This study examines the driver influence of service recovery performance (SRP) on customer engagement (CE) and customer loyalty (CL) in the Indian retail banking setting. Data collected from a sample of 457 customers who had recent experiences of service failure formed the basis of the empirical investigation. All constructs under examination were measured through structured questionnaires developed in previous research work in this area of study. However, the validity and reliability of the scales were reassessed before the final data analysis. Empirical results indicate that SRP positively influences CE and, concomitantly, CL. Further, CE fully mediates the relationship between service recovery and CL. In addition, it was observed that the structural linkages among SRP, CE and CL are significantly moderated by the gender of the customer. Banking companies are, therefore, advised to consider service failures as an opportunity, rather than a threat, to nurture CE and loyalty. Also, the gender of the customer (male/female) must be considered in deciding the recovery approach.
AlbrechtK., & ZemkeR. (1985). Service America!Dow Jones Irwin.
2.
AliM., & RazaS. A. (2017). Service quality perception and customer satisfaction in Islamic banks of Pakistan: The modified SERVQUAL model. Total Quality Management & Business Excellence, 28(5/6), 559–577.
3.
BakkerA., & DemeroutiE. (2007). The job demands-resources model: State of the art. Journal of Managerial Psychology, 22(3), 309–328.
4.
BellC. R. (1994). Turning disappointment into customer delight. Editor and Publisher, 127(32), 38–48.
5.
BemS. L. (1974). The measurement of psychological androgyny. Journal of Consulting and Clinical Psychology, 42(2), 155–162.
6.
BerryL. L. (1995). Relationship marketing of services—Growing interest, emerging perspectives. Journal of the Academy of Marketing Science, 23(4), 236–245.
7.
BhatS. A., & DarziM. A. (2014). Exploring the role of gender on customer satisfaction: a customer relationship perspective from banking sector. The Business Review, 18(1/2), 44–51.
8.
BitnerM. J., BoomsB. H., & TetreaultM. S. (1990). The service encounter: Diagnosing favourable and unfavourable incidents. Journal of Marketing, 54(January), 71–84.
9.
BoshoffC. (2012). A neurophysiological assessment of consumers’ emotional responses to service recovery behaviors: The impact of ethnic group and gender similarity. Journal of Service Research, 15(4), 401–413.
10.
BourantaN., PsomasE., & VouzasF. (2019). The effect of service recovery on customer loyalty: The role of perceived food safety. International Journal of Quality and Service Sciences, 11(1), 69–86.
11.
BrodieR. J., HollebeekL. D., JurićB., & IlićA. (2011). Customer engagement: Conceptual domain, fundamental propositions, and implications for research. Journal of Service Research, 14(3), 252–271.
12.
BrodieR. J., IlicA., JuricB., & HollebeekL. (2013). Consumer engagement in a virtual brand community: An exploratory analysis. Journal of Business Research, 66(1), 105–114.
13.
Cambra-FierroJ., Berbel-PinedaJ. M., Ruiz-BenítezR., & Vázquez-CarrascoR. (2013). Analysis of the moderating role of the gender variable in service recovery processes. Journal of Retailing and Consumer Services, 20(4), 408–418.
14.
Cambra-FierroJ. J., Melero-PoloI., & SeseF. J. (2016). Can complaint-handling efforts promote customer engagement?Service Business, 10(4), 847–866.
15.
ChengB. L., GanC. C., ImrieB. C., & MansoriS. (2019). Service recovery, customer satisfaction and customer loyalty: evidence from Malaysia’s hotel industry. International Journal of Quality and Service Sciences, 11(2), 187–203.
16.
CronbachL. J. (1951). Coefficient alpha and the internal structure of tests. Psychometrika, 16(3), 297–334.
17.
DeWittT., NguyenD. T., & MarshallR. (2008). Exploring customer loyalty following service recovery: The mediating effects of trust and emotions. Journal of Service Research, 10(3), 269–281.
18.
EhimareO. A. (2012). The financial sector reforms and their effect on Nigerian economy. Economy Trans-Disciplinary Cognition, 15(2), 45–57.
19.
GrewalD., BakerJ., LevyM., & VossG. B. (2003). The effects of wait expectations and store atmosphere evaluations on patronage intentions in service-intensive retail stores. Journal of Retailing, 79(1), 259–268.
20.
HarriganP., EversU., MilesM., & DalyT. (2017). Customer engagement with tourism social media brands. Tourism Management, 59(3), 597–609.
21.
HigginsE. T., & ScholerA. A. (2009). Engaging the consumer: The science and art of the value creation process. Journal of Consumer Psychology, 19(2), 100–114.
22.
HollebeekL. (2011). Exploring customer brand engagement: Definition and themes. Journal of strategic Marketing, 19(7), 555–573.
23.
HollebeekL. D., GlynnM. S., & BrodieR. J. (2014). Consumer brand engagement in social media: Conceptualization, scale development and validation. Journal of Interactive Marketing, 28(1), 149–165.
24.
HollebeekL. D., SrivastavaR. K., & ChenT. (2019). SD logic–informed customer engagement: integrative framework, revised fundamental propositions, and application to CRM. Journal of the Academy of Marketing Science, 47(1), 161–185.
25.
HomburgC., & GieringA. (2001). Personal characteristics as moderators of the relationship between customer satisfaction and loyalty—An empirical analysis. Journal of Psychology & Marketing, 18(1), 43–66.
26.
IslamJ., RahmanZ., & HollebeekL. D. (2017). Personality factors as predictors of online consumer engagement: an empirical investigation. Marketing Intelligence & Planning, 35(4), 510–528.
27.
IslamJ., RahmanZ., & HollebeekL. (2018). Consumer engagement in online brand communities: A solicitation of congruity theory. Internet Research, 28(1), 23–45.
28.
IslamJ. U., HollebeekL. D., RahmanZ., KhanI., & RasoolA. (2019). Customer engagement in the service context: An empirical investigation of the construct, its antecedents and consequences. Journal of Retailing and Consumer Services, 50, 277–285.
29.
KumarV., RajanB., GuptaS., & Dalla PozzaI. (2019). Customer engagement in service. Journal of the Academy of Marketing Science, 47(1), 138–160.
30.
LorenzoniN., & LewisB. R. (2004). Service recovery in the airline industry: a cross-cultural comparison of the attitudes and behaviours of British and Italian front-line personnel. Managing Service Quality, 14(1), 11–25.
31.
LuongA. (2007). Gender and the under expression of friendliness in the service context. Journal of Management and Organization, 13(2), 102–113.
32.
MackR., MuellerR., CrottsJ., & BroderickA. (2000). Perceptions, corrections, and defections: implications for service recovery in the restaurant industry. Managing Service Quality, 10(6), 339–346.
33.
MagnussonD., & EndlerN. S. (1977). Personality at the crossroads: Current issues in international psychology. Erlbaum.
34.
Marketing Science Institute (MSI). (2016). Research priorities. Author.
35.
MathewS., JoseA., RejikumarG., & ChackoD. P. (2020). Examining the relationship between e-service recovery quality and e-service recovery satisfaction moderated by perceived justice in the banking context. Benchmarking: An International Journal, 27(6), 1951–1980.
36.
MattilaA. S., GrandeyA. A., & FiskG. M. (2003). The interplay of gender and affective tone in service encounter satisfaction. Journal of Service Research, 6(2), 136–143.
37.
McColl-KennedyJ. R., DausC. S., & SparksB. A. (2003). The role of gender in reactions to service failure and recovery. Journal of Service Research, 6(1), 66–82.
38.
McColloughM. A., BerryL. L., & YadavM. S. (2000). An empirical investigation of customer satisfaction after service failure and recovery. Journal of Service Research, 3(2), 121–137.
39.
MillerJ. L., CraigheadC. W., & KarwanK. R. (2000). Service recovery: A framework and empirical investigation. Journal of Operations Management, 18(4), 387–400.
40.
MittalV., & KamakuraW. (2001). Satisfaction, repurchase intent and repurchase behaviour: Investigating the moderating effect of customer characteristics. Journal of Marketing Research, 38, 131–142.
41.
MolsN. P. (1998). The behavioural consequences of PC banking. International Journal of Bank Marketing, 16(5), 195–201.
42.
NunnallyJ. C., & BernsteinI. H. (1994). Psychometric theory. McGraw Hill.
43.
ParasuramanA. (2006). Modeling opportunities in service recovery and customermanaged interactions. Marketing Science, 25(6), 590–593.
44.
PavlouP. A., LiangH., & XueY. (2007). Understanding and mitigating uncertainty in online exchange relationships: a principal-agent perspective. MIS Quarterly, 31(1), 105–136.
45.
PodsakoffP. M., MackenzieS. B., LeeJ. Y., & PodsakoffN. P. (2003). Common method biases in behavioural research: a critical review of the literature and recommended remedies. Journal of Applied Psychology, 88(5), 879–903.
46.
RatherR. A., & SharmaJ. (2019). Dimensionality and consequences of customer engagement: A social exchange perspective. Vision, 23(3), 255–266.
47.
RatherR. A., HollebeekL. D., & IslamJ. (2019). Tourism-based customer engagement: the construct, antecedents, and consequences. The Service Industries Journal, 39(7–8), 519–540.
48.
RosenbaumS. (2015). The brave new world of customer service. Forbes, June 7. http://www.forbes.com/sites/stevenrosenbaum/2015/06/07/the-brave-new-world-of-customer-service/#2715e4857a0ba7324755098f
49.
SharmaP., ChenI. S., & LukS. T. (2012). Gender and age as moderators in the service evaluation process. Journal of Services Marketing, 26(2), 102–114.
50.
SoK. K. F., KingC., & SparksB. (2014). Customer engagement with tourism brands scale development and validation. Journal of Hospitality & Tourism Research, 38(3), 304–329.
51.
SoK. K. F., KingC., SparksB. A., & WangY. (2016). The role of customer engagement in building consumer loyalty to tourism brands. Journal of Travel Research, 55(1), 64–78.
52.
SrivastavaM. (2015). Influencers of customer satisfaction-customer loyalty relationship: a conceptual research model. Indore Management Journal, 7(1), 54–65.
53.
TorresE. N., & KlineS. (2006). From satisfaction to delight: a model for the hotel industry. International Journal of Contemporary Hospitality Management, 18(4), 290–301
54.
Van DoornJ., LemonK. N., MittalV., NassS., PickD., PirnerP., & VerhoefP. C. (2010). Customer engagement behaviour: Theoretical foundations and research directions. Journal of Service Research, 13(3), 253–266.
55.
VivekS. D., BeattyS. E., & MorganR. M. (2012). Customer engagement: Exploring customer relationships beyond purchase. Journal of Marketing Theory and Practice, 20(2), 122–146.
56.
WalshG., EvanschitzkyH., & WunderlichM. (2008). Identification and analysis of moderator variables. European Journal of Marketing, 42(9/10), 977–1004.
57.
WenB., & ChiC. G. (2013). Examine the cognitive and affective antecedents to service recovery satisfaction: A field study of delayed airline passengers. International Journal of Contemporary Hospitality Management, 25(3), 306–327.
58.
WhiteK., & DahlD. W. (2006). To be or not be? The influence of dissociative reference groups on consumer preferences. Journal of Consumer Psychology, 16(4), 404–414.
59.
YangZ., & PetersonR. T. (2004). Customer perceived value, satisfaction and loyalty: the role of switching costs. Psychology & Marketing, 21(10), 799–822.
60.
YukselA., KilincU. G., & YukselF. (2006). Cross-national analysis of hotel customers’ attitudes toward complaining and their complaining behaviours. Tourism Management, 27(1), 11–24.
61.
ZahoorA. (2020). Employee proactivity, work engagement, job resources and service recovery performance: A study of structural linkages. Journal of Contemporary Marketing Science, 3(2), 153–168.
62.
ZahoorA. (2021). Job crafting and service recovery performance: insight from Indian retail banking. Decision, 48(1), 115–126.
63.
ZahoorA., & SahafM. A. (2018). Investigating causal linkages in the balanced scorecard: An Indian perspective. International Journal of Bank Marketing, 36(1), 184–207.
64.
ZahoorA., & SiddiqiM. A. (2021). Customer incivility and service recovery performance: Job crafting as a buffer. Vision. https://doi.org/10.1177/0972262921991963
65.
ZhangM., GuoL., HuM., & LiuW. (2017). Influence of customer engagement with company social networks on stickiness: Mediating effect of customer value creation. International Journal of Information Management, 37(3), 229–240.
66.
ZhouY., TsangA. S. L., HuangM., & ZhouN. (2014). Does delaying service-failure resolution ever make sense?Journal of Business Research, 67(2), 159–166.
