The impact of positive and negative emotions on loyalty intentions and their interactions with customer equity drivers |
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| Institution: | 1. Marketing Division, Leeds University Business School, University of Leeds, Maurice Keyworth Building, Moorland Road, LS2 9JT, United Kingdom;2. Department of Marketing, Faculty of Economics and Business, University of Groningen, P.O. Box 800, 9700 AV Groningen, The Netherlands;1. University of Portsmouth, Department of Marketing and Sales, Portland Street, PO13DE, United Kingdom;2. University of Piemonte Orientale “A. Avogadro”, Department of Economics and Business, Via Perrone 18, 28100 Novara, Italy;1. University of Vienna, Faculty of Business, Economics and Statistics, Department of International Marketing, Oskar-Morgenstern-Platz 1, 1090 Vienna, Austria;2. School of Economics and Business, University of Sarajevo, Trg oslobo?enja 1, 71000 Sarajevo, Bosnia and Herzegovina;3. Warwick Business School, University of Warwick, Coventry, West Midlands CV4 7AL, United Kingdom;4. Loughborough University, School of Business and Economics, Loughborough LE11 3TU, UK;1. Lappeenranta University of Technology School of Business and Management, P.O. Box 20, FI-53851 Lappeenranta, Finland;2. Aalto University, Runeberginkatu 22, FI-00100 Helsinki, Finland;1. Marketing Department, University of Ljubljana, Kardeljeva plo??ad 17, 1000 Ljubljana, Slovenia;2. Department of International Marketing, University of Vienna, Oskar-Morgenstern-Platz 1, 1090 Vienna, Austria;3. Department of Applied Psychology: Work, Education, Economy, University of Vienna, Universitätsstraße 7 (NIG), 1010 Vienna, Austria |
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| Abstract: | Customer equity drivers (CEDs) include value, brand, and relationship equity, which have a strong link with loyalty intentions. This study aims to examine the incremental effects of positive and negative emotions on loyalty intentions and to determine whether these emotions moderate the positive link between CEDs and loyalty intentions. We use customer data with 102 leading firms across eighteen services industries in the Netherlands. The results show that (1) positive and negative emotions have incremental effects on loyalty intentions, (2) positive emotions weaken the positive link (negative interaction), and (3) negative emotions strengthen the positive link, but only for brand and relationship equity (positive interaction). Thus, positive and negative emotions also explain loyalty intentions. However, managers should be cautious when combining CEDs with positive and negative emotions. We provide a strategic matrix to help managers arrive at effective combinations. |
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