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The main purpose of this work is to evaluate the different psychological impacts of two initial verbal recovery strategies (gratitude vs empathetic apology) on the consumers' loyalty after a service failure. The proposed theoretical model also appraises the mediating role of two emotional responses (consumer forgiveness, consumer anger) and consumer self-esteem and the moderating role of self-oriented perfectionism.

Two studies (i.e. an experimental design and a field study) are considered for this investigation to assess the effectiveness of gratitude expression versus empathetic apology on post-recovery loyalty and test the effects of mediators and the moderator applied between the verbal recovery strategies and post-recovery loyalty.

The results of Study 1 revealed the supremacy of gratitude to empathetic apology in maintaining consumers' loyalty after service failure recovery. The better impact of gratitude expressed in increasing post-recovery loyalty is mediated through the elevation of consumers' forgiveness, the reduction of consumers' anger and consumers' self-esteem. The findings of Study 2 indicated that gratitude increases more post-recovery loyalty through individuals with a high level of self-oriented perfectionism.

Future research could examine other service failure situations, different types of service recovery, mediators or moderators, which contribute to the service marketing literature.

After a service failure, using gratitude expressions to consumers often makes them feel better and more valuable.

This work increases service providers' knowledge in using proper expressions after a service failure to help elevate consumers' positive reactions resulting in maintaining their loyalty.

User-generated content (UGC) and service failure have attracted considerable marketing inquiry over the last two decades. Previous studies primarily focused on the outcome of service failure and the impact of UGC on perceived failure severity. This article departs from previous studies as it examines the moderating role of UGC on the relationship between service failure recovery (SFR) and customer–brand relationship.

Building on commitment-trust theory and from a phenomenological hermeneutical perspective, this article explores this phenomenon through the interpretation of 60 in-depth interviews with millennials from three European countries: Italy, France and the UK. An analysis of the data was conducted using a qualitative approach to understand the main constructs and relationships derived from the data.

This study conceptualises four distinct moderating characteristics of UGC in the SFR process: satisfaction with experience and brand, dissatisfaction with experience and brand, satisfaction with brand and dissatisfaction with brand. The insights from the responsiveness, empathetic response, counterfactual thinking and brand salience (RECB) framework contribute to research on UGC and shed light on the relationship between SFR and consumer–brand relationships in the fashion industry.

Overall, this study demonstrates that customer interactions with UGC significantly affect their responses to, and relationships with, a brand. The proposed framework opens up interesting avenues for future research on the moderating role of UGC on the relationship between SFR and customer–brand relationships.

Corporate apologies, relative to other responses to well-publicized past transgressions, have distinct implications, sparking a rich tradition of apology research. But in addition, each apology is unique, such that it becomes critical to address individual content (what), spokesperson (who), timing (when) and delivery (how) elements. This paper aims to clarify how people evaluate key apology elements (individually and collectively) and the associated trade-off between short-term risks (e.g. business costs) and long-term benefits (e.g. relational assets), in light of key contingency factors that represent the level of the transgression-related threat to the firm.

An in-depth conceptual review, analysis and synthesis of corporate apology theories, research, business practices and case examples underlie the development of a conceptual framework that features 6 key tenets and 16 formal, testable propositions.

The holistic apology framework details how and why different corporate apology elements individually and collectively influence firm performance, in the presence of key transgression-related factors. The outlined tenets and propositions, in turn, provide clear guidelines for how to design and implement effective corporate apology strategies in response to publicized transgressions, as well as a platform for academics to advance research in this domain.

This paper contributes to apology theories by proposing 6 key tenets and 16 formal, testable propositions, incorporating apology mechanisms, contingencies and strategies (i.e. corporate apology typology), thus providing a more comprehensive view of corporate apologies in the marketing discipline.

This paper introduces 6 official tenets and 16 associated propositions that collectively (and interactively) serve as strategic guidelines for managers and opportunities for academics to advance research in this domain.

The proposed conceptual framework offers a novel, holistic understanding of the fundamental components of a corporate apology.

Through means of an empirical study of service recovery in US retail banking this paper aims to examine the link between satisfaction and various recovery strategies.

A total of 310 bank customers responded to a survey addressing customer demographics, levels of satisfaction, types of recovery strategies, and service recovery employees. Frequencies, chi‐square analysis and correspondence analysis were used to analyze the data.

The findings show no significant difference in recovery strategies or satisfaction by customer age, gender, or tenure with bank. However, the degree of customer satisfaction was strongly influenced by the type of recovery strategy used by the bank. The results indicate that recovery efforts are best directed toward empathic listening and fixing the problem rather than apologizing or making atonement.

This study of service recovery in US retail banking provides useful information on the link between satisfaction and various recovery strategies.

The purpose of this paper is to present results from an empirical study of various service recovery designs. When service failures occur, service recovery is the primary way a firm can retain its customers and minimize the costs associated with customer defection and negative word of mouth. While researchers concur on the importance of service recovery in retaining customers, recommendations on implementation differ considerably. Consequently, actual service recovery design and results vary widely among practitioners.

The method employed uses an experimental design, employing controlled scenario manipulations.

This paper examines two issues that offer possible explanations for the variation in previous research results: elements of service recovery system design that make a difference and degree of primary failure. An additional issue, research methodology, may also contribute to variations in research results and is likewise addressed.

In failed service encounters, the degree of failure significantly affects customer satisfaction and loyalty. Both psychological and tangible factors are important contributors to service recovery satisfaction.

This study builds upon previous research and fills previous gaps by being the first study to experimentally test the impact that varying service recovery design has on recovery success within environments of varying levels of degree of failure.

The paper aims to propose a new conceptualisation of consumer anger directed against a company.

In this paper, an integrative review of the literature on anger in marketing has been conducted.

Anger at the firm is experienced in two forms: vengeful anger or problem-focused anger. The motivational goals associated with each differentiate between the two types and lead to different relational consequences: vengeful anger implies a desire to hurt the culprit, whereas problem-focused anger solely requires the attainment of a thwarted goal. The two types are associated with different patterns of appraisals, levels of intensity and emotion expression. These differences, documented in the literature, are not universal but shaped by contextual and personal variables. Although marketers conflate these two types of anger under the same label, only vengeful anger represents a threat to marketing relationships, whereas problem-focused anger has positive consequences if managed appropriately.

Studies that examine anger will benefit from a more nuanced understanding of this concept. This paper raises important implications for the measurement of this emotion, as existing scales are not able to measure the goals associated with the two types of anger.

The insights presented help managers form strategies to address consumer anger in contexts such as service failures and/or crisis communications.

The paper extends scholars’ understanding of consumer anger. It offers an improved conceptualisation of this emotion, opening new avenues for future research.

The purpose of this paper is to explore the role of emotions that consumers experience following service failures and to assess the effects of each of these emotions on important behavioral outcomes.

This paper extends the work of Wetzer et al. (2007) and draws upon the existing literature to test a series of research hypotheses tying emotions to four important behavioral outcomes primarily using stepwise regression.

When a service failure occurs, customers experience any of a variety of negative emotions. The effect on behavioral outcomes depends on the specific emotion experienced by the consumer. The current research, which benefits by using retrospective experience sampling, finds that frustration is the predominant emotion experienced by customers following service failure, but that anger, regret and frustration affect behavioral outcomes. Uncertainty also plays a role.

Future research should investigate the antecedents of propensity for emotions and predisposition toward industries, as well as the consequences of word-of-mouth (WOM) praise and WOM activity. Additionally, emotions could be examined by service stage. Several other moderators could be investigated, including severity, complaining behavior, repeat occurrence, service importance, remedies and forgiveness, product vs process failures, tenure, gender and age.

The current research emphasizes the importance of understanding which emotion is being experienced by a customer following service failure to identify the behavioral outcomes that will be most impacted. The specific managerial implications depend upon the specific emotional response experienced by the customer and are discussed separately for anger, regret and frustration. Service personnel must be trained to recognize and address specific customer emotions rather than to provide a canned or generalized response.

To date, there has been little, if any, systematic research into the effects of multiple discrete negative emotions on multiple desirable behavioral outcomes. The current study examines six discrete emotions. Predominant emotions are differentiated from emotional intensity. The behavioral outcomes of reconciliation and reduced share-of-wallet are added to the traditional outcomes of repatronage intentions and negative WOM. While existing research tends to rely on a scenario approach, this study uses the retrospective experience sampling method. The authors distinguish between mixed emotions and multiple emotions. The relative effects of disappointment and regret are examined for each of the four outcomes. Finally, importance-performance map analysis was applied to the findings to prioritize managerial attention. Numerous managerial and research implications are identified.

This study aims to identify the factors of service recovery strategy that affect customer satisfaction. In addition, this study aims to explore the relationship between consumer satisfaction with service recovery and electronic word of mouth (e-WOM) in the online context.

A self-administered questionnaire is designed and administered through an online survey. This study evaluates the proposed framework through structural equation modeling with online survey data from 425 samples in the context of online buying.

The results show that explanation, effort, response speed, problem-solving and apology are the components predicting service recovery strategy. These factors have impacts on customer satisfaction with service recovery and also generate e-WOM about service recovery experiences. This study significantly contributes to not only practical insights but also the expansion of expectation confirmation theory and social exchange theory regarding online service failures.

Samples from non-internet shoppers are not collected because this study focuses on consumers referring to purchase online. Testing this conceptual model for other populations, such as non-online consumers, including the moderating effect of gender, age and education on the relationships proposed in the model may be an interesting extension. Moreover, this study does not distinguish different types of online retailers.

This study highlights the significant effect of customer satisfaction with service recovery on e-WOM. That is, managers should focus on not only making customers satisfied with their initial purchase but also enhancing customer satisfaction with service recovery in case the service failure occurs to encourage positive interaction among customers. This case will also improve the organizational image of a firm.

This study contributes to the identification of service recovery actions that focus on the roles of employees in dealing with service failures and their impacts on customer satisfaction in the online shopping context. In addition, the findings provide a greater understanding of the importance of customer satisfaction on e-WOM.

The purpose of this paper is to gain some insight into the effectiveness of different types of tangible compensation strategies for two different types of services: utilitarian and hedonic.

The hypotheses are investigated using a 2×2 between‐subject experimental design and two factors: service type (utilitarian vs hedonic) and compensation type (utilitarian – a price reduction vs hedonic – a free gift).

The results show that customers prefer to receive a form of compensation that matches the type of service involved. For example, customers who receive a utilitarian compensation (e.g. a price reduction) after experiencing a failure in utilitarian service (e.g. at a bank) report higher levels of satisfaction and repurchase intention than they would after experiencing a failure in hedonic services (e.g. at a restaurant), but that the reverse is true for a hedonic‐type compensation (e.g. a free gift).

The offering of either a price reduction or a free gift cuts into company profits. Organizations should, therefore, tailor their service recovery efforts, focusing on those resources in the bundle that will have the greatest positive impact and create the most favorable customer response.

The primary contribution of this paper to the service marketing literature is that it provides empirical results, which shed light on the interplay between the type of compensation and the type of service on the customer's post‐recovery judgment of that service.

This study aims to examine the perceived value of service digitalization in fine-dining restaurants in France. No study exists on this topic, and its aim is to address this research gap. To do so, a conceptual framework of the perceived benefits and costs of the service digitalization was developed. This study also provides actionable recommendations for fine-dining restaurant managers to create and manage an optimized fine-dining experience for their customers.

To obtain in-depth information, the authors opted for a qualitative research approach. The authors interviewed 24 fine-dining restaurant managers (listed in the Michelin Guide) and 29 customers of fine-dining restaurants using a video titled “The Restaurant of the Future.”

The findings underline the perceived benefits and costs of service digitalization for both restaurant managers and their customers. This study highlights that fine-dining restaurants are highly experience-centric compared to other types of restaurants and recommends which services should be digitalized and which should not be to create and manage experiences throughout the customer journey.

This research provides restaurants with actionable recommendations in terms of service digitalization to enhance customers’ fine-dining experiences.

This research fills a gap by proposing a conceptual framework to examine the digitalization of services in fine-dining restaurants.