Employee encouragement of self-disclosure in the service encounter and its impact on customer satisfaction

In the service encounter, the employee must often encourage customer self-disclosure (i.e., revealing of personal information) to be able to match the customer's needs with what the firm has to offer. This study uses an experimental approach to manipulate employee encouragement of self-disclosure (low vs. high) to explore its impact on the customer. It was found that encouraging self-disclosure enhanced customer perceptions of customization, employee effort, own effort, privacy concerns, and employee humanness, and that these responses influenced customer satisfaction. In addition, because many firms are beginning to replace human employees with various forms of virtual agents (and it has been argued that we humans may find it less threatening to self-disclose to such agents), the identity of the employee (virtual agent vs. human employee) was manipulated, too. The identity factor, however, did not influence customers' responses.     

The happy virtual agent and its impact on the human customer in the service encounter

Few existing virtual agents (VAs) that customers interact with in service encounters can experience emotions, but they can be (and often are) designed so that they appear to have this capability. The purpose of this study was to assess VAs' display of happiness in service encounters when the only means they have to express themselves is the text that they transmit. Linguistic elements that influence the perceived happiness of a (human) sender of text messages were identified in a pilot study, and they were used to manipulate VA display of happiness in two experiments. In addition, a field study was carried out to capitalize on customers’ existing experience of service encounters with VAs in bona fide commercial settings. The experiments showed that VA text manipulated to signal VA happiness boosts overall VA evaluations, and the field study showed that perceived VA happiness is positively associated with overall VA evaluations. Taken together, the findings indicate that we humans are so hardwired for interactions with other humans that we react to VA display of happiness in ways that resemble our reactions when we are exposed to happy humans. The findings also provide designers of VAs and service marketers with a set of easily implemented linguistic elements that can be employed to make VAs appear happy in service encounters.     

Airline customer satisfaction and loyalty: impact of in-flight service quality

The purpose of this study was to investigate the impact of the in-flight service quality on airline customer satisfaction and loyalty. This study analyzed the data from passengers of two classes: prestige (business) and economy. The results suggest that there are different factors of in-flight service quality that are important according to the customer seat class. In the case of the prestige class, there were six service quality factors of importance: alcoholic and non-alcoholic beverage, responsiveness and empathy, reliability, assurance, presentation style of food, and food quality; while the economy class showed five important service quality factors: responsiveness and empathy, food quality, alcoholic beverage, non-alcoholic beverage, and reliability. These findings imply that airline companies’ in-flight service should have different delivery strategies based on the customer seat class.     

Employee versus supervisor ratings of performance in the retail customer service sector: Differences in predictive validity for customer outcomes

Based on data from Maxham and Netemeyer [Maxham, J. G. and R. G. Netemeyer (2003). “Firms Reap What They Sow: The Effects of Employee Shared Values and Perceived Organizational Justice on Customer Evaluations of Complaint Handling,” Journal of Marketing, 67, 46-62], the authors present two field samples to examine predictive validity differences of service employee ratings of their performance versus supervisor ratings of employee performance with respect to customer satisfaction and customer likelihood of spreading positive word-of-mouth (WOM) after a service recovery attempt. The results generally show that supervisor ratings are more strongly positively related to customer satisfaction and WOM than are employee ratings of their own performances. The results also show that both supervisor ratings and employee ratings are related to customer satisfaction and WOM in a curvilinear fashion (as well as linear fashion). Employee extra-role performances (toward customers and the firm) show increasing returns at the higher levels of performance, and employee in-role customer performance generally shows a decreasing return at the higher level of customer in-role performance.These results suggest two managerial implications. First, supervisor ratings of customer service employee performances may be the preferred form of measurement for predicting customer outcomes. Second, maximizing in-role performance inputs may have decreasing returns for customer evaluations in the service recovery context; but maximizing extra-role performance inputs may actually “delight” customers, i.e., increasing returns for customer evaluations.     

Merely asking the customer to recommend has an impact on word-of-mouth activity

This paper examines if a mere request to a customer – within the frame of a service encounter – to engage in word-of-mouth (WOM) would have an impact on the customer's subsequent WOM activity. Although previous studies have not examined this issue, theoretical arguments do exist. And they point in different directions; some suggest a positive impact, while others suggest a negative impact. To explore the issue empirically, we carried out two studies (one survey-based study and one experiment). Both generated the same result: they indicate that merely asking customers to engage in WOM has a positive impact on customers' WOM activity. In addition, we found that receiving the request was not negatively associated with the customers' overall evaluations, such as customer satisfaction, which indicates that the potential for negative consequences of making the request seems to be low.     

Emotional labor in a non-isolated service encounter - The impact of customer observation on perceived authenticity and perceived fairness

Emotional labor is a frequently discussed topic in the service literature because of its varying effects on customers' evaluation processes. Previous research has primarily investigated the effects of emotional labor from an employee-customer perspective. This article considers customer copresence and argues that the observed interaction between an employee and another customer affects the focal customer's evaluation process. An extended customer-employee-customer model is presented and empirically tested in a pharmacy setting. The findings show that distinctive emotional labor affects customers' perceptions of authenticity and fairness. This study presents a more nuanced account of the effectiveness of emotional labor and provides managers with advice to enhance point-of-sale interactions.     

The impact of ethical cues on customer satisfaction with service

This study examines the effects of ethical and unethical cues on customers’ evaluations of the ethics of a service provider and their subsequent satisfaction with the service. The results of a disguised, laboratory experiment are used to suggest that customers respond to unethical cues in the environment through lower ethical assessments and satisfaction ratings, but that ethical cues may not necessarily increase satisfaction scores when compared to a neutral situation. The implications suggest that ethical cues and an honest service provider may be the expected norm, and thus will lead to (or maintain) satisfaction with the service encounter, while unethical cues will create dissatisfaction.     

Integration of standardization and customization: Impact on service quality,customer satisfaction,and loyalty

The basic objective of this study is to analyse the direct and indirect impacts of standardization and customization on customer satisfaction and loyalty through service quality. The service quality has two dimensions: technical quality and functional quality. A framework is developed by extending Grӧnroos’ model of service quality by including the antecedents of service quality. A questionnaire-based survey collected data from 315 customers of three service industries: healthcare, hospitality, and education. The data was analysed and the model validated using PLS-SEM. The findings show that: (1) integration of standardization and customization of service offerings is critical for improved service quality; (2) standardization has higher impact on service quality when compared to customization; (3) functional quality has higher impact on customer satisfaction when compared to technical quality; and (4) customer satisfaction has a significant effect on customer loyalty. The contribution of this study is the development of an integrated framework to analyse the roles of standardization and customization on service quality.     

Employee norm-violations in the service encounter during the corona pandemic and their impact on customer satisfaction

In this study, an experiment was used to examine the effects of employee norm-violations in the service encounter with respect to what was considered appropriate behavior (e.g., social distancing) during the 2020 corona pandemic. The participants were exposed to a grocery store employee whose behavior was manipulated (norm-violating vs. norm-confirming). Norm-violating behavior resulted in lower perceived employee warmth, lower perceived employee competence, higher disgust, and more dehumanization of the employee. These responses mediated the impact of employee behavior on customer satisfaction, so that satisfaction was attenuated when norms were violated. The mediators, however, typically also instill a hostile, avoidance-seeking mindset for those who are subject to norm-violations, which is likely to result in problems when transgressors are to be persuaded to change their behaviors.     

Investigating the impact of service line formats on satisfaction with waiting

In this paper, we examine whether the format of service lines affects customers’ satisfaction with their queuing experience. Using a goal-theoretic approach, and data from a series of experimental studies, we show that the duration of the wait moderates the psychological tradeoff between the initial queue length and its rate of movement, such that customers prefer a single line format for shorter waits but a multiple line format for longer waits. We also show that satisfaction declines with an increase in the number of stages in service lines. This adverse effect of multi-staging can be mitigated by using information devices as well as orienting customers away from local, stage-specific, sub-goals towards the overall goal of receiving service and exiting the system. We synthesize these findings about the psychophysics of queuing to generalize a model of satisfaction with waiting that accounts for the effect of service line formats and can represent customers’ utility functions in models of queuing systems.     

Jokes in the store and its effects on customer satisfaction

Abstract

This study assesses the impact of employee use of jokes embedded in face-to-face conversations with customers. Our main finding – derived from experiments in which employee use of jokes was manipulated – was that jokes reduced customer satisfaction. This reduction occurred regardless if jokes were related or unrelated to the employee’s overall message. Our results also indicate that the use of jokes had a negative impact on perceived message relevance, and that perceived relevance mediated the link between employee use of jokes and customer satisfaction. In addition, our results show that no joke usage vs. joke usage did not produce different emotional responses. This suggests that the impact of jokes on affect is attenuated when jokes are embedded in conversational content.     

Exploring the relationship of perceived automotive salesperson attributes, customer satisfaction and intentions to automotive service department patronage: The moderating role of customer gender

This study examines the relationship of perceived automotive salesperson attributes and customer satisfaction behavior in the purchase experience leading to the patronage of a service department in an automotive dealership. Logistic regression analyses indicate that gender moderates the relationship of the perceived salesperson attributes and customer satisfaction as well as intentions for service department patronage. The model distinguishes users from non-users of the service department and does this better for females than for males. Finally, the paper concludes with a discussion of the managerial implications and directions for future research.     

Short-term and long-term effects of touchpoints on customer perceptions

Recent literature highlights the importance of touchpoints, yet fails to test empirically their long-term effects on essential customer perceptions. This study assesses the short- and long-term impacts of different provider-controlled touchpoints on firm expertise, service reliability and service excellence. A random panel dataset of more than 2,000 customers over five years is used to test the proposed model. The results confirm that sales force and product are crucial for long-term customer perceptions, while the effect of consulting, tangibles and standardized contacts is weaker over time. The findings of this managerial-oriented study reveal how the effectiveness of touchpoints changes over time.     

A Meta-Analysis of Relationships Linking Employee Satisfaction to Customer Responses

The authors report a meta-analysis of relationships linking employee job satisfaction to customer satisfaction and perceived service quality in studies that correlate employee data with customer data. Overall, both relationships are positive and statistically and substantively significant. Moderator analyses show that service industry characteristics (relationship versus encounter, personal versus non-personal) and methodological characteristics (aggregated versus individual level of analysis, concurrent versus predictive survey) moderate these relationships. Estimation of a path analytic model using the aggregated data shows that customer-perceived service quality completely mediates the relationship between employee job satisfaction and customer satisfaction. Implications for research and practice are discussed.     

Understanding the user satisfaction and loyalty of customer service chatbots

The artificial intelligence (AI) chatbot is emerging as a significant corporate customer-facing application, potentially increasin customer service efficiency while reducing costs. However, little work has sought to assess the quality of service they provide consumers. This study applies the e-service quality by incorporating conversational AI quality to predict users' satisfaction and loyalty to customer service chatbots. The proposed model was empirically evaluated using survey data collected from 219 users responding about their perceptions of customer service chatbots. The findings indicate that AI chatbot service recovery quality and AI chatbot conversational quality significantly influence user satisfaction. On the other hand, core AI chatbot service quality and satisfaction significantly influenced chatbot user loyalty. This study contributes to researchers and practitioners by proposing and evaluating a more comprehensive chatbot e-service quality that combines both fundamental (core service and service recovery qualities) and human-like (conversational quality) aspects of e-service. The results are of value in devising future AI chatbot services and related strategies.     

Customer participation and citizenship behavioral influences on employee performance, satisfaction, commitment, and turnover intention

Despite increasing awareness of the importance of customer behaviors in service delivery, understanding consequences relating to employees receives little attention. Therefore, using data from a large electronic firm relating to customers, employees, and managers, this study examines the effects of customer participation and citizenship behavior on employee performance, satisfaction and commitment, as well as indirect effects on turnover intention. Furthermore, the study examines how similarity and likeability moderate the effects of customer participation and citizenship behavior on employee satisfaction. The study also includes a laboratory experiment and provides further support for causal direction. The article discusses marketing implications of the results.     

The interrelationships among service quality,customer satisfaction,and customer loyalty: Examination of the fast-food industry

The purpose of this study was to use customers’ perspectives to develop a conceptual model for improving service quality and enhancing customer satisfaction and loyalty. The 197 samples were selected from customers of leading fast food franchise enterprises in Taiwan. The research results indicate that service quality positively influences customer satisfaction and customer loyalty. Service quality positively influences customer loyalty through customer satisfaction. The research findings indicate that managers need to ensure they have efficient service quality to enhance customer satisfaction and customer loyalty levels.     

Understanding the psychological process underlying customer satisfaction and retention in a relational service

This paper reexamines the psychological process underlying the relationship between customer satisfaction and customer retention in a relational service context. It is based on a composite model of the attitude-behavior relation, which takes both attitude toward target and attitude toward behavior into account. Data were collected from a survey with a sample of 209 clients from a major credit counseling organization in the USA. Account data indicating those clients' actual retention behavior were matched with the survey data. A two-step structural equation modeling (SEM) procedure was employed to establish the construct validity and test the hypotheses. The results revealed that the effect of customer satisfaction on retention is mediated by the more proximal determinants of the actual retention behavior. Specifically, customer satisfaction has both direct and indirect effects on customers' attitudes toward remaining in the Debt Management Program (DMP), which is the proximal predictor of customer retention. In addition, satisfaction alone cannot guarantee customer retention. Customers' perceived behavioral control exerts direct effects on their intention to remain and retention.     

The effects of service quality,perceived value and trust in home delivery service personnel on customer satisfaction: Evidence from a developing country

The rapid growth of online purchasing in recent years has emphasized the accompanying role of home delivery service provided by delivery personnel in ensuring customer satisfaction. On-time delivery, better service, generating positive customer perceived value, and trust towards service providers are influential factors that contribute to customer satisfaction. The aim of the study was to investigate the effects of service quality of home delivery personnel and perceived value on customer satisfaction, with trust playing an intervening role. It was conducted in Dhaka, Bangladesh, a less developed country with a new but rapidly growing digital sector. Data was collected from 259 respondents who received home delivery service, using a structured questionnaire. The conceptual model was analysed using partial least square structural equation modelling (PLS-SEM) with SmartPLS tool. The findings revealed that service quality, customer perceived value, and trust influenced customer satisfaction. The relationship between service quality and customer satisfaction and the relationship between customer perceived value and satisfaction were both partially mediated by trust. The findings contribute to the development and validation of a trust-based satisfaction model by extending the SERVQUAL model to incorporate perceived value in the presence of trust, while complying with expectation disconfirmation theory This study provides insights for managers to develop reliability and build trust in their service delivery personnel.     

Sustainable growth for the self-employed in the retail industry based on customer equity,customer satisfaction,and loyalty

In Korea, traditional retail districts face a serious situation whereby businesses in downtown areas face collapsing as local population declines: resulting in a decrease in self-employed sales and a declining local economy. Traditional retailers use ambiguous accounting and are reluctant to use credit cards, and thus, the overall reliability of their customer data is low. This paper solves this problem by applying the concept of customer equity (CE). We conducted an empirical analysis through questionnaires to identify differences in CE between traditional and new retail formats. The questionnaire consisted of questions related to CE (value equity, brand equity, relation equity), satisfaction, loyalty, and demographic characteristics. CE and satisfaction were measured on a 5-point Likert scale. A total of 400 surveys were completed, resulting in 391 usable returns for analysis in this study. In the regression analysis between CE and customer satisfaction, both old and new retail firms showed statistically significant effects. In the traditional retail industry, value equity and brand equity were statistically significant, while relation equity were not.