TY - JOUR
T1 - Spillover effects of service failures in coalition loyalty programs
T2 - the buffering effect of special treatment benefits
AU - Schumann, Jan H.
AU - Wünderlich, Nancy V.
AU - Evanschitzky, Heiner
PY - 2014/3/1
Y1 - 2014/3/1
N2 - Coalition loyalty programs are on the rise, yet few studies investigate the impact of service failures in such programs. Using data from a retail context, the authors show that a program partner deemed responsible for a service failure suffers negative customer responses. However, customers' perceptions of the benefits of the coalition loyalty program buffer these consequences. Perhaps most importantly, when customers perceive the program's special treatment benefits as low, direct and indirect spillover effects occur, such that a service failure by one program partner has a negative effect on customer loyalty toward the program itself.
AB - Coalition loyalty programs are on the rise, yet few studies investigate the impact of service failures in such programs. Using data from a retail context, the authors show that a program partner deemed responsible for a service failure suffers negative customer responses. However, customers' perceptions of the benefits of the coalition loyalty program buffer these consequences. Perhaps most importantly, when customers perceive the program's special treatment benefits as low, direct and indirect spillover effects occur, such that a service failure by one program partner has a negative effect on customer loyalty toward the program itself.
KW - service failure
KW - spillover effects
KW - buffering effect
KW - coalition loyalty program
UR - http://www.scopus.com/inward/record.url?scp=84881096189&partnerID=8YFLogxK
U2 - 10.1016/j.jretai.2013.06.005
DO - 10.1016/j.jretai.2013.06.005
M3 - Article
AN - SCOPUS:84895910874
SN - 0022-4359
VL - 90
SP - 111
EP - 118
JO - Journal of Retailing
JF - Journal of Retailing
IS - 1
ER -