SciELO - Scientific Electronic Library Online

 
vol.11 issue2A critical assessment of the perceptions of potential graduates regarding their generic skills level: An exploratory studyExamining the ethical predisposition of the next generation of business leaders in China and the Republic of South Africa author indexsubject indexarticles search
Home Pagealphabetic serial listing  

South African Journal of Economic and Management Sciences

On-line version ISSN 1015-8812

S. Afr. j. econ. manag. sci. vol.11 n.2 Pretoria Jul. 2008

 

ARTICLES

 

The influence of length of relationship, gender and age on the relationship intention of short-term insurance clients: An exploratory study

 

 

TFJ SteynI; PG MostertII; JNW de JagerII

ISchool of Business, Cameron University, USA
IISchool of Business Management, North-West University, Potchefstroom Campus

 

 


ABSTRACT

Building long-term relationships with clients is extremely beneficial for organisations. This does not necessarily imply, however, that the clients themselves need or want a long-term relationship with an organisation. Relationship marketing could profitably be looked at from the client's perspective, at the same time identifying those clients who have a strong relationship intention and would, in fact, like to engage in a long-term relationship with organisations.
The objective of this research was to explore whether three aspects relating to clients, that is, the varying lengths of their relationship with organisations, their age and their gender display significantly different levels of relationship intention. Relationship intention is measured in terms of constructs like involvement, expectations, forgiveness, feedback and fear of relationship loss.
Non-probability sampling was used in this study, and 114 respondents from the short-term insurance industry completed self-administered questionnaires. Findings indicate that, for a group of high relationship-intention clients of a short-term insurance organisation, no practically significant discrimination exists on any of the relationship-intention constructs for clients' length of relationship, gender or age.

JEL: L14, 84

 

 

“Full text available only in PDF format”

 

 

8 References

1 ADCOCK, D. (2000) Marketing Strategies for Competitive Advantage, John Wiley: Chichester, pp 405.         [ Links ]

2 AYDIN, S.; OZER, G. & ARASIL, O. (2005) "Client loyalty and the effect of switching costs as a moderator variable: A case in the Turkish mobile phone market", Marketing Intelligence & Planning, 23(1): 89-103.         [ Links ]

3 BALL, D.; COELHO, P.S. & MACHAS, A. (2003) "The role of communication and trust in explaining client loyalty", European Journal of Marketing, 38(9/10): 1272-1293.         [ Links ]

4 BARNES, J.G. (2000) Secrets of Client Relationship Management: It's All about how You Make Them Feel, McGraw-Hill: New York.         [ Links ]

5 BAUER, H.H.; GRETHER, M. & LEACH, M. (2002) "Building customer relations over the Internet", Industrial Marketing Management, 31: 155-163.         [ Links ]

6 BEERLI, A.; JOSEFA, D.M. & QUINTANA, A. (2004) "A model of client loyalty in the retail banking market", European Journal of Marketing, 38(1/2): 253-275.         [ Links ]

7 BITTER, N. (2004) "The state of the South African short-term insurance market", Cover, 13(12): 28-32.         [ Links ]

8 BLAND, J.M. & ALTMAN, D.G. (1997) "Statistics notes: Cronbach's Alpha", Accessed November 17, 2006 http://bmj.com/cgi/eletter-submit/314/7080/572        [ Links ]

9 BLOEMER, J.; DE RUYTER, K. & WETZELS, M. (1999) "Linking perceived service quality and service loyalty: A multi-dimensional perspective", European Journal of Marketing, 33(11/12): 1082-1106.         [ Links ]

10 BOSHOFF, C. & STAUDE, G. (2003) "Satisfaction with service recovery: Its measurement and its outcomes", South African Journal of Business Management, 34(3): 9-16.         [ Links ]

11 BOWEN, J.T. & SHOEMAKER. S. (2003) "Loyalty: A strategic commitment", Cornell Hotel & Restaurant Administration Quarterly, 44(5/6): 31-46.         [ Links ]

12 CARUANA, A. (2002) "Service loyalty: The effects of service quality and the mediating role of client satisfaction", European Journal of Marketing, 36(7/8): 811-829.         [ Links ]

13 CHIOU, J. (2004) "The antecedents of clients' loyalty toward internet service providers", Information & Management, 41(6): 685-695.         [ Links ]

14 CHRISTOPHER, M.; PAYNE, A. & BALLANTYNE, D. (2002) Relationship Marketing: Creating Stakeholder Value, Butterworth-Heineman: Oxford.         [ Links ]

15 CLOW, K.E. & KURTZ, D.L. (1997) "The antecedents of client expectations of services: An empirical study across four industries", Journal of Services Marketing, 11(4/5): 230-248.         [ Links ]

16 COHEN, J. (1988) Statistical Power Analysis for the Behavioural Sciences, Erlbaum: Hillsdale, NJ.         [ Links ]

17 COOPER, D.R. & SCHINDLER, P.S. (2003) Business Research Methods, McGraw-Hill: New York.         [ Links ]

18 COULTER, K.S. & COULTER, R.A. (2002) "Determinants of trust in a service provider: The moderating role of length of relationship", Journal of Services Marketing, 16(1): 35-50.         [ Links ]

19 COYE, R.W. (2004) "Managing client expectations in the service encounter, International Journal of Service Industry Management. 15(1): 54-71.         [ Links ]

20 DISNEY, J. (1999) Client satisfaction and loyalty: The critical elements of service quality", Total Quality Management, 10(4/5): 491-497.         [ Links ]

21 DONALDSON, B. & OTOOLE, T (2002) Strategic Market Relationships: From Strategy to Implementation, John Wiley: West Sussex.         [ Links ]

22 DOYLE, P. (2000) Value-Based Marketing: Marketing Strategies for Corporate Growth and Shareholder Value, John Wiley: Chichester.         [ Links ]

23 ELLIS, S.M. & STEYN, H.S. (2003) "Practical significance (effect sizes) versus or in combination with statistical significance (p-values)", Management Dynamics, 12(4): 51-53.         [ Links ]

24 ENRIGHT, R.D.; FREEDMAN, S., & RIQUE, J. (1998) "The psychology of interpersonal forgiveness", in Enright, R.D. & North, J. (eds.) Exploring Forgiveness, University of Wisconsin Press: Madison, pp 46-62.         [ Links ]

25 FERREL, O.C. & HARTLINE, M.D. (2005) Marketing Strategy, Thomson South-Western: Ohio.         [ Links ]

26 FIELD, A. (2005) Discovering Statistics Using SPSS, Sage: London.         [ Links ]

27 FLETCHER, K.P. & PETERS, L.D. (1997) "Trust and direct marketing environments: A client perspective", Journal of Marketing Management, 13(6): 523-539.         [ Links ]

28 FULLERTON, G. (2005) "The service quality-loyalty relationship in retail services: Does commitment matter?" Journal of Retailing and Client Services, 12(2): 99-111.         [ Links ]

29 GRÖNROOS, C. (2000) Service Management and Marketing: A Client Relationship Management Approach, John Wiley: Chichester.         [ Links ]

30 GRÖNROOS, C. (2001) Service Management and Marketing: a Customer Relationship Management Approach, Antony Rowe: Great Britain.         [ Links ]

31 GUITIERREZ, S.S.M.; CILLIAN, J.G. & IZQUIERDO, C.C. (2004) "The client's relational commitment: Main dimensions and antecedents", Journal of Retailing and Client Services, 11(2004): 351-367.         [ Links ]

32 HANSEN, H.; SANDVIK, K. & SELNES, F. (2002) "When clients develop commitment to the service employee: Exploring the direct and indirect effects on propensity to stay", Advances in Client Research, 29(1): 494.         [ Links ]

33 HART, S.; SMITH, A.; SPARKS, L. & TZOKAS, N. (1999) "Are loyalty schemes a manifestation of relationship marketing?" Journal of Marketing Management, 15: 541-562.         [ Links ]

34 HOCUTT, M.A. (1998) "Relationship dissolution model: Antecedents of relationship commitment and the likelihood of dissolving a relationship", International Journal of Service Industry Management, 9(2): 189-200.         [ Links ]

35 HOLLENSON, S. (2003) Marketing Management: A Relationship Approach, Pearson Education: Harlow.         [ Links ]

36 JONES, M.A.; MOTHERSBAUGH, D.L.; BEATTY, S.E. & SHARON, E. (2000) "Switching barriers and repurchase intentions in services", Journal of Retailing, 76(2): 259-274.         [ Links ]

37 KALAMAS, M.; LAROCHE, M. & CEZARD, A. (2002) "A model of the antecedents of should and will service expectations", Journal of Retailing & Client Services, 9(6): 291-308.         [ Links ]

38 KANDAMPULLY, J. (1998) "Service quality to service loyalty: A relationship that goes beyond client services", Total Quality Management, 9(6): 431-443.         [ Links ]

39 KOTLER, P. & ARMSTRONG, G. (2001) Principles of Marketing, Upper Saddle River, Prentice Hall: New Jersey.         [ Links ]

40 KUMAR, V.; BOHLING, R. & LADDA, R.N. (2003) "Antecedents and consequences of relationship intention: Implications for transaction and relationship marketing", Industrial Marketing Management, 32(8): 667-676.         [ Links ]

41 LAMB, C.W.; HAIR, J.F.; MCDANIEL, C.; BOSHOFF, C. & TERBLANCHE, N.S. (2004) Marketing, Oxford University Press: Cape Town.         [ Links ]

42 LARSON, J. (1995) "Insurance at risk", American Demographics, 17(10): 52-57.         [ Links ]

43 LOVELOCK, C. & WIRTZ, J. (2001) Services Marketing: People, Technology, Strategy, Pearson-Prentice Hall: New Jersey.         [ Links ]

44 MEEK, H.; MEEK, R., PALMER, R. & PARKINSON, L. (2005) Managing Marketing Performance, Elsevier Butterworth-Heineman: Oxford, 380p.         [ Links ]

45 NICKELS, W.G. & WOOD, M.B. (1997) Marketing: Relationships, Quality, Value, Worth: New York.         [ Links ]

46 OJASALO, J. (2001) "Managing client expectations in professional services", Managing Service Quality, 11(3): 200-212.         [ Links ]

47 O'MALLY, L. & PROTHERO, A. (2004) "Beyond the frills of relationship marketing", Journal of Business Research, 57(11): 1286-1294.         [ Links ]

48 O'MALLY, L. & TYNAN, C. (2003) "Relationship marketing", in Baker, M.J (ed.) The Marketing Book, Butterworth-Heineman: Oxford.         [ Links ]

49 PECK, H.; PAYNE, A.; CHRISTOPHER, M. & CLARK, M. (1999) Relationship Marketing: Strategy and Implementation, Butterworth-Heineman: Oxford.         [ Links ]

50 PRIDE, W.M. & FERREL, O.C. (2006) Marketing: Concepts and Strategies, Houghton Mifflin: Boston.         [ Links ]

51 ROBBINS, T.L. & MILLER, J.L. (2004) "Considering client loyalty in developing service recovery strategies", Journal of Business Strategies, 21(2): 95-109.         [ Links ]

52 SAIA - See South African Insurance Association.         [ Links ]

53 SHARMA, N. & PATTERSON, P.G. (2000) "Switching costs, alternative attractiveness and experience as moderators of relationship commitment in professional, client services", International Journal of Service Industry Management, 11(5): 470-490.         [ Links ]

54 SIRDESHMUKH, D.; SINGH, J. & SABOL, B. (2002) "Client trust, value, and loyalty in relational exchanges", Journal of Marketing, 66(1): 15-37.         [ Links ]

55 SOUTH AFRICAN INSURANCE ASSOCIATION (2006) "SAIA FSC Consumer Education Initiative". http://www.saia.co.za/member-section/57.html Accessed 12 February 2008.         [ Links ]

56 SOUTH AFRICAN INSURANCE ASSOCIATION (2007a) 'SAIA annual review", http://www.saia.co.za/member-section/57.html Accessed 12 February 2008.         [ Links ]

57 SOUTH AFRICAN INSURANCE ASSOCIATION (2007b) "SAIA Report: SAIA FSC consumer education initiative 2005". http://www.saia.co.za/member-section/57.html Accessd 12 February 2008.         [ Links ]

58 STEYN, H.S. (2005) Handleiding vir Bepaling van Effekgrootte-Indekse en Praktiese Betekenisvolheid. (Manual for the determination of effect size indices and practical significance), Potchefstroom: Statistical Consultation Service, North-West University (Potchefstroom Campus).         [ Links ]

59 STEYN, H.S. JR. & ELLIS, S.M. (2006) "Die gebruik van effekgrootte-indekse by die bepaling van praktiese betekenisvolheid". (The use of effect size indices in the determination of practical significance), Suid-Afrikaanse Tydskrif vir Natuurwetenskap en Tegnologie, 25(3): 172-175.         [ Links ]

60 STRUWIG, F.W. & STEAD, G.B. (2001) Planning, Designing and Reporting Research, Pearson Education South-Africa: Cape Town.         [ Links ]

61 VARKI, S. & WONG, S. (2003) "Client involvement in relationship marketing of services", Journal of Service Research, 6(1): 83-91.         [ Links ]

62 WEUN, S.; BEATTY, S.E. & JONES, M.A. (2004) "The impact of service failure severity on service recovery evaluations and post-recovery relationships", Journal of Services Marketing, 18(2): 133-146.         [ Links ]

63 WHITE, S.S. & SCHNEIDER, B. (2000) "Climbing the commitment ladder: The role of expectations disconfirmation on clients' behavioral intentions", Journal of Service Research, 2(3): 240-253.         [ Links ]

Creative Commons License All the contents of this journal, except where otherwise noted, is licensed under a Creative Commons Attribution License