Effects of Smart City on Utilizing Customer Data to Enhancing Customer Delight: A Practical Study

Abstract

One of the main interests for institutions these days is how to use information technologies and communication systems to find and share data to enhance both corporate business and governmental services’ efficiency and effectiveness. This study analyzed the impact of smart cities as an independent latent factor on several factors related to customer data, namely Customer Data Collection, Customer Data Analysis, Customer Data Mining, Customer Data Warehousing, and Customer Digital Solutions, which served as dependent latent factors. It also examined the impact of each of these factors as independent variables on the Customer Delight factor. The study is based on a sample of 413 customers residing in smart cities to derive its results and concluded that all relationships were statistically significant. Specifically, Customer Data Mining, Customer Data Warehousing, and Customer Data Collection positively impacted Customer Delight, with path values of 0.334, 0.229, and 0.139, respectively. In contrast, Customer Data Analysis and Customer Digital Solutions had a negative impact on Customer Delight, with impact coefficients of -0.191 and -0.049, respectively. The study also concluded that the smart cities factor positively influenced all latent factors, except for Customer Data Mining, which was inversely related to the smart cities factor, with an impact coefficient of -0.066.