The effects of harm directions and service recovery strategies on customer forgiveness and negative word-of-mouth intentions

This study aims to investigate the direction of harm and the role of service recovery strategies on customer positive (i.e., forgiveness) and negative (i.e., word-of-mouth) intentions. We found that customer intentions are stronger among those who are directly affected by the service failure than indirectly affected customers. Further, we assess the role of service recovery in customer intentions after the service failure. The study findings contribute to the development of theory on the “other customers” effect by comparing the consequences of service failure directed at the focal customer and other customers and provide solutions to practitioners to reduce this damaging effect.     

服务补救——留住顾客的关键

市场竞争日益激烈 ,越来越多的企业认识到维系顾客的重要性 ,而维系顾客的关键在于提高顾客的满意程度 ,只有顾客满意了 ,他们才会长时间的保持对企业的忠诚。但是实际上 ,即使最优秀的企业也难免发生失误 ,难免造成顾客的不满。这就要求企业对其失误进行补救 ,最大限度的降低顾客的不满 ,这就是服务补救。而企业要想真正把服务补救工作做好 ,必须制订完善的服务补救策略 ,来指导企业的服务补救工作。     

Analysis of the moderating role of the gender variable in service recovery processes

In this study, the authors focus on service recovery processes and identify a set of key factors that drive satisfaction with the recovery process, which ultimately leads to customer loyalty. In addition, the authors investigate the role of gender as a potential moderating variable in the recovery process. Using a sample of 202 customers who had experienced a problem with their provider, filed a complaint and received a response from the company, the authors empirically test the proposed framework in the mobile phone market. The findings reveal that men tend to be more demanding when dealing with service providers and less loyal, while women tend to exhibit a more fully-developed sense of justice and greater attitudinal and behavioral loyalty. These results provide valuable insights for the consumer services industry: Companies can use gender information to manage complaints in order to restore customer satisfaction and increase customer loyalty more efficiently.     

国外消费者宽恕研究综述及趋势展望

产品危机或服务失误发生后,补救措施作为外部刺激,其根本目的在于激起消费者的内部响应,引导消费者宽恕。消费者宽恕是企业长期服务补救努力的关键所在,可为企业创造极高的价值,对重构双方关系、实现顾客保留具有重要作用。深入研究消费者宽恕的形成机理及其作用机制具有重要的理论与实践意义。目前,虽然国内外学者已经开始重视对消费者宽恕的研究,但相关理论研究还不够深入,理论框架也不够完善。未来的研究应对消费者宽恕测量工具的开发、消费者个体差异对宽恕的影响、消费者宽恕结果变量的实证研究、情境宽恕的跨文化实证研究予以重点关注。     

Predictors of relationship quality for luxury restaurants

Relationship quality is increasingly emerging as a strategy for organizations that strive to retain loyal and satisfied customers in today's highly competitive environment. However, a limited number of studies have investigated relationship quality within the hospitality industry. This study examines and applies a measurement model originally tested with Korean customers to American customers to confirm that the predictors of relationship quality for luxury restaurants are cross-culturally valid. This study also examines the relative importance of each predictor of relationship quality, and identifies strategies for luxury restaurants that should enhance their level of customer trust and satisfaction.     

顾客忠诚的内涵及其提高途径

从态度取向和行为取向两个维度可以把顾客忠诚细分为四类,广义的顾客忠诚内涵包括理想忠诚和约束忠诚,狭义的顾客忠诚则只包括理想忠诚;拥有一批忠诚的顾客是企业生存发展的根本,因此,企业应该从识别忠诚的顾客、培养忠诚的员工、提供优质的服务、加强顾客关系管理和处理好顾客抱怨等途径来获得和维系顾客忠诚。     

An Examination of Consumers' Motives to Switch Energy Suppliers

In most European countries, the energy industry continues to undergo dramatic changes. Customer relationship management concepts and their central focus - customer retention - are playing an increasingly significant role in the marketing considerations of energy supply companies. However, little is known about the reasons why customers remain loyal to a particular energy supplier or why they switch suppliers. The purpose of this study was to identify customers' switching motives, to investigate the relationship between customer satisfaction and switching intentions as well as to identify switching segments. A total of 462 customers of a German energy supplier were surveyed regarding their perceptions and future intentions in relation to their energy provider. Results using regression analysis show that customer satisfaction had a significant effect on switching intentions. Cluster analysis identified three distinct switching clusters; dissatisfied customers, relative satisfied customers seeking change, and dissatisfied customers seeking change. Results of this study are discussed in light of its theoretical as well as practical implications.     

Multi-tiered private labels portfolio strategies: Effects on consumer behavior

Abstract

Retailers wish to expand their standard private label (PL) adopting a multi-tiered portfolio. We study the effects produced by the introduction of two new PLs quality-tiers (economy and premium) on the market share of various national brands (NB; premium-quality and second-tier) and the standard PL. This study proposes a model that accommodates three effects (similarity, attraction, and compromise) for understanding how the introduction of economy and premium PL may affect market incumbents. This study also analyzes the effects of introducing new PL quality-tiers for customer segments. Our results indicate that when economy and premium PL are introduced in the market, the choice probability of standard PL decreases, especially for high purchase quantity customers and PL loyal customers. In addition, introduction of a premium PL decreases the choice probability of second-tier NB and premium-quality NB, especially for PL loyal customers and high purchase quantity customers.     

The Role of Customer Factors in Multiple Store Patronage: A Cost-Benefit Approach

This paper is concerned with the use of multiple stores by supermarket customers. It relates the number of stores patronized to a set of customer factors under a unifying theoretical framework emphasizing cost-benefit analysis. Respective hypotheses are tested in a large random sample. This study is a first attempt to empirically address the structure of multiple store patronage. It is demonstrated that multiple store patronage is affected by variables such as customer income, satisfaction, and expenditure that are suggestive of heterogeneous cost-benefit tradeoffs and opportunity costs of time. It is shown that customers are intrinsically different in the predisposition to being loyal. In this respect, store patronage is a continuum between single store loyalty and use of several different stores, on which customers vary depending on individual preferences. The empirical analysis also suggests that exclusive patronage of the favorite store arises from two observationally equivalent latent segments that differ in their inclination to remain loyal. The results yield valuable insights into the structure of store patronage and lead to important implications for retail managers. Several extensions are considered. A broad set of research questions surrounding store patronage can be considered from a cost-benefit viewpoint in the sense that consumer decisions in this area involve trading off economic resources against assortment, spatial and temporal benefits.     

Customer forgiveness of unsatisfactory service: manifestations and antecedents

Previous research of service failures has focused on negative reactions such as retaliation, complaining, and switching behavior. This study is of customer forgiveness that reflects goodwill. Study 1, exploring manifestations of forgiveness in the service context, consisted of interviews with 52 customers. The results suggest that forgiveness is reflected in positive reframing, perspective taking, and tolerance. In Study 2, designed to explore the antecedents of forgiveness, respondents (N = 286, 55.4 % women) were presented with scenarios manipulating strength of relationship and blame, and measuring forgiveness. The results show that the effect of blame on the expected outcomes of forgiveness and loyalty intentions is stronger under strong customer-service provider relationships. Additionally, relationship strength has a stronger effect on forgiveness among women, even under high levels of blame. The results thus offer profiles for forgiving and unforgiving customers.     

Managing social media recovery: The important role of service recovery transparency in retaining customers

This research examines the influence of service recovery transparency on customer forgiveness to retain customers in the context of service recovery via social media. We propose that customer forgiveness mediates the effect of service recovery transparency on switchover intentions. We further posit that the effect of service recovery transparency on customer forgiveness is moderated by two additional recovery strategies, i.e., apology and explanation. The results of two studies, i.e., a survey and a scenario-based experiment, show that service recovery transparency acts to elicit customer forgiveness, which subsequently negatively affects switchover intentions. Furthermore, both apology and explanation moderate the effect of service recovery transparency on customer forgiveness. The positive effect of service recovery transparency on customer forgiveness is attenuated when an apology/explanation is absent.     

Customer demotion in hierarchical loyalty programmes

Hierarchical loyalty programmes are popular in many service industries, as a means to tie customers to the company and improve customer relationships. In these programmes, customers obtain more benefits if they spent more but are demoted if they spent less. This study focuses on demotion and suggests that customer demotion can have an asymmetrical negative effect on customers' trust, commitment, and loyalty. The effect appears strongest for demoted customers with an external locus of causality. An experimental study also shows that customer loyalty is lower for demoted customers than for customers who were never elevated.     

Developing the profiles of supermarket customers through data mining

To stay competitive, supermarkets need to develop a viable customer retention strategy. Since a key to the successful development of such a strategy rests with customer relationship management, supermarkets should identify the most profitable ways to build and maintain a loyal customer relationship. In an effort to help supermarkets understand their customers' shopping/patronage behaviour and the ways to retain valued customers, we propose data mining techniques. Using the examples of franchised supermarkets in the south-eastern United States, this paper illustrates the usefulness of the proposed data mining techniques for examining customer grocery shopping behaviour and developing the profiles of loyal patrons.     

Correlates of first‐brand loyalty

A mail survey of British supermarket customers shows that the factor most strongly associated with claimed brand loyalty is household income Brand loyal customers also claim to spend more, are more concerned about quality and less about price, are slightly more store loyal and make more use of large out‐of‐town stores Brand loyalty is also related to age; those aged under 25 years and 65 + years are less loyal

There is little difference between those who are primarily loyal to store brands and those who are primarily loyal to manufacturer brands, and there is little evidence that store patronage is raised by loyalty to store brands     

Implementation and Outcomes of Customer Value: A Dyadic Perspective

This study examines the concept of customer value based on the views shared by service firms and their consumers. Using qualitative and quantitative approaches, the study reveals customer satisfaction and retention as outcomes of front-line service employees' value delivery practices. Our results suggest that service employees' efforts to deliver customer value, even when based on a dyadic view, do not necessarily lead to customer retention. Rather, customers become more loyal when the value provided by service employees is matched by consumers' satisfaction. In other words, satisfaction is an important and necessary mediating variable between employees' efforts and customer retention.     

Look but Don’t Touch! The Impact of Active Interpersonal Haptic Blocking on Compensatory Touch and Purchase Behavior

This research investigates situations in which frontline employees deliberately restrict customers’ access to touch products on display (active interpersonal haptic blocking), and how this understudied form of sensory blocking may increase customers’ downstream purchasing. While previous research examines the benefits of increased product touch, we temporarily block touch for specific products in display areas and then investigate the subsequent impact on customer behavior. Through four studies, including a retail field experiment, we find that when an employee asks a customer not to touch a product on display, this initiates a serial mediation process which: (1) engenders feelings of psychological reactance that result in (2) increased compensatory touching of subsequently encountered products to counterbalance a loss of sensory freedom, and (3) increased spending and purchasing once the customer leaves the reactance-inducing encounter. Effects are moderated by socioeconomic status (SES) and need for touch (NFT) whereby psychological reactance was significantly stronger for high SES customers with a moderate or high NFT when actively blocked. Results also demonstrate that active interpersonal haptic blocking does not result in more negative attitudes toward retailers, thus retailers might consider implementing this counterintuitive practice to encourage downstream sales.     

The role of customer gratitude in making relationship marketing investments successful

This paper recognises that customer loyalty is important for many competitive organisations, and that retail firms make investments to build and maintain loyal relationships with their existing and potential customers (e.g. loyalty programs). However, there has been little focus on the mechanisms by which these relationship investments operate to achieve customer loyalty. This paper examines one mechanism, namely customer gratitude, which works to make a firm’s relationship marketing investment a success or a failure. Using data from 1600 undergraduate students, this study empirically confirms the mediating role of customer gratitude between the customers’ perceptions a firm’s relationship marketing investments and customers’ perceptions of the value of the relationship with the firm. Further, a significant moderating effect of perceived benevolence on the relationship between customers’ perceptions a firm’s relationship marketing investments and customer gratitude was identified. For theorists, this customer gratitude model offers a better psychological explanation of how relationship marketing investments operate to improve the value that customers place on their relationships with retailers. Our research suggests that managers should invest resources to stimulate customer gratitude in order to build strong customer–seller relationships.     

基于客户信任的忠诚形成机制研究

客户忠诚可以划分成客户对公司的忠诚和客户对员工的忠诚,这两种忠诚的形成机制是怎样的？哪些因素决定客户对谁忠诚？这两个问题是理论界和实务界普遍面临难题。文章从信任的角度考察了两种忠诚的形成机制,并基于我国销售企业和服务性企业进行了实证分析。研究结果表明：客户对公司的信任可以导致客户对公司的忠诚;客户对员工的信任可以直接导致客户对员工的忠诚,并通过客户对员工的忠诚的中介作用,间接影响客户对公司的忠诚;企业可以通过信任来影响客户对谁忠诚。     

Mediating role of customer forgiveness between perceived justice and satisfaction

The relationship between perceived justice facets and satisfaction is well discussed in literature. The aim of this study is to test the mediating impact of customer forgiveness between justice facets and satisfaction in the context of Pakistan's banking industry. Structural equation modelling was employed to test the proposed hypotheses by using the data of 453 bank customers of domestic banks in Pakistan. Results of the study indicate that customer forgiveness mediates the relationship between justice facets and satisfaction. However, the direct impact of procedural justice on satisfaction was insignificant. Such findings have implications to theory and practice. In theory, it proposes and tests new linkages. In practice, managers need to consider that not only the justice facets but customer forgiveness is also an important predictor of satisfaction.     

The influence of customer loyalty on small island economies: an empirical and exploratory study

There is growing consensus that companies' long-term success is reliant on building and sustaining strong customer relationships. This study explores the antecedents of loyalty in business to business (B2Bs) using Guernsey's telecommunication industry as a case study. It examines how these influence customer loyalty orientation and factors that help service providers improve loyalty rates. Extant literature pays little attention to the antecedents of loyalty in small island economies. Prior research focuses on cultural, environmental and macro-economic issues. Drawing on Dick and Basu's (Customer loyalty: Toward an integrated conceptual framework. Journal of the Academy of Marketing Science, 22(Spring), 99–113, 1994) loyalty model, this research explores loyalty antecedents that are cognisant of distinct market conditions that can impact customer loyalty within the telecommunications sector of a small island economy. It seeks to advance understanding of loyalty in B2B relationships in this context and identify factors that contribute towards converting passively loyal customers to being actively loyal customers.