The impact of website quality on customer satisfaction and purchase intentions: Evidence from Chinese online visitors

With the increasing popularity of online shopping and being the most populated country in the world, China is one of the major online markets now and is likely to become the largest market in the future. In the academic literature, website quality has generally been recognized as a critical step to drive business online. As such, numerous studies have been devoted to website quality and evaluations. Research efforts are, however, in need of understanding the use of websites in regards to online customers’ behavior, especially Chinese customers. This study developed and empirically tested a conceptual model of the impact of website quality on customer satisfaction and purchase intentions. Results indicated that website quality has a direct and positive impact on customer satisfaction, and that customer satisfaction has a direct and positive impact on purchase intentions. While the influence of website quality on purchase intentions exists, customer satisfaction does significantly mediate this effect. Drawing on the empirical findings, managerial implications and recommendations for future research are offered.     

The role of customer behavior in forming perceived value at restaurants: A multidimensional approach

With the increasing involvement of customers at restaurants, their behaviors have become an indispensable part in formation of perceptions of value. To examine such a subtle and complicated process, this study applies a multi-layer/multi-dimension approach to examine how customer behavior predicts perceived value, which in turn leads to satisfaction. Particularly, customer behavior, assessed with a hierarchical framework, includes two dimensions: participation behavior (with four sub-dimensions: information seeking, information sharing, responsible behavior, personal interaction) and citizenship behavior (with four sub-dimensions: feedback, advocacy, helping, and tolerance). Customer perceived value consists of three dimensions: economic, individual, and relational values. Data collected from 514 respondents reflect those with dining experience at restaurants. The results show that a customer’s perception of value gains greater impact from citizenship behavior than participation behavior. The findings of the study contribute to the evolving knowledge of customer behavior and offer industry practitioners’ effective marketing strategies to maximize customer value.     

Antecedents of mandatory customer participation in service encounters: An empirical study

The literature on service quality and customer loyalty has long focused on enhancing the work of service providers. This study examined “the other side of the coin” in service co-production or value co-creation in service encounters by investigating how service providers might take a proactive approach to building relationships based on mandatory customer participation (MCP). The research evaluated how such antecedents as role clarity, self-efficacy, purchase importance, and servicescape could influence MCP. Path analysis revealed that these four factors significantly influenced different dimensions of MCP; which in turn had a significant impact on customer loyalty. Using these insights, managers could develop a strategic approach to managing customer roles in the service delivery process. This study adds to the body of knowledge on service quality by demonstrating empirically the determinants and structure of MCP and their relationships with customer loyalty in service co-production processes in a hospitality setting.     

The signaling and reputational effects of customer ratings on hotel revenues: Evidence from TripAdvisor

This study aims to examine whether customer ratings and online reviews affect hotel revenues, and if so, to quantify the effects. To achieve this objective, we articulate the mechanisms grounded on reputation theories whereby customer ratings exercise the influence on hotel performance through reputational and signaling effects. Using customer rating data from TripAdvisor and hotel revenue data from Texas, we estimate fixed effects regressions and adopt a regression discontinuity design to separate the signaling effect of customer ratings from reputational effect. We found that the signaling effect of a 1-star increase is an increase of 2.2–3.0% in hotel monthly revenues whereas the reputational effect of a 1-star increase is an increase of around 1.5–2.3% in hotel monthly revenues. Our findings are robust across alternative model specifications and provide insightful implications for hotels to manage their customer ratings.     

The influence of guarantees,active requests to voice and failure severity on customer complaint behavior

Anecdotal evidence suggests that service guarantees and requests by service workers to complain encourage customers to voice following failure, while holding negative word of mouth and exit at bay. However, empirical support for these tactics is limited. To address this deficiency, we conducted an experiment examining the influence of these devices on customer complaint behavior (CCB) across restaurant failures of varying severity. Findings suggest that offering a guarantee, regardless of it being unconditional or combined, encourages voice. Failure severity had the strongest influence on CCB, and it interacted with both active request and guarantee type in influencing exit. Theoretical and managerial implications of the findings are discussed.     

The effect of atmosphere on customer engagement in upscale hotels: An application of S-O-R paradigm

Research suggests that atmosphere plays an important role in creating emotional connections between a hotel customer and the hotel and that these connections lead to improved customer satisfaction and customer engagement. The purpose of this research is to identify some of the atmosphere elements within a hotel that might enable customers to better engage with the hotel. A structural equation model (SEM) was employed to test the relationships. Social and room design were found to be significant antecedents to customer satisfaction. The research also found that while satisfied customers were more likely to promote the hotel to others through WOM behavior, they had fewer suggestions for improvement. Theoretical and practical implications are discussed as well.     

Effect of customer orientation and entrepreneurial orientation on innovativeness: Evidence from the hotel industry in Switzerland

While researchers have explored the relationship between customer orientation, entrepreneurship and innovativeness with business performance in different organizations, few such studies exist on the hotel industry. This current work investigates the potential influences of these variables on hotel industry performance. Data for this study was collected through personal questionnaires collected from 156 hotel managers and owners from German and French speaking cantons located in Switzerland in order to examine the interrelation between innovativeness, customer orientation, entrepreneurship and service business performance dimensions (i.e., profit goal achievement, sales goal achievement and ROI achievement). The findings support aspects of prior research, but also provide some new insights by exploring customer orientation and innovativeness simultaneously and revealing how these factors impact upon the performance of the Swiss hotel industry. In the light of existing literature, limitations and future research directions are subsequently addressed.     

The effects of tipping policies on customer satisfaction: A test from the cruise industry

Many in the media have called for the abolition of the practice of tipping and at least some resorts, private clubs, hotels, and restaurants have replaced tipping with automatic service charges or service inclusive pricing. Particularly notable in this regard is the cruise industry, where several of the largest brands have switched to an automatic service charge system. Given the popularity of tipping and its perceived role as an incentive/reward for service, such moves to replace tipping with service charges seem likely to have negative effects on customer satisfaction. We test this expectation by examining the effects of Carnival Cruise Line's tipping policy change in the early 2000s on its customers’ evaluations of their cruise experience. After controlling for the effect of ship and review date, we found that Carnival Cruise Line's guests rated their cruise more positively when they sailed under a voluntary-tipping policy than when automatic service charges were added to their onboard bills. However, this effect was small and need not deter firms from replacing voluntary tipping with service charges. Discussion of this finding focuses on ways services marketers might be able to mitigate this modest negative effect of service charges.     

Not all words are beneficial: The impact of management response contents on customer engagement behavior

Online reviews play an important role in motivating hotels to enhance customer engagement through appropriate management responses. However, the impact of management responses on customer engagement remains unclear. With data from hotel reviews and management responses, this study demonstrates that customer engagement is significantly reduced when causal explanations and certain words are included in management responses, as indicated by the number of future reviews. We also observe that the negative influence of causal explanations can be alleviated when management responses contain uncertain words. Furthermore, management responses which include positive-emotional words attenuate the negative impact of causal explanations. However, no significant effect is found when negative-emotional words are used in management responses. These findings can help managers develop effective response strategies to facilitate customer engagement behavior.     

Negative affect,deep acting,and customer compensation as responses to customer mistreatment: The effect of customer-based perspective-taking

Customer service employees often deal with customer mistreatment, eliciting negative affect, which subsequently influences service performance. Using affective events theory (Weiss & Cropanzano, 1996) as the theoretical framework, perspective taking was examined as an intervention to influence negative affect elicited from customer mistreatment in two experiments. Study 1 examined and found that customer perspective taking led to less negative affect, and subsequently more customer compensation and more deep acting through serial mediation effects. Study 2 tested the moderating effect of the service failure locus of causality (i.e., hotel or customer). The most important theoretical contribution is understanding how having employees shift the focus away from their own emotions, towards why a customer is being rude or difficult, influences deep acting and customer compensation via reduced negative affect. This paper provides a promising intervention and training tool that hospitality organizations can use to influence employee service recovery strategies and customer service.     

Zero price effect on hotel demand: Evidence from a discrete choice experiment

A Choice Experiment is employed to analyze the effect of a free night promotion on hotel demand in the setting of a relatively underdeveloped area in China. Results from Error Components models show evidence in favor of a non-rational “zero price effect” (ZPE): with total price and all other aspects equal, people tend to choose the hotel which offers one free night. In addition, free pricing is shown to have stronger effects in diverting preferences than a trivial price (1 RMB). However, it is not the only successful psychological pricing strategy; its effects do not significantly differ from those of a materially equivalent discount. Building upon recent methodological innovations using Choice Experiments to study pricing strategy, this paper is the first to extend the technique to study the ceteris paribus ZPE. Our findings can help hotels make use of the ZPE to attract consumers.     

Linking AI quality performance and customer engagement: The moderating effect of AI preference

Drawing upon affordance theory, this study positions artificial intelligence (AI) as a commercial service in examining its influence on customer engagement in the hotel context. In particular, we seek to understand linkages between customer perceptions of AI service quality, AI customer satisfaction and engagement. Given the multiplicity of services offered by service organisations, customers’ preference for AI service is modelled as a moderator of customer perceptions and attitudes towards AI. Data was collected from a sample of hotel customers in Australia who had previously used AI tools or services. Our results reveal a significant chain effect between AI service indicators, service quality perceptions, AI satisfaction and customer engagement. AI preference has a significant moderation effect on information quality and satisfaction. These findings provide new insights into the consumer services literature and have important implications for marketing practitioners.     

Understanding customer behavior in name-brand Korean coffee shops: The role of self-congruity and functional congruity

During the past decade, an increasing number of coffee-shop customers in Korea prefer to patronize name-brand coffee shops. This study applied image congruity theory to explain the Korean preference phenomena. The authors investigated the impacts of image congruities (self-congruity and functional congruity) on customer attitude and repurchase intention, and identified the moderating effect of prior visit experience. The survey sample is 401 customers who visited the 13 name-brand coffee shops in the city of Seoul's Myeong-dong commercial district. Structural Equation Modeling was used to test the validity of the conceptual model. The results revealed that both self-congruity and functional congruity are the antecedents of customer attitude and repurchase intention. Furthermore, functional congruity has more impact on customer attitude among experienced customers than among those with less visit experience. The marketers of name-brand coffee shops in Korea are advised to design the strategies of brand positioning and marketing segmentation from a new angle. Further studies can be further conducted among customers in boarder geographical areas, including small cities and rural areas in Korea.     

Environmental consciousness and green customer behavior: An examination of motivation crowding effect

The motivation crowding effect suggests that external money intervention weakens intrinsic motivation. The purpose of this study is to examine whether the motivation crowding effect occurs during the process where consumers try to be environmentally friendly. Thus, this study will first investigate the effect of environmental protection consciousness on green customer behavior, and then investigate the effect that incentive mechanisms have on environmental protection consciousness and green customer behavior. 458 hotel guests are used as research subjects. The results show that environmental protection consciousness positively affects green consumer behavior. Cash discount incentives have no effect on the choice of hotel guests to reuse their bed sheet or towels; on the contrary, environmental protective alternatives are great incentives for hotel guests to maintain environmentally friendly behavior. Regarding the demographics of hotels guests, female and younger guests are more inclined to be environmentally friendly. The contribution of this paper is proof of the existence of motivation crowding through an empirical analysis of hotel guests, which enlightens the hospitality industry on how to introduce environmentally friendly strategies in order to respond to motivation crowding.     

Disentangling green service innovative behavior among hospitality employees: The role of customer green involvement

Regardless of the role of customers in co-creating value with organizations, how customer involvement drives employees, particularly in the hospitality industry, to engage in green service innovative endeavors has been scarcely examined. This study seeks to uncover how and when customer green involvement nurtures green service innovative behavior among hotel employees. The dataset was formed from the responses from 519 employees and 84 managers working in Vietnam-based hotels and analyzed via multilevel structural equation modeling. The results demonstrated the role of hotel employees’ green information management motivations (i.e., green information proactiveness, transparency, and formality) in mediating the positive relationship between customer green involvement and employee green service innovative behavior. Internal green marketing orientation functioned as an enhancer for the effects of customer green involvement on green information management motivations. This research contributes to the stream of green behavior research by bringing together customer green involvement and green service innovative behavior in the hospitality literature and unraveling the mechanisms behind their relationship.     

The importance of urban milieu in predicting recreation participation: The case of day hiking

Abstract

Numerous outdoor recreation forecasting studies have included household characteristics as well as aspects of the recreation facilities and accessibility. Only a few studies, however, have included in the prediction equation any measure of the effects of urban milieu on behavior. Four commonly cited surrogates of urban milieu are used to cluster the cities of Illinois into three relatively homogeneous groups of environments. Regression analyses are then undertaken using individual household data, aspects of the recreation facilities patronized by the households, participation, and distance and travel time estimates. Comparisons of the regression analyses indicate that, as a concept, milieu is an important predictor of both the volume of recreation participation and salient features of recreation facilities.     

The effect of dynamic integrated resort experience on Croatian customer behavior

This paper aims to gain knowledge on customers’ experience toward integrated resorts in Croatia. Customer perception toward integrated resorts was collected via face‐to‐face survey. The multidimensional experiential values and behaviors of 354 customers were studied. The data were analyzed using structural equation modeling. Croatian customers are engaged with the integrated resort experience. This engagement influences their satisfaction and behavioral intention. Specifically, customers with high playfulness and service expectations tend to engage positive behavioral intention toward the integrated resort brand. This paper offers the first insight into the relationship between experiential value and behavioral intention in the integrated resort setting.     

The effect of relational benefits on perceived value in relation to customer loyalty: An empirical study in the Australian coffee outlets industry

Retaining and cultivating customer loyalty has become increasingly important for coffee outlet marketers and operators due to the highly competitive environment. This study aims to develop and test a model investigating how relational benefits enhance perceived value to win customer loyalty. Using a self-administered questionnaire survey, 949 respondents from coffee outlets were used for this study. The findings show that relational benefits have direct effect on perceived value and customer loyalty. In addition, relational benefits also have indirect effect on loyalty via perceived value. Finally, perceived value positively influenced customer loyalty. The findings suggest that coffee outlet operators with a better understanding of their customers’ perceptions, and help them in developing competitive strategies that differentiate themselves from competitors and win customer loyalty in an aggressive market.     

Testing the sufficiency of the theory of planned behavior: a case of customer dissatisfaction responses in restaurants

This study tested the sufficiency of both the Theory of Planned Behavior (TPB) and the extended TPB models by adding the variable of past behavior. In addition, the present study examined the mediating role of the TPB variables on the relationships between past behavior and customers’ intentions to engage in different types of dissatisfaction responses (i.e., voice, negative word-of-mouth communication, and exit). Results of the study demonstrated the strong predictive power of the original TPB mode but the inclusion of past behavior did not significantly improve the predictability of the three dissatisfaction response intentions. Furthermore, the mediating analyses indicated that the influence of past behavior was mediated by TPB variables. In the contexts of negative word-of-mouth communication, the effect of past behavior on intention was mediated by attitude. Meanwhile, both subjective norm and perceived behavioral control mediated the relationship between past behavior and the intention to engage in voice behavior.     

Measuring delightful customer experiences: The validation and testing of a customer delight scale along with its antecedents and effects

The construct of customer delight has captured the attention of scholars and managers alike. Nevertheless, its definition and measurement vary across scholarly literature and several quantitative scales were developed before extensive qualitative research on customer delight, which provided further clarification on the nature of this construct, was even conducted. Consequently, the present research draws upon the conceptual and qualitative work in the field to validate a survey instrument in order to measure customer delight. The authors collected data in four major service industries—hotel, restaurant, retail, and theme park. Following the five-stage scale development and validation approach, the researchers then refined a customer delight scale. The scale was found to have appropriate levels of validity and reliability. Finally, the authors proposed and tested the antecedents and consequences of customer delight using structural equation modelling. The proposed scale allows managers to measure the incidence of customer delight in their organizations.