Library Dissertation Showcase

Factors affecting customer’s brand loyalty of Netflix in Thailand

  • Year of Publication:
  • 2020

As there is increasing number of streaming service providers in Thailand, Netflix continuously look for the way to develop itself to strengthen the competitive advantages. Customer loyalty becomes the important key for business to maintain a good relationship with customers and to increase the profitability of the company. There are many factors that influence the loyalty of customers. In this study, 4 elements of service quality; reliability, web design, privacy and security, and customer service, perceived value, customer satisfaction and purchase intention are investigated, as well as the moderation effect of peer influence and age. The purpose of this study is to find the relationship among these factors and how they have an impact on the customer loyalty of Netflix in Thailand. Data is collected through online survey and analysed by SPSS. The results show that 3 of 4 dimensions of service quality have a positive influence on perceived value, except web design. Perceived value effect customer satisfaction and purchase intention, also customer satisfaction influence purchase intention towards Netflix. In addition, there is a partial mediator of customer satisfaction on perceived value and purchase intention in this study. The effect of purchase intention on customer loyalty is supported. Moreover, the peer influence effect on service quality and perceived value is found to be insignificant, while age does. The result shows that the positive of service quality on perceived value of customers is strengthen when the customers’ age increase. This study highlights the factors that are important for Netflix to improve the customer loyalty to strengthen its advantages, which reliability, privacy and security and customer service are found to be key factors that Netflix needs to recognise to enhance perceived value, customer satisfaction, purchase intention and in keeping strong relationship with customers to increase further customer loyalty.

Keywords: service quality, perceived value, customer satisfaction, purchase intention, customer loyalty, Netflix

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