Start Date

7-1-2011 3:15 PM

End Date

7-1-2011 4:00 PM

Track

2. Track 2 - Poster Session

Subject Area

Consumer Behavior

Faculty Member

Jay Kandampully, JKandampully@ehe.osu.edu

Abstract

Existing research shows that loyalty is a function of customer perceptions of trust and commitment following service recovery. This study proposes and tests an integrative model of customer loyalty following service recovery in the context of social exchange theory. Specifically, this article argues that perceptions of justice (distributive, procedural, and interactional justice) in service recovery influence customer trust-commitment towards the service encounters, which in turn affects customer loyalty. Customers’ trust and commitment in service providers were proposed to mediate the relationship between perceived justice to service recovery efforts and subsequent loyalty intention. Finally, the author discusses important theoretical and managerial implications for service industries.

Keywords

perceived justice, service failure, service recovery, customer loyalty, trust, commitment, social exchange theory



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Jan 7th, 3:15 PM Jan 7th, 4:00 PM

Exploring Customer Loyalty Following Service Recovery: The Relationships of Perceived Justice, Commitment, Trust, and Loyalty

Existing research shows that loyalty is a function of customer perceptions of trust and commitment following service recovery. This study proposes and tests an integrative model of customer loyalty following service recovery in the context of social exchange theory. Specifically, this article argues that perceptions of justice (distributive, procedural, and interactional justice) in service recovery influence customer trust-commitment towards the service encounters, which in turn affects customer loyalty. Customers’ trust and commitment in service providers were proposed to mediate the relationship between perceived justice to service recovery efforts and subsequent loyalty intention. Finally, the author discusses important theoretical and managerial implications for service industries.