CUSTOMER SATISFACTION AND WORD OF MOUTH TOWARDS ONLINE TAXI PROVIDERS: A CASE STUDY OF GRAB AND UBER

Abstract

The first objective of this research is to analyze the main factors influencing customer satisfaction, including service quality, self-service technology, and price. Without any one of these factors, the customers might not fully be satisfied with the services of the online taxi providers who are the focus of this case study. The second objective is to examine the relationship between customer satisfaction and word of mouth perceptions.

Yamane’s theory is used to determine the sample size. Reliability and Factor Analysis have been tested. The results found arebased on a questionnaire,the respondents being GRAB and UBER taxi users who live in Bangkok and provinces nearby. The research hypotheses are related to factorsthat would lead to Satisfaction and Word of Mouth, and include demographics.

The two companies should focus on these satisfaction factors to increase their service quality. The younger customers tend to perceive Assurance and Self Service Technology as higher than do the other age groups. However, the companies should also focus on the older generation of customers which perceive less satisfaction than the younger customers. Also, these companies should focus more on customers who pay by cash, as this group perceive satisfaction lower than customers who pay by credit card or other methods such as Grab Pay.

Moreover, the companies should use safety as their strength, because younger customers and customers who use the service at night, perceive the highest satisfaction. The platform of digital