Restricted accessResearch articleFirst published online 2014-2
Acta Non Verba? The Role of Customer Participation and Word of Mouth in the Relationship Between Service Firms’ Customer Satisfaction and Sales Performance
Evidence has shown that satisfied customers do not necessarily buy more of a company’s products and services, thus spurring researchers to look for a missing link between customer satisfaction and purchase behavior. Word of mouth (WOM) has been advocated as the elusive missing link and as a key indicator of customer-firm relationship strength. Yet, WOM is only one type of customer voluntary performance (CVP). In this study, a second type of CVP, namely customer participation (i.e., customers’ willingness to provide the firm with constructive feedback and suggestions), is argued to be crucial to ensure that a satisfied customer repurchases. The authors develop and test a model that predicts that satisfied customers repurchase when they become productive resources through two spontaneous and cooperative customer behaviors: WOM and participation. The empirical findings support the predictions, thus complementing and extending previous research. This research suggests that while WOM has been heralded as an important factor in firm growth, another factor that is at least equally if not more important to future sales is customer participation.
AlbaJoseph W.HutchinsonWesley J. (1987), “Dimensions of Consumer Expertise,”Journal of Consumer Research, 13 (March), 411–454.
2.
AndersonEugene W.MansiSattar A. (2009), “Does Customer Satisfaction Matter to Investors? Findings from the Bond Market,”Journal of Marketing Research, 46 (October), 703–714.
3.
AndersonEugene W.FornellClaesMazvancherylSanal K. (2004), “Customer Satisfaction and Shareholder Value,”Journal of Marketing, 68 (October), 172–185.
4.
AndersonEugene W.MittalVikas (2000), “Strengthening the Satisfaction-Profit Chain,”Journal of Service Research, 3 (2), 107–120.
5.
AndersonEugene W.SullivanMary W. (1993) “The Antecedents and Consequences of Customer Satisfaction for Firms,”Marketing Science, 12 (Spring), 125–143.
6.
ArmstrongScott J.OvertonTerry S. (1977), “Estimating Nonresponse Bias in Mail Surveys,”Journal of Marketing Research, 14 (August), 396–402.
7.
AuhSeigyoungBellSimon J.McLeodColin S.ShihEric (2007), “Co-Production and Customer Loyalty in Financial Services,”Journal of Retailing, 83 (3), 359–370.
8.
AuhSeigyoungJohnsonMichael D. (2005), “Compatibility Effects in Evaluations of Satisfaction and Loyalty,”Journal of Economic Psychology, 26 (1), 35–57.
9.
BagozziRichard P. (1995), “Reflections on Relationship Marketing in Consumer Markets,”Journal of the Academy of Marketing Science, 23 (Fall), 272–277.
10.
BagozziRichard P.YiYoujae (1988), “On the Evaluation of Structural Equation Models,”Journal of the Academy of Marketing Science, 16 (1), 74–94.
11.
BansalHarvir S.VoyerPeter A. (2000), “Word-of-Mouth Processes within a Services Purchase Decision Context,”Journal of Service Research, 3 (2), 166–177.
12.
BellSimon J.EisingerichAndreas B. (2007), “The Paradox of Customer Education: Customer Expertise and Loyalty in Financial Services Industry,”European Journal of Marketing, 41(5/6), 466–486.
13.
BendapudiNeeliLeoneRobert P. (2003), “Psychological Implications of Customer Participation in Co-Production,”Journal of Marketing, 67 (January), 14–28.
14.
BermanBarry (2005) “How to Delight Your Customers,”California Management Review, 48 (Fall), 129–151.
15.
BettencourtLance A. (1997), “Customer Voluntary Performance: Customers as Partners in Service Delivery,”Journal of Retailing, 73 (3), 383–406.
16.
BhattacharyaC. B.RaoHayagreevaGlynnMary Ann (1995), “Understanding the Bond of Identification: An Investigation of Its Correlates Among Art Museum Members,”Journal of Marketing, 59 (4), 46–57.
17.
BhattacharyaC. B.SenSankar (2003), “Consumer-Company Identification: A Framework for Understanding Consumers’ Relationships with Companies,”Journal of Marketing, 67 (April), 76–88.
18.
BlauPeter M. (1964), Exchange and Power in Social Life. New York: John Wiley.
19.
BouldingWilliamKalraAjayStaelinRichardZeithamlValarie A. (1993), “A Dynamic Process Model of Service Quality: From Expectations to Behavioral Intentions,”Journal of Marketing Research, 30 (February), 7–27.
20.
BowersMichael R.MartinCharles L.LukerAlan (1990), “Trading Places: Employees as Customers, Customers as Employees,”Journal of Services Marketing, 4 (2), 55–69.
21.
BrodieRocerick J.HollebeekLinda D.JurićBiljanaIlićAna (2011), “Customer Engagement: Conceptual Domain, Fundamental Propositions, and Implications for Research,”Journal of Service Research, 14 (2), 252–271.
22.
BrownJacqueline JohnsonReingenPeter H. (1987), “Social Ties and Word-of-mouth Referral Behavior,”Journal of Consumer Research, 14 (December), 350–362.
23.
BüttgenMarionSchumannJan H.AtesZelal (2012), “Service Locus of Control and Customer Coproduction: The Role of Prior Service Experience and Organizational Socialization,”Journal of Service Research, 15 (2), 166–181.
24.
ByrneBarbara M. (2009), Structural Equation Modeling with AMOS: Basic Concepts, Applications, and Programming (2nd ed.). New York: Routledge.
25.
ChanKimmy WaYimChi Kin (Bennett)LamSimon S. K. (2010), “Is Customer Participation in Value Creation a Double-Edged Sword? Evidence from Professional Financial Services Across Cultures,”Journal of Marketing, 74 (May), 48–64.
26.
CroninJoseph J.Jr.BradyMichael K.HultG. Tomas M. (2000), “Assessing the Effects of Quality, Value, and Customer Satisfaction on Consumer Behavioral Intentions in Service Environments,”Journal of Retailing, 76 (2), 193–218.
27.
CrossSusan E.MadsonLaura (1997), “Models of the Self: Self-Construals and Gender,”Psychological Bulletin, 122 (July), 5–37.
28.
CurrenMary T.FolkesValerie S.SteckelJoel H. (1992), “Explanations for Successful and Unsuccessful Marketing Decisions: The Decision Maker’s Perspective,”Journal of Marketing, 56 (April), 18–31.
29.
DeutschMorton (1985), Distributive Justice: A Social-Psychological Perspective. New Haven, CT: Yale University Press.
30.
De WulfKristofOdekerken-SchröderGabyIacobucciDawn (2001), “Investments in Consumer Relationships: A Cross-Country and Cross-Industry Exploration,”Journal of Marketing, 65 (October), 33–50.
31.
DholakiaUtpal M.BlazevicVeraWiertzCarolineAlgesheimerRené (2009), “Communal Service Delivery: How Customers Benefit from Participation in Firm-hosted P3 Communities,”Journal of Service Research, 12 (2), 208–226.
32.
EisingerichAndreas B.BellSimon J. (2008), “Perceived Service Quality and Customer Trust: Does Enhancing Customers’ Service Knowledge Matter?”Journal of Service Research, 10 (February), 256–68.
33.
EisingerichAndreas B.KretschmerTobias (2008), “In E-Commerce, More is More,”Harvard Business Review, 86 (3), 20–21.
34.
FangEric (2008), “Customer Participation and the Trade-Off between New Product Innovativeness and Speed to Market,”Journal of Marketing, 72 (July): 90–104.
35.
FolkesValarie S. (1988), “Recent Attribution Research in Consumer Behavior: A Review and New Directions,”Journal of Consumer Research, 14 (4), 548–565.
36.
FornellClaesMithasSunilMorgesonForrest V. IIIKrishnanM. S. (2006), “Customer Satisfaction and Stock Prices: High Returns, Low Risk,”Journal of Marketing, 70 (1), 3–14.
37.
FornellClaesJohnsonMichael D.AndersonEugene W.ChaJaesungBryantBarbara Everitt (1996), “The American Customer Satisfaction Index: Nature, Purpose, and Findings,”Journal of Marketing, 60 (October), 7–18.
38.
FornellClaesWernerfeltBirger (1987), “Defensive Marketing Strategy by Customer Complaint Management: A Theoretical Analysis,”Journal of Marketing Research, 24 (November), 337–346.
39.
GerbingDavid W.AndersonJames C. (1988), “An Updated Paradigm for Scale Development Incorporating Unidimensionality and Its Assessment,”Journal of Marketing Research, 25 (May), 186–192.
40.
GrahamJill W. (1991), “An Essay on Organizational Citizenship Behavior,”Employee Responsibilities and Rights Journal, 4 (4), 249–270.
41.
HeskettJames L.Earl SasserW.SchlesingerLeonard A. (1997), The Service Profit Chain. New York: Free Press.
42.
HessJames D. (2001), “Unidentifiable Relationships in Marketing Conceptual Models,”Review of Marketing Science Working Paper No. 316, (accessed March 28, 2013),[available at http://papers.ssrn.com/sol3/papers.cfm?abstract_id=310881].
43.
HibbertSallyWinklhoferHeidiTemerakMohamed Sobhy (2012), “Customers as Resource Integrators toward a Model of Customer Learning,”Journal of Service Research, 15 (3), 247–261.
44.
HomburgChristianWiesekeJanHoyerWayne D. (2009), “Social Identity and the Service-Profit Chain,”Journal of Marketing, 73 (March), 38–54.
45.
HomburgChristianKoschateNicoleHoyerWayne D. (2005), “Do Satisfied Customers Really Pay More? A Study of the Relationship between Customer Satisfaction and Willingness to Pay,”Journal of Marketing, 69 (April), 84–96.
KarpenIngo O.BoveLiliana L.LukasBryan A. (2012), “Linking Service-Dominant Logic and Strategic Business Practice: A Conceptual Model of a Service-Dominant Orientation,”Journal of Service Research, 15 (1), 21–38.
49.
LemonKatherine N.WhiteTiffany BarnettWinerRussell S. (2002), “Dynamic Customer Relationship Management: Incorporating Future Considerations into the Service Retention Decision,”Journal of Marketing, 66 (January), 1–14.
50.
LibaiBarakBoltonRuthBügelMarnix S.de RuyterKoGötzOliverRisseladaHansStephenAndrew T. (2010), “Customer-to-Customer Interactions: Broadening the Scope of Word of Mouth Research,”Journal of Service Research, 13 (3), 267–282.
51.
LilienGary L.MorrisonPamela D.SearlsKathleenSonnackMaryHippelEric von (2002), “Performance Assessment of the Lead User Idea-Generation Process for New Product Development,”Management Science, 48 (8), 1042–1060.
52.
LiuYong (2006), “Word-of-Mouth for Movies: Its Dynamics and Impact on Box Office Revenue,”Journal of Marketing, 70 (July), 74–89.
53.
LuoXuemingHomburgChristianWiesekeJan (2010), “Customer Satisfaction, Analyst Stock Recommendations, and Firm Value,”Journal of Marketing Research, 47 (6), 1041–1058.
54.
MaxhamJames G.IIINetemeyerRichard G. (2003), “Companies Reap What They Sow: The Effects of Shared Values and Perceived Organizational Justice on Customers’ Evaluations of Complaint Handling,”Journal of Marketing, 67 (January), 46–62.
55.
McAlexanderJames H.SchoutenJohn W.KoenigHarold F. (2002), “Building Brand Community,”Journal of Marketing, 66 (January), 38–54.
56.
MelnykValentynaOsselaerStijn M. J. vanBijmoltTammo H. A. (2009), “Are Women more Loyal Customers than Men? Gender Differences in Loyalty to Firms and Individual Service Providers,”Journal of Marketing, 73 (July), 82–96.
57.
MiyakeNaomiNormanDonald A. (1979), “To Ask a Question, One Must Know Enough to Know What is Not Known,”Journal of Verbal Learning and Verbal Behavior, 18 (June), 357–64.
58.
MoralesAndrea C. (2005), “Giving Firms an ‘E’ for Effort: Consumer Responses to High-Effort Firms,”Journal of Consumer Research, 31 (March), 806–812.
59.
MuñizAlbert M.Jr.O’GuinnThomas C. (2001), “Brand Community,”Journal of Consumer Research, 27 (4), 412–432.
60.
ParkWhan C.EisingerichAndreas B.ParkJason Whan (2013), “Attachment-Aversion (AA) Model of Customer-Brand Relationships,”Journal of Consumer Psychology, 23 (2), 229–248.
61.
ParkWhan C.MacInnisDeborah J.PriesterJosephEisingerichAndreas B.IacobucciDawn (2010), “Brand Attachment and Brand Attitude Strength: Conceptual and Empirical Differentiation of Two Critical Brand Equity Drivers,”Journal of Marketing, 74 (November), 1–17.
62.
PayneAdrian F.StorbackaKajFrowPennie (2008), “Managing the Co-Creation of Value,”Journal of the Academy of Marketing Science, 36 (1), 83–96.
63.
PingRobert A.Jr. (1993), “The Effects of Satisfaction and Structural Constraints on Retailer Exiting, Voice, Loyalty, Opportunism, and Neglect,”Journal of Retailing, 69 (Fall), 320–352.
64.
PodsakoffPhillip M.MacKenzieScott B.LeeJeong-YeonPodsakoffNathan P. (2003). “Common Method Biases in Behavioral Research: A Critical Review of the Literature and Recommended Remedies,”Journal of Applied Psychology, 88 (October), 879–903.
65.
PrahaladC. K.RamaswamyVenkatram (2000), “Co-Opting Customer Competence,”Harvard Business Review, 78(January/February), 78–87.
66.
PreacherKristopher J.HayesAndrew F. (2004), “SPSS and SAS Procedures for Estimating Indirect Effects in Simple Mediation Models,”Behavior Research Methods, Instruments, & Computers, 36 (4), 717–731.
67.
ReichheldFrederick F. (2003), “The One Number You Need to Grow,”Harvard Business Review, 81 (December), 46–54.
68.
RingleC. M.WendeS.WillS. (2005), SmartPLS 2.0 (M3) Beta. Hamburg, Germany: Hamburg University of Technology.
69.
SchneiderBenjaminEhrhartMark G.MayerDavid M.SaltzJessica L.Niles-JollyKathryn Niles (2005), “Understanding Organization-Customer Links in Service Settings,”Academy of Management Journal, 48 (6), 1017–1032.
70.
SchneiderBenjaminBowenDavid E. (1995), Winning the Service Game. Boston, MA: Harvard Business School Press.
71.
SchreierMartinOberhauserStefanPrüglReinhard (2006), “Lead Users and the Adoption and Diffusion of New Products: Insights from Two Extreme Sports Communities,”Marketing Letters, 18 (1-2), 15–30.
72.
ShahDenishRustRoland T.ParasuramanA.StaelinRichardDayGeorge S. (2006), “The Path to Customer Centricity,”Journal of Service Research, 9 (November), 113–124.
73.
ShethJagdish N.SisodiaRajendra S.SharmaArun (2000), “The Antecedents and Consequences of Customer-Centric Marketing,”Journal of the Academy of Marketing Science, 28 (December), 55–66.
74.
SinghJagdip (1990), “Voice, Exit, and Negative Word-of-Mouth Behaviors: An Investigation Across Three Service Categories,”Journal of the Academy of Marketing Science, 18 (Winter), 1–15.
75.
SobelMichael E. (1982), “Asymptotic Intervals for Indirect Effects in Structural Equations Models,” in Sociological Methodology, LeinhartS., ed. San Francisco, CA: Jossey-Bass, 290–312.
SteenkampJan-Benedict E. M.BaumgartnerHans (1998), “Assessing Measurement Invariance in Cross-National Consumer Research,”Journal of Consumer Research, 25 (June), 78–90.
78.
TrusovMichaelBucklinRandolph E.PauwelsKoen (2009), “Effects of Word-of-Mouth versus Traditional Marketing: Findings from an Internet Social Networking Site,”Journal of Marketing, 73 (September), 90–102.
79.
van DoornJennyLemonKatherine N.MittalVikasNassStephanPickDoreénPirnerPeterVerhoefPeter C. (2010), “Customer Engagement Behavior: Theoretical Foundations and Research Directions,”Journal of Service Research, 13 (3), 253–266.
80.
van DyneLynnGrahamJill W.DieneschRichard M. (1994), “Organizational Citizenship Behavior: Construct Redefinition, Measurement, and Validation,”Academy of Management Journal, 37 (4), 765–802.
81.
VargoStephen L.LuschRobert F. (2004), “Evolving Toward a New Dominant Logic for Marketing,”Journal of Marketing, 68 (January), 1–17.
82.
VerhoefPeter C.FransesPhilip H.HoekstraJanny C. (2001), “The Impact of Satisfaction on Payment Equity on Cross Buying: A Dynamic Model for a Multi-Service Provider,”Journal of Retailing, 77 (3), 359–378.
83.
VillanuevaJulianYooShijinHanssensDominique M. (2008), “The Impact of Marketing-Induced Versus Word-of-Mouth Customer Acquisition on Customer Equity Growth,”Journal of Marketing Research, 45 (February), 48–59.
84.
von HippelEric (2005), Democratizing Innovation. Cambridge, MA: The MIT Press.
85.
WalterIsaacson (2011), Steve Jobs by Walter Isaacson. New York: Simon & Schuster.
86.
WheelockAnaEisingerichAndreas B.GomezGabriela B.GrayEmilyDybulMark R.PiotPeter (2012), “Views of Policymakers, Healthcare Workers and NGOs on HIV Pre-Exposure Prophylaxis (PrEP): A Multinational Qualitative Study,”BMJ Open, 2 (4), e001234.
87.
WiesekeJanGeigenmüllerAnjaKrausFlorian (2012), “On the Role of Empathy in Customer-Employee Interactions,”Journal of Service Research, 15 (3), 316–331.
88.
WindJerryRangaswamyArvind (2000), “Customerization: The Next Revolution in Mass Customization,”Marketing Science Institute Working Paper No. 00-108, Marketing Science Institute, Cambridge, MA.
89.
XieChunyanBagozziRichard P.TroyeSigurd V. (2008), “Trying to Prosume: Toward a Theory of Consumers as Co-Creators of Value,”Journal of the Academy of Marketing Science, 36 (1), 109–122.
90.
YenHsiuJu RebeccaGwinnerKevin P.WanruSu (2004), “The Impact of Customer Participation on Service Expectation on Locus Attributions Following Service Failure,”International Journal of Service Industry Management, 15 (1), 7–26.
91.
ZeithamlValarie A.BerryLeonard L.ParasuramanA. (1996), “The Behavioral Consequences of Service Quality,”Journal of Marketing, 60 (April), 31–46.
Supplementary Material
Please find the following supplemental material available below.
For Open Access articles published under a Creative Commons License, all supplemental material carries the same license as the article it is associated with.
For non-Open Access articles published, all supplemental material carries a non-exclusive license, and permission requests for re-use of supplemental material or any part of supplemental material shall be sent directly to the copyright owner as specified in the copyright notice associated with the article.
