Customer reactions to encountering consecutive service failures

Abstract

According to previous studies, many consumers in Taiwan have experienced consecutive service failures. Despite these failures, many consumers still remain loyal to a service provider for a variety of reasons, such as money deposits, contractual agreements, associated costs, time constrains, and health concerns. We attempt to investigate the emotional reactions and expectations of consumers after they have experienced two consecutive service failures. Our findings reveal that for high-involvement services, although customers display strong negative emotional reactions after each service failure, the reaction to the second service failure is less intensive than that to the first one. Furthermore, our findings show that as long as the products or services remain in use, customers tend to retain high levels of expectation in regard to the service provider. © 2012 John Wiley & Sons, Ltd.