Product Quality

This construct can be defined as a customer general judgment regarding how a product performs based on consumer expectations and actual performance. The quality of a product or service is evaluated in two dimensions, functional and perceived quality. The purchased item should perform its intended function and work appropriately, and functional quality means properly delivered to the customer (Huat & Ling, 2020). Various researchers have identified that customers’ assumption, whether positive or negative, depending on the brand is the product quality.

In every industry, product and service quality is essential and very well-identified when it comes to innovation in that company products or services. In addition, communication with the customers, adds value to the services. The quality of the services is a significant factor in customer satisfaction, when it comes to the industries dealing with value added products and all other firms that are giving services. It has an indirect relationship as a mediator with the customer, builds customer relations, and maintains the quality of services linked with brand loyalty in the world’s industries.

When customers are not satisfied with the services or the quality of their products or the product behaves lower than their expectations, it will shake their trust (Frank et al., 2014). In return, the customers will be highly dissatisfied and end up switching to any other product from the competitors’ category. Hence, product quality plays a significant role, it results in less price sensitivity as the customers, who are loyal to the brand and have confidence in the quality of the product, can also pay a higher price. Conversely, brand switching will occur if the product is not delivering value.

H1: There is a significant relationship between product quality and brand switching.

Customer Satisfaction

Customer satisfaction can be defined as the customers’ evaluation after the purchase and is based on the expectations linked with the product performance as well as the image of the brand. Another essential concept is service switching intention, which is used in the context of services as opposed to the products. However, be it products or services, satisfaction is the requirement of every customer (Appiah & Ayertey, 2018). Organizations are successful when they depend on customer satisfaction and improve quality, brand image, credibility and innovation. Customer satisfaction is also a key factor in this digital century, especially for technology-based products (Sharif, Sharif, & Zaighum, 2016).

It can also be said that the evaluation of consumption compared to a customer’s expectations is defined as customer satisfaction. This concept can be further elaborated by understanding that when consumers form judgments, they compare perceived performance with the previous expectations and experiences (Liang, Ma, & Qi, 2013). The consumer expected satisfaction results from the consumers’ positive emotions, meaning that product performance was better than expected.

In many studies, customer satisfaction has been considered to play a mediating role, when customers are not satisfied with the brand, they will go for a better option, and brand switching will take place. However, in this research, we are taking customer satisfaction as a moderator and aim to identify how our independent variable affects customer satisfaction and then how customer satisfaction influences brand switching. It has been determined that customer satisfaction leads to consumer retention, which prevents brand switching (Appiah et al., 2019).

H2: There is a positive relationship between product quality and customer satisfaction.

H3: There is a positive relationship between customer satisfaction and brand image.

Customer Satisfaction Mediates the Relationship between Product Quality and Brand Switching

Few studies have focused on a customer’s complaining behaviour as an antecedent to pre-switching behaviour (Hanifati & Salehudin, 2021). About 80 per cent of the respondents complained to the bank before they made a switching decision (Al-Kwifi, 2016). Similarly, (Colgate & Lang, 2001) studied the evolving process dynamics of the customer complaint process, and the study identified factors necessary for detecting influence regarding behaviour complaints.

Research shows that low customer satisfaction results in a weak competitive stance for the company, low profitability and loss of market share (Maretama, Suharyono, & Bafadhal, 2018). Along with studies focused on customer satisfaction, some other researchers have attempted to explore facets of post-switching behaviour, including word of mouth (Bala, Jahan, Rahman, Mondal, & Ray, 2015). The customer-buyer journey for new services was also investigated by the two researchers (Colgate & Lang, 2001), they studied and investigated that switching barriers are a reverse phenomenon of drivers switching.

One study has proven that customer satisfaction helps to reduce switching behaviour in retail, banking and insurance companies (Al-Kwifi, 2016). The study ascertained that evolutionary development in the consumer market is a precedent of customer satisfaction. Satisfaction with the product also influences the consumer behavioural intention towards one brand they like. Also, another study on the manufacturing sector showed that operational loyalty is an essential variable for determining customer satisfaction (Ehrenberg, 1988). This research found that a pattern built in the mind of frequent buyers is moderated by product quality. This approach introduced by them also helped measure the brand’s quantity and sales. The other measurement technique introduced was the probability of the repurchase (Kumar & Menon, 2017). The method measured the point when the customers were switching to another brand (Mendel et al., 2018).

H4: Customer Satisfaction mediates the relationship between product quality and brand switching.

Brand Image

Brand image has been a topic of interest and discussion for a long time within marketing. To build a positive brand image, companies need to market their products and send out a positive signal to the consumers, since a business’s image is of great concern to all the organizations. According to Ogungbade (2015), negative brand image contributes to brand switching behaviour. A consumer perception about a brand helps to develop a mental image in the mind, either based on an emotional or rational approach. (Ibok & Etuk, 2015) in their research, stated that as the brand’s image improves, it leads to more impactful customer loyalty.

The brand concept is frequently discussed in marketing research studies and the marketing literature. Brand building is essential for improving a brand’s image and extending services. It is a thought or perception of a brand or its product or services in other people’s minds. This brand picture is usually formed when customers share their experience with the same brand, whether the thought is rational or emotional. Many researchers have also revealed that the marketing literature depicts that there is a positive brand image which results in more significant brand equity by the customers. Customer loyalty towards the company or the brand results is a positive response from the market and high demand for its products in their social circle.

The brand image also plays a vital role in helping companies build networks with their users (Islam et al., 2016). It also prevents customer switching behaviour and helps retain current customers. Companies also apply techniques to attract the users from other networks by building an attractive brand image; moreover, the brand image also helps them retain their current customers (Hollebeek et al., 2019).

The brand image has a direct impact on more enduring customer loyalty. According to the research, a company must carry a more modern and unique brand image to engage and attract newer customers and enhance customer loyalty efforts. Many companies also develop unique benefits to retain the engaged user base, quickly raising their customer satisfaction levels.

H5: There is a significant relationship between product quality and brand image.

H6: There is a significant relationship between brand image and brand switching.

Brand Image Mediates the Relation between Product Quality and Brand Switching

Another variable that strengthens brand loyalty is brand credibility, which includes the brand’s image. The customer will never be brand loyal, if the brand’s credibility is wrong, and this image is in the customer’s mind. There is a combination of multi characteristics, including the reliability of advertised benefits, especially in terms of truthfulness, delivering good quality, claim justification and trust spreading. Brand credibility also contains the three primary terms important for the brand; expertise, good presentation and trustworthiness (Zolfagharian, Hasan, & Iyer, 2017). Market share and another essential variable, the brand-customer relationship, are based on brand credibility. The signalling theory of a brand includes the elements of brand equality and customer loyalty for a more extended period. Brand credibility also impacts the manufacturers in building customer satisfaction and motivating the relationship gradually. Brand credibility assists customer satisfaction to become more vital for the long-run.

Brand credibility also gives rise to risk maximization and an approach to deal with the customers and satisfy the brand specifications (Hanifati & Salehudin, 2021) This helps reduce the perceived risks and increase customer satisfaction. The brand is subdivided into two essential dimensions: behavioural and attitudinal, and these two unique attributes measure brand loyalty. Loyalty is the repurchasing of products, and attitudinal loyalty includes the consumer’s commitment and feelings towards the brand. It has been said that brand credibility is positively related to customer loyalty. However, if the brand credibility is not favourable, it means that the brand is going to lose customer loyalty as well.

Product quality has a very positive impact on brand loyalty, especially regarding the brand’s sustainability. On the other end, brand switching occurs due to decreased brand loyalty and credibility. Brand switching will decrease the customer’s willingness to purchase from the same brand, increasing the willingness to purchase from the alternative brands. Research shows that there were many examples when the customers were pleased with the brand; however, due to some reasons, the brand lost its credibility. The customers switched to the other brands or categories of the competitors (Woodham, Hamilton, & Leak, 2017). The primary variable that plays a role is the brand image that helps customers in decisions-making (Woodham et al., 2017). Recently, studies have been conducted on the mediating role of the brand image between product quality and brand switching (Abdelwahab, San-Martín, & Jiménez, 2022; Sowunmi, Bello, Ogunniyi, & Omotayo, 2022; Wang & Xiao, 2022). Various credible research papers have also explored brand image as a mediator in this context (Helmi, Ariana, & Supardin, 2022; Saraswati & Giantari, 2022).

H7: The brand image mediates the relationship between product quality and brand switching.

Operational definitions and measurement of the variables

All the constructs are measured on 5-point Likert scale. The operational definition and sources of scales are given below:

Demographics

Presents an overview of the demographics of the study respondents:

Reliability

The Table 2 portrays that all four variables; Consumer Satisfaction, Product Quality, Brand switching, and Brand image all have Chronbach’s Alpha values above 0.69; hence, all the variables are reliable.

Correlation matrix

The results of the correlation analysis are indicating the presence of a strong positive correlation between brand image and brand switching (r= -.761, p<0.05) which indicates brand switching will decrease when brand image increases. The correlation between product quality and brand image is moderate positive (r=0.668, p<0.05), which indicates brand image will increase when product quality increases. There is a strong positive correlation between customer satisfaction and brand image (r=0.603, p<0.05), which shows satisfaction of the customer will be enhanced when brand image increases.

The correlation between product quality and Brand switching is moderate and negative(r=-0.623, p<0.05), which indicates when product quality decreases, brand switching will also increase. The correlation between consumer satisfaction and brand switching is strong and negative (r= -0.780, p<0.05) which shows that when customer satisfaction decreases, then brand switching also increases. The correlation between customer satisfaction and product quality is moderate and positive (r=0.723, p<0.05) which shows that when product quality increases then customer satisfaction also increases.

Process Macro results for Hypotheses 1, 2, 3 and 4

Hypothesis 1: Product Quality $\stackrel{}{\to }$ Brand Switching

In Table 4 p= 0<0.05 indicates the significant relationship between product quality and BS. The results show an interaction value of ULCI (-0.403) and LLCI (-.198), and since both values are negative, both the variables have negative relation. Furthermore, the coefficient value of -0.40 shows the variance in BS due to change in PQ, i.e., one unit increase in PQ results in 0.40 unit decrease in BS. Thus, first hypothesis is supported which states that there is a significant relation between PQ and BS.

Hypothesis 2: Product Quality $\stackrel{}{\to }$ Customer Satisfaction

In Table 4 p=0.000<0.05 indicates the significant relationship between PQ and CS. Hypothesis 2 (product quality is positively related to CS) is supported, with results showing both positive values of upper and lower confidence intervals; LLCI (-0.198) and ULCI (-0.403). The value of R is also acceptable depicting the correlation at 0.80. It substantiates a strong positive relation between PQ and CS. The value of R square is 62.2%, which shows that the amount of variation in CS, due to Product Quality, is 62.2%. The value of f (F=231.033) and p-value of 0.0 shows the goodness of fit of the model. The findings hence, supported the 2^nd hypothesis.

Hypothesis 3: Customer Satisfaction $\stackrel{}{\to }$ Brand Switching

p=0.000 < 0.05 shows the significant relationship between CS and BS. Hypothesis 3 (CS is significantly related to BS is supported, with results showing an interaction value of ULCI (-0.403) and LLCI (-0.198); hence, the negative values shows the negative relation exist between the variables and since both values are negative, the negative relation exist in between the variable. This means, if one variable increase the other variable decreases. Moreover, the coefficient value of -0.618 indicates a negative and i.e. one unit increase in CS results in a decrease of BS by 0.618.

The value of R depicts that the relation is 0.60 between customer satisfaction and brand switching. The value of R square is 62.2%, which shows that the amount of variation in brand switching, due to customer satisfaction, is 0.622, which shows if the CS increases by one unit then brand switching will decrease by 0.62 units. The value of f (F=231.033) and p-value (0.000) is less than 0.05, supports the fitness of the model. The findings supported the 3^rd hypothesis, which states there is a significant relation between CS and BS.

Hypothesis 4: Product Quality $\stackrel{}{\to }$ Customer Satisfaction $\stackrel{}{\to }$ Brand Switching

The findings of Hayes model 4 report the indirect (M) and direct (X) effect of variables on a dependent variable (Y). Product Quality is the independent variable, brand switching is the dependent variable, and customer satisfaction is the mediator. The number of participants (n) is 220. The bootstrap value is 1000, with a 95% confidence interval. The values of Boot UCLI (-0.317) and Boot LLCI (-0.125) indicate that the indirect influence of quality on brand switching with the mediation of CS is negative because both values are also negative. The R is -0.735, which proves a strong negative correlation. The value of R square is 69.8% which is acceptable. These findings support our fourth hypothesis.

Process Macro results for Hypotheses 5, 6, and 7

Hypothesis 5: Product Quality $\stackrel{}{\to }$ Brand Image

p=0<0.05 shows a significant relationship between PQ and BI. The value of R shows the correlation between the variables; here, ‘R’ is 0.517, which means there is a positive, moderate relation between product quality and brand image. The value of R square is 32.1%, which shows that the amount of variation in brand image due to product quality is 32.1%.

The results show an interaction value of ULCI (-0.609) and LLCI (-0.425), and since both values are positive, a positive relationship exists between the variables. This means if one variable increases, the other variable also increases. The hypothesis is supported, which states a significant relation between PQ and BI. Furthermore, the coefficient value of 0.517 show variances in BI due to changes in PQ i.e. one unit increase in PQ results in a 0.517 unit increase in BI. The value of f (F=130.122) and p-value (0.000) is less than alpha (0.05), showing that the model is well fitted. The findings supported the 5^th hypothesis, which states a significant positive relation between PQ and BI.

Hypothesis 6: Brand Image $\stackrel{}{\to }$ Brand Switching

p=0.000<0.05 depicts significance which is further supported by the confidence intervals; both being negative show a negative but significant relationship between the variables. This means if one variable increases, the other variable decreases. The coefficient value of -0.617 shows a negative relation between BI and BS, i.e. one unit increase in BI results in a 0.617 unit decrease in BS. The 6^th hypothesis is supported, which states that there is a significant relationship between BI and BS.

Hypothesis 7: Product Quality $\stackrel{}{\to }$ Brand Image $\stackrel{}{\to }$ Brand Switching

The findings of Hayes model 4 report the indirect (M) and direct (X) effect of variables on a dependent variable (Y). Brand image is the independent variable, brand switching is the dependent variable, and customer satisfaction is the mediator. The number of participants (n) is 220, and the bootstrap value is 1000, with a 95% confidence interval.

The values of Boot UCLI (-.034) and Boot LLCI (-0.259) indicate that the indirect influence of product quality (X) on brand switching (Y) through the mediation of brand image is negative as both values are negative. The value of R depicts that the relationship between brand switching and other variables is -0.777, which means there is a strong, negative correlation between the variables. The value of R square is 53.5%, which is acceptable. The p=0<0.05 shows a significant relationship between the variables. The value of F (F=187.228) and p=0.000 show that the model is well fitted. Hence, our 7th hypothesis is also supported.