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Online consumer complaint behaviour that is observable to other consumers provides the firm with an opportunity to demonstrate transparency and service quality to the public eye. The purpose of this paper is to assist practitioners with a strategy to increase perceived accommodativeness in complaint management on social media and reduce the social risk associated with online consumer complaint behaviour using a social exchange theory perspective.

Six online experiments with 1,350 US Facebook users were conducted to investigate the effect of supportive and non-supportive virtually present others, and employee intervention on a consumer’s choice to complain, likelihood to make an observable complaint (on the Facebook page) and likelihood to make a non-observable complaint (via Facebook Messenger). The mediating role of perceived accommodativeness and subsequent social risk is also examined.

Supportive comments made to the complainant by virtually present others were found to influence participants’ decision to complain, heighten participants’ likelihood to complain about the Facebook page and reduce their likelihood to complain via Facebook Messenger. This effect was reversed in the presence of non-supportive virtually present others and was explained by perceived social risk. Further, a participant’s likelihood to complain about the Facebook page was increased when an employee intervention was directed at a non-supportive comment made to a complainant, by a virtually present other. This effect was explained by the perceived accommodativeness of the employee interaction.

The findings advance research on online consumer complaint behaviour by investigating how employee intervention can be used to increase the likelihood of an observable complaint. This research is limited in that it does not incorporate individual characteristics, such as introversion/extroversion and propensity to respond to peer pressure, which may affect participant responses.

This research shows that perceptions of social risk are most effectively reduced by employee intervention directed at a non-supportive comment (made to a complainant) of a virtually present other. Consumer complaint management strategies aimed at minimising perceptions of social risk and encouraging observable online complaint behaviour are proposed.

This research extends the consumer complaint behaviour taxonomy by introducing the term “observable complaining”, that is, visible complaints made on a Facebook page, and broadens understanding of the organisation’s role in managing non-supportive virtually present others to assuage perceptions of social risk in potential complainants.

The purpose of this empirical research is to investigate the influence of interactive virtually present others (VPOs) on a firm response and customers’ reiterated complaints (follow-ups) during service failures. This research follows up on previous experimental studies that suggest VPOs affect the focal customers’ complaint intention.

More than 16,000 posts (of complaints and complainants’ follow-ups) on 13 airline Facebook pages were analyzed using partial least squares.

This empirical study found that customers’ complaints are attended to the extent the complaints are followed up with more comments as supported by VPOs suggesting a contagion effect. Besides, it appears, the squeaky wheel is the one that gets the grease. The interactive virtual presence of others does not have an effect on a firm response toward them, despite their support to complainants and calling the airline to act.

To date, previous experimental studies have only featured a single VPO in potential complainants’ responses; however, in this empirical study the authors take into consideration the interaction of several VPOs in the service failure. Also, the focus is on the influence of VPOs on customers' complaints rather than the other way around.

This research investigates the role of customer forgiveness as the result of online service recovery transparency in predicting customer engagement. It also examines the moderating roles of timeliness and personalization in this proposed model.

An online survey study using retrospective experience sampling and a scenario-based experimental study were conducted to test the proposed hypotheses.

Customer forgiveness positively influences customer engagement and plays a mediating role in the relationship between service recovery transparency and customer engagement. Additionally, timeliness and personalization moderate the positive influence of service recovery transparency on customer forgiveness. The positive influence of service recovery transparency on customer forgiveness is more apparent when levels of timeliness and personalization decrease.

To retain focal customers' engagement after a service failure, firms must obtain their forgiveness. One of the firm's online complaint handling strategies to increase the forgiveness level of focal customers is to provide a high level of service recovery transparency (i.e. responding to their complaints in a public channel), especially when the firm is unable to respond to online complaints quickly or provide highly personalized responses.

This research provides new insights into the underlying mechanism of customer engagement by applying the concept of customer forgiveness. It also contributes to the social influence theory by applying the essence of the theory to explain how other customers' virtual presence during the online complaint handling influences the forgiveness of focal customers in order to gain their engagement. Additionally, it provides insight into the conditions under which the role of service recovery transparency can be very effective in dealing with online complaints.

Displaying a sense of humour provides various interpersonal benefits including reducing tension and promoting conflict resolution, but should a firm use humour in response to publicly viewable online customer complaints after a service failure? The purpose of this study is to demonstrate that a firm’s use of humour in response to negative online consumer reviews has both positive and negative effects on perceptions of corporate image from a customer-as-onlooker perspective.

Three experimental studies are conducted and analysis of variance is used to empirically test the hypotheses.

Although humorous responses have an unfavourable influence on perceived trustworthiness of the firm, they have a favourable influence on perceived excitingness of the firm. The former influence is tied to lower perceived firm sincerity, whereas the latter is tied to higher perceived firm innovativeness and coolness. Furthermore, humour within the customer complaint itself is shown to moderate the influence of humorous responses on perceptions of the firm. Finally, regardless of the type of humour used (i.e. affiliative or aggressive humour) in the humorous response, the positive effect of humorous response remains strong, although aggressive humour further aggravates the negative impact of humorous response on trustworthiness.

The experimental set-up may limit external validity of the study, and the research is limited to the variables examined.

Humorous response is identified as a non-traditional approach to online customer complaints that poses a double-edged sword for managers of service organizations. Firms should avoid using humour in online service recovery if perceptions of trustworthiness are critical or if complaints are written in a neutral tone. However, such responses may be successfully used when a firm wants to position itself as exciting and if complaints are also humorous. Finally, firms are advised to avoid aggressive humour.

The present research represents one of the few studies in marketing to examine the potential of injecting humour into complaint management and service recovery. In addition, this study considers the consumer-as-onlooker perspective inherent in social media.

The purpose of this paper is to investigate how social comparison and motivation to compete account for elevated risk-taking in fund management corroborated by asset market experiments when performance depends on rank-based incentives.

In two laboratory experiments, university students (n1 = 240/n2 = 120) make choices between risky and certain outcomes of hypothetical sums of money. Both experiments investigate in which direction risky choices in an individual condition (individual risk preference) are shifted when participants compare their performance to another participant's performance (social comparison), being instructed or not to outperform the other (incentive to compete).

In the absence of incentives to compete, participants tend to minimize the differences between expected outcomes to themselves and to the other, but when provided with incentives to compete, they tend to maximize these differences. An independent additional increase in risk-taking is observed when participants are provided with incentives to compete.

Original findings include that social comparison does not evoke motivation to compete unless incentives are offered and that increases in risk-taking depend both on what the other chooses and the incentives.

The purpose of this study is to conceptualize and analyze a framework that provides greater understanding toward the impact of service recovery antecedents such as role clarity, customer service orientation, employee empowerment and employee relational behavior on customer satisfaction and customer delight in the context of quick-service restaurants (QSRs).

A self-administered questionnaire was distributed to 408 participants who had experienced service recovery efforts by leading QSRs on social media. The current paper draws upon the prevailing literature to test a series of research hypotheses through structural equation modeling.

The findings of the study have confirmed that antecedents of service recovery are good to describe customer satisfaction and customer delight in the setting of QSRs. Besides, the study provides an understanding on how monetary compensation moderates the relationship between customer delight and customer satisfaction.

This study carries an understanding on how frontline employees must operate in a non-conventional and innovative way to resolve customers' issues and show commitment with truthfulness to provide excellent services to make customers feel delightful.

This is a unique study to understand the role of service recovery antecedents to describe customer satisfaction and customer delight in the social media environment. In addition, the results support the possibilities of implementing prompt service recovery efforts using social media.

The domain of digital service not only includes digital service products made available for purchase but also the provision of digital customer service, such as customers seeking support on brands' social media channels. This type of digital customer service introduces new challenges not found in offline service recovery situations. This research highlights one such occurrence by investigating customer-to-customer (C2C) interactions during digital service recovery. In particular, dysfunctional dialog, such as online incivility (e.g. rude and insulting comments), directed at a complainant by a fellow customer is investigated.

Survey data from an online panel are utilized to test the hypothesized relationships between dysfunctional customer behavior (i.e. online incivility), C2C interactional justice, customer perceived service climate and three forms of experiential value using partial least squares structural equation modeling (PLS-SEM).

The results show that customer perceptions of the firm's service climate are negatively affected by online incivility but only when such incivility produces C2C injustice. This outcome is notable due to the strong relationship found between customer perceived service climate and the following three forms of online experiential value: sociability, hedonic and pragmatic value. Thus, a weakened service climate subsequently leads to weakened experiential value for complainants.

The theoretical implications of two nascent constructs, C2C interactional justice and customer perceived service climate, are further developed with reference to digital customer service situations. In particular, given that prior research has focused on customer perceptions of service climate in core consumption situations of enjoyable face-to-face service experiences, it has only considered optimal or extremely positive service climate assessments in non-digital contexts. This study expands the understanding of the customer perceived service climate construct by examining the implications of a sub-optimal service climate in a digital customer service situation of an unenjoyable service experience. The limitations include a small sample size, the use of hypothetical scenarios and a failure situation limited to a single industry.

Managers who oversee social media channels or online communities must be prepared to act upon C2C online incivility. Deeming such communications as innocent online chatter not worthy of company intervention is a mistake, as the results of this study show that such inaction may lead to negative customer perceptions of the digital service environment and harm the customer experience.

This work develops a greater understanding of the importance of C2C interactional justice and customer perceived service climate in online customer service situations that prior research has yet to establish. In particular, previous studies have not investigated the negative effects of a situation that produces sub-optimal customer perceptions of a service climate.

Prior research has advanced several explanations for social media influencers' (SMIs’) success in the burgeoning computer-mediated marketing environments but leaves one key topic unexplored: the moderating role of SMIs in service failure and recovery strategies.

Drawing on a social constructivist perspective and an inductive approach, 59 in-depth interviews were conducted with millennials from three European countries (Italy, France and the United Kingdom). Building on social influence theory and commitment-trust theory, this study conceptualises four distinct pathways unifying SMIs' efforts in the service failure recovery process.

The emergent model illustrates how source credibility and message content moderate service failure severity and speed of recovery. The insights gained from this study model contribute to research on the pivotal uniqueness of SMIs in service failure recovery processes and offer practical explanations of variations in the implementation of influencer marketing. This study examines a perspective of SMIs that considers the cycle of their influence on customers through service failure and recovery.

The study suggests that negative reactions towards service failure and recovery are reduced if customers have a relationship with influencers prior to the service failure and recovery compared with the reactions of customers who do not have a relationship with the influencer.

The purpose of this paper is to review behavioral explanations of the empirical observation that investment managers in mutual fund companies increase their risk taking when offered incentives based on how their performance is ranked compared to peers.

A conceptual model is proposed of how research on social comparison, competition and financial risk taking may explain increased investor risk taking induced by rank-based incentives. Research findings in each of the strands of research are reviewed.

A proposed main explanation is that an above-average bias in comparing oneself with competitors results in overconfidence that increases risk taking. A complementary proposed explanation is that an anticipated loss when lagging behind increases risk taking, and another proposed complementary explanation the belief that risk taking is a winning strategy.

The results provide a broad framework for directions of research on social comparison processes in the mutual fund industry addressing the difficulties in implementing performance evaluations.

Despite an increasing body of research on value co-creation through social media, service organizations still face difficulties in leveraging the potential of social media communication to facilitate value co-creation with multiple stakeholders. This article addresses this challenge by adopting a multistakeholder, communication perspective.

This article uses a conceptual approach and builds upon concepts widely recognized in the public relations (PR) literature to assess communication in multistakeholder social media-mediated exchanges.

This article discusses the role of social media communication in enabling value co-creation as well as the communicative challenges that come along with it. Moreover, applying PR academic insights to the service innovation and service recovery research fields, it advances theoretical propositions that predict how service organizations can successfully build upon the social media communication fundamentals – namely dialogue, engagement, social presence and conversational human voice – to trigger value co-creation with and among multiple stakeholders.

This article introduces selected relevant theoretical concepts from the PR field and develops novel theoretical propositions that are likely to make unique contributions to the service management field. The article also advances future research avenues that will help service and communication scholars together move the field forward.