Relationship orientation or service quality? What is the trigger of performance in financial and insurance services?

Purpose - The current work aims to analyze the complementary effects of relationship and service-quality orientations on market and economic performance and their mediating role in the relationship between market orientation and performance. Design/methodology/approach - In order to test the hypotheses proposed, an empirical analysis for financial and insurance companies was conducted. Findings - The study reveals that market performance relates highly to relationship orientation and service quality as two alternative but complementary strategies, whereas the effect on economic performance is basically indirect through the market performance. Practical implications - Results suggest that applying relational policies such as preferential treatment, communication and adaptation to customers' needs is critical for customer retention, reducing complaints and conflicts or improving the positioning. Moreover, the firms need to focus on quality service, as a consequence of relationship orientation and another requisite for market performance and, subsequently, economic performance. Originality/value - This work integrates market orientation philosophy with relationship marketing and service quality as related drivers of the firm's performance. Few empirical works had related these concepts until now in this way.