Understanding passengers’ satisfaction and loyalty towards ridesharing services

This study examines the ridesharing services in a developing economy, with the aim of revealing the factors influencing passengers’ satisfaction and loyalty. This study is important as the ridesharing industry is growing at a tremendous rate and will ultimately attract many new players in the market. Offered abundant choices, consumers are exploring the best ridesharing services that meet their satisfaction. As the switching costs and brand loyalty are lower for on-demand services, it is pertinent to understand ridesharing passengers’ satisfaction and loyalty. The findings of this study are based on a questionnaire survey of 200 ridesharing passengers. The results reveal that both brand image and price significantly influence customer satisfaction. However, in terms of customer loyalty, only brand image is statistically significant. Price did not have a significant impact on customer loyalty. Overall, this research corroborated previous studies on the positive relationship of customer satisfaction and customer loyalty. The paper concludes by providing numerous theoretical and practical implications based on the findings of the study