What leads customers to stay with an online transportation service in emerging markets?

Abstract

With the continuous development of technologies and user demand, mobile app functions have become more and more diversified in category extension, specifically app-based shared transportation platforms (ABSTP). This study focuses on predictors of loyalty intention in the mobile app portfolio of shared-transportation services. Four hundred thirty Vietnamese transportation app users were analysed using PLS-SEM. The results show that alternative attraction does not have a significant effect on loyalty intention. However, brand awareness, customer inertia, app rating, perceived value, and customer satisfaction directly affect customers’ loyalty intention. E-service quality has a strong indirect effect on loyalty intention through relationships on perceived value and customer satisfaction. Especially, the measurements of e-service quality and perceived value second-order constructs for ABSTP were well confirmed and validated. Findings give some recommendations on establishing competitive strategies for managers of ABSTP companies.