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Signaling eco-certification: Implications for service coproduction and resource efficiency

Jie J. Zhang (School of Business Administration, University of Vermont, Burlington, Vermont, USA)
Nitin Joglekar (Department of Operations & Technology Management, School of Management, Boston University, Boston, Massachusetts, USA)
Rohit Verma (School of Hotel Administration, Cornell University, Ithaca, New York, USA)

Journal of Service Management

ISSN: 1757-5818

Article publication date: 12 August 2014

1268

Abstract

Purpose –

The purpose of this paper is to use an eco-friendly service concept framework to demonstrate the effect of credible eco-certification signaling.

Design/methodology/approach

The authors examine a cross-sectional data set consisting of 2,481 hotel sites across the US. The authors measure the performance of the operations component of eco-friendly service by operations-driven resource efficiency (ODF), and the performance of the marketing component by customer-driven resource efficiency (CDF). A series of multivariate regressions compare these two resource efficiency measures between credibly eco-certified hotel sites and others.

Findings

The results indicate that credible eco-certifications achieve the signaling effect. Eco-certified hotels outperform others in both ODF and CDF measures; and eco-certified hotels still achieve higher CDF after controlling for ODF.

Practical implications

The findings suggest that eco-friendly service design requires not only eco-friendly operations but also a built-in credible signaling mechanism. This mechanism engages the customers in eco-friendly service coproduction and in doing so integrates the operations and marketing components of eco-friendly service strategy through eco-certifications.

Originality/value

This study is among the first to demonstrate empirically the signaling effect of credible eco-certifications in services. It increases understanding of eco-friendly service design and delivery by exploring the role of credible eco-certifications in linking customer benefits with the service organization's strategic intent.

Keywords

Acknowledgements

The authors wish to sincerely thank the Cornell Center for Hospitality Research and PKF-HR for their data support and industry insights, as well as two anonymous reviewers for providing helpful suggestions for improving the paper.

Citation

J. Zhang, J., Joglekar, N. and Verma, R. (2014), "Signaling eco-certification: Implications for service coproduction and resource efficiency", Journal of Service Management, Vol. 25 No. 4, pp. 494-511. https://doi.org/10.1108/JOSM-01-2014-0035

Publisher

:

Emerald Group Publishing Limited

Copyright © 2014, Emerald Group Publishing Limited

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