IDEAS home Printed from https://ideas.repec.org/a/spr/svcbiz/v8y2014i2p295-312.html
   My bibliography  Save this article

A data mining approach for segmentation-based importance-performance analysis (SOM–BPNN–IPA): a new framework for developing customer retention strategies

Author

Listed:
  • Seyed Hosseini
  • Alireza Ziaei Bideh

Abstract

Importance-performance analysis (IPA) is a simple but effective means of assisting practitioners in prioritizing service attributes when attempting to enhance service quality and customer satisfaction. The purpose of this study was to demonstrate how IPA can be used with market segmentation to develop customer retention strategies for different market segments. For this purpose, a new framework have been proposed that uses self-organizing maps for customers’ segmentation and back-propagation neural network (BPNN) for implicity drive the importance of service attributes based on their effect on customers’ loyalty in each segment. Then, individual IPA matrixes are developed for each market segment. Also, an example case is presented to demonstrate the implementation and application of the proposed framework. The results of the proposed framework compared with a conventional BPNN-IPA approach indicated that it can increase reliability and applicability of IPA results. Copyright Springer-Verlag Berlin Heidelberg 2014

Suggested Citation

  • Seyed Hosseini & Alireza Ziaei Bideh, 2014. "A data mining approach for segmentation-based importance-performance analysis (SOM–BPNN–IPA): a new framework for developing customer retention strategies," Service Business, Springer;Pan-Pacific Business Association, vol. 8(2), pages 295-312, June.
    • Handle: RePEc:spr:svcbiz:v:8:y:2014:i:2:p:295-312
    DOI: 10.1007/s11628-013-0197-7
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1007/s11628-013-0197-7
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/10.1007/s11628-013-0197-7?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Coghlan, Alexandra, 2012. "Facilitating reef tourism management through an innovative importance-performance analysis method," Tourism Management, Elsevier, vol. 33(4), pages 767-775.
    2. Karjaluoto, Heikki & Jayawardhena, Chanaka & Leppäniemi, Matti & Pihlström, Minna, 2012. "How value and trust influence loyalty in wireless telecommunications industry," Telecommunications Policy, Elsevier, vol. 36(8), pages 636-649.
    3. Lee Cronbach, 1951. "Coefficient alpha and the internal structure of tests," Psychometrika, Springer;The Psychometric Society, vol. 16(3), pages 297-334, September.
    4. Kim, Moon-Koo & Park, Myeong-Cheol & Jeong, Dong-Heon, 2004. "The effects of customer satisfaction and switching barrier on customer loyalty in Korean mobile telecommunication services," Telecommunications Policy, Elsevier, vol. 28(2), pages 145-159, March.
    5. Paco, Arminda & Raposo, Mario, 2010. "Green Consumer Market Segmentation: Empirical Findings from Portugal," Apas Papers 203, Academic Public Administration Studies Archive - APAS.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Yen-Chun Chou & Howard Hao-Chun Chuang, 2018. "A predictive investigation of first-time customer retention in online reservation services," Service Business, Springer;Pan-Pacific Business Association, vol. 12(4), pages 685-699, December.
    2. Vera L. Miguéis & Ana S. Camanho & José Borges, 2017. "Predicting direct marketing response in banking: comparison of class imbalance methods," Service Business, Springer;Pan-Pacific Business Association, vol. 11(4), pages 831-849, December.
    3. Jiacong Wu & Yu Wang & Ru Zhang & Jing Cai, 2018. "An Approach to Discovering Product/Service Improvement Priorities: Using Dynamic Importance-Performance Analysis," Sustainability, MDPI, vol. 10(10), pages 1-26, October.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Michele Preziosi & Alessia Acampora & Maria Claudia Lucchetti & Roberto Merli, 2022. "Delighting Hotel Guests with Sustainability: Revamping Importance-Performance Analysis in the Light of the Three-Factor Theory of Customer Satisfaction," Sustainability, MDPI, vol. 14(6), pages 1-20, March.
    2. Muhammad Irfan & Mohammad Farid Shamsudin & Noor Hadi, 2016. "How Important Is Customer Satisfaction? Quantitative Evidence from Mobile Telecommunication Market," International Journal of Business and Management, Canadian Center of Science and Education, vol. 11(6), pages 1-57, May.
    3. Esmailpour, Javad & Aghabayk, Kayvan & Aghajanzadeh, Mohammad & De Gruyter, Chris, 2022. "Has COVID-19 changed our loyalty towards public transport? Understanding the moderating role of the pandemic in the relationship between service quality, customer satisfaction and loyalty," Transportation Research Part A: Policy and Practice, Elsevier, vol. 162(C), pages 80-103.
    4. Shahzad, Arfan & Yaqub, Rana Muhammad Shahid & Di Vaio, Assunta & Hassan, Rohail, 2021. "Antecedents of customer loyalty and performance improvement: Evidence from Pakistan's telecommunications sector," Utilities Policy, Elsevier, vol. 70(C).
    5. Karunarathne E. A .C. P & Jing Zhang, 2017. "Effect of call-clubs to institute local network effects in mobile telecommunication and its′ implications on brand loyalty," Management & Marketing, Sciendo, vol. 12(1), pages 61-77, March.
    6. José Torrão & Sandrina Teixeira, 2023. "The Antecedents of Customer Satisfaction in the Portuguese Telecommunications Sector," Sustainability, MDPI, vol. 15(3), pages 1-17, February.
    7. Jun-Yeon Heo & Kwang-Jae Kim, 2017. "Development of a scale to measure the quality of mobile location-based services," Service Business, Springer;Pan-Pacific Business Association, vol. 11(1), pages 141-159, March.
    8. Shoon Kathleen Murray & Jason Meyers, 1999. "Do People Need Foreign Enemies?," Journal of Conflict Resolution, Peace Science Society (International), vol. 43(5), pages 555-569, October.
    9. Gentiana Kraja, 2015. "Toward European Integration in Public Administration and Public Services," European Journal of Interdisciplinary Studies Articles, Revistia Research and Publishing, vol. 1, May - Aug.
    10. Francisco Liébana-Cabanillas & Nidhi Singh & Zoran Kalinic & Elena Carvajal-Trujillo, 2021. "Examining the determinants of continuance intention to use and the moderating effect of the gender and age of users of NFC mobile payments: a multi-analytical approach," Information Technology and Management, Springer, vol. 22(2), pages 133-161, June.
    11. Jean-François Hamel & Jean-Benoit Hardouin & Tanguy Le Neel & Gildas Kubis & Yves Roquelaure & Véronique Sébille, 2012. "Biases and Power for Groups Comparison on Subjective Health Measurements," PLOS ONE, Public Library of Science, vol. 7(10), pages 1-14, October.
    12. Yoon, Junghyun & Lee, Hee Yong & Dinwoodie, John, 2015. "Competitiveness of container terminal operating companies in South Korea and the industry–university–government network," Transportation Research Part A: Policy and Practice, Elsevier, vol. 80(C), pages 1-14.
    13. Grzybowski, Lukasz, 2005. "Essays on Economics of Network Industries: Mobile Telephony," Munich Dissertations in Economics 5561, University of Munich, Department of Economics.
    14. Md. Mominur Rahman & Bilkis Akhter, 2021. "The impact of investment in human capital on bank performance: evidence from Bangladesh," Future Business Journal, Springer, vol. 7(1), pages 1-13, December.
    15. Prami Sengupta & Randall Cantrell, 2021. "Context Matters: The effects of budgetary and knowledge constraints on residential energy conservation," Journal of Environmental Studies and Sciences, Springer;Association of Environmental Studies and Sciences, vol. 11(4), pages 561-573, December.
    16. Usunier, Jean-Claude, 1998. "Oral pleasure and expatriate satisfaction: an empirical approach," International Business Review, Elsevier, vol. 7(1), pages 89-110, February.
    17. Abdul Kadar Muhammad Masum & Md Abul Kalam Azad & Loo-See Beh, 2015. "Determinants of Academics' Job Satisfaction: Empirical Evidence from Private Universities in Bangladesh," PLOS ONE, Public Library of Science, vol. 10(2), pages 1-15, February.
    18. Sharma, Vivek & Bhat, Dada Ab Rouf, 2020. "An empirical study exploring the relationship among human capital innovation, service innovation, competitive advantage and employee productivity in hospitality services," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 9(2), pages 1-14..
    19. Chumbler, Neale R. & Beverly, Claudia J. & Beck, Cornelia K., 1997. "Rural older adults' likelihood of receiving a personal response system: The Arkansas medicaid waiver program," Evaluation and Program Planning, Elsevier, vol. 20(2), pages 117-127, May.
    20. Rosane Maria Seibert & Clea Beatriz Macagnan & Robert Dixon & Davi Souza Simon, 2019. "Social responsibility indicators: perspective of stakeholders in Brazil and in the UK," International Journal of Disclosure and Governance, Palgrave Macmillan, vol. 16(2), pages 128-144, July.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spr:svcbiz:v:8:y:2014:i:2:p:295-312. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.