The Effects of Service Failure and Service Recovery on Consumers' Post-recovery Behaviors (original) (raw)
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Consumer attitude towards service failure and recovery in higher education
Quality Assurance in Education, 2015
Purpose -This paper aims to explore consumer attitude towards service failure and recovery in the higher education in general and with respect to teaching, examination, library, computer lab, administration and infrastructure in particular. Design/methodology/approach -The data are collected from 120 students of three undergraduate colleges of University of Jammu using purposive sampling. Findings -The findings reveal that all recovery efforts pertaining to teaching, examination, library, computer lab, administration and infrastructure are significant in overcoming the respective service failures.
2004
This study proposed and tested a theoretical model of service recovery consisting of antecedents and consequences of service recovery satisfaction. This study further tested recovery paradox effects and investigated the effects of situational and attributional factors in the evaluation of service recovery efforts and consequent overall satisfaction and behavioral intentions. The study employed scenario experimentation with three dimensions of justice manipulated at two levels each (2x2x2 between-groups factorial design). Postage paid, self-addressed envelopes and questionnaires (600 copies) were distributed. Participants represented 15 religious and community service groups. All respondents were regular casual restaurant customers. Of 308 surveys returned, 286 cases were used for data analysis. In study 1, the proposed relationships were tested using the structural equation modeling. In study 2, multivariate analysis of variance and multivariate analysis of covariance tests were employed to test proposed hypotheses. The three dimensions of justice had positive effects on recovery satisfaction. Recovery satisfaction had a significant positive effect on customers' trust. Trust in service providers had positive effect on commitment and overall satisfaction. Commitment had positive effects on overall satisfaction and behavioral intentions. This study indicated that, although a service failure might negatively affect customers' relationship with the service provider, effective service recovery reinforced attitudinal and behavioral outcomes. The results of this study emphasized that service recovery efforts should be viewed not only as a strategy to recover customers' immediate ii satisfaction but also as a relationship tool to provide customers confidence that ongoing relationships are beneficial to them. This study did not find recovery paradox in the experimental scenarios. The magnitude of service failure had significant negative effects on perceived justice and recovery satisfaction. Customers' rating of stability causation had significant negative effects on overall satisfaction, revisit intention, and word-of-mouth intention. The study findings indicated that positive recovery efforts could reinstate customers' satisfaction and behavioral intentions up to those of pre-failure. Restaurant managers and their employees need to provide extra efforts to restore the customers' perceived losses in serious failure situations. Service providers should reduce systematic occurrences of service failure so customer will not develop stability perception.
Service recovery: Literature review and research issues
Journal of Service Science Research
Service recovery has attracted serious research attention in the recent past. Purpose of this paper is to review service recovery research, classify research articles according to their approaches and methodologies, and find the gaps in the literature for better service recovery research. A total of 280 articles from 70 refereed journals and international conferences are classified into nine categories, service failure, customer relationship, customer overall satisfaction, customer behavioral intentions, recovery choices, service recovery paradox, best practices, performance measurement, and literature survey. Research methodologies are classified into conceptual, empirical, descriptive, exploratory cross-sectional and exploratory longitudinal approaches. This study finds lacks in complaint management and recovery processes. This paper could be helpful for business managers to understand the state of mind after a service failure and to capitalize the situation to retain business.
2014
Service failures seem to be inevitable given the heterogeneous nature of services. In many cases, it is the service recovery efforts performed by service providers after a service failure that affect customer satisfaction. A model is proposed that considers the impact of service failures and service recovery efforts on customer satisfaction within restaurants. The findings indicate that while the severity of the service failure does not impact the preference for recovery efforts, recovery efforts do impact customer satisfaction. In addition, an analysis of various demographic factors suggests that gender plays a role in these variables.
Impact of Service Recovery on Word-of-mouth and Behavioural
2015
Service recovery process is considered to provide the service provider with a second chance to reinforce relationships with the customers. It is considered the second encounter by several authors. Prudently, a successful service recovery should have a positive impact on the satisfaction of customers. However one may argue that a successful service recovery process may not always lead to satisfaction on the part of the customers. The customer may not want to continue purchases from the store after such service failure. This study was conducted on the recovery efforts undertaken by retail stores reveals that successful service recovery has a very low effect on overall satisfaction of the firm, which in turn has high influence on word-of-mouth intents and purchase intention of the customer. Key-Words: Service encounter, Service recovery, Satisfaction, Word-of-mouth, Purchase intents, SEM.
Service Recovery and Post Purchase Behavior: an Experimental Study
Keeping customers satisfied has been the basis of doing business. In the specific, an industry must be seen not as a goods producing process, but as a customer-satisfying process. The aim of this research is to investigate how service recovery strategies influence customer service recovery expectations. This study also develops a model which posits a simultaneous relationship among service recovery expectation, customer satisfaction, customer loyalty, and favorable word-of-mouth. Service scenario scripts were developed to depict service recovery expectations in an airline setting. The scripts, which varied in terms of level of (a) apology, (b) compensation and (c) explanation, were presented to 160 respondents. The findings of this study show no significant main effects of apology, compensation, and explanation on service recovery expectations. However, the interaction between explanation and compensation and the interaction between apology and compensation were observed. In relating with relationship among variables, this study supports the relationship between customer satisfaction, customer loyalty, and favorable word-of-mouth. However, a non-significant relationship between service recovery expectations and customer satisfaction was found. The paper provides an analysis of the data, a discussion of the findings and offers directions for future research.
The Role of Service Recovery in Retaining of Customers
2014
This paper provides a critical analysis of the literature on customer satisfaction, service failure, and service recovery paradox effects in the field of hospitality and identifies a conceptual model of satisfaction, service failure, and service recovery.
This pilot study investigates the relationships between justice oriented service recovery (distributive justice, procedural justice, and interactional justice) and recovery satisfaction. Questionnaires were distributed to 160 respondents who experienced service failure and recovery in full-service casual restaurant in Malaysia within the past one year. Out of 160 questionnaires, only 114 were usable for further data analysis. The findings of the research reveals a significant relationship between justice oriented service recovery and recovery satisfaction. Interestingly, the impact of procedural justice on post-recovery satisfaction appears to be stronger than distributive justice and interactional justice. The implication and suggestion for future service recovery research are then discussed in this paper.
An experimental investigation of customer reactions to service failure and recovery encounters
Journal of Service Research, 1998
University. Her research is in the areas of customer assessments of services, customer satisfaction and retention, service failure and recovery, and customer-service provider relationships. Ruth N. Bolton is Associate Professor of Marketing and the Harvey Sanders Professor of Retailing and Services Marketing at the Maryland Business School, University of Maryland. Her current research focuses on how organizations can grow the value of their customer base by improving service and increasing customer satisfaction. She received her B.Comm. (Hon.) from Queen's University at Kingston, and M.Letters and other leading journals. Abstract Service failure and recovery encounters represent critical •moments of truth• in a service organization's relationship with its customers. Despite a substantial amount of •lip service• given to the importance of service recovery and the dramatic effect that service failures and failed recoveries can have on a firm's ability to satisfy and keep customers, few empirical studies have addressed the influence of service failure/recovery encounters on customers' overall assessments of a service organization. Furthermore, most of the research in this area has been exploratory and non-generalizable. This study develops a simple model which addresses the following questions: (1) How does a customer's satisfaction with a service failure and recovery encounter affect his/her cumulative satisfaction judgments and repatronage intentions? (2) To what extent do a customer's prior assessments of overall satisfaction and repatronage intentions formed before the service failure and recovery encounter ''carry over'' to influence his/her subsequent overall satisfaction and repatronage intentions? (3) Can a highly satisfying service failure and recovery encounter enhance a customer's overall satisfaction with a service organization and increase his/her repatronage intentions? The model is operationalized with data from two experiments conducted in different service settings (restaurants and hotels) in which actual customers experienced a hypothetical service failure and recovery encounter at an organization they had recently patronized.