The Impact of Marketing Mix Strategy on Hospitals Performance Measured by Patient Satisfaction: An Empirical Investigation on Jeddah Private Sector Hospital Senior Managers Perspective

By Ahmad, Ala'Eddin Mohammad Khalaf; Al-Qarni, Abdullah Ali et al. | International Journal of Marketing Studies, December 2013 | Go to article overview

The Impact of Marketing Mix Strategy on Hospitals Performance Measured by Patient Satisfaction: An Empirical Investigation on Jeddah Private Sector Hospital Senior Managers Perspective


Ahmad, Ala'Eddin Mohammad Khalaf, Al-Qarni, Abdullah Ali, Alsharqi, Omar Zayyan, Qalai, Dalia Abdullah, Kadi, Najla, International Journal of Marketing Studies


Abstract

This research aims to investigate the impact of marketing mix strategy on patient satisfaction in private sector hospitals in Jeddah city in Saudi Arabia (KSA). This research consists of the independent variables represented by marketing mix strategy components (namely health service, pricing, distribution, promotion, physical evidence, process, and personal strategies) and dependent variable which represented by patient satisfaction. In order to explore the relationship between independent and dependent variables the quantitative method was used to collect primary data through a questionnaire, which was administered in the private sector hospitals in Jeddah city with hospital managers. All Jeddah city private sector hospitals were targeted in this research rather than a representative sample of these hospitals. The research population of this research consists of 272 managers from 34 private hospitals in Jeddah. The research sample in this research also consists of the total population accounted 272 managers. The researcher retrieves 190 valid research questionnaires. A purposive sampling strategy was used to choose the participants in this research. The results confirm significant differences in the influence of the marketing mix strategy have varied significant and insignificant influence on the patient satisfaction. Furthermore, the results exhibit those hospital managers might benefit more by placing more emphasis on an integrated service marketing mix strategy and recognizing the patient satisfaction. The result shows that five out of seven variables are significant (health service, promotion, physical evidence, process and personal strategies) on the other hand two variables are insignificant (pricing and distribution strategies). This research contributes to the academic and practical knowledge as being one of the first attempts to investigate empirically the impact of the marketing mix strategy on patient satisfaction. In addition to recognizing the vital roles of marketing in improving the patient satisfaction, this research integrates, refines and extends the empirical work conducted in the field of health services marketing in Saudi Arabia. It raises many implications for managers in these hospitals, such as considering the importance of influences by marketing strategy on patient satisfaction. This research provides useful guidelines for further and future research possibilities such as exploring the influence of the marketing mix strategy influence on other hospital performance criteria.

Keywords: marketing mix strategy, patient satisfaction, hospitals, Saudi Arabia

1. Introduction

The marketing mix strategy is considered one of the core concepts of marketing theory (Ziethaml and Bitner, 2000). In recent years, the popular version of this concept, that of McCarthy (1964) relating to the 4Ps: (product, price, promotion and place), has increasingly come under attack with the result that diverse marketing mix strategies have been put forward for different marketing contexts.

The term marketing mix refers to a set of tools available to an organization to shape the nature of its offer to customers (Palmer, 2001). Kotler (2000: P15) defines the marketing mix as "the set of marketing tools that the firm uses to pursue its marketing objectives in the target market".

A number of researchers (Booms and Bitners, 1981; Lovelock, 2001, Ahmad, 2007) have previously argued that the traditional 4Ps of the marketing mix model are inadequate for either the marketing of goods or for services marketing. Services are different from products, because of their characteristics; intangibility, inseparability, heterogeneity, and perishability.

Earlier work of Booms and Bitner (1981) extend marketing mix for services from 4Ps to 7Ps adding three elements to the traditional model: people, physical evidence and processes.

Customer satisfaction ranks high on the list of strategic priorities concerned with the achievement of long-term objectives (Day and Wensley, 1988). …

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