Article
Customer Satisfaction

Customer Perceptions of Service Recovery Fairness: An Empirical Investigation in the Thai Hotel Sector

Date: 06/03/2014
Author: Stavros Kalafatis, Jaywant Singh, Benedetta Crisafulli, Francesca Dall’Olmo Riley
Contributor: eb™ Research Team

A fair recovery positively influences customer satisfaction and repatronage intentions following a service failure. While the link between perceived recovery fairness (justice) and customer satisfaction is well-established, evidence on recovery efforts influencing justice perceptions is inconsistent. Underpinned by justice theory, this study identifies the antecedents of recovery fairness in the hotel sector in Thailand, an important emerging market. Employing a scenario-based experiment (n=306), the study examines how justice perceptions vary across age groups and types of service failure. The findings show interpersonal treatment during recovery as a key determinant of justice perceptions. Additionally, failure type and customer age influence justice perceptions. The findings have implications for service management in the emerging markets.