Measuring the efficiency of customer satisfaction and loyalty for mobile phone brands with DEA

  • Authors:
  • Erkan Bayraktar;Ekrem Tatoglu;Ali Turkyilmaz;Dursun Delen;Selim Zaim

  • Affiliations:
  • Bahcesehir University, Department of Industrial Engineering, Besiktas, Istanbul 34349, Turkey;Bahcesehir University, International Trade and Business, Besiktas, Istanbul 34349, Turkey;Fatih University, Department of Industrial Engineering, Istanbul 34500, Turkey;Oklahoma State University, Department of MSIS, Tulsa, OK 74106, USA;Fatih University, Department of Management, Istanbul 34500, Turkey

  • Venue:
  • Expert Systems with Applications: An International Journal
  • Year:
  • 2012

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Abstract

The concept of customer satisfaction and loyalty (CS&L) has attracted much attention in recent years. A key motivation for the fast growing emphasis on CS&L can be attributed to the fact that higher customer satisfaction and loyalty can lead to stronger competitive position resulting in larger market share and profitability. Using a data envelopment analysis (DEA) approach, in this study we analyzed and compared CS&L efficiency for mobile phone brands in an emerging telecommunication market, Turkey. The constructs of European Customer Satisfaction Index (ECSI) model are treated and used as input and output indicators of our DEA model. Drawing on the perceptual responses of 251 mobile phone users, the DEA models reveal that from the top six mobile phone brands in Turkey, Nokia features as the most efficient brand followed by LG and Sonny Ericsson in terms of CS&L efficiency, while Motorola, Samsung and Panasonic rank as the least efficient brands.