The Influence of Service Recovery on Customer Revisit and Loyalty Intentions: A Case Study of Hotel Services in Vientiane, Lao PDR
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Service failure is inevitable in hotel service delivery which may lead to breakdown in relationship among customers and the hotels or may put a hotel out of business. Service recovery is a method in responding to the service failure, it could help hotels remain positive relationship with customer. This study aims to seek for the types of service failure that frequently occurred in hotel service in the Lao PDR, to discover the service recovery strategies and to examine the relationship among service recovery effort, recovery satisfaction, re-visit intention and loyalty. The result indicated that the most common service failures are related to poor internet access; follow by lack of local tourism information; food on menu unavailable and slow check in and check out. The most regularly used service recovery strategy presently is an apology, followed by explain and correct the problem. The study also revealed that the customer recovery satisfaction was influenced by fairness of manner and of outcome, but it was not influenced by the fairness of the process of service recovery. Both re-visit intention and royalty were affected by customer recovery satisfaction.
Abstract
Service failure is inevitable in hotel service delivery which may lead to breakdown in relationship among customers and the hotels or may put a hotel out of business. Service recovery is a method in responding to the service failure, it could help hotels remain positive relationship with customer. This study aims to seek for the types of service failure that frequently occurred in hotel service in the Lao PDR, to discover the service recovery strategies and to examine the relationship among service recovery effort, recovery satisfaction, re-visit intention and loyalty. The result indicated that the most common service failures are related to poor internet access; follow by lack of local tourism information; food on menu unavailable and slow check in and check out. The most regularly used service recovery strategy presently is an apology, followed by explain and correct the problem. The study also revealed that the customer recovery satisfaction was influenced by fairness of manner and of outcome, but it was not influenced by the fairness of the process of service recovery. Both re-visit intention and royalty were affected by customer recovery satisfaction.
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