The Effect of Service Recovery Strategies on Attitude Towards Recovery and Intention to Reuse; Mass Service vs. Service Shop

Abstract

This paper conducted a study based on circumstances where service providers respond to customers after a service failure. The study adopted 4 different recovery strategies: apology, compensation, listening, and response speed as responsive. It determines the impact of each recovery strategy type on the customer's attitude and reuse intentions for recovery. Here, the fabricated scenarios of service types, mass service (restaurant), and service shop (hospital) were used to verify moderating effects. In total, 300 copies were distributed for the survey. 278 copies, excluding 22 copies with missing answers and non-responses were included for the study.

The analysis results are as follows. First, all 4 service recovery strategies have positively influenced attitudes toward recovery. Second, it was found that service recovery strategies can moderate the effect on attitude towards recovery depending on the service type. Third, it was confirmed that the recovery attitude mediates between the service recovery strategy and the reuse intention. Finally, attitude towards recovery had a positive effect on the intention of reusing.

Recovery strategies are crucial for customer complaints and suggest that they are practical in encouraging positive word-of-mouth communications and intention to reuse.