ABSTRACT
This study aimed at analyzing the influence of service quality on customer retention in the telecommunication industry in Tanzania. Specifically, the study determines the influence of Service quality on customer retention in the Tanzania telecommunication industry. The study used an explanatory research design to search for a causal relationship between the selected variables in this study. The study used a questionnaire instrument to gather quantitative data. The quantitative data collected from the respondents ware used to test the study hypothesis and the model developed. A simple random sampling technique was used to draw a sample of 400 persons from Vodacom customers in Dar-es-salaam. The data collected were analyzed using structural equation modeling (SEM). The study revealed that service quality has a positive and significant influence on customer retention. The study concludes by recommending that, the company improve its customer retention campaigns by rendering improved service quality. To achieve that, the company should ensure the services can guarantee tangibility, assurance, responsiveness, and reliability.
Key words: Customer Relationship Marketing Service Quality, customer retention.