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Electrifying Customer Satisfaction and Loyalty: A Structural Equation Modelling Approach in the Indian Four-Wheeler Electric Vehicle Industry

Year 2024
Volume/Issue/Review Month Volume-XVII, Issue-I, Jan.-Jun.
Title Electrifying Customer Satisfaction and Loyalty: A Structural Equation Modelling Approach in the Indian Four-Wheeler Electric Vehicle Industry
Authors Anik Ghosh , Ayan Kumar Dey
Broad area Marketing
Abstract

The Indian electric four-wheeler industry is undergoing rapid transformation, propelled
by environmental challenges and government policies promoting sustainable transportation.
Understanding the factors that influence customer satisfaction and loyalty among electric vehicle
(EV) customers is crucial for manufacturers and policymakers. This research investigates
determinants of customer satisfaction and loyalty in the Indian four-wheeler EV industry using
structural equation modelling (SEM). The research focused on individuals residing in Kolkata
and gathered 356 responses. A structural equation model was developed to analyze the
relationships between the established five dimensions of EV service quality—price, online reviews,
perceived societal concern, recharging infrastructure, and attributes—and customer satisfaction
and loyalty. The findings revealed that all five dimensions positively influence customer satisfaction
and loyalty among potential EV buyers. Additionally, satisfied potential customers exhibit greater
loyalty to EVs. These insights contribute to literature on customer satisfaction and loyalty in the
Indian four-wheeler EV industry, enhancing understanding of these dynamics while providing
valuable insights for manufacturers, policymakers and marketers targeting prospective buyers.
The findings offer a foundation for strategies to improve customer satisfaction and loyalty, thereby
fostering EV adoption and acceptance in India and contributing to sustainable transportation
sector development and reduced carbon emissions.

Description
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