Service Quality, Customer Satisfaction and Brand Loyalty in the Swedish Subscription Video On Demand-Industry : A mixed methods study on what factors of service quality affect customer satisfaction and brand loyalty within the subscription based video-on-

University essay from Högskolan i Jönköping/IHH, Företagsekonomi; Högskolan i Jönköping/IHH, Företagsekonomi; Högskolan i Jönköping/IHH, Företagsekonomi

Abstract: The main objective of this research is to measure the relation between different dimensions, or constructs of service quality with customer satisfaction and brand loyalty; thereby identifying the most important factors of service quality that affect customer satisfaction and brand loyalty, in the context of subscription video on demand (SVOD) services in the Swedish market. This study utilised a mixed methods approach divided into two stages, whereof the first involved multiple focus groups for collecting qualitative data. The second stage consisted of quantitative data collection through online questionnaires from 122 valid respondents, ranging from the age of 18 to 29 by a non- probability sampling method. SPSS was used to analyse the data with three statistical analysis methods: bivariate correlations, for establishing evidence of construct validity; a reliability analysis to test Cronbach alpha for internal consistency; and multiple regression analysis to examine the relationship between independent and dependent variables. The research findings indicate that there is a positive, significant relationship between customer satisfaction and certain constructs of service quality. Also, findings indicate that the statistical relationship between the constructs of service quality and brand loyalty are partially mediated by customer satisfaction. As a result, companies operating in the Swedish SVOD-industry need to focus on improving the significant factors of service quality, as they may increase customer satisfaction of 18 to 29-year-old customers, and further create long-term relationships as a way of gaining competitive advantage.

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