Impact of electronic customer relationship management on competitive advantage: Mediating role of customer satisfaction in EgyptAir
-
DOIhttp://dx.doi.org/10.21511/ppm.22(3).2024.22
-
Article InfoVolume 22 2024, Issue #3, pp. 276-286
- Cited by
- 395 Views
-
106 Downloads
This work is licensed under a
Creative Commons Attribution 4.0 International License
In today’s highly competitive business environment, organizations, particularly in the airline industry, are increasingly adopting electronic customer relationship management (E-CRM) to enhance customer engagement and achieve a competitive edge. This study aims to analyze the impact of E-CRM on the competitive advantage of EgyptAir, focusing on customer satisfaction as a mediating factor. Employing a descriptive and analytical methodology, the paper surveyed 355 EgyptAir customers, utilizing a structured questionnaire to gather data on E-CRM practices, customer satisfaction, and competitive advantage. The findings reveal a significant positive correlation between E-CRM and competitive advantage, with a correlation coefficient (R) of 0.56 and a determination coefficient (R²) of 0.315, indicating that E-CRM accounts for 31.5% of the variance in competitive advantage. Furthermore, the results demonstrate that customer satisfaction significantly mediates this relationship, with E-CRM explaining 43.9% of the variance in customer satisfaction (R² = 0.439) and a direct positive impact of customer satisfaction on competitive advantage (R = 0.38, R² = 0.247). Path analysis using AMOS v.24 confirmed these findings, showing both direct and indirect effects of E-CRM on competitive advantage through customer satisfaction. The model fit indices (CFI = 0.894, RMSEA = 0.000) suggest a robust model. The study underscores the crucial role of E-CRM in fostering customer satisfaction and enhancing competitive advantage in the airline industry, providing valuable insights for airlines aiming to leverage E-CRM for sustainable success.
Acknowledgments
The authors are thankful to the Deanship of Graduate Studies and Scientific Research at University of Bisha for supporting this work through the Fast-Track Research Support Program.
- Keywords
-
JEL Classification (Paper profile tab)M10, M31
-
References30
-
Tables10
-
Figures2
-
- Figure 1. Theoretical framework
- Figure 2. Path analysis model showing the impact of electronic customer relationship management on competitive advantage through customer satisfaction as a mediator
-
- Table 1. The scales and number of questionnaire items for the research variables
- Table 2. Reliability and internal consistency coefficients
- Table 3. Demographics
- Table 4. t-test analysis
- Table 5. One-way ANOVA test: Differences based on age
- Table 6. One-way ANOVA test: Differences between E-CRM and its relationship with customer satisfaction based on income
- Table 7. Outputs of simple linear regression analysis: H2
- Table 8. Outputs of simple linear regression analysis: H3
- Table 9. Outputs of simple linear regression analysis: H4
- Table 10. Path analysis results
-
- Ab Hamid, N. R., Aw, Y. C., & Akhir, R. (2011). Dimensions of e-CRM: An empirical study on hotels’ websites. Journal of Southeast Asian Research, 82(8).
- Al-Dajani, F. I., & Al-Dubai, M. (2017). The impact of electronic customer relationship management on competitive advantage priorities: A field study on the five-star hotel sector in Amman, Jordan (Master’s thesis). Middle East University, Jordan.
- Al-Haraizah, A. (2014). The role of electronic customer relationship management pillars in achieving competitive advantage for banking sector in Jordan. British Journal of Marketing Studies, 2(7), 29-44.
- Alqarni, K., Agina, M. F., Khairy, H. A., Samir, B., Farrag, D. A., & Abdallah, R. M. (2023). The effect of electronic human resource management systems on sustainable competitive advantages: The roles of sustainable innovation and organizational agility. Sustainability, 15(23), Article 16382.
- Al-Romeedy, B. S. (2024). Green human resource management and organizational sustainability in airlines – EgyptAir as a case study. In M. Y. Yusliza & D. Renwick (Eds.), Green Human Resource Management (pp. 367-386). Springer.
- Bowen, J., & Chen, S. (2001). The relationship between customer loyalty and customer satisfaction. International Journal of Contemporary Hospitality Management, 13(5), 213-217.
- Brun, I., Durif, F., & Ricard, L. (2014). E-relationship marketing: A cognitive mapping introspection in the banking sector. European Journal of Marketing, 48(3/4), 572-594.
- Budiarti, E. (2024). Customer relationship management service quality to improve marketing performance through competitive advantage. World Journal of Advanced Research and Reviews, 21(3), 431-438.
- Chowdhury, R. (2011). Electronic customer (E-CRM): Conceptual framework and developing a model. International Journal of Business and Information Technology, 1(1), 75-84.
- Coltman, T., Devinney, T. M., & Midgley, D. F. (2011). Customer relationship management and firm performance. Journal of International Technology and Information Management, 26(3), 205-219.
- Dubihlela, J., & Molise-Khosa, P. (2014). Impact of e-CRM implementation on customer loyalty, customer retention, and customer profitability for hoteliers along the Vaal Meander of South Africa. Mediterranean Journal of Social Sciences, 5(16), 175-189.
- Gabor, M., Kardos, M., & Oltean, F. (2022). Yield management – A sustainable tool for airline e-commerce: Dynamic comparative analysis of e-ticket prices for Romanian full-service airline vs. low-cost carriers. Sustainability, 14(22), Article 15150.
- Gadiparthi, S. (2024). Enhancing customer experience with business intelligence: Strategies, tools, and case studies. International Journal of Management, 15(2), 108-116.
- Garcia, I., Pacheco, C., & Martinez, A. (2012). Identifying critical success factors for adopting CRM in small: A framework for small and medium enterprises. In R. Lee (Ed.), Software Engineering Research, Management and Applications 2012 (Vol. 430, pp. 1-15). Springer.
- Hassoun, I. M., & Ali, N. (2018). Organizational strength and its role in enhancing competitive advantage. Iraqi Administrative Sciences Journal, 2(2), 115-137.
- Hayati, S., Suroso, A., Suliyanto, S., & Kaukab, M. (2020). Customer satisfaction as a mediation between micro banking image, customer relationship, and customer loyalty. Management Science Letters, 20, 2561-2570.
- Hee, K., Joon, J., & Eun, K. (2023). The effect of airline relationship immersion on brand attachment and relationship persistence intention in Korea – Focused on the frequent flyer programs. An International Interdisciplinary Journal 26(1).
- Heizer, J. H., & Render, B. (2013). Operations management (11th ed.). Pearson Education Limited.
- Ismail, N. A. B., & Hussin, H. B. (2016). The effect of E-CRM features on customers satisfaction for airline e-ticket services in Malaysia. 2016 6th International Conference on Information and Communication Technology for The Muslim World (ICT4M) (pp. 336-343). Jakarta, Indonesia.
- Jayashree, S., Shojaee, S., & Pahlavanzadeh, S. (2010). A critical analysis of customer relationship management from a strategic perspective. International Conference on E-business, Management, and Economics (ICEME2010). Hong Kong.
- Kamath, P., Pai, Y., & Prabhu, N. (2020). Building customer loyalty in retail banking: A serial-mediation approach. International Journal of Bank Marketing, 38(2), 456-484.
- Khan, R. U., Salamzadeh, Y., Iqbal, Q., & Yang, S. (2022). The impact of customer relationship management and company reputation on customer loyalty: The mediating role of customer satisfaction. Journal of Relationship Marketing, 21(1), 1-26.
- Kneafsey, R., Brown, S., Sein, K., Chamley, C., & Parsons, J. (2016). A qualitative study of key stakeholders’ perspectives on compassion in healthcare and the development of a framework for compassionate interpersonal relations. Journal of Clinical Nursing, 25(1-2), 70-79.
- Kumar, P., Mokha, A. K., & Pattnaik, S. C. (2022). Electronic customer relationship management (E-CRM), customer experience, and customer satisfaction: Evidence from the banking industry. Benchmarking: An International Journal, 29(2), 551-572.
- Oliver, R. L. (1980). A cognitive model of the antecedents and consequences of satisfaction decisions. Journal of Marketing Research, 17(4), 460-469.
- Palací, F., Salcedo, A., & Topa, G. (2019). Cognitive and affective antecedents of consumers’ satisfaction: A systematic review of two research approaches. Sustainability, 11(2), Article 431.
- Sahin, R., & Can, E. (2022). Airlines define business models: A content analysis in the shadow of COVID-19 pandemic. Journal of Global Strategic Management, 16(1), 027-042.
- Sahinbas, K. (2022). Performance comparison of k-means and DBSCAN methods for airline customer segmentation. Black Sea Journal of Engineering and Science, 5(4), 158-165.
- Wadjdi, A. F., & Djamin, Z. (2021). The relationship between e-service quality and ease of use on electronic customer relationship management (e-CRM) performance mediating by brand image. Asian Journal of Economics, Business and Accounting, 21(4), 9-19.
- Yazdanifard, R., & Long, K. C. (2010). The impact of electronic customer relationship management (E-CRM) on achievement of customer satisfaction in different companies. International Conference on Management Science (ICMS 2010). Zhengzhou, China.