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2014

Measuring Customer's Satisfaction on Bus Transportation

Rabiul Islam

Mohammed S. Chowdhury
Touro College, mohammed.chowdhury@touro.edu

Mohammad Sumann Sarker

Salauddin Ahmed

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Recommended Citation
Islam, R., Chowdhury, M. S., Sarker, M. S., & Ahmed, S. (2014). Measuring customer's satisfaction on bus
transportation. American Journal of Economics and Business Administration, 6(1), 34-41.

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American Journal of Economics and Business Administration 6 (1): 34-41, 2014
ISSN: 1945-5488
©2014 Science Publication
doi:10.3844/ajebasp.2014.34.41 Published Online 6 (1) 2014 (http://www.thescipub.com/ajeba.toc)

MEASURING CUSTOMER’S SATISFACTION ON BUS

TRANSPORTATION
1
Rabiul Islam, 2Mohammed S. Chowdhury,
1
Mohammad Sumann Sarker and 1Salauddin Ahmed
1
School of Economics, Finance and Banking, College of Business,
University Utara Malaysia, 06010 UUM, Sintok, Kedah, Malaysia
2
Department of Marketing and Management, Touro College, New York

Received 2014-04-09; Revised 2014-04-30; Accepted 2014-05-23

ABSTRACT
The purpose of the study is to examine the factors measuring customers’ satisfaction, especially the impact
of service quality on customers’ satisfaction in public transportation industry in the university town of
Sintok located in Kedah province of Malaysia. In order to assess the relationships between service quality
and customer satisfaction survey http://www.scientificjournals.org/journals2007/articles/1003.htmdata were
collected from 300 Bus commuters. All hypotheses were tested using Pearson correlations, controlling for the
background variables of gender, marital status, ethnicity and education. The results indicate that hypotheses 1
through 5 were supported. Using multiple regressions as a basis for causal paths, a model was developed that
examined the influence of all five dimensions of service quality on customers’ satisfaction. The model
explained 26.9% of the variance which indicates that 26.9% of the changes in the dependent variable are
explained by the independent variables. Altogether, independent variables explained 26.9% of the variations.

Keywords: Customer Satisfaction, Public Transportation, Service Quality, Environment, Service Dimension

1. INTRODUCTION the personnel especially bus driver behavior in relation to

service frequency has an impact on customer
Satisfaction can be defined as an experience of satisfaction. Friendliness behavior of the bus driver can
fulfillment of an expected outcome. Satisfaction or satisfy customers by developing better communication
dissatisfaction with a program or facilities is influenced and knowledge of its customers’ needs (Disney, 1998).
by prior expectations regarding the level of quality As far as frequency is concerned, frequent services
(Sigala, 2004). Satisfaction depends on numerous increase satisfaction and urban transportation patronage
factors and there is no dearth of literatures on this (Taylor et al., 2008). Additionally Andreassen (1995)
subject. To generate the factors leading customer claimed that customer (dis) satisfaction in public tran
satisfaction we look at some research studies done in finally, the layout of the platform or the station,
this field. Studies conducted that customers want the especially for buses. Reliability, convenience and
best service quality and responses as well to what they responsiveness are also considered to be important in
want (Zheng and Jiaqing, 2007). customer satisfaction (Cavana and Corbett, 2007).
According to Anderson et al. (2007) which affects Consumer choices affect the perceived level of operation
customers’ satisfaction is the operation failures of the (for example, the length of the path and travel time and
services such as delay of transportation. This creates bias the number and length of service, frequency of bus
to customers, resulting in dissatisfaction. Friendliness of services). Waiting time for long, failure to provide
Corresponding Author: Rabiul Islam, Finance and Banking, College of Business, University Utara Malaysia, 06010 UUM, Sintok,
Kedah, Malaysia
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information of occasional delays and lack of good company itself. Based on research that has been made,
waiting environment are other factors are other causes of the quality of bus services is the main thing has been the
customer dissatisfaction (Bielen and Demoulin, 2007). area of interest in marketing research.
Service is called the backbone of the industries Quality is defined as adherence to customer
ensuring the rising and development of the economies specifications (Parasuraman et al., 1988) which sought
(Esteban et al., 2002). Lytle and Timmerman (2006) to meet the criteria that customers want. Measuring the
showed that service orientation is the path which adds quality of service is important to ensure that customers
value to the customer and creates satisfaction. It, also, continue to visit the business for repeat purchases. In
gives a competitive advantage and leads to the transport business principles apply. If the customer
development and profitability. is satisfied with the performance of the bus, the
Tran and Kleiner (2005) define public transportation customer will return and use the same bus. Also likely
(herein referred to as PT) as a conveyance that provides customers will continue to use the bus service which
continuing general or special transportation to the public: she feels will satisfy their needs.
Trolleys, busses, subways, rail and ferry boats. The Parasuraman et al. (1988) suggest using the 10
authors, also, show that public transportation plays a construction quality of service, but was reduced to 5,
significant role as it improves the quality of our day to comprising:
day life by expediting traffic saves money and creates
• Tangibles: Tangible equipment required to render
new jobs. In support of this argument we can cite the
establishment of University Utara Malaysia in as an services and the presentations of service staff
example the establishment of this university in Sintok • Reliability: The actual implementation, in a timely
followed by few other universities in its vicinity has had manner, of the committed services
the greatest impact on the economy, particularly on the • Responsiveness: The willingness of service
population of Sintok. Additionally it led to the rapid personnel to offer speedy services
development of economic relationship between Sintok • Assurance: Professional knowledge, good manners
and other adjacent areas such as Changlun, Jitra and Alor and trustworthiness of service staff
Star. Existence of communication systems such as roads, • Empathy: The provision of convenient and
followed by the existence of transport infrastructure has considerate services to customers, catering to their
opened up opportunities for companies that provide specific needs
transportation, especially bus. Bus services in Sintok and There have been plenty of research studies in the
its surrounding areas exist to facilitate university field of customer satisfaction in Public Transportation
student’s movement in and out of campuses. but we do not know of any study done in this area
As reported by the commuters, the Bus services related to bus services in Sintok area of Kedah
provided by High Bay Racking (HBR) in this region are Province in Malaysia. The present study is aimed at
engulfed with numerous problems such as waiting for a filling that gap in the body of literature.
long time for the bus services (both public and university Additionally, a research like this is essential to
transportation), higher rate of bus fare for smaller assess and improve service delivery and design,
distances compared to greater distances. In addition the because it will provide management with data that
quality of the bus services (bus conditions, punctuality they can use in making inferences about the customers
and driver’s norms and conduct, insufficient schedule of (Wilson et al., 2008). Thus the results of this study
buses, less number of buses). All these suggest that the should be proved useful for academics; business in the
quality of the bus services has deteriorated and the field of marketing and management researchers of
customers’ satisfaction has decreased and in some cases customer satisfaction and service quality especially in
the scenario is even worst (lack of air condition in the service sector organizations.
buses). These prevailing situations, therefore, call for The researchers plan to study the impact of service
greater quality of bus services and enhanced satisfaction quality on customer satisfaction in public transport
of passengers, more bus services and link to far greater sector of Sintok city in the province of Kedah,
number of destinations. Bus transportation is one of the Malaysia. In the literature, there are ranges of sources,
most important among the public. The quality of bus which address the factors for measuring customer
services should be given attention by the company and it satisfaction in the transportation industry. To date
is the main topic of this study. This is because customer there is lack of research in this field in this university
satisfaction is a highly profitable strategy for the town in Malaysia’s Kedah State. This university town

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where few universities are located is expanding • Access: Consists of the access in bus stops and
literally to accommodate its nascent Bus services and access in tickets
create space for an expected influx of commuters in • Availability: This means coverage of network,
and out of university campuses. connectivity of lines, route frequency, route working
However, it is essential that this region develops a hours, bus stop frequency
long term transportation blueprint for Bus services for • Time: This denotes route precise, route waiting time
any further progress in transportation ventures. This and route duration
region of Malaysia has everything it needs to develop a • Environment: This limits to bus aesthetics and bus
customer satisfaction driven Bus services-friendly pollution
people, safety and a current major infrastructure
The theory is that all these five components depicted
development project. In term of technology and cultural
in the diagram as independent variables directly affect
heritage it offers the best of both worlds, but if it is to customer satisfaction. The figure posits that there is an
succeed then all the pieces need to be in place. interrelationship between these five service quality
This study discusses the service quality factors for dimensions (service, access, availability, time and
measuring customer satisfaction that affect the bus environment) customer satisfaction.
services in this area provided by HBR. It examines and
explores the service quality factors that will affect 2.2. Research Design
customer satisfaction for causing greater productivity
and higher performance of this industry. This study employed a survey research design to
collect data from the participants to investigate
2. MATERIALS AND METHODS relationship among five components of service quality
and customer satisfaction. The research is quantitative in
2.1. Theoretical Framework and Hypotheses nature. Quantitative data allows the researchers to
Generation present data in descriptive form and also to determine
possible relationships between two or more variables.
This study is based on research about service quality Quantitative research involving correlations describes
dimensions and their relationships to customer the degree in which two or more variables are related
satisfaction. Public transport should become part of a (Fraenkel and Wallen, 2003). The independent variable
solution for sustainable transport in the future. However, used in this study is overall satisfaction with HBR bus
in order to keep and attract more passengers, public
transport service. Independent variables are specific
transport must to have high service quality to satisfy and
service quality attributes which consist of service
fulfill more wide range of different customer’s needs
given, access, availability, time and environment. These
(Anable, 2005). Quality is defined as “adherence to
customer specifications” (Parasuraman et al., 1988) are the five dimensions of service quality deduced from
which sought to meet the criteria that customers want. Service quality literatures.
Satisfaction or dissatisfaction with a program or 2.3. Survey Instrument
facilities is influenced by prior expectations regarding
the level of quality (Ekinci, 2004). This research was conducted through the
The criteria which affect the overall satisfaction are, questionnaire to find out the relationship between quality
therefore, based in the literature review and they can be of services and customers satisfaction towards bus
specified after an interaction between the analyst and the services provided by HBR. For that, this survey followed
concerning company (Mihelis et al., 2001). More through the questionnaire method. The questionnaires
specifically, after an interaction with the administration were distributed to all categories of students that were
of HBR Bus services in Sintok it has been decided that met in the class, library, office, mosque, cyber cafe and
the research will take place and will be analyzed so on at main Campus of UUM.
The dimensions of the service quality proposed in our
according to the following criteria:
model used for measuring service quality following
• Services: Include the price of ticket, the service of SERVQUAL model (Parasuraman et al., 1988) are
personnel (behavior of bus driver), service inside the efficiently exploited when we carry out surveys, since it
bus (comfort, cleanliness and air condition), service deals with expectations and perceptions of individuals
outside the bus (layout of bus stops) and route safety about services offered by retailer such as HBR. For us to

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know how customers perceive service quality, it is collected first hand for subsequent analysis to find
appropriate to use self-completed questionnaires which solutions to the problem research. The primary data
give the respondents a chance to independently and were obtained from a questionnaire survey while the
anonymously give answers that reflect their expectations secondary data refer to information gathered by
and perceptions. Our questionnaire is developed in someone other than the researcher conducting the
accordance with the SERVQUAL model and thus, this current study (Sekaran and Bougie, 2009). The
makes it objective and not bias. secondary data were obtained from books, brochures
In business research, it is hardly possible to control or and pamphlets, company publications, documents
manipulate a variable which is a good reason to count on government publication indexes, newspaper,
social survey. Variables like gender, age and social periodicals and journals, internet web sites.
background are given and cannot be amended (Bryman and To access the respondents of this study for data
Bell, 2007). This makes it totally unfeasible to use the collection, the questionnaires were distributed to the
experimental design and we resort to the social survey. respondents by handed personally. Confidentiality was
To structure the questionnaire we used the method of assured by encouraging the respondent to return back the
Grigoroudis et al. (1997) since we assume that it is questionnaire directly.
simple, short and reliable and provides convenience in
collecting information. A questionnaire is defined as a 2.5. Population and Sample
form that people fill out used to obtain demographic and Population refers to the entire group of people,
views and interests of those questioned. We used 5point
events, or things of interest that the researcher wishes to
Likert scale in which the respondents rated the degree of
investigate and the sample also is a subset of the
his or her agreement/disagreement beginning from1 =
population (Sekaran and Bougie, 2009). In particularly,
unsatisfied, 2 = little satisfied, 3 = satisfied, 4 = very
satisfied and ending with 5 = absolutely satisfied the research subject comprised the buses provided by
Passengers were asked to assess their satisfaction level HBR in the city of Sintok and its vicinity as every day
according to the described set of 5 criteria (Fig. 1) each almost 15,000 people (mostly UUM students) transfer in a
of which were divided in 17 sub criteria. price ticket from 0,45 cent to 1,45 cent with a cover access
to the city of Sintok and the suburbs around the city. It, also,
2.4. Data Collection has in its possession 89 new buses which are considered one
Primary and secondary data are used in this of the most modern buses in Malaysia as they are
research. The primary data defined as the data environmentally friendly with a synchronous design.

Fig. 1. Theoretical framework

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University Utara Malaysia (UUM) is one of the few X4 = the fourth independent variable (time) that is
universities in Malaysia that provides full on campus explaining the variance in Y (customer satisfaction)
accommodation for all its undergraduate students. There X5 = Fifth independent variable (environment) that is
are fourteen residential colleges scattered around 1061 explaining the variance in Y (customer satisfaction)
hectares of land that house more than twenty thousand
fulltime students. Students depend on good The above regression model consists of a function
transportation to go outside the campus such as describing how response variable is related to one or
Changlun, Jitra and Alor star and so on. This research is other explanatory variables, how changes in one or more
about customer’s satisfaction through the HBR bus variables will change the value of another. In other
services and UUM students are population and the words the model was employed to look at the effects of
sample of this research. Since the focus of research is X1 (service), X2 (access), X3 (availability), X4 (time) and
exploratory, convenience sampling is done for the X5 (environment) on customer satisfaction, controlling
sampling purposes, as this method is considered as easy, demographic variables.
fastest and most efficient way to collect the information
that were needed (Sekaran, 2000) 300 questionnaires 3. RESULTS
were distributed. Only 278 students filled up the
questionnaire and were used for this study. Of these 278 The finding is divided into sections. The first section
students, 184 students (66%) were female. deals with descriptive statistics of the students and the
second section consists of correlation and regression
2.6. Data Analysis analysis for hypotheses testing. Descriptive statistics are
used to explore the data collected and to summarize and
After the data were collected, data were analyzed describe those data (Coakes and Steed, 2007). Descriptive
using correlation in order to establish relationship statistics may be particularly useful to make some general
between five criteria selected for the study (service, observations about the data collected (for example,
access, availability, time and the environment) and demographic data). The demographic information in this
customer satisfaction. All hypotheses were tested by the research is ethnic groups, gender, age and education. All
coefficient of correlation measure and regression the population under study has commuting experience
analysis. Hypotheses testing were done to analyze from the Bus service provided by HBR.
direct effects of independent variables on customer
satisfaction, controlling demographic variables. For 3.1. Demographic Factors of Commuters
demographic variables, frequency tables were used for
the purpose of analysis. Biographical information of commuters was
obtained including their age group classifications,
2.7. Regression Model marital status and experience in commuting by Bus
provided by HBR in Table 1.
Y = a + b 1X 1 + b 2X 2 + b 3X 3 + b 4X 4 + b 5X 5 + µ Table 1 indicates that in ethnic groups Malaysian
comprises almost one-third of the population under
Where: study. This means that fewer Malaysians commute by
Y = The value of the Dependent variable (customer Bus in this city. It is quite obvious since they possess or
satisfaction), what is being predicted or explained can afford to possess their transportation like cars, mini
A = (Alpha) the Constant or intercept vans and bikes. If you travel around the city and its
b1 = The Slope (Beta coefficient) for X1 adjacent sub-urbanizations, you will notice the young men
b2 = The Slope (Beta coefficient) for X2 and women are riding on the bikes to commute in and out
b3 = The Slope (Beta coefficient) for X3 of their dwelling places. The other ethnic groups use Bus
b4 = The slope (Beta coefficient) for X4 service as their only means of transportation. Two reasons
b5 = The slope (Beta coefficient) for X5 account for this: (a) These are full time students and
X1 = First independent variable (service) that is cannot afford own transportation (b) they are away from
explaining the variance in Y (customer satisfaction) home and hence have no desire for having their own
X2 = Second independent variable (access) that is transportation. Most are in the age of 25 and 35 and
explaining the variance in Y (customer satisfaction) support the contention that they are not prone to have their
X3 = Third independent variable (availability) that is own transportation since they are totally dependent on
explaining the variance in Y (customer satisfaction) their parents’ income that is from low income countries.

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Table 1. Demographic factors of commuters Table 2. Correlation between customer satisfaction and the
Demographic factors Frequency (%) service provided
Ethnic commuters Customer
Malaysian 90 32 Services satisfaction
African 50 18 Services Pearson correlation 1.000 826**
Asian 96 35 Sig. 2-tailed 0.000
Mid-eastern 42 15 N 278.000 278.000
Education: (enrolled in) Customer Pearson correlation 0.826 1.000
Bachelor 108 38 Satisfaction Sig. 2-tailed 0.000
Master 80 28 N 278.000 278.000
Ph. D 40 14 Correlation is significant at the 0.01 level (2-tailed)
D.B.A 58 20
Age The null is rejected and alternate hypothesis is
25 or less 140 51 accepted which means there is a positive and significant
26-30 45 17 correlation between services and customer satisfaction.
31-35 35 14
36-40 30 12
Hypothesis 2
41 and more 18 6 H02: There is no significant relationship between access
Gender and customer satisfaction.
Male 170 - Ha2: There is a significant relationship between access to
Female 108 - service by HBR and customer satisfaction.
Correlation is significant at the 0.01 level (2-tailed)
The result shows that there is a positive and significant
correlation between access dimensions and customer
By analyzing the data gathered from question the satisfaction (r = 0.65**), as depicted in Table 3.
questionnaire, the following results were obtained:
Hypothesis 3
• The first services (such as the price of ticket,
behavior of bus driver service inside and outside H03: There is no significant relationship between
the bus (comfort, cleanliness and air condition, availability dimensions and customer satisfaction.
Ha3: There is a significant relationship between
layout of bus stops and route safety) has the
availability dimensions and customer satisfaction.
highest response (95.8%) as factors measuring
customer satisfaction Table 4 depict that availability dimensions and
• The second satisfying factor is access to bus stops customer satisfaction are significantly correlated (r = 0.56).
and tickets with a response of 90.6%) Null is rejected and alternate hypothesis is accepted.

Time (route waiting time and route duration) was the Hypothesis 4
third most important factor in measuring customer H04: There is no significant relationship between time
satisfaction with a response rate of 87.4%) while the and customer satisfaction
availability (such as bus stop frequency) and the Ha4: There is a significant relationship between time and
environment (such as bus aesthetics) ranked fourth customer satisfaction
(85.8%) and fifth (83.7%). Null hypothesis is rejected while alternate hypothesis
is accepted denoting the significant and positive
3.2. Hypotheses Testing
correlation between time and customer satisfaction (r =
Hypothesis 1 0.690**), as is evidenced from Table 5.
H01: There is no significant relationship between Hypothesis 5
customer satisfaction and the service provided by H05: There is no significant relationship between the Bus
HBR Bus services. environment and customer satisfaction
Ha1: There is a significant relationship between Ha5: There is a significant relationship between the Bus
customer satisfaction and the service provided by environment and customer satisfaction.
HBR Bus services.
This hypothesis also is accepted signifying the
Since both variables are interval. Person correlation significant and positive correlation between environment
test was conducted and results are depicted in Table 2. dimensions and customer satisfaction in Table 6.
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Table 3. Correlation between customer satisfaction and access Table 7. All variables on customer satisfaction
Customer Model (%) Beta T- test Significance (%)
Services satisfaction Constant - 12.305 0.000
Access Pearson correlation 1.000 0.650** Service 0.744 3.048 0.000
Sig. 2-tailed 0.000 Access 0.498 2.042 0.440
Availability 0.581 2.761 0.003
N 278.000 278.000 Time 0.469 2.121 0.002
Customer Pearson correlation 0.826 1.000 Environment 0.681 2.832 0.000
Satisfaction Sig. 2-tailed 0.000 Adjusted R square 26.9
N 278.000 278.000 F value 10.6
Correlation is significant at the 0.01 level (2-tailed) Significance 0.000

Table 4. Correlation between availability and customer satisfaction As seen from Table 7, all variables have influenced
Customer customer satisfaction positively, as evidenced by highest
Services satisfaction T and Beta score. Adjusted R square for this model is
Availability Pearson correlation 1.000 0.560** 26.9% which indicates that 26.9% of the changes in the
Sig. 2-tailed 0.000 dependent variable are explained by the independent
N 278.000 278.000 variables. Altogether, independent variables explained
Customer Pearson correlation 0.826 1.000 26.9% of the variations.
Satisfaction Sig. 2-tailed 0.000
N 278.000 278.000 5. CONCLUSION
Correlation is significant at the 0.01 level (2-tailed)
To summarize, the present paper tried to reveal the
Table 5. Correlation between time and customer satisfaction important factors measuring customer satisfaction in Bus
Customer transportation services provided by HBR in the city of
Services satisfaction Sintok located at the province of Kedah, Malaysia.
Time Pearson correlation 1.000 0.690** Findings indicate that satisfaction in customers varies in
Sig. 2-tailed 0.000 line with the service dimensions which affect total
N 278.000 0, 278
Customer Pearson correlation 0.826 1 satisfaction. More precisely, the results indicated that
Satisfaction Sig. 2-tailed 0.000 customers present a moderate to strong level of
N 278.000 278 satisfaction along the line of service dimensions. The sub
Correlation is significant at the 0.01 level (2-tailed)C criteria “route safety”, “service of personnel”, “service
inside the bus” comprises the strong points of the
Table 6. Correlation between environment and customer company. To summarize, the overall result show that
satisfaction service quality attributes influences overall customer
Customer satisfaction in using public bus transport. High quality
Services satisfaction public bus transport not only keep customer to continue
Environment Pearson correlation 1.000 0.661** using public bus transport to fulfill their travel demand but
Sig. 2-tailed 0.000
N 278.000 278.000 also attract potential customer. The examination of the
Customer Pearson correlation 0.826 1.000 literature provide some interested results: Behavior of
Satisfaction Sig. 2-tailed 0.000 personnel and specifically behavior of bus driver,
N 278.000 278.000 frequency of services, reliability of services as well as
Correlation is significant at the 0.01 level (2-tailed) time and particularly waiting time seemed to be the most
crucial factors affecting customer satisfaction within other.
4. DISCUSSION These lead to the conclusion that HBR, to continue
its satisfactory bus services for greater productivity
4.1 Regression Analysis and enhanced performance, must give due importance
on these factors.
We used the regression model to look at the effects of
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