Linking internal marketing with customer outcomes

Purpose – The purpose of this study is to explore how the adoption of an internal marketing (IM) programme in a retail banking setting enhances some positive employee behaviours that promote customer perceived service quality. Design/methodology/approach – A multilevel research design is adopted which draws evidence from branch managers, employees and customers in order to investigate whether branch manager’s adoption of an IM philosophy affects front-line employee responsiveness to the firm’s IM strategies and their levels of motivation, empowerment and organizational identification (OI), respectively. Findings – Results indicate that manager’s IM adoption can enhance employee adoption of IM and raises their levels of motivation, empowerment and OI. The moderating role of manager-employee dissimilarity is also discussed. Finally, findings confirm that employee motivation, empowerment and OI affect customer perceptions of service quality. Originality/value – This study provides an important shift by formally including IM into multilevel marketing research and establishes another link in the IM-organizational performance relationship, uncovering some behavioural routes through which the positive effects of IM can add to the achievement of firm’s external marketing objectives.