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This study aims to investigate the impact of customers’ delight on the likelihood of frontline employees (FLEs) receiving expressions of gratitude from customers, as well as the subsequent effects on their customer-focused and coworker-focused behaviors. Additionally, it examines how customer orientation moderates the relationship between FLE’s likelihood of receiving customer gratitude expressions and their performance behaviors.

The study used a sample from a Canadian retailer specializing in the sale of artistic and creative materials for artists, crafters and hobbyists. Longitudinal data was collected through a survey administered to frontline employees, unit managers and customers, spanning 7 assessment waves over a 12-month period. In total, the data set comprised 1,609 individual observations and 3,533 customers nested within 35 business units. The hypotheses were tested by using a multilevel longitudinal modeling approach.

This research has yielded important insights. First, significant relationships emerged between enhanced customers’ delight and an increased likelihood of FLEs receiving expressions of gratitude from customers. Second, gratitude expressions received from customers were found to be positively associated with prosocial behaviors toward both customers and coworkers. Third, the findings indicate that the impact of receiving customer gratitude expressions on FLEs’ performance behaviors is more pronounced for employees with a high level of customer orientation.

This study highlights the importance of investing in relationship-building strategies aimed at enhancing customers’ delight. This can motivate customers to express their gratitude toward service employees and to elicit higher prosocial behaviors from employees.

This study offers theoretical insights into gratitude, customer behaviors and employee performance in the retail industry. A pivotal contribution of this study to marketing literature lies in its paradigm shift, redirecting attention from the traditional examination of firm-customer relationships to a nuanced exploration of customer–employee relationships.

This paper offers a new vision of responsible service leadership for service organizations nested in economic, societal and environmental contexts across time to foster collective flourishing.

Following the call for novel perspectives that recognize service as a game among (vs between) people in service ecosystems, we build on service leadership theory to integrate insights from infinite (vs finite) games and biomimicry practices to propose a holistic model for responsible service leadership.

We extend the 3C (competence, character and care) model of service leadership (Shek et al., 2021) adding context and chronos as essential pillars of responsible service leadership in nested ecosystems. We offer new interpretations and applications of the 3Cs through the lens of context and chronos.

This paper furthers the emerging conversation about unique leadership approaches for service, linking existing service leadership theories with holistic views of service ecosystems and enabling a shift from decontextualized models of leadership to a more inclusive approach.

We propose that responsible service leadership can inspire new approaches to leadership development within organizations and in business education (e.g. competencies, settings) and a reconsideration of organizational structures (e.g. culture, selection and incentive design).

The proposed 5C model revisits foundational assumptions of responsibility in service leadership, integrating actors across and within service ecosystems, society at large and the environment in the present and future.

This paper offers a conceptual framework – the 5Cs model of responsible service leadership – aimed at reimagining service leadership.