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Co-creation and service recovery process communication: effects on satisfaction, repurchase intentions, and word of mouth

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  • Rodolfo Vázquez-Casielles

    (University of Oviedo)

  • Víctor Iglesias

    (University of Oviedo)

  • Concepción Varela-Neira

    (University of Santiago de Compostela)

Abstract

After service failure situations, firms often carry out transactional activities to achieve customer recovery (CR), using corrective actions to restore the exchange (e.g., economic and social compensations). Furthermore, during the service recovery process, firms can encourage activities of co-creation (CC) to prevent similar future failures. This paper discusses the importance of CC and service recovery process communication (RPC), in which customers are informed of the adoption of solutions to address the cause of the failure, so as to avoid the same problem happening again. Experimental studies investigate the impact, individually and together, of CR, CC, and RPC on satisfaction, repurchase intentions, and word of mouth. The results indicate that CC and RPC improve customer’s satisfaction, repurchase intentions, and word of mouth. Firms that want to maximize the return on their efforts to prevent service failures, should encourage CC, develop solutions to prevent future failure recurrence, and implement strategies of RPC. Firms must decide how to promote CC and which media to use for RPC.

Suggested Citation

  • Rodolfo Vázquez-Casielles & Víctor Iglesias & Concepción Varela-Neira, 2017. "Co-creation and service recovery process communication: effects on satisfaction, repurchase intentions, and word of mouth," Service Business, Springer;Pan-Pacific Business Association, vol. 11(2), pages 321-343, June.
    • Handle: RePEc:spr:svcbiz:v:11:y:2017:i:2:d:10.1007_s11628-016-0311-8
    DOI: 10.1007/s11628-016-0311-8
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    References listed on IDEAS

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    Cited by:

    1. Jasenko Arsenovic & Bo Edvardsson & Bård Tronvoll, 2019. "Moving Toward Collaborative Service Recovery: A Multiactor Orientation," Service Science, INFORMS, vol. 11(3), pages 201-212, October.
    2. Ali Moghadamzadeh & Pejman Ebrahimi & Soodabeh Radfard & Aidin Salamzadeh & Datis Khajeheian, 2020. "Investigating the Role of Customer Co-Creation Behavior on Social Media Platforms in Rendering Innovative Services," Sustainability, MDPI, vol. 12(17), pages 1-20, August.
    3. Cindy Yunhsin Chou & Chin Hsiu Huang & Tzu-An Lin, 2018. "Organizational intellectual capital and its relation to frontline service employee innovative behavior: consumer value co-creation behavior as a moderator," Service Business, Springer;Pan-Pacific Business Association, vol. 12(4), pages 663-684, December.
    4. Yves Van Vaerenbergh & Simon Hazée & Annelies Costers, 2018. "Customer participation in service recovery: a meta-analysis," Marketing Letters, Springer, vol. 29(4), pages 465-483, December.
    5. Bagherzadeh, Ramin & Rawal, Monika & Wei, Shuqin & Saavedra Torres, Jose Luis, 2020. "The journey from customer participation in service failure to co-creation in service recovery," Journal of Retailing and Consumer Services, Elsevier, vol. 54(C).
    6. Yu Zhang & Bingjia Shao, 2019. "The Effectiveness of Customer Participation and Affective Misforecasting in Online Post-Recovery Satisfaction," Sustainability, MDPI, vol. 11(24), pages 1-22, December.
    7. Zhang, Yu & Yuan, Yafen & Su, Jiafu & Xiao, Yan, 2021. "The effect of employees' politeness strategy and customer membership on customers' perception of co-recovery and online post-recovery satisfaction," Journal of Retailing and Consumer Services, Elsevier, vol. 63(C).
    8. Wenlong Liu & Rongrong Ji, 2018. "Examining the Role of Online Reviews in Chinese Online Group Buying Context: The Moderating Effect of Promotional Marketing," Social Sciences, MDPI, vol. 7(8), pages 1-17, August.
    9. Le Nguyen Hau, 2019. "The role of customer operant resources in health care value creation," Service Business, Springer;Pan-Pacific Business Association, vol. 13(3), pages 457-478, September.
    10. Lin Xiao & Bin Fu & Wenlong Liu, 2018. "Understanding consumer repurchase intention on O2O platforms: an integrated model of network externalities and trust transfer theory," Service Business, Springer;Pan-Pacific Business Association, vol. 12(4), pages 731-756, December.
    11. Fatemeh Hamidi & Naser Shams Gharneh & Datis Khajeheian, 2019. "A Conceptual Framework for Value Co-Creation in Service Enterprises (Case of Tourism Agencies)," Sustainability, MDPI, vol. 12(1), pages 1-21, December.

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