Social customer relationship management and customer lifecycle value in banking: The mediating and moderating roles of engagement

  • 19 Views
  • 2 Downloads

Creative Commons License
This work is licensed under a Creative Commons Attribution 4.0 International License

Type of the article: Research Article

Abstract
This study aims to examine how social customer relationship management influences customer lifetime value through the mediating and moderating roles of employee and customer engagement. The research focuses on Vietnam’s banking sector, including state-owned, private joint-stock, and foreign-owned banks. Data were collected through a structured survey targeting 282 bank employees from key departments such as customer service, marketing, and business development, who were selected based on their direct experience with social customer relationship management tools. Results from the Structural Equation Modeling analysis indicate that social customer relationship management significantly enhances customer acquisition (β = 0.162, p = 0.010), retention (β = 0.237, p = 0.000), and expansion (β = 0.251, p = 0.000). Employee engagement acts as both a mediator and moderator, with the strongest moderating effect observed on customer expansion (β = 0.135, p = 0.003). In contrast, customer engagement mediates retention and expansion but does not moderate the relationships. These findings highlight the critical role of employee engagement in maximizing the effectiveness of social customer relationship management strategies and emphasize the importance of engagement-focused initiatives for long-term success in the banking sector.

view full abstract hide full abstract
    • Figure 1. Conceptual framework
    • Figure 2. PLS-SEM results
    • Table 1. Research sample
    • Table 2. Outer loadings, Cronbach’s Alpha, CR, and AVE
    • Table 3. Discriminant validity assessment using the heterotrait-monotrait ratio (HTMT)
    • Table 4. Collinearity variance inflation factors (VIFs) test
    • Table 5. Hypothesis testing
    • Table A1. Survey measurements
    • Conceptualization
      Nguyen Ha Thach, Bui Huy Khoi
    • Data curation
      Nguyen Ha Thach, Bui Huy Khoi, Pham Thi Kim Thanh
    • Formal Analysis
      Nguyen Ha Thach, Tran Nha Ghi, Bui Huy Khoi, Pham Thi Hong Ngoc
    • Funding acquisition
      Nguyen Ha Thach, Tran Nha Ghi, Pham Thi Kim Thanh, Pham Thi Hong Ngoc
    • Investigation
      Nguyen Ha Thach
    • Methodology
      Nguyen Ha Thach, Tran Nha Ghi, Bui Huy Khoi
    • Project administration
      Nguyen Ha Thach, Bui Huy Khoi, Pham Thi Kim Thanh, Pham Thi Hong Ngoc
    • Resources
      Nguyen Ha Thach
    • Software
      Nguyen Ha Thach
    • Supervision
      Nguyen Ha Thach, Tran Nha Ghi
    • Validation
      Nguyen Ha Thach, Pham Thi Kim Thanh, Pham Thi Hong Ngoc
    • Visualization
      Nguyen Ha Thach
    • Writing – original draft
      Nguyen Ha Thach, Pham Thi Kim Thanh, Pham Thi Hong Ngoc
    • Writing – review & editing
      Nguyen Ha Thach, Tran Nha Ghi