Impact of service quality in last-mile logistics on customer satisfaction and loyalty: A case study of Talabat in Nizwa, sultanate of Oman

Vishnukanth Rao Velagapaly; Nibras Ahmed Ismail Al Balushi; Bayan Nasser Khalaf AL Mufargi; Eiman Humoud Khalaf Al Maawali

doi:10.65453/ajbmr.v15i2.1407

Authors

Vishnukanth Rao Velagapaly UTAS-Nizwa
Nibras Ahmed Ismail Al Balushi
Bayan Nasser Khalaf AL Mufargi
Eiman Humoud Khalaf Al Maawali

DOI:

https://doi.org/10.65453/ajbmr.v15i2.1407

Keywords:

Customer Satisfaction, Customer Loyalty, Service Quality, Last-Mile Delivery, Talabat, Delivery Timeliness, Order Accuracy, Customer Communication, Handling Efficiency.

Abstract

This study examines the influence of key service quality dimensions—delivery timeliness, order accuracy, customer communication, and handling efficiency—on customer satisfaction and loyalty within the context of Talabat’s last-mile delivery services in Nizwa, Oman. A quantitative research approach was employed, utilizing structured questionnaires administered to 150 users selected through convenience sampling. Data was analyzed using Structural Equation Modeling (SEM) via the SEMj module in Jamovi, incorporating both measurement and structural model assessments. Reliability, convergent validity, and discriminant validity were evaluated through Cronbach’s alpha, composite reliability, Average Variance Extracted (AVE), and Heterotrait–Monotrait (HTMT) ratios. Results indicate that delivery timeliness significantly enhances customer satisfaction, while order accuracy, handling efficiency, and communication do not exhibit statistically significant direct effects. Customer satisfaction, however, demonstrates a strong and positive direct influence on customer loyalty and mediates the relationship between delivery timeliness and loyalty. Model fit indices (CFI, TLI, RMSEA, and SRMR) confirmed adequate fit, and multicollinearity was not detected. The findings highlight the critical role of punctual delivery and satisfaction management in cultivating long-term customer loyalty in competitive last-mile delivery environments. Practical implications suggest prioritizing operational efficiency and proactive communication strategies to elevate consumer experiences.

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