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YACHANA
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Volumen 13, Número 1, Enero-Junio 2024
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Abstract
The study aims to identify the competitive
prole matrix of service companies in the
automotive sector, focusing on lubricants,
and understand the key factors that in-
uence customer loyalty and repurchase.
This sector is crucial for the Ecuadorian
economy, generating signicant income
and employment. However, it faces chal-
lenges such as more strategic planning,
especially in small and medium-sized
companies. The study takes a quantitative
and descriptive approach, using surveys
to collect customer data. The results show
that staff trust and professionalism are the
most critical factors, followed by service
quality, value for money, location, and
response time. These ndings allow com-
panies to develop strategies that drive cus-
tomer loyalty and sustainable growth. The
competitive prole matrix (CPM) helps
evaluate the performance of companies
against the competition and identify areas
that require improvement. Future studies
could investigate variations in key factors
across different market segments, analyze
changes in preferences over time, and ex-
plore the impact of digital technologies to
improve service. Furthermore, it would be
valuable to investigate how government
policies affect the sector’s competitive-
ness.
Keywords: Transport, Economic Compe-
tition, Market research, Entrepreneurs.
Resumen
El objetivo del estudio es identicar la
matriz del perl competitivo de las em-
presas de servicios en el sector automo-
triz, enfocándose en lubricadoras, y com-
prender los factores clave que inuyen en
la lealtad y recompra de los clientes. Este
sector es crucial para la economía ecua-
toriana, generando importantes ingresos
y empleo, aunque enfrenta desafíos como
https://doi.org/10.62325/10.62325/yachana.v13.n2.2024.926
Artículo de
Investigación
13/05/2024
02/07/2024
31/07/2024
Competitive Prole Matrix of Service Companies
in the Automotive Sector
Franklin Antonio Gallegos-Erazo
Matriz del perl competitivo de las empresas de servicio
en el sector automotriz
Universidad ECOTEC, Guayaquil-Ecuador. fgallegos@ecotec.edu.ec
https://orcid.org/0000-0002-7560-3514
YACHANA Revista Cientíca, vol. 13, núm. 1 (enero-junio de 2024), pp. 153-163
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la falta de planicación estratégica, especialmente en las pequeñas y medianas empresas. El
estudio adopta un enfoque cuantitativo y descriptivo, utilizando encuestas para recopilar datos
de clientes. Los resultados muestran que la conanza y el profesionalismo del personal son los
factores más críticos, seguidos por la calidad del servicio, la relación calidad-precio, la ubica-
ción y el tiempo de respuesta. Estos hallazgos permiten a las empresas desarrollar estrategias
que impulsen la lealtad del cliente y el crecimiento sostenible. La matriz de perl competitivo
(MPC) ayuda a evaluar el rendimiento de las empresas frente a la competencia y a identicar
áreas que requieren mejoras. Los futuros estudios podrían investigar variaciones en los factores
clave según diferentes segmentos de mercado, analizar cambios en las preferencias a lo largo
del tiempo y explorar el impacto de tecnologías digitales para mejorar el servicio. Además, se-
ría valioso investigar cómo las políticas gubernamentales afectan la competitividad del sector.
Palabras clave: Transporte, Competencia Económica, Estudio de Mercado, Empresario.
Introduction
This study focuses on identifying the com-
petitive prole matrix of service compa-
nies in the automotive sector, particularly
for lubricants, and the critical success fac-
tors inuencing the customer’s decision
and contributing to greater loyalty and
repurchase. The automotive industry has
played a crucial role in Ecuador’s econo-
my, contributing signicantly both directly
and indirectly through the export, import,
and assembly of vehicles. According to
data from the Association of Automo-
tive Companies of Ecuador (AEADE), in
2019, this sector generated taxes of a total
of 1,554 million dollars. This gure fell to
1,204 million in 2020 during the pandemic
but recovered to 1,432 million in 2021 and
reached 1,663 million in 2022, showing
sustained improvement in the post-pan-
demic period (INEC, 2022).
In addition, the automotive industry also
has an essential impact on job creation, es-
pecially in activities such as vehicle main-
tenance, lubrication, and repair. According
to the National Institute of Statistics and
Censuses (INEC, 2022), these activities
employed 20,564 people in 2021 and
20,788 in 2022, showing slight but con-
stant growth. While the sector primarily
employs men, it has also seen an increase
in female participation, with 4,071 wom-
en employed in 2021 and 4,183 in 2022
(INEC, 2022). These data underline the
sector’s importance in the local economy
and the potential of lubricants as a compet-
itive niche in Guayaquil, where there is a
high concentration of registered vehicles,
generating a growing demand for mainte-
nance services.
In the context of the Competitive Prole
Matrix of Service Companies in the Au-
tomotive Sector, many companies face
challenges in identifying and applying key
success factors to maintain customer loyal-
ty and encourage repurchase (Wang et al.,
2020). These factors are especially prob-
lematic for small and medium-sized busi-
nesses (SMEs), which often need more
effective strategic planning to identify and
capitalize on these factors (Gallegos-Era-
zo & García-Hinojosa, 2019). The lack of
strategic planning makes it difcult to iden-
tify critical factors and hinders the devel-
opment of adaptive business models that
respond to changing consumer demands
(Gallegos-Erazo & Gavilanes-Gómez,
155
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2023; Casas et al., 2020). This deciency
affects operational efciency and causes
customer loss, negatively impacting sales
volume and competitiveness (Li & Lai,
2021). Problems managing inventory (Ria-
di et al., 2023), product offerings, and sales
processes aggravate the situation, creating
barriers to growth (Rahatulain, 2019).
Lack of understanding of critical success
factors leads to poor implementation of
loyalty strategies, affecting repurchase
rates (Farhikhteh et al., 2020). The absence
of reliable data and appropriate analytics
limits the ability of these companies to
identify the causes of declining customer
retention (Suhanda et al., 2022). Historical
sales and repurchase data show decreasing
patterns, indicating a trend toward lower
loyalty (Randhawa, 2018). Furthermore,
the lack of specic customer satisfaction
metrics makes it difcult to correlate loss
of loyalty with particular service problems
(Sciascia, 2022; Akhmedova et al., 2020),
preventing companies from implementing
practical improvements in their operations
(Kanaan et al., 2023). This phenomenon
is aggravated by the lack of a competitive
prole matrix that allows service compa-
nies to evaluate their position against the
competition, identify opportunities, and
design strategies that foster customer loy-
alty (Capps et al., 2019).
The competitive prole matrix (CPM) is a
crucial tool for identifying, evaluating, and
comparing key success factors in the au-
tomotive sector. According to Shuplyakov
et al. (2021), it provides a clear structure
for analyzing a company’s competitive
position against its direct competitors. In
automotive service companies, MPC is
especially useful for lubricants, facing
increasing competition, where customer
retention and repurchase are critical chal-
lenges (Suhanda et al., 2022).
Identifying critical success factors (KSF)
in this sector is complex due to the mul-
tiple variables inuencing purchasing
decisions. Cifuentes-Suárez & More-
no-Gavilanes (2021) and Chávez & Fárez
(2023) highlight the importance of quali-
ty, safety, value, design, style, and inno-
vation. Guachamín & Yunga (2023) also
show that price is decisive for 95.7% of
those surveyed in their study.
The MPC provides a framework for as-
sessing companies’ position on these fac-
tors. Each company receives a weighted
score based on its performance in service
quality (Prasetya & Sianturi, 2019), pric-
ing strategy, location, visibility in promo-
tions and advertising, and trained staff.
Weighted scoring allows companies to
accurately identify areas requiring im-
provement and prioritize changes based on
their potential impact on customer loyalty
and repurchase. This analysis allows com-
panies to be compared directly with their
competitors and nd areas for improve-
ment (Shuplyakov et al., 2021).
Implementing the MPC is vital to identify
aspects that directly affect customer re-
purchase and loyalty. Ballou et al. (2004)
note that understanding repurchase trends
allows companies to adjust their inventory
(Riadi et al., 2023) to meet demand. Helli-
er et al. (2003) and Ramírez & Almeida
(2020) highlight that repurchase reects
customer satisfaction and their experience
in the transaction (Wijaya et al., 2022).
Applying CPM in automotive services
would allow a clearer perspective of the
strengths and weaknesses of a company
compared to the competition. Identifying
critical success factors and comparing
them to best practices is essential for lubri-
cants to develop strategies that drive loy-
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alty and repurchase, ensuring sustainable
growth in a highly competitive market.
This research seeks to identify the compet-
itive prole of lubrication services compa-
nies in Guayaquil and analyze the critical
success factors inuencing customer re-
tention. The following question is raised:
What are the critical success factors that
affect customer retention and repurchase
in lubrication companies in the automo-
tive sector in Guayaquil, and how can they
be used to develop effective competitive
strategies? Given the signicant impact
of the automotive sector on the Ecuador-
ian economy, identifying these factors will
contribute to improving company strate-
gies and promoting sustainable growth in
a competitive market.
Materials and Method
The research identies the factors inu-
encing customers repurchase decisions
and their preferences for lubricants in
Guayaquil. The study adopts a quantitative
and descriptive approach with a eld and
cross-sectional research design. A survey
was administered as the primary tool to
collect data, and the application was car-
ried out directly on-site. This methodology
is supported by the research of Yulianto
(2022), who highlights the critical role of
perceived value in repurchase intention.
His study also employs surveys to un-
derstand how product descriptions affect
customer satisfaction and repurchase de-
cisions.
Furthermore, Irnaldi et al. (2023) show
the relevance of marketing strategies and
service quality in the repurchase decision,
reinforcing the importance of including
questions that address these aspects in
surveys. The associative analysis used in
that study provides a solid basis for un-
derstanding the relationships between
these factors and their impact on custom-
er loyalty (Irnaldi et al., 2023). The study
by Lovato et al. (2023), which focuses on
Guayaquil, demonstrates that the quality
of customer service is essential for the eco-
nomic development of microenterprises
and the strengthening of marketing strat-
egies. Like the present study, this research
is based on a quantitative, descriptive, and
transversal approach, validating the rele-
vance of well-structured surveys to mea-
sure customer satisfaction and preference
(Lovato et al., 2023).
The survey consists of 21 questions that
explore various dimensions that can inu-
ence customers repurchase decisions, such
as product quality, staff knowledge, and
speed of service, among others. Each ques-
tion allows the respondent to express their
level of agreement on a ve-point scale,
ranging from Strongly agree to Strongly
disagree. The surveys were reviewed and
validated by experts in the eld, and a pilot
test was carried out to verify the internal
and external validity of the instrument.
This review ensures that the questions are
understandable, relevant, and appropriate
in measuring the factors they are intended
to investigate.
A systematic and quantitative process was
followed to calculate the weights of the
variables based on the survey responses.
Here are the specic steps taken.
Assignment of Scores to Answers
Numerical values were assigned to each
response category to reect their degree
of agreement with the statement made in
the survey. The weights assigned were the
following:
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• Strongly agree: 2 points.
• Agree: 1 point.
• Moderately agree: 0.5 points.
• Disagree: -1 point.
• Strongly disagree: -2 points.
These weights were chosen to adequately
differentiate between levels of agreement
and disagreement, giving more signicant
inuence to responses that indicate strong
agreement.
Calculation of Weighted Averages
A weighted average was calculated for
each relevant variable in the survey. This
calculation was done by multiplying the
number of responses in each category by
the weight assigned to that category and
adding these products. The result was then
divided by the total number of responses
for that specic question to obtain an aver-
age reecting the agreement weight based
on the severity of the responses.
Weight Normalization
After calculating the weighted averages
for each variable, the results were normal-
ized to ensure that the sum of all weights
equaled one. This step allows the variables
to be compared equitably, reecting their
relative importance in percentage.
This methodology guarantees that the
weights obtained represent the perceived
importance of each variable in the repur-
chase decision at lubricants based on the
opinions expressed by customers in the
survey.
Results and discussion
The analysis of the survey carried out on
Lubricenter clients reveals fundamental
aspects of the conguration of the compet-
itive prole of these companies in the auto-
motive sector of Guayaquil. In light of the
data collected and the revised theoretical
framework, it is observed that factors such
as product quality, brand, and quality-price
ratio are essential for customer repurchase
and loyalty, aspects that are crucial given
the relevance economic and social of the
sector in Ecuador.
The survey administered to lubricant cus-
tomers reveals several key trends in con-
sumer preferences and behaviors regarding
the factors inuencing their repurchase de-
cision. Firstly, product quality is the most
valued factor, with 61% of respondents
expressing totally agree that this aspect is
essential when deciding to buy again and
36% indicating they agree. These results
underscore product quality as a critical
factor in customer loyalty. This nding
is consistent with research by Wang et al.
(2020), which highlights that service and
product quality are critical factors for cus-
tomer retention in the automotive sector.
As an analytical tool, the Competitive Pro-
le Matrix (CPM) would allow lubricants
to evaluate their performance in this aspect
compared to their competitors and adjust
their strategies to improve the perception
of quality among consumers.
The lubricants’ manufacturing origin and
the brand’s importance are also considered
relevant, although to a lesser extent. While
54% of participants are positively inclined
towards the importance of manufacturing
origin, 88% consider the brand relevant
in their repurchase decision. This last data
highlights the signicant inuence of the
brand on consumer perception. This result
aligns with what was argued by Li & Lai
(2021) about the need to strengthen the
brand to maintain competitiveness. Addi-
tionally, 42% of respondents perceive that
advertising inuences their repurchase
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decision, indicating that an effective com-
munication strategy could be crucial to
improving customer acquisition and reten-
tion.
The breadth of the product portfolio also
appears to be a crucial factor, with 53%
responding positively, although there was
a signicant amount of disagreement at
15%. These results indicate a split in the
customer base over the importance of va-
riety versus specic factors such as price
or quality.
Although 50% of those surveyed consider
the price inuential, there is a notable dis-
persion in opinions: 25% are neutral, and
4% disagree. These results indicate market
segmentation in terms of price sensitivi-
ty. 65% of participants identify the qual-
ity-price ratio as a crucial factor, which is
in line with the study by Cifuentes-Suárez
& Moreno-Gavilanes (2021), highlighting
perceived value as a critical component
in customer loyalty. Implementing MPC
could help companies understand how
consumers perceive this balance, allowing
adjustments in pricing policy or service
improvements to optimize this perception.
Promotions and discount strategies show
a moderate inuence, with 35% and 32%
positive responses, respectively. Howev-
er, a notable 49% remain neutral regard-
ing promotions, which could indicate the
varied effectiveness of these strategies or a
possible saturation of offers in the market.
While promotions and discounts have a
moderate impact on repurchase decisions,
it’s crucial to understand their effectiveness
in the local context. Rahatulain’s study in
2019 suggests that improper promotion
management can be detrimental if it does
not align with customer expectations and
preferences. Therefore, understanding the
local context is key, and lubricants could
benet from further analysis to optimize
these promotional tactics and ensure they
improve the company’s perceived value,
making the audience feel valued and inte-
gral to the decision-making process.
Aspects such as the treatment received, the
knowledge of the staff, and the speed of
service are highly valued, with more than
85% of the responses afrmative in each
case. This underscores the relevance of
customer service as a key component of
the consumer experience at lube centers,
reassuring the audience about their cur-
rent strategies. Brand loyalty and value
for money stand out as determining factors
in repurchase, with 74% and 65% posi-
tive responses, respectively. This suggests
that customers tend to be loyal to brands
they consider valuable in terms of cost and
quality, reafrming the audience’s focus
on these aspects.
Analyzing the weightings of the critical
success factors obtained in the survey of
customers of lubricant centers in Guaya-
quil reveals a clear panorama of consumer
priorities and expectations in the local au-
tomotive sector. Through a careful meth-
odology that normalizes the weights and
assigns values to the responses, it was pos-
sible to precisely identify the elements that
inuence repurchase, from the trust and
professionalism of the staff to the loca-
tion and variety of products offered. These
ndings reect current market trends and
are based on previous studies that highlight
the importance of these factors in building
customer loyalty and creating competitive
strategies, as detailed in Table 1. This anal-
ysis provides a comprehensive framework
for companies in the sector to adjust their
policies and optimize their services by
changing consumer expectations, allowing
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them to improve their competitiveness in
the market.
The survey’s weightings of the critical
success factors provide a deeper perspec-
tive on the elements that inuence custom-
er repurchase of lubricants in Guayaquil.
The Trust/Professionalism factor emerges
as the most critical aspect, with a normal-
ized weight of 0.1901, underlining the im-
portance of staff transmitting knowledge
and security to consumers. These results
align with research such as that of Lovato
et al. (2023), which emphasizes the quality
of customer service as a pillar in consumer
satisfaction and loyalty.
‘Service/Attention’ also occupies a prom-
inent place, with a weight of 0.1584. This
reveals that customers highly value speed
and friendly treatment during service, a
factor that should invoke a sense of ur-
gency in our audience to provide these
qualities. For its part, ‘Price’ is a relevant
consideration, with a weight of 0.1455, ev-
idencing the segmentation of the market
in terms of sensitivity towards cost. This
reinforces the importance of nding a bal-
ance between quality and price, as suggest-
ed by Cifuentes-Suárez & Moreno-Gavila-
nes (2021).
Table 1
MPC matrix applied to the lubricant sector and critical
Variable Normalized Weight Score from 1 to 5 Core Weighted
Trust / Professionalism 0.1901
Service / Attention 0.1584
Price 0.1455
Location 0.1340
Response Time 0.1309
Product Portfolio 0.1038
Promotion 0.0772
Advertising 0.0601
Other factors such as Location (0.1340),
Response Time (0.1309) and Product
Portfolio (0.1038) are also inuential. The
location reinforces convenience for the
customer, a factor that should make our
audience feel the need to ensure their busi-
nesses are easily accessible. The response
time and the variety of products available
demonstrate the need to optimize process-
es and offer comprehensive solutions, a
sentiment that should inspire our audience
of business owners, marketing and sales
professionals, and researchers in the lubri-
cants industry.
Lastly, Promotion (0.0772) and Advertis-
ing (0.0601) receive a lower weight but are
still relevant. Discounting strategies have a
moderate impact, while effective advertis-
ing can be vital to reaching new customers.
Rahatulain’s research in 2019 supports the
idea that these strategies must align with
customer expectations to be effective.
Conclusions
The CPM analysis in service companies
in the automotive sector, specically the
lubricants in Guayaquil, is a crucial tool.
It underscores the importance of critical
success factors (CSFs) in customer loy-
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alty and repurchase. This analysis serves
as a roadmap, identifying the key factors
companies must prioritize to enhance their
position in a ercely competitive market.
The analysis reveals that trust and pro-
fessionalism are paramount for customer
satisfaction and loyalty, emphasizing the
critical role of service quality. Companies
must prioritize enhancing these attributes
to strengthen their market position. Ad-
ditionally, exceptional service, attention,
and a balanced pricing strategy are vital in
fostering customer loyalty. While location
and response time contribute signicantly
to the overall customer experience, a com-
prehensive product portfolio and targeted
promotions are also essential. By under-
standing and effectively applying these
CSFs, lubrication companies can develop
strategies that retain customers and en-
courage repurchase, ensuring sustainable
growth in a competitive market.
Lubrication companies must use CPM to
evaluate their strengths and weaknesses
against the competition. They must im-
prove trust, professionalism, service, at-
tention, and pricing policies to position
themselves competitively. Effective ad-
vertising and personalized promotions tai-
lored to consumer expectations can attract
new customers.
The application of CPM provides a com-
prehensive assessment of the automotive
sector’s competitive position. Understand-
ing CSFs and aligning them with custom-
er expectations is not just a strategy, but a
commitment to customer satisfaction. This
will allow lubrication companies to devel-
op strategies that encourage loyalty and re-
purchase, ensuring sustainable growth in a
dynamic market.
Although product quality and brand loyal-
ty are important, price, customer service,
and marketing strategies play distinct roles
in loyalty and repurchase in the lubricant
industry. Adopting CPM in Guayaquil
lubricants could help identify strengths,
weaknesses, and opportunities for inno-
vation in critical areas such as customer
service, brand management, and loyalty.
The study’s ndings offer a valuable basis
for developing effective strategies, help-
ing lubrication companies strengthen their
position in a highly competitive market.
Identifying and effectively applying these
CSFs is essential to improve customer re-
tention and repurchase, contributing to the
economic growth of the automotive sector
in the region.
Based on the results obtained, it is recom-
mended that lubricant center companies in
Guayaquil focus on strengthening the per-
ception of product quality, as this is crucial
for customer loyalty and repurchase. Im-
plementing continuous improvement strat-
egies and quality certications can support
product excellence. Additionally, brands
must develop a solid and trustworthy im-
age, as brand relevance signicantly in-
uences repurchase decisions. Marketing
campaigns should highlight the manufac-
turing origin of lubricants, leveraging con-
sumers’ positive perceptions. Finally, ef-
fectively communicating the quality-price
relationship to customers ensures they
perceive added value in the services and
products offered. The Competitive Prole
Matrix (CPM) could be a valuable tool for
evaluating and adjusting these strategies,
enabling continuous improvement and
stronger positioning in the Guayaquil au-
tomotive market.
Future studies could focus on understand-
ing variations in critical success factors
across different market segments, such as
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private and commercial vehicles, to de-
velop differentiated marketing strategies.
Conducting longitudinal research to exam-
ine the evolution of customer satisfaction,
loyalty, and repurchase rates over time
would be valuable, as well as exploring the
impact of digital technologies like articial
intelligence and data analytics on customer
service, inventory management, and mar-
keting. Developing predictive models to
anticipate service demand and optimize
operations, and examining the inuence
of government policies and regulations on
sector competitiveness, are also important
areas for further investigation to drive the
sustainable development of lubrication
companies in a highly competitive market.
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Para referenciar este artículo utilice el siguiente formato:
Gallegos-Erazo, F. (2024, julio/diciembre). Competitive Prole Matrix of Service Companies
in the Automotive Sector. YACHANA Revista Cientíca, 13(2), 153-163. https://doi.
org/10.62325/10.62325/yachana.v13.n2.2024.926
