Influence of System Trust on Customer Loyalty: The Mediating Effect of Organizational and Interpersonal Trust

Abstract

Many marketing studies have shown that customer trust towards a company and its representatives can influence customer loyalty. This study establishes different types of the trust theory model, which contains system trust, organizational trust and interpersonal trust. This model combines customer loyalty with an integrated causal relationship model to examine mutual influencing relationships among variables. This study adopts direct selling distributors as subjects and collects 252 valid questionnaires. The Partial Least Squares (PLS) method is applied. Analytical results indicate that system trust positively affects customer loyalty (p＜0.05). Similarly, organizational trust (p＜0.001) and interpersonal trust (p＜0.05) have mediating effects between system trust and customer loyalty. Many marketing studies have shown that customer trust towards a company and its representatives can influence customer loyalty. This study establishes different types of the trust theory model, which contains system trust, organizational trust and interpersonal trust. This model combines customer loyalty with an integrated causal relationship model to examine mutual influencing relationships among variables. This study adopts direct selling distributors as subjects and collects 252 valid questionnaires. The Partial Least Squares (PLS) method is applied. Analytical results indicate that system trust positively affects customer loyalty (p＜0.05). Similarly, organizational trust (p＜0.001) and interpersonal trust (p＜0.05) have mediating effects between system trust and customer loyalty.