Effects of Customer Experience Dimensions on Customer Satisfaction in the Steel Industry (Case Study: Customers of Zarand Iranian Steel Company)

Document Type : Research Paper

Authors

1 Assistant Prof., Department of Management, Faculty of Management and Economic, Shahid Bahonar University of Kerman, Kerman, Iran.

2 MSc., Department of Business Management, Faculty of Management and Economic, Shahid Bahonar University of Kerman, Kerman, Iran.

10.22059/jibm.2024.381076.4831

Abstract

Objective
In today’s competitive business environment, organizations must not only provide high‑quality products and services at reasonable prices but also design and manage superior customer experiences to ensure survival and long‑term growth. Traditionally, competition among firms was primarily centered on pricing strategies and product quality; however, in recent years, customer experience has emerged as a critical source of competitive advantage and organizational differentiation. Customer experience refers to the perceptions, emotions, and evaluations that customers develop throughout their interactions with an organization during the purchasing and consumption process. Despite the growing importance of this concept, most prior research has focused on customer experience in business‑to‑consumer (B2C) markets, while limited attention has been devoted to examining customer experience in business‑to‑business (B2B) contexts—particularly in heavy and industrial sectors such as the steel industry. Accordingly, the present study aims to investigate customer experience within B2B relationships in the steel industry by examining four key dimensions of customer experience—basic service experience, moments of truth, focus on results, and peace of mind—and analyzing their interrelationships and their overall impact on customer satisfaction.
 
Methodology
This research is applied in terms of purpose and employs a descriptive–causal design for data collection. The statistical population consists of 107 corporate customers of steel ingot products of the Iranian Zarand Steel Company. Using a random sampling method, data were collected from 84 companies through a structured questionnaire. The collected data were analyzed using descriptive and correlational statistics, as well as structural equation modeling (SEM), with SPSS version 26 and SmartPLS version 3 software.
 
Findings
The results revealed that among the four dimensions of customer experience, basic service experience has a direct, positive, and significant impact on both moments of truth and peace of mind. Moreover, moments of truth exert a positive and significant effect on focus on results, and peace of mind demonstrates significant relationships with the relevant dimensions within the proposed model. However, basic service experience does not have a direct and significant effect on focus on results. The findings further indicate that focus on results and peace of mind directly influence customer satisfaction, while basic service experience and moments of truth indirectly affect customer satisfaction through mediating mechanisms.
 
Conclusion
In today’s competitive markets—where products and services offered by firms are increasingly similar in terms of features and quality—customer experience is a pivotal factor for differentiation and the creation of competitive advantage. Organizations that successfully deliver a positive and distinctive customer experience are better positioned to enhance customer satisfaction, strengthen customer loyalty, and develop long‑term and stable business relationships. The findings of this study demonstrate that different dimensions of customer experience play essential roles in shaping customer satisfaction in the steel industry, with some dimensions exerting direct effects and others influencing satisfaction indirectly. Based on these insights, it is recommended that steel industry firms—particularly the Iranian Zarand Steel Company—implement strategies aimed at improving various dimensions of customer experience. Such strategies may include defining precise quantitative and qualitative product standards, optimizing service delivery processes, selecting and training employees who directly interact with customers, conducting continuous research to identify customer expectations and needs, and ensuring organizational commitment to fulfilling promises made to customers. Improving customer experience can ultimately lead to higher levels of customer satisfaction and the reinforcement of long‑term business relationships.

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