Effects of Internet Service Quality Perception on Brand Loyalty in Telecommunication Industry A Case of Vodacom Customers at St. Augustine University of Tanzania
This study aimed to examine the impact of internet service reliability on customer retention and brand loyalty within the telecommunication industry, using Vodacom at SAUT, Mwanza, Tanzania as a case study. This study adopted a positivist philosophy with a descriptive design to determine the effect of service quality on brand loyalty among users of Vodacom services at St. Augustine University of Tanzania, using a sample size of 377 students. Data analysis was done through a linear regression model, where reliability was ensured through a pilot study and Cronbach’s alpha of 0.9. The findings showed that, among Vodacom internet users, service reliability has a moderate positive correlation with brand loyalty; thus, service reliability strongly affects customers’ perceptions of the brand. However, the regression analysis did not support a statistically significant direct effect of service reliability on brand loyalty, perhaps indicating that there are other factors contributing to this relationship. These factors included customer service quality, pricing strategies, perceived value, brand reputation, and emotional connection with the brand. The findings revealed that while service reliability is an important determinant of customer loyalty, more research should be done to identify other influence factors. The study concluded that service reliability bears positive influence on brand loyalty; however, the direct effect may be negligible, with other unexamined factors probably playing their role. The study recommended Vodacom to develop a strategy that would help the company improve its service reliability, particularly on network coverage and consistency of data, which would lead to improved customer loyalty. Furthermore, employee training that increases responsiveness and exploration of other variables influencing brand loyalty would serve to better complete an overall process of retaining customers.
Keywords: Internet Service, Reliability, Customer Retention, Brand Loyalty, Telecommunication Industry, Vodacom, SAUT