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This research investigates customer interactions in an online environment following a service failure, and explores the role of customer-to-customer (C2C) interactions in service recovery.

We examine C2C interactions between airline travellers by analysing their detailed conversations posted on an independent complaint forum. We adopt thematic analysis to scrutinise online dialogue that narrates stories about service failures and how they are resolved with the help of other customers.

Our analysis reveals that other customers act as helpers, educators, listeners and ironists in an online environment following a service failure. We identify information sharing, emotional release, social support, knowledge exchange and learning, and leadership in the online community as forms of C2C service recovery.

This study focuses on C2C service recovery in an online environment; C2C interactions in an offline environment after a service failure are not explored. Future research can apply different research methods to different data sources in order to discover further insights into C2C service recovery.

C2C interactions in service recovery can lead to value creation that enhances customers’ overall satisfaction with their service experiences, and further re-shapes customers’ expectations of the service. Customers are an operant resource for service recovery; thus, service companies should facilitate customer-to-customer interactions that assist successful service recovery.

This research explores the functions and potential impact of online C2C service recovery; that is, service recovery through online C2C interactions. It advances understanding of service recovery by bridging current thinking on customer-dominant logic and the role of C2C interactions.

This study basically develops an omnichannel integration services (OIS) success model and further uses perceived value and stickiness to measure the actual net benefits. Furthermore, this study explores the role of service recovery in OIS success model.

A quantitative online survey study was mainly being conducted to statistically test these relationships among the customer experience, satisfaction, perceived value, stickiness and service recovery. The statistical data collected from 371 respondents were taken for analysis through partial least squares.

The findings revealed that the online and offline customer experiences have a significant influence on their level of online and offline satisfaction, respectively. Both online and offline satisfaction are major factors which are enhancing the perceived value and stickiness. Service recovery also has a significant effect on online and offline satisfaction.

The results of the hypotheses presented in the OIS success model may usually vary from one cultural context to another. Hence, additional studies should access the current research model, especially those that are culturally different from Taiwan.

The service failures are always inevitable and the recovery of such encounters represent to have a significant challenge for OIS. Thus, practitioners should allocate more such resources to enhance on customer experience of OIS, which in turn promotes to enhance customer satisfaction. Moreover, OIS practitioners seem to be more concerned with a thought on how to avoid service failures and provide satisfied customer experience than developing service recovery strategies.

Although the past studies on multichannel retail have yielded insights into the factors affecting consumers' channel preferences, there is a dearth of research that sheds bright light on the intense factors affect the success of OIS; hence, a conceptual framework of OIS success model, referenced to the model of updated information systems success (ISS), thus is used to act as the basis of this study. Furthermore, this study explores the role of service recovery in OIS success model.

The purpose of this paper is to investigate consumer responses to online retailer service recovery remedies following a service failure and explores whether the phenomenon of the service recovery paradox exists within the context of online retailing.

This paper reports on the results of two studies. Study I explores the main and interaction effects of the various dimensions of service recovery justice (i.e. distributive justice, procedural justice, and interactional justice) on customer satisfaction, negative word‐of‐mouth (WOM), and repurchase intention based on the justice theory. Study II investigates whether the phenomenon of the service recovery paradox exists (i.e. whether customers have higher satisfaction, higher repurchase intention, and lower negative word‐of‐mouth after experiencing an effectively remedied service failure as compared to if the service failure had not occurred). A laboratory experimental design is used to test the research hypotheses.

The results show that distributive justice, procedural justice, and interactional justice have a significant positive influence on customer satisfaction. Among the three dimensions of service recovery justice, only distributive justice has a significant positive influence on repurchase intention, and only interactional justice has a significant negative influence on negative WOM. Additionally, both the interaction between distributive justice and procedural justice and the interaction between distributive justice and interactional justice are found to significantly influence customer satisfaction, negative WOM, and repurchase intention. The results also indicate that the service recovery paradox does not appear to exist in the online retailing context.

The findings will allow online retailers to develop more effective strategies for preventing service failure and improving customer satisfaction, negative WOM, and repurchase intention.

This study contributes to the understanding of consumer responses to online retailer's service recovery after a service failure.

This paper aims to compare the relative importance of tangible compensation across the offline and online service mediums, and assess tangible compensation as a trust recovery tactic.

This study is based on a 3 (compensation level: 20%, 50%, 100%) × 2 (compensation type: refund, coupon) × 2 (service medium: offline, online) scenario-based experimental design.

The offline and online customers exhibit different satisfaction for the respective values of both the immediate and delayed compensation types. Moreover, offline customers exhibit more trust in the firm when they receive a refund, whereas their online counterparts demonstrate a higher trust when provided with a coupon.

For a service failure such as the one presented in the experimental study’s scenario, a lower (higher) value coupon will generate more (less) satisfaction compared to providing the same value as a refund. Firms will be better off by providing partial compensation in the form of a coupon, rather than a refund.

Unlike most studies of service recovery, this research takes into account the perceived differences of various tangible compensations to provide a comparison of offline and online customers’ recovery preferences. Furthermore, the previous studies have not focused on trust restoration and assessed causes and effects of trust based on trust at one point in time i.e. trust after recovery. While this study has included restored trust as a variable in the conceptual model.

Esta investigación tiene como objetivo comparar la importancia relativa de la compensación tangible en los medios de servicio offline y online, y evaluar la compensación tangible como táctica de recuperación de la confianza.

Este estudio se basa en un diseño experimental basado en 3 (nivel de compensación: 20%, 50%, 100%) x 2 (tipo de compensación: reembolso, cupón) x 2 (medio de servicio: offline, online).

Los clientes offline y online muestran una satisfacción diferente para los valores respectivos de los tipos de compensación inmediata y diferida. Además, los clientes offline muestran más confianza en la empresa cuando reciben un reembolso, mientras que sus homólogos online demuestran una mayor confianza cuando se les proporciona un cupón.

Para un fallo del servicio como el presentado en el escenario del estudio experimental, un cupón de menor (mayor) valor generará más (menos) satisfacción en comparación con proporcionar el mismo valor como reembolso. Las empresas saldrán ganando si ofrecen una compensación parcial en forma de cupón, en lugar de un reembolso.

A diferencia de la mayoría de los estudios sobre la recuperación de servicios, esta investigación tiene en cuenta las diferencias percibidas de varias compensaciones tangibles para ofrecer una comparación de las preferencias de recuperación de los clientes offline y online. Además, los estudios anteriores no se han centrado en el restablecimiento de la confianza y han evaluado las causas y los efectos de la confianza basándose en la confianza en un momento determinado, es decir, la confianza después de la recuperación. En cambio, este estudio ha incluido la confianza restaurada como una variable en el modelo conceptual.

本研究旨在比较有形补偿在离线和在线服务媒介中的相对重要性, 并评估有形补偿作为一种信任恢复策略。

本研究基于3（补偿水平：20%, 50%, 100%）×2（补偿类型：退款, 优惠券）×2（服务媒介：线下, 线上）的情景实验设计。

线下和线上的顾客对即时和延迟补偿类型的各自数值表现出不同的满意度。此外, 离线顾客在收到退款时表现出对公司的更多信任, 而他们的在线顾客在得到优惠券时表现出更多的信任。

对于像实验研究中提出的那种服务失败, 与提供相同价值的退款相比, 价值较低（较高）的优惠券会产生更多（更少）的满意度。企业通过以优惠券的形式提供部分补偿, 而不是退款, 会有更好的效果。

与大多数关于服务恢复的研究不同, 这项研究考虑到了各种有形补偿的感知差异, 以提供离线和在线顾客恢复偏好的比较。此外, 以前的研究没有关注信任的恢复, 而是基于一个时间点的信任, 即恢复后的信任来评估信任的原因和影响。而本研究将恢复的信任作为概念模型中的一个变 量。

The purpose of this study is to present a systematic review of the online service failure (OSF) literature and conduct an exhaustive analysis of academic research on this emerging research area.

The current study has adopted a structured systematic literature review approach to synthesize and assess the OSF literature. Further, the study uses the Theory-Context-Characteristics-Methodology (TCCM) framework to propose future research directions in the OSF domain.

This systematic review shows that OSF research is still developing and remains mainly incoherent. Further, the study develops a conceptual framework integrating the frequently reported antecedents, mediators, moderator and consequences in the extant literature. This review also synthesizes the theoretical perspectives adopted for this domain.

The study followed specific inclusion and exclusion criteria to shortlist articles. Further, articles published only in the English language were considered. Hence, the findings of this review cannot be generalized to all OSF literature.

This systematic review has classified antecedents into customers' and service providers' roles which will enable online service providers to understand all sets of factors driving OSF. It also synthesizes and presents service recovery strategies and emphasizes the role of online customer support to fix OSF.

The OSF literature is still developing and remains highly incoherent, suggesting that a synthesized review is needed. This study has systematically reviewed and synthesized the OSF literature to study its development over time and proposes a framework which provides a comprehensive understanding of OSF.

The purpose of this paper is to investigate the impact of complaint behaviour and service recovery satisfaction on consumer intentions to repurchase through internet channels.

Using survey data from large consumer samples from 15 European countries, the authors classify consumers according to: whether they had negative experiences with online purchases, whether they complained, and whether they were satisfied with the complaint handling. A logistic regression analysis assesses the effects of these experiences on repurchase intentions.

Remarkable differences arise among the consumers with respect to intentions to repurchase on the internet. Consumers with negative experiences who complained expressed higher repurchase intentions than consumers with no reason to complain and also than consumers who had negative experiences but did not complain. Yet the highest repurchase intentions arose among consumers who complained and expressed satisfaction with the complaint handling, in support of the service recovery paradox in an online setting.

This project is one of the first empirical studies of the consequences of dissatisfaction and complaints related to online purchase behaviour.

The internet has changed the way services are delivered and has created new forms of customer-firm interactions. Whilst online service failures remain inevitable, the internet offers opportunities for delivering efficient service recovery through the online channel. Notwithstanding, research evidence on how firms can deliver online service recovery remains scarce. The purpose of this paper is to investigate the impact of two online service recovery strategies – online information and technology-mediated communication – on customer satisfaction, switching and word of mouth intentions.

A scenario-based experiment is employed. Data are analysed using partial least squares structural equation modelling.

Online information and technology-mediated interactions can be used as online service recovery strategies. When fair, online service recovery can restore customer satisfaction, lower switching and enhance positive word of mouth. Interactional justice delivered through technology-mediated communication is a strong predictor of satisfaction with online service recovery. Yet, customers in subscription services show greater expectations of online service recovery than those in non-subscription services.

Further research could examine the impact of online service recovery on relational constructs, such as trust. Since customers participate in the online recovery process, future research could investigate the role of customers as co-creators of online service recovery.

Service managers should design online recovery strategies that meet customer need for interactional justice, for example, bespoke e-mails, and virtual chat communications with genuine customer care.

Online information and technology-mediated communication function as online service recovery strategies. Customer perceptions of justice towards online service recovery restore satisfaction, and encourage loyal behaviour.

By expanding on the work of White and Yanamandram (2007), the purpose of this paper is to examine the direct and indirect influences of switching barriers on the relationship between recovery satisfaction and repurchase intentions in an online auction environment.

Data were collected from 272 customers who had experienced online service recovery in the past six months. Partial-least squares and mediated moderation analysis are employed to test the research model.

The interrelationships among recovery satisfaction, relationship quality, and repurchase intentions are confirmed. Both lost benefit switching costs and inertia moderate the relationship between recovery satisfaction and repurchase intentions. Attractiveness of alternatives mediates the moderating effect of inertia on the relationship between recovery satisfaction and repurchase intentions.

Unlike previous studies, which have treated switching cost as a switching barrier, or used various components to represent switching barriers, this study incorporates switching cost, relationship quality, inertia, and attractiveness of alternatives as four switching barrier factors. This study further examines the direct and indirect effects of switching barriers on the relationship between recovery satisfaction and repurchase intentions.

Customer complaints and service recovery via virtual customer service channels (VCSCs) present unique recovery situations unlike those commonly found in traditional complaint handling channels. Some of these distinct challenges include the presence of multiple customers during a recovery, which creates the possibility for uncivil customer-to-customer (C2C) exchanges to harm a complainant’s experience. To this end, this paper aims to explore customer- and firm-level aspects as they relate to social media complaint handling. A customer-level moderator (attitude toward complaining) and a firm-level moderator (relative promptness of the response) are examined.

Data from three studies use partial least squares structural equation modeling to analyze hypothetical failure and complaining scenarios on VCSCs. Study 1A (a firm’s social media channel) and Study 1B (a firm’s online support community) investigate how a complainant’s predisposition toward complaining ultimately influences their experiential value (hedonic, pragmatic and sociability) during a virtual service recovery that includes uncivil communication from another customer. Study 2 further examines how the relative promptness of a service provider’s response either before or after uncivil C2C interactions hinders a complainant’s experiential value during the service recovery encounter.

The results show support for the influence of attitude toward complaining and the relative promptness of response as impactful to a complainant’s hedonic, pragmatic and social experience in virtual service encounters that involve one customer rudely interjecting into a complainant’s online service recovery encounter.

This research is one of the first to apply both customer- and firm-level moderating aspects associated with virtual service recovery encounters. The studies quantitatively assess the moderators’ influence on online dysfunctional behavior’s relationship with C2C fairness perceptions, and the subsequent experiential value a complainant receives on VCSCs. In particular, the investigation of relative promptness of a service provider’s response is a unique conceptualization that expands prior recovery studies’ focus on promptness or quickness of a recovery. The authors put forth a more prompt response that benefits the firm by purposively and symbolically closing out the encounter on VCSC, which somewhat reduces the negative effects of rude follow-up comments. This study is also novel because of the experiential focus on C2C interactions during recovery, rather than focusing on how a firm resolves a failure. In addition, this is the first service recovery study to assess multiple types of online customer service channels. Implications are put forth for service recovery theory and managers who attend to customer complaints on virtual channels.

Despite having been widely studied in traditional (bricks‐and‐mortar) services, the effect of service failures and recovery (SFR) on customer loyalty has received only limited attention in the context of e‐services. This paper sets out to empirically test the following set of hypotheses in an e‐service setting: H1, service failures have a negative effect on customer loyalty intentions; H2, failure resolution has a positive effect on customer loyalty intentions; H3, satisfaction with the recovery has a positive effect on customer loyalty intentions; H4, outstanding recovery results in loyalty intentions which are more favorable than they would be had no failure occurred (service recovery paradox).

The paper is based on an online survey of actual customers of a commercial e‐banking service.

H1‐H3 are supported, suggesting that: the detrimental effects of failures are also present online; problem resolution leads to increased loyalty; despite the challenging nature of online failures and the reduced degree of human interaction, it is possible to achieve effective recovery in e‐services. H4 is also supported. We observes a recovery paradox effect but it only take place for a small proportion of “delighted” customers, i.e. those who perceived an outstanding recovery. Although unlikely, the impact (size effect) of outstanding recovery on loyalty is substantial.

Future research should examine other types of e‐services.

E‐service delivery systems should be designed with a strong failure‐prevention mindset and include effective service recovery mechanisms. However, in general, e‐service providers should not look at superior recovery as a substitute for error‐free service. Despite not being a viable strategy in general, delighting customers in the recovery may make sense for the most profitable customers.

The paper provides empirical evidence of the effects of SFR in the context of online service, an area which has received limited attention to date. Unlike other research, this paper draws on data from customers of an actual e‐service and therefore benefits from increased external validity.