Banking customers' varied reactions to service recovery strategies
Abstract
Purpose
Through means of an empirical study of service recovery in US retail banking this paper aims to examine the link between satisfaction and various recovery strategies.
Design/methodology/approach
A total of 310 bank customers responded to a survey addressing customer demographics, levels of satisfaction, types of recovery strategies, and service recovery employees. Frequencies, chi‐square analysis and correspondence analysis were used to analyze the data.
Findings
The findings show no significant difference in recovery strategies or satisfaction by customer age, gender, or tenure with bank. However, the degree of customer satisfaction was strongly influenced by the type of recovery strategy used by the bank. The results indicate that recovery efforts are best directed toward empathic listening and fixing the problem rather than apologizing or making atonement.
Originality/value
This study of service recovery in US retail banking provides useful information on the link between satisfaction and various recovery strategies.
Keywords
Citation
Duffy, J.A.M., Miller, J.M. and Bexley, J.B. (2006), "Banking customers' varied reactions to service recovery strategies", International Journal of Bank Marketing, Vol. 24 No. 2, pp. 112-132. https://doi.org/10.1108/02652320610649923
Publisher
:Emerald Group Publishing Limited
Copyright © 2006, Emerald Group Publishing Limited