Co-creating service recovery after service failure: The role of brand equity
Simon Hazée,
Yves Van Vaerenbergh and
Vincent Armirotto
Journal of Business Research, 2017, vol. 74, issue C, 101-109
Abstract:
Co-creating service recovery with customers has recently appeared as a new perspective in service research. Prior research demonstrates the effectiveness of co-created recovery strategies in driving customer outcomes, and outlines when co-creating a service recovery is recommended. This paper complements prior research not only by demonstrating the mediating role of outcome favorability in the relationship between co-created service recovery and customer outcomes, but also by showing whether organizations with different levels of brand equity benefit equally from co-creating service recovery with their customers. The results of two experiments show that co-creating a service recovery makes customers believe they received the most favorable solution for the service failure, which in turn influences satisfaction with service recovery and repurchase intentions. In addition, co-creating a service recovery is recommended for organizations with low levels of brand equity, but not for organizations with high levels of brand equity.
Keywords: Service failure; Service recovery; Customer satisfaction; Co-creation; Brand equity (search for similar items in EconPapers)
Date: 2017
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Citations: View citations in EconPapers (34)
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Persistent link: https://EconPapers.repec.org/RePEc:eee:jbrese:v:74:y:2017:i:c:p:101-109
DOI: 10.1016/j.jbusres.2017.01.014
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