|dc.contributor.author||Guevara, Carolina E. Cruz||
|dc.contributor.author||Castro, Gene Steffan Chalan||
|dc.description||Masteroppgave(MSc) in Master of Science in Strategic Marketing Management - Handelshøyskolen BI, 2018||nb_NO
The purpose of the thesis is to contribute to customer retention literature by developing
an empirical model explaining which drivers affect renewal likelihood in a contractual
context. The framework consists of two primary constructs: customer-initiated
communication and customer behaviour. The thesis has three main objectives: To
evaluate the effect of customer-initiated communication (i.e. inquiries and complaints)
on renewal likelihood; to evaluate empirically the effect of customer behaviour as
predictor of renewal likelihood; and to explore how the interaction between
multichannel contract and cross-category usage affects renewal likelihood.
The research is based on panel data with a sample of 30 003 users of an online
product/service in collaboration with a leading Scandinavian media group.
The thesis has empirically shown the relationship between customer-initiated
communication (i.e. inquiries and complaints) and renewal likelihood. Contrary to
previous research, complaints seem to have a positive influence on renewal likelihood,
which suggest that a voiced complaint may signal customer commitment. Furthermore,
behavioural variables such as cross-category usage, multichannel contract and past
renewals have a positive impact on renewal likelihood contract subscription. Lastly,
the interaction between multichannel contract and cross-category usage have negative
effect on renewal likelihood, suggesting a tension between channel value propositions
(i.e. overlapping offers, limited added value), which negatively influence the utility
derived from a multichannel contract.
The paper provides valuable insights related to customer-initiated communication and
behavioural influence on the likelihood of renewal in a contractual context. Existing
retention literature focuses on customer complaint or attitudinal variables (e.g.
satisfaction, commitment), but rarely include inquiry as customer-initiated
communication along with behavioural variables in a contractual context within the
|dc.title||The impact of customer-initiated communication and customer behaviour on contract renewal likelihood: An empirical study||nb_NO