE) should be above 0.5. The results of CR and AVE are
other sites. shown in Table 3. All AVEs were 0.778 or higher and all CRs were
E-S-D-9: site protects information about credit card. 0.925 or higher. These results supports the convergent validity of
ESD3 E-S-D-10: complete a transaction quickly. each of the constructs. As shown in Table 4, all AVE square roots
E-S-D-11: easy to cancel or modify reservation.
E-S-D-12: ease of searching mechanism (flight search)
surpass the correlations with the other constructs which means
EMD1 E-M-D-1: price detail including all relevant charges details discriminant validity of the scales is affirmed.
E-M-D-3: up-to-date business-related (e-ticketing) content Internal consistency of the measures exists if Cronbach alpha,
E-M-D-4: relevance of business-related (e-ticketing) composite reliability (CR) and item loadings of each criterion all
information
exceed 0.7 (Fornell and Larcker, 1981). As shown in Table 5, the
E-M-D-5: advertising promotion and discount
E-M-D-6: product detail and variety (flight selection) coefficients of Cronbach’s alpha for the six constructs were in
E-M-D-7: product detail and variety (seat selection) excess of 0.70, ranging from 0.804 to 0.915. These results are
E-M-D-8: product detail and variety (meal selection) acceptable, with all composite reliability (CR) findings being 0.824
EMD2 E-M-D-9: price comparison or higher. Similarly, all factor loadings were 0.737 or higher for both
E-M-D-10: ease of online transaction
company. Therefore, internal consistency is met by this model.
E-M-D-11: convenient payment method
E-M-D-12: reputation and credibility of the business
website 5.2. Disconfirmation result
E-M-D-13: product comparison (offered flights with
different price and flight-time for specific demand)
To operationalize the ADM measure of desires disconfirmation,
EMD3 E-M-D-14: competitive price
E-M-D-15: online assistant and help in business (e- we allocated customers’ responses to two scores as follows:
ticketing) SDCi ¼ How big was the difference between what you wanted and
E-M-D-16: promotion and discount to members and what the airline website actually provided? (1 ¼ “exactly as I
nonmembers desired” and 7 ¼ “extremely different than I desired”) and ei ¼ How
E-M-D-17: possibility of canceling or modifying flight
Overall I am. with my use of airline website.
good or bad is this difference? (5 ¼ “very bad” and þ5 ¼ “very
e-satisfaction Overall, how would you rate your experience on this site? good,” with 0 ¼ “neither bad nor good”). Accordingly, these data
E-loyalty I will do more business with the website in the future. were multiplied for each attribute of the ADM formula. Thus, the
I encourage friends and relatives to do business with the range of data which resulted from the multiple of ei in SDCi was
website.
[35, þ35] for each attribute. The data were normalized in a spe-
cific range [C, D] ¼ [1, 5] for each attribute A to become a range
corresponding with the response of overall e-satisfaction and e-
question: “In comparison to the quality level of each aspect that you loyalty. The normalization was undertaken with the one technique
desired, how big was the difference between what you wanted and of normalization known as Min Max Normalization (appearing as
what the airline website actually provided?” A 7-likert scale for the formula below) and then used for data analysis.
each of the 29 attributes was provided and anchored by the
 
following: 1 ¼ “exactly as I desired” and 7 ¼ “extremely different ðA  Minimum value of AÞ
B¼ *ðD  CÞ þ C
than I desired.” Second, following each of these scales was a mea- ðMaximum value of A  Minimum value of AÞ
sure that asked: “How good or bad is this difference?” This was
directed on an 11-point scale anchored by responses of: 5 ¼ “very The result of disconfirmations is demonstrated in six di-
bad” and þ5 ¼ “very good,” as well as 0 ¼ “neither bad nor good.” mensions as shown in Table 6. It indicates that, after normalization
For the first two questions of overall e-satisfaction the measures of of data in the range of [1, 5], all disconfirmations show a mean of
a 5-likert scale (1 ¼ “not at all positive” and 5 ¼ “extremely posi- more than three which indicates positive customer dis-
tive”; 1 ¼ “extremely displeased” and 5 ¼ “extremely pleased”) confirmations in all six dimensions. Among the disconfirmations’
were used. Further, in relation to the third question of overall e- mean, EMD3 and EMD2 show a significantly positive disconfirma-
satisfaction, responses ranging from 1 ¼ “extremely dissatisfied” tion, followed by ESD2 and EMD1 respectively.
and 5 ¼ “extremely satisfied” were considered. For e-loyalty, two
questions were adapted on the 5-likert scale and ranged from 5.3. Model fit
1 ¼ “strongly agree” to 5 ¼ ”strongly disagree”.
Moreover, we used a Partial Least Squares (PLS) analysis as The overall fit of the structural model was checked initially by
implemented in SmartPLS to estimate both the measurement examining c2, the goodness of fit index (GFI), the adjusted goodness
model and the structural model (Hansmann and Ringle, 2004). This of fit index (AGFI), the normalized fit index (NFI), the comparative
technique is considered adequate since the distribution of the data fit index (CFI), as well as the root mean square error of approxi-
deviates from normality and PLS makes no distributional assump- mation (RMSEA) applied to a test model fit. The recommended
tions (Fornell and Cha, 1994). Thus, the following measures were acceptance of a good fit to a model requires that the obtained GFI,
implemented: first, the measurement model was assessed, in AGFI, NFI and CFI values should be greater than or equal to 0.90. In
N. Elkhani et al. / Journal of Air Transport Management 37 (2014) 36e44 41

Table 2 step-1: the relationship between independent variables (six dis-


Demographics of information. confirmations) and mediator (overall e-satisfaction); step-2: the
Frequency Percentage relationship between independent variables (six disconfirmations)
18e24 100 33.33
and dependent variable (e-loyalty); and step-3: the relationship
25e34 117 39 among independent variable (six disconfirmations), mediator
35e40 83 27.67 (overall e-satisfaction) and dependent variable (e-loyalty) respec-
Total 300 100 tively. In order to demonstrate whether overall e-satisfaction me-
Male 176 58.67
diates the effects of the six disconfirmations on e-loyalty, the
Female 124 41.33
Total 300 100 standardized beta value for the six disconfirmations and e-loyalty
Local 113 37.67 in step-2 needs to be substantially larger than the same variable
International 187 62.33 displayed in step-3. Table 8 illustrates the three steps involved
Total 300 100
when assessing the mediation effect of overall e-satisfaction. The
results indicate that after the addition of overall e-satisfaction, all
the b in step-3 are less than in step-2. However, most of them are
Table 3 still meaningful. Thus, overall e-satisfaction partially mediates the
Convergent validity. relationship between ESD1, ESD3, ESD4, ESD6 and e-loyalty. How-
Constructs AVE Composite reliability ever, the results of b show that, after adding overall e-satisfaction,
the b in step-3 has become less than is required to account for a
EMD1 0.632 0.923
EMD2 0.669 0.866 meaningful path between ESD2, ESD5 and e-loyalty. Thus, in the
EMD3 0.656 0.884 case of ESD2 and ESD5, overall e-satisfaction fully mediates the
ESD1 0.701 0.824 relationship between them and e-loyalty. Table 9 explains the
ESD2 0.641 0.925
result of t-value and b for the mediator concerning overall e-
ESD3 0.676 0.862
LOY 0.778 0.875
satisfaction.
SAT 0.693 0.871
6. Discussion

addition to that, an acceptable value of RMSEA should range from The empirical analysis has led to several findings. First, our re-
0.05 to 0.08 (Hair et al., 1998). By using a correlation matrix among sults gained from analyzing the influence of customer dis-
29 measurement variables, SEM analysis is performed against the confirmations on overall e-satisfaction are consistent with general
proposed conceptual model. The SEM results depicted are: EDT literature (e.g., Oliver, 1980; Patterson and Johnson, 1997;
c2 ¼ 515.57 (p ¼ <0.001), df ¼ 231, GFI ¼ 0.96, AGFI ¼ 0.90, Spreng and Page, 2003). Also, they are consistent with research in
NFI ¼ 0.96, CFI ¼ 0.93 and RMSEA ¼ 0.71 respectively. The results the context of airline websites such as Finn et al. (2009). These
indicate a good fit for the structural model. studies found that customer system disconfirmation (including the
criteria of home page, order, and offering disconfirmation) has a
positive direct impact on satisfaction levels. Thus our results indi-
5.4. Hypothesis testing cate that the positive result of customer perception is quite
different between what they expect from the quality of (website
Regarding the evaluation of the model, we estimated that path and e-business) services and what they perceived as the direct
coefficients (the coefficients of the relationships between variables) influence on customer e-satisfaction. The result of measured dis-
would confirm the research hypotheses. We performed hypothesis confirmations by the formulation of ADM shows that the percep-
testing by following the recommendation of Chin (1998) that the tion of the customer is positive in all dimensions of
significance of each path’s coefficient can be estimated by t- tests disconfirmations. Accordingly, it was estimated that the positive
using bootstrapping with 500 subsamples. The result of hypothesis disconfirmation results produced a positive impact in e-satisfaction
testing including the mean, standard deviation, t-value and b are as confirmed by the b in the path analysis.
indicated in Table 7. Our results supported the hypotheses with six Second, the result of the path analyses conducted between
paths from disconfirmations positively influencing overall e- overall e-satisfaction and e-loyalty indicates that overall customer
satisfaction. e-satisfaction from multiple disconfirmations has a positive influ-
The suggested hypotheses, H1a, H1b, H2a, H2b, H3a, H3b, have ence on e-loyalty. We defined e-loyalty explicitly as the intention to
been confirmed based on the resulting b and t-value. Moreover, the re-purchase and intention to recommend the service. Thus our
results showed the customer overall e-satisfaction to have a posi- result is consistent with past research studies which have shown
tive direct influence on e-loyalty (b ¼ 0.270, t-value ¼ 4.59) sup- that overall e-satisfaction has a positive effect on the intention to
porting H4. This is carried out by means of three steps as follows: recommend the service (e.g., Finn et al., 2009). It is also consistent

Table 4
Discriminant validity. R- square for satisfaction and loyalty is 0.82 and 0.68 , respectively.

AVE EMD1 EMD2 EMD3 ESD1 ESD2 ESD3 LOY SAT


a
EMD1 0.632 0.794
EMD2 0.669 0.715 0.817a
EMD3 0.656 0.633 0.690 0.810a
ESD1 0.701 0.723 0.688 0.725 0.837a
ESD2 0.641 0.642 0.771 0.772 0.738 0.801a
ESD3 0.676 0.651 0.695 0.658 0.570 0.662 0.822a
LOY 0.778 0.629 0.693 0.682 0.573 0.721 0.797 0.882a
SAT 0.693 0.630 0.711 0.648 0.688 0.763 0.788 0.761 0.832a
a
Diagonal elements are the square roots of average variance extracted (AVE).
42 N. Elkhani et al. / Journal of Air Transport Management 37 (2014) 36e44

Table 5 of psychology, information systems and marketing. Second, we


Internal consistency. differentiated between customer information disconfirmation,
Items Factor loading system disconfirmation and service disconfirmation with both E-
ESD1 (CR [ 0.923; a [ 0.903)
SERVQUAL and e-marketing. Therefore, the proposed multi-
E-S-D-1 0.818 dimension model of disconfirmation has the advantage of exam-
E-S-D-2 0.856 ining the interaction between customer and airline websites in a
ESD2 (CR [ 0.866; a [ 0.804) more dynamic fashion by tracing customer disconfirmation at each
E-S-D-3 0.785
level.
E-S-D-4 0.781
E-S-D-5 0.887 In addition, two practical implications can be drawn. First, it is
E-S-D-6 0.737 apparent that online consumer satisfaction is formed by the
E-S-D-7 0.796 customer disconfirmation of both E-SERVQUAL and e-marketing
E-S-D-8 0.887
attributes. The results indicate that some disconfirmation aspects
E-S-D-9 0.811
ESD3 (CR [ 0.883; a [ 0.825)
have a more significant impact on overall customer e-satisfaction.
E-S-D-10 0.754 Thus, the quality-base response of airline websites in such aspects
E-S-D-11 0.848 plays an important role in gaining customer satisfaction and ulti-
E-S-D-12 0.859 mately retaining their loyalty. For example, disconfirmation of e-
EMD1 (CR [ 0.824; a [ 0.875)
marketing in the service dimension has the most significant direct
E-M-D-1 0.765
E-M-D-2 0.813 impact on overall e-satisfaction. Also, the second and third
E-M-D-3 0.823 important disconfirmation dimensions which have relatively more
E-M-D-4 0.836 importance are system dimensions of E-SERVQUAL and e-market-
E-M-D-5 0.808 ing. Therefore, website developers and decision-making managers
E-M-D-6 0.775
E-M-D-7 0.751
should ensure that the website back-end (system quality) is capable
E-M-D-8 0.781 of providing prompt, complete and secure transactions and replies
EMD2 (CR [ 0.925; a [ 0.905) to customer queries (e-business). Moreover, the results confirm the
E-M-D-9 0.805 mediation role of customer e-satisfaction between customer (E-
E-M-D-10 0.848
SERVQUAL and e-marketing) disconfirmations and customer e-
E-M-D-11 0.811
E-M-D-12 0.781 loyalty. Thus, our findings have significant implications for airline
E-M-D-13 0.776 website practitioners who are seeking to increase the volume of
EMD3 (CR [ 0.861; a [ 0.860) online customers and are eager to know how to satisfy online
E-M-D-14 0.799 consumers and retain their loyalty to their website.
E-M-D-15 0.851
E-M-D-16 0.853
E-M-D-17 0.816 7. Conclusions
SAT (CR [ 0.875; a [ 0.915)
SAT1 0.799 This research has provided insight into differentiating factors
SAT2 0.851
that are significant antecedents in the multi dimensions of
SAT3 0.830
LOY (CR [ 0.871; a [ 0.879) customer disconfirmation. These dimensions may not capture all
LOY1 0.882 the features that would be useful to explain customer disconfir-
LOY2 0.850 mation in each dimension. However, disconfirmation stages remain
to be investigated by further research in order to extend more
related features. In addition, since the model was only conducted
on one airline website, future studies should focus on investigating
with studies showing overall e-satisfaction has a positive impact on the proposed model on different airline websites. Also, since this
behavioral intention, including the intention to recommend as well survey was conducted on those who were educated to university
as the intention to repurchase (e.g., Chen, 2008). level, future studies need to extend the sample of other re-
Third, as regards the results indicated in Table 8 step-3, overall spondents in order to confirm the validity of the model.
e-satisfaction plays a partial mediator role in ESD1, ESD3, ESD4, and Overall, the current study followed three empirical objectives.
ESD6 respectively. In these cases, adding overall e-satisfaction to First, the direct impact of online customer disconfirmations on
the relationship between ESD1, ESD3, ESD4, ESD6 and e-loyalty overall e-satisfaction was examined; second, the direct impact of
does not result in the elimination of a direct relationship between overall e-satisfaction on e-loyalty was investigated, and third, the
ESD1, ESD3, ESD4, ESD6 and e-loyalty. However, ESD2 and ESD5, mediating role of overall e-satisfaction between disconfirmations
with full mediation impact, do so. In total, mediation results indi- and e-loyalty was considered. The results of the first and third
cate that enhancing customer e-satisfaction regarding these six objectives were consistent with previous studies such as those of
dimensions of disconfirmation would be significantly helpful to Finn et al. (2009). These confirmed a positive direct impact of
retain customers’ loyalty when using the airline website for e- customer disconfirmations on customer overall e-satisfaction, as
ticketing. well as the mediating role of overall customer e-satisfaction
Although the mediation role of e-satisfaction was more signifi- existing between customer disconfirmations and e-loyalty. How-
cant in ESD2 and ESD5, it has also made a meaningful role in the ever, from a theoretical aspect, the model provided a better un-
mediation of rest disconfirmations. These results are consistent derstanding of the category of customer disconfirmations in both
with previous studies. In particular, they emphasize that airlines aspects of E-SERVQUAL and e-marketing. The result of the second
should pay special attention to meeting customers’ needs and ex- objective was consistent with a study by Baia et al. (2008) which
pectations regarding E-SERVQUAL and e-marketing attributes confirmed that customer satisfaction from website quality has a
which result in increased customer satisfaction with websites. positive impact on purchase intention.
Consequently, more satisfied customers lead to more loyal ones. Finally, airline websites are powerful tools designed to attract
This research has two major theoretical contributions. First, we new customers to airline companies, as well as seeking to retain the
blended EDT with E-SERVQUAL and e-marketing with the theories loyalty of existing customers. To reach this aim, proper
N. Elkhani et al. / Journal of Air Transport Management 37 (2014) 36e44 43

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