The Effects of Failure Recovery Strategies on Customer Behaviours Via Complainants

ER B., KURTARAN A., CENGİZ E.

Banks and Banks Systems, vol.2, no.3, pp.173-198, 2007 (Peer-Reviewed Journal)

  • Publication Type: Article / Article
  • Volume: 2 Issue: 3
  • Publication Date: 2007
  • Journal Name: Banks and Banks Systems
  • Journal Indexes: EconLit
  • Page Numbers: pp.173-198
  • Karadeniz Technical University Affiliated: Yes

Abstract

The primary objective of this study is to investigate the effects of service recovery strategies
on customer satisfaction. Specifically, it examines the perception of justice in service recovery
and how it affects the level of satisfaction and behavioral outcomes. A total of 408 customers that
choosen with random sampling method, from four major Turkish banks were surveyed, and structural
equations models were used to verify the reliability and validity of the scale of perceived value.
Our results indicate that service failure recovery strategies in banks affect justice perceptions
directly. On the other hand, perceptions of justice influence satisfaction with recovery, overall firm
satisfaction, loyalty to the employee, loyalty to the organization.