STRATEGIC REVIEW OF MOBILE VALUE-ADDED SERVICES (M-VAS) OPPORTUNITY BASED ON SATISFACTION AND LOYALTY CRITERIA IN INDONESIA

• Main Author: KRESNO OKTAVIANTO (NIM: 29110394) Pembimbing: Drs. Herry Hudrasyah, MA, LUKMAN
• Format: Theses
• Language: Indonesia
• Online Access: https://digilib.itb.ac.id/gdl/view/18848
• Institution: Institut Teknologi Bandung

Today, the telecommunications industry in Indonesia is experiencing a relative decline <br /> <br /> <br /> in ARPU (Average Revenue Per User) resulting in lower income mobile telecommunications <br /> <br /> <br /> service providers. The decline was not only derived by the competition between operators, but it <br /> <br /> <br /> was also due to changes in the communication behavior of the traditional voice services into <br /> <br /> <br /> data. This situation reveals that income from conventional voice services will not be enough for <br /> <br /> <br /> the mobile telecom service providers to survive. To overcome this, mobile operators develop a <br /> <br /> <br /> Mobile Value-Added Services (M-VAS) as a source of new revenue and differentiation <br /> <br /> <br /> strategies. These services include games, ringtones, ring back tones, chat, and mobile banking. <br /> <br /> <br /> This research aims to discuss strategies and investigate the use of M-VAS in order to <br /> <br /> <br /> understand customer satisfaction and loyalty to the products M-VAS in Indonesia which will <br /> <br /> <br /> have an impact on corporate earnings. Investigations carried out by conducting a survey to users <br /> <br /> <br /> of mobile telecommunications services in Jakarta, Bogor, Bandung, Brebes, Semarang, <br /> <br /> <br /> Denpasar, Manado, Aceh, and Palembang. This study uses SEM (Structural Equation <br /> <br /> <br /> Modeling) proposed by Deng et al. (2009), which consists of 9 constructs, namely trust, service <br /> <br /> <br /> quality, functional value, emotional value, social value, monetary value, satisfaction, and <br /> <br /> <br /> switching costs that will shape the loyalty customers. Furthermore, this research also proposed <br /> <br /> <br /> three moderator variables, namely age, gender, and usage time. <br /> <br /> <br /> The findings confirm that mobile browsing and social media are the most frequently <br /> <br /> <br /> used by mobile subscribers. In addition, it was also discovered that the trust did not significantly <br /> <br /> <br /> affect the loyalty and social value does not affect satisfaction significantly. The finding of <br /> <br /> <br /> insignificant trust is allegedly as a result of mobile credit theft case that occurred in 2011. <br /> <br /> <br /> Customer satisfaction has the greatest effect on loyalty, while age, gender, and usage time has a <br /> <br /> <br /> moderating effect on the model. <br /> <br /> <br /> Based on the model, the loyalty will be built when the combination of trust, satisfaction, <br /> <br /> <br /> and switching costs can be managed. In order to build customer trust post mobile credit theft <br /> <br /> <br /> incident, the operator must begin to be honest, open, and caring for the needs of customers <br /> <br /> <br /> particularly after mobile credit theft incident. Regardless of the government's role as regulator, <br /> <br /> <br /> consumer confidence will be achieved through the infrastructure overhaul and proper <br /> <br /> <br /> communication to customers through advertising, sales force activity, and Customer Lifecycle <br /> <br /> <br /> Management (CLM). The proposed implementation plan in the form of a list of activities, <br /> <br /> <br /> resource requirements, and the calendar of events up to the year 2014 where the election will be <br /> <br /> <br /> held.