Modelling Passenger Loyalty towards App-based Motorcycle Taxi

Abstract

This study evaluates the effect of both service quality and mobile application quality on passenger loyalty towards application-based motorcycle taxi (AMT) services. The data employed for this study were collected from 319 AMT service users in Bandung, Indonesia. To analyse the data, partial least squares structural equation modelling (PLS-SEM) was used to check the influence of both service quality and application quality on passenger loyalty and their indirect influence through passenger perceived value and passenger satisfaction. The result shows that the passenger perception of mobile app quality is an important driver of passenger loyalty towards AMT services. Further, this study suggests that the effect of both service quality and mobile app quality on passenger loyalty is via strengthening passenger perceived value and satisfaction. Finally, this study’s findings reveal the important role of mobile app quality as the determinant of AMT service quality. This study provides a venue for AMT business managers to improve their business performance by developing both service quality and mobile app quality.