Predictors of business-to-business loyalty and repurchase intentions in South Africa’s concrete product market

Abstract

Purpose: Relational exchanges between buyers and sellers in business-to-business (B2B) contexts are becoming important in today’s competitive markets. With increases in the number of concrete product manufacturer-supplier (CPMs) organisations in the construction industry, customers still express dissatisfaction with supplier relationship quality. This study examined associations between relationship quality and commitment leading to customer loyalty and repurchase intention in South Africa’s concrete product market.

Design/methodology/approach: Civil and building engineering contractors, are the study participants owing to their scope and size of work in Gauteng province of South Africa. Quantitative cross-sectional data collection approach was applied using self-administered structured questionnaires. Only 560 responses were received, and data were analysed using Statistical Package for Social Science (SPSS) and Analysis of Moment Structures (AMOS).

Findings/results: The results revealed that CPMs relationship quality and commitment contributions do lead to customer satisfaction as precursor of loyalty and repurchase intention. Elevated satisfaction levels do accelerate the relationship between the study constructs.

Practical implications: CPMs and their customers should embrace applying relational exchanges that promote long-term B2B relationships and business survival. Also, they should invest in strategies that improve customer satisfaction and eternal loyalty towards long-term B2B repurchase intention and survival.

Originality/value: No study primarily in an emerging South African concrete product market examined the relationship between the study constructs and hence this study adds new insights into the existing body of knowledge relating to how CPMs’ relationship quality and commitment influence customer satisfaction, loyalty and repurchase intention.