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Abstract

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Journal of Service Management, vol. 30 no. 5
Type: Research Article
ISSN: 1757-5818

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Article
Publication date: 8 January 2018

Timothy Lee Keiningham, Roland T. Rust, Bart Lariviere, Lerzan Aksoy and Luke Williams

Managers seeking to manage customer word-of-mouth (WOM) behavior need to understand how different attitudinal drivers (e.g. satisfaction, positive and negative emotion…

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2615

Abstract

Purpose

Managers seeking to manage customer word-of-mouth (WOM) behavior need to understand how different attitudinal drivers (e.g. satisfaction, positive and negative emotion, commitment, and self-brand connection) relate to a range of WOM behaviors. They also need to know how the effects of these drivers are moderated by customer characteristics (e.g. gender, age, income, country). The paper aims to discuss these issues.

Design/methodology/approach

To investigate these issues a built a large-scale multi-national database was created that includes attitudinal drivers, customer characteristics, and a full range of WOM behaviors, involving both the sending and receiving of both positive and negative WOM, with both strong and weak ties. The combination of sending-receiving, positive-negative and strong ties-weak ties results in a typology of eight distinct WOM behaviors. The investigation explores the drivers of those behaviors, and their moderators, using a hierarchical Bayes model in which all WOM behaviors are simultaneously modeled.

Findings

Among the many important findings uncovered are: the most effective way to drive all positive WOM behaviors is through maximizing affective commitment and positive emotions; minimizing negative emotions and ensuring that customers are satisfied lowers all negative WOM behaviors; all other attitudinal drivers have lower or even mixed effects on the different WOM behaviors; and customer characteristics can have a surprisingly large impact on how attitudes affect different WOM behaviors.

Practical implications

These findings have important managerial implications for promotion (which attitudes should be stimulated to produce the desired WOM behavior) and segmentation (how should marketing efforts change, based on segments defined by customer characteristics).

Originality/value

This research points to the myriad of factors that enhance positive and reduce negative word-of-mouth, and the importance of accounting for customer heterogeneity in assessing the likely impact of attitudinal drivers on word-of-mouth behaviors.

Details

Journal of Service Management, vol. 29 no. 1
Type: Research Article
ISSN: 1757-5818

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Article
Publication date: 25 June 2020

Kaat De Pourcq, Katrien Verleye, Bart Larivière, Jeroen Trybou and Paul Gemmel

Focal service providers increasingly involve customers in the decision-making about outsourcing parts of the service delivery process to third parties. The present study…

Abstract

Purpose

Focal service providers increasingly involve customers in the decision-making about outsourcing parts of the service delivery process to third parties. The present study investigates how customers' outsourcing decisions affect the formation of the waiting experience with the focal service provider, by which the objective waiting time, environmental quality and interactional quality act as focal drivers.

Design/methodology/approach

To test our hypotheses in the context of cancer care, we gathered process data and experience data by means of a patient observation template (n = 640) and a patient survey (n = 487). The combined data (n = 377) were analyzed using Bayesian models.

Findings

This study shows that opting for a service triad (i.e. outsourcing non-core services to a third party) deduces customers' attention away from the objective waiting time with the focal service provider but not from the environmental and interactional quality offered by the focal service provider. When the type of service triad coordination is considered, we observe similar effects for a focal service provider-coordinated service triad while in a customer-coordinated service triad the interactional quality is the sole experience driver of waiting experiences that remains significant.

Originality/value

By investigating the implications of customer participation in the decision-making about outsourcing parts of the service delivery process to third parties, this research contributes to the service design, service triad and service operations literature. Specifically, this study shows that customer outsourcing decisions impact waiting experience formation with the focal service provider.

Details

Journal of Service Management, vol. 32 no. 3
Type: Research Article
ISSN: 1757-5818

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Article
Publication date: 11 March 2014

Arne De Keyser and Bart Lariviere

This study aims to investigate the impact of technical (i.e. what is delivered) and functional (i.e. how is it delivered) service quality on consumer happiness in a…

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4440

Abstract

Purpose

This study aims to investigate the impact of technical (i.e. what is delivered) and functional (i.e. how is it delivered) service quality on consumer happiness in a multichannel environment. In so doing, this study responds to increasing calls from academics (e.g. transformative service research movement) and practitioners to move beyond pure financial measures when deciding how to manage businesses.

Design/methodology/approach

With a sample of 809 customers of a medium-sized Belgian mail order firm, within-class regression models tested for the moderating role of channel usage.

Findings

Both technical and functional service quality have positive impacts on consumer happiness. However, depending on the channel(s) used, the quality dimension that has the greatest impact on consumer happiness differs.

Practical implications

The findings offer managers insights on how they can create and cultivate consumer happiness by delivering excellent service quality. This study stresses the importance of looking beyond purely financial measures to manage firms, and as such deliver value to consumers, the firm itself and society at large.

Originality/value

This study advances transformative service research by being one of the few empirical studies relating service quality to consumer happiness in today's multichannel environment.

Details

Journal of Service Management, vol. 25 no. 1
Type: Research Article
ISSN: 1757-5818

Keywords

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Book part
Publication date: 27 September 2021

Timothy L. Keiningham, Roland T. Rust, Bart Larivière, Lerzan Aksoy and Luke Williams

Many companies focus considerable resources on managing and enhancing positive word of mouth (WOM). WOM management, however, has become increasingly complex given the rise…

Abstract

Many companies focus considerable resources on managing and enhancing positive word of mouth (WOM). WOM management, however, has become increasingly complex given the rise of online channels and the corresponding increasing breadth of connections giving and receiving WOM. Given the generally believed importance of WOM to business outcomes, managers seek to leverage key drivers that they believe will enhance positive and minimize negative WOM.

Implicit in these actions is the belief that leveraging key drivers to enhance positive (or minimize negative) WOM results in generally positive outcomes across channels and connections. This research investigates whether this belief is correct. We examined WOM behaviors from over 15,000 consumers from 10 different countries in eight industry categories, as well as consumer attitudes toward the various brands investigated. Our findings indicate that efforts to enhance positive WOM typically have mixed effects – enhancing positive WOM in some channels while decreasing it (or even enhancing negative WOM) in other channels. Therefore, managers need to have a greater understanding of the complexity of leveraging attitudinal key drivers when seeking to enhance WOM to minimize potential negative outcomes.

Details

Marketing Accountability for Marketing and Non-marketing Outcomes
Type: Book
ISBN: 978-1-83867-563-9

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Article
Publication date: 14 September 2015

Lerzan Aksoy, Jens Hogreve, Bart Lariviere, Andrea Ordanini and Chiara Orsingher

The purpose of this paper is to introduce an alternative novel approach to measurement of customer perceptions of the service experience that links closely with customer…

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1269

Abstract

Purpose

The purpose of this paper is to introduce an alternative novel approach to measurement of customer perceptions of the service experience that links closely with customer loyalty outcomes.

Design/methodology/approach

This conceptual paper draws upon prior theory and empirical research to investigate the relevance of using relative metrics compared to absolute metrics in service research.

Findings

The findings upon which this paper draws upon show that measuring customer satisfaction, likelihood to recommend, brand preference using absolute metrics explain a very small per cent of the variance in key customer outcome measures such as share of wallet. Instead, a relative approach to these and other measures in service research is proposed.

Practical implications

Although business practice has embraced relative measurement much more extensively than has scientific research, the vast majority of customer experience measurement programs today continue to employ absolute measures resulting in suboptimal allocation of firm resources. This paper is a call to rethink these current measurement practices.

Originality/value

It is one of the first papers to argue for changing the widely employed use of absolute metrics in theory and practice in favor of relative metrics. Application to other service research theories is discussed.

Details

Journal of Services Marketing, vol. 29 no. 6/7
Type: Research Article
ISSN: 0887-6045

Keywords

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Article
Publication date: 15 March 2011

Bart Larivière, Lerzan Aksoy, Bruce Cooil and Timothy L. Keiningham

This research aims to investigate the moderating influence of both multichannel and multicompany usage on the impact that customer satisfaction has on share of wallet (SOW).

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3599

Abstract

Purpose

This research aims to investigate the moderating influence of both multichannel and multicompany usage on the impact that customer satisfaction has on share of wallet (SOW).

Design/methodology/approach

The data used in the analyses were collected as part of both survey and transactional data of 802 households of a large financial services provider. Within class regression models were employed to test the moderating effects of different segments that were identified based on multichannel‐multicompany customer differences.

Findings

The findings confirm that using multiple channels has an overall positive moderating impact on the satisfaction‐SOW link and that customer satisfaction matters more when the customer adopts multiple channels; online channel usage in addition to offline usage. Furthermore, this effect is even more pronounced for customers that transact with multiple providers. That is, the group of customers that use both the company's and competitors' offline and online channels reveal a higher satisfaction‐SOW association than the group of customers that only adopted the offline channel with the company and competitor.

Originality/value

This study broadens the understanding of multichannel behavior by comparing single (offline) and multiple channels (offline and online) for customers of multiple companies (two competitors).

Details

Journal of Service Management, vol. 22 no. 1
Type: Research Article
ISSN: 1757-5818

Keywords

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Article
Publication date: 18 November 2013

Yves Van Vaerenbergh, Iris Vermeir and Bart Larivière

Previous research considers service recovery as a one-on-one interaction between a service provider and a complaining customer. However, customers frequently complain at…

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3192

Abstract

Purpose

Previous research considers service recovery as a one-on-one interaction between a service provider and a complaining customer. However, customers frequently complain at the place where they receive the service, making an investigation of the impact of a service recovery on observing customers necessary. Using observational learning theory and attribution theory as theoretical anchors, this paper examines whether observing a service recovery influences the observing customers’ satisfaction and repurchase intentions. In addition, this paper tests whether service quality perceptions mediate, and customers’ locus of control attributions moderate these relationships.

Design/methodology/approach

Study 1 tests the main hypothesis using a scenario-based experiment in two settings (restaurant, retail). Study 2 further elaborates on these findings using a scenario-based experiment in a hotel setting.

Findings

The findings show that the negative consequences of a failed recovery extend beyond the complaining customers to observing customers, whereas the positive consequences of observing a satisfactory recovery do not influence the observing customer when compared to observing a failure-free service delivery. These relationships are driven by the service quality information customers extract from observing a service recovery. In addition, the results indicate that the negative spill-over effects are attenuated if the observing customer gets information about who caused the failure.

Originality/value

From a theoretical point of view, this study contributes by outlining service recovery's different impacts on complaining and observing customers: whereas service recovery forms a critical for complaining customers, it only acts as a dissatisfier for observing customers. In addition, it is the first to test a potential explanation for why observing a service recovery leads to lower customer outcomes, and provides insights about how service providers might attenuate the negative spill-over effects of a failed recovery.

Details

Managing Service Quality, vol. 23 no. 6
Type: Research Article
ISSN: 0960-4529

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Article
Publication date: 16 March 2015

Timothy Lee Keiningham, Bruce Cooil, Edward C Malthouse, Bart Lariviere, Alexander Buoye, Lerzan Aksoy and Arne De Keyser

There is general agreement among researchers and practitioners that satisfaction is relative to competitive alternatives. Nonetheless, researchers and managers have not…

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2967

Abstract

Purpose

There is general agreement among researchers and practitioners that satisfaction is relative to competitive alternatives. Nonetheless, researchers and managers have not treated satisfaction as a relative construct. The result has been weak relationships between satisfaction and share of wallet in the literature, and challenges by managers as to whether satisfaction is a useful predictor of customer behavior and business outcomes. The purpose of this paper is to explore the best approach for linking satisfaction to share of wallet.

Design/methodology/approach

Using data from 79,543 consumers who provided 258,743 observations regarding the brands that they use (over 650 brands) covering 20 industries from 15 countries, various models such as the Wallet Allocation Rule (WAR), Zipf-AE, and Zipf-PM, truncated geometric model, generalization of the WAR and hierarchical regression models are compared to each other.

Findings

The results indicate that the relationship between satisfaction and share of wallet is primarily driven by the relative fulfillment customers perceive from the various brands that they use (as gauged by their relative ranked satisfaction level), and not the absolute level of satisfaction.

Practical implications

The findings provide practical insight into several easy-to-use approaches that researchers and managers can apply to improve the strength of the relationship between satisfaction and share of wallet.

Originality/value

This research provides support to the small number of studies that point to the superiority of using relative metrics, and encourages the adoption of relative satisfaction metrics by the academic community.

Details

Journal of Service Management, vol. 26 no. 1
Type: Research Article
ISSN: 1757-5818

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Article
Publication date: 7 January 2014

Yves Van Vaerenbergh, Arne De Keyser and Bart Larivière

Many service providers feel confident about their service quality and thus offer service guarantees to their customers. Yet service failures are inevitable. As guarantees…

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2629

Abstract

Purpose

Many service providers feel confident about their service quality and thus offer service guarantees to their customers. Yet service failures are inevitable. As guarantees can only be invoked when customers report service failures, firms are given the opportunity to redress the original failure potentially influencing customer outcomes. The purpose of this paper is to provide the first empirical investigation of whether excellence in service recovery affects customers’ intentions to invoke a service guarantee, thereby discriminating between conditional and unconditional guarantees and testing for the impact of customers’ individualistic vs collectivistic cultural orientation.

Design/methodology/approach

In total, 171 respondents from four continents (spanning 23 countries) were recruited to participate in a quasi-experimental study in a hotel setting. A three-way analysis of variance was used to test the hypotheses.

Findings

All customers are very likely to invoke the service guarantee after an unsatisfactory service recovery. When customers are satisfied with the service recovery, they report lower invoke intentions, except for collectivistic individuals who are still inclined to invoke an unconditional service guarantee after a satisfactory service recovery. The finding supports an in-group/out-group rationale, whereby collectivists tend to behave more opportunistically toward out-groups than individualistic customers.

Originality/value

The study highlights the importance of excellence in service recovery, cultural differences and different types of service guarantees with respect to customers’ intentions to invoke the guarantee. The paper demonstrates how service guarantees should be designed in conjunction with service recovery strategies. Also, the paper shows that an unconditional service guarantee creates the condition in which collectivists might engage in opportunistic behavior; global service providers concerned about opportunistic customer claiming behavior thus might benefit from using conditional service guarantees.

Details

Managing Service Quality: An International Journal, vol. 24 no. 1
Type: Research Article
ISSN: 0960-4529

Keywords

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