CUSTOMER SATISFACTION ON THE SERVICES OF TELECOMMUNICATION

COMPANIES
MMT-007
1 2
Magdalena G. Alvarez , Jonabell G. Saldivar
1 2
alvarez_mgammad@yahoo.com, jonabellsaldivar@yahoo.com
Cagayan Valley Computer and Information Technology College, Inc.

The Philippine telecommunication industry exhibited a robust change and development over
the years. When compared to its neighboring industries in Asia, expansions in terms of internet
infrastructures are highly wanting like internet speed, network coverage, among others.
Telecommunication is a term for an array of technologies used in sending information over a
distance. It includes mobile phones, landlines, satellite phones, voice over internet protocol
(VOIP), internet services, among others. However, the Philippine telecommunication industry is
challenged on how they manage their service to justify the needs of its customers.
Apparently, service quality is associated with customer satisfaction. This has received attention
and interest due to its importance as a key element in any business strategy. There are 2 basic
approaches to customer satisfaction: as an outcome and as a process. Although they are not
mutually exclusive, they are seen to be complementary to each other. Outcome approach deals
with the end state of satisfaction based on the experience of consumption: a post-consumption
state that occurs or associated to emotion, fulfillment and state. On the other hand, the process
approach is an evaluative dealing with what was issued, received and expected. This emphasizes
on the perceptual, evaluative and psychological processes as contributory factors to customer
satisfaction. Customer satisfaction is important to any business as it indicates consumer
repurchase intentions and loyalty: Point of differentiation, reduce customer churn, increase
customer lifetime value, reduce negative word-of-mouth and retain customers.
Telecommunication in Santiago City is well developed due to the presence of modern
infrastructure facilities that leads to the creation of many telecommunication service providers
for mobile fix line internet and other services.
The Comparative Research design was used in this study to determine the different strategies in
terms of rendering a service to their customers and the general state of customer satisfaction
on the services of telecommunication companies in Santiago City. The respondents of this study
were the mobile subscribers of the 6 telecommunication providers in Santiago city: Globe,
Smart, Sun Cellular, Talk-and-Text and Touch Mobile. Fifty (50) respondents were chosen at
random during the site visit to each of the 5 companies. This study made use of a self-made
questionnaire that underwent a validation process: Expert Pooling, Refinement, Field-test and
Final Refinement. Three (3) experts were consulted for initial validation. Their comments and
suggestions were incorporated in the instrument for a field test. It was administered among 30
subscribers. Reliability was established using Cronbach’s alpha (α = 923). Eminent authors and
researchers claimed that an alpha of at least .6 suggests acceptable reliability. A channeled
communication seeking approval was forwarded among the managers of the
telecommunication providers in Santiago City. Upon approval, the proponent personally floated
the questionnaire to ensure 100 % retrieval. Data were then tabulated and treated. The
frequency counts mean, ranking and ANOVA were used in the study through SPSS.

Proceedings of 2015 JTBEIS Conference ISSN: 2423-284x

6th March 2015, Santiago City, Philippines 42
Research findings revealed that the respondents are generally satisfied on the services of the
telecommunication companies operating in Santiago City. In particular, the respondents were
satisfied on the network coverage, promotional activities, internet services, text and call
services, and customer service. On the other hand, a no significant difference was concluded on
the services of the telecommunication companies in the city.

Journal of Technology, Business Education & Interdisciplinary Studies

ISSSN: 2423-284x Vol. 1, No. 1, 2015 43