Purpose - Increasingly, higher education institutions are being held to
account for the performance of their students internally in terms of
academic performance and timely program completion, as well as
externally through job placement. This challenge is compounded by a
range of additional factors including fluctuating, international
economic conditions, an increasingly globalised, competitive
environment, widespread provision of online qualifications, and high
student drop-out rates. There is a pressing need therefore to understand
the factors which contribute to positive perceptions of institutional
services and the way in which these drive student retention, especially
within the first year experience. This research aims to explore the role
of affective commitment in students' perceived satisfaction within the
student-university relationship and the effect of this on retention in
an Australian tertiary context. Design/methodology/approach - A
qualitative approach was adopted using four focus groups and eight
in-depth interviews with first year undergraduate students enrolled at a
large metropolitan Australian university. In addition, an online expert
forum was used to obtain qualitative verbatim from 22
internationally-based faculty educators. Findings - The results of this
study suggest that the development of deeply entrenched emotional bonds
with students is important in facilitating high levels of satisfaction
during the first year experience. In addition, a sense of belonging was
perceived by faculty as being the primary mechanism for ensuring the
retention of students beyond the first year of enrolment. Practical
implications - From a managerial perspective, uncovering the nature of
student-institution relationships and the importance of affective forms
of commitment will enable higher education institutions to develop more
targeted relationship marketing programs to increase student retention.
Originality/value - In a unique contribution, this research examines
this issue from the perspective of first year students, as well as from
an international faculty perspective, enabling a multi-dimensional
comparison to be drawn between the perceptions of the student, and the
service provider.