Impact of Service Quality on Student's Loyalty: Evidence from Higher Education Institutions in Pakistan

Abstract

Purpose – The goal of this research is to determine whether service quality dimensions using HEDPERF scale results in student’s satisfaction and if student’s satisfaction leads service quality to student’s loyalty through mediation in Higher Education Institutions of Pakistan. Apart from this, it is also intended to find out the service quality dimension that has the largest impact on customer service. Literature Review – Gives a thorough analysis of the relevant research, theories, and findings that have already been made. It examines the gaps in the literature and points out important areas for additional research, providing insightful information and laying the groundwork for the current study. Method – An online Google survey was used to collect data, and it asked questions about demographics as well as HEDPERF scale-based service quality dimensions, student’s satisfaction, and student’s loyalty. A total of 382 valid responses were gathered and used to conduct descriptive, correlation, multiple regression, and mediation analyses with the help of SPSS (v26.0) and Hayes Process Macro (v4.2). Results – It was found that all service quality dimensions, with the exceptions of program issues and understanding, positively and significantly impact student’s satisfaction, while academic aspects is the most significant dimension causing variation in student’s satisfaction followed by reputation. Additionally, it was discovered that student satisfaction mediated student’s loyalty and service quality to significant extent. This study suggests that service quality needs to be given more importance in order for institutions to retain students, build a strong reputation, and gain a competitive advantage in the market.