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The practitioners’ path to customer loyalty: Memorable experiences or frictionless experiences?

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  • Williams, Luke
  • Buoye, Alexander
  • Keiningham, Timothy L.
  • Aksoy, Lerzan

Abstract

Managers of CX programs are often faced with a decision between investing more in experience design (memorable CX) or improving experience delivery (frictionless CX). Current measurement approaches in both industry and academia do not provide a useful framework to address this dilemma adequately or directly. Using 6009 brand ratings by 1070 unique respondents, this research evaluates the impact of memorable vs frictionless CX on customer share of wallet, as well as the mediating effects of satisfaction on these relationships. Both memorable and frictionless CX have significant positive effects on customer share of wallet. These effects are partially mediated by satisfaction. There is an interaction between memorable and frictionless CX which suggests that attempts to maximize both have diminishing returns. The relative impact of each type of CX varies significantly by sector. This alternative method for measuring CX and assessing its impact provides incremental insight over common industry approaches.

Suggested Citation

  • Williams, Luke & Buoye, Alexander & Keiningham, Timothy L. & Aksoy, Lerzan, 2020. "The practitioners’ path to customer loyalty: Memorable experiences or frictionless experiences?," Journal of Retailing and Consumer Services, Elsevier, vol. 57(C).
    • Handle: RePEc:eee:joreco:v:57:y:2020:i:c:s0969698920310948
    DOI: 10.1016/j.jretconser.2020.102215
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    References listed on IDEAS

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    1. Grewal, Dhruv & Levy, Michael & Kumar, V., 2009. "Customer Experience Management in Retailing: An Organizing Framework," Journal of Retailing, Elsevier, vol. 85(1), pages 1-14.
    2. Christina Kuehnl & Danijel Jozic & Christian Homburg, 2019. "Effective customer journey design: consumers’ conception, measurement, and consequences," Journal of the Academy of Marketing Science, Springer, vol. 47(3), pages 551-568, May.
    3. Verhoef, Peter C. & Lemon, Katherine N. & Parasuraman, A. & Roggeveen, Anne & Tsiros, Michael & Schlesinger, Leonard A., 2009. "Customer Experience Creation: Determinants, Dynamics and Management Strategies," Journal of Retailing, Elsevier, vol. 85(1), pages 31-41.
    4. Puccinelli, Nancy M. & Goodstein, Ronald C. & Grewal, Dhruv & Price, Robert & Raghubir, Priya & Stewart, David, 2009. "Customer Experience Management in Retailing: Understanding the Buying Process," Journal of Retailing, Elsevier, vol. 85(1), pages 15-30.
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    Citations

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    Cited by:

    1. Rather, Raouf Ahmad & Hollebeek, Linda D., 2021. "Customers’ service-related engagement, experience, and behavioral intent: Moderating role of age," Journal of Retailing and Consumer Services, Elsevier, vol. 60(C).
    2. Prentice, Catherine & Dominique-Ferreira, Sergio & Ferreira, Andreia & Wang, Xuequn (Alex), 2022. "The role of memorable experience and emotional intelligence in senior customer loyalty to geriatric hotels," Journal of Retailing and Consumer Services, Elsevier, vol. 64(C).
    3. Zhibiao Wang & Panpan Yang & Dan Li, 2021. "The Influence of Heritage Tourism Destination Reputation on Tourist Consumption Behavior: A Case Study of World Cultural Heritage Shaolin Temple," SAGE Open, , vol. 11(3), pages 21582440211, July.
    4. Lee, Jaeha & Park, Kwangsoo, 2024. "The effects of hedonic shopping values on loyalty towards small retailers: The moderating role of trust," Journal of Retailing and Consumer Services, Elsevier, vol. 76(C).
    5. Moliner-Tena, Miguel A. & Monferrer-Tirado, Diego & Estrada-Guillen, Marta & Vidal-Meliá, Lidia, 2023. "Memorable customer experiences and autobiographical memories: From service experience to word of mouth," Journal of Retailing and Consumer Services, Elsevier, vol. 72(C).
    6. Christian Homburg & Moritz Tischer, 2023. "Customer journey management capability in business-to-business markets: Its bright and dark sides and overall impact on firm performance," Journal of the Academy of Marketing Science, Springer, vol. 51(5), pages 1046-1074, September.
    7. Dugar, Anurag & Chamola, Pankaj, 2021. "Retailers with traits of consumer: Exploring the existence and antecedents of brand loyalty in small unorganized retailers," Journal of Retailing and Consumer Services, Elsevier, vol. 62(C).
    8. Dongwei Yan & Chenke Wang & Tianyi Sun & Decheng Wen, 2024. "The impact of service experience on sustainable customer engagement: The mediation of green perceived value and customer satisfaction," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 31(3), pages 2175-2194, May.
    9. Banik, Shanta, 2021. "Exploring the involvement-patronage link in the phygital retail experiences," Journal of Retailing and Consumer Services, Elsevier, vol. 63(C).
    10. Taewon Suh & Sang Bong Lee, 2023. "Configuring managerial factors to enhance omnichannel experience and customer engagement behaviors for a solid loyalty loop," Electronic Commerce Research, Springer, vol. 23(3), pages 1591-1619, September.
    11. Khan, Imran & Hollebeek, Linda D. & Fatma, Mobin & Islam, Jamid Ul & Riivits-Arkonsuo, Iivi, 2020. "Customer experience and commitment in retailing: Does customer age matter?," Journal of Retailing and Consumer Services, Elsevier, vol. 57(C).

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