Purpose The purpose of this study is to investigate the impact of service recovery dimensions on customer satisfaction and, subsequently, on customer loyalty in the context of the hotel industry. Design/methodology/approach A self-administered questionnaire was distributed to 500 respondents who had the experiences of staying in the hotels in Malaysia. The structural equation modelling technique was used to study the relationship between the model and the developed hypotheses. Findings The findings revealed that service recovery dimensions are significantly related to customer satisfaction and have a positive relationship between customer satisfaction and customer loyalty. Practical implications As the main sector in the hospitality business, hotels play a vital role in the tourism industry. Therefore, the developments in tourism and hotels go hand in hand, as they are mutually dependent on each other. With significant yearly developments in the tourism industry and at a constant rate, hotel operators should reconsider their business strategies to achieve customer loyalty and sustain their businesses. In view of that, the findings of this study not only benchmarks better hotel services but also provides an improved understanding of service recovery that will effectively aid hotel operators in handling service failures; otherwise, customer dissatisfaction may occur if poor service recovery strategies are implemented. Originality/value The intense competition in the service industry has driven companies to place extra attention on service recovery so as to ensure continuous success. With a yearly significant development in the tourism industry at a constant rate, hotel providers (one of the major beneficiaries) are driven to reconsider their business strategies to achieve customer loyalty and sustain their business.

The eagerness of global marketers to establish a competitive advantage based upon service quality excellence within emerging markets displays a degree of naïveté in respect to the influence of environmental factors upon consumption behaviour. An example of this is the global application of Parasuraman, Zeithamal and Berry’s conceptualisation of service quality (SERVQUAL) in 1988 without consideration of the possible influence of the variety of cultures found in international markets. This paper takes a cautionary stance to such global application, and proposes that cultural values endow consumers with rules that guide their evaluation of service quality. Field research was conducted within Taiwan to ascertain whether the dominant service quality model holds in this “foreign” environment. The results indicate that not only do cultural values influence the hierarchy of service quality dimensions, but also that Parasuraman et al.’s SERVQUAL conceptual model does not capture the breadth of criteria utilised by Taiwanese consumers. Interpersonal relations are highlighted as a dimension of service quality that is not adequately addressed by SERVQUAL.

A fundamental proposition in marketing strategy is that a market orientation is positively related to firm performance. However, the mechanisms of this relationship have yet to be explored in detail, especially in service industries where intangible assets are relatively more important. This paper addresses this issue by proposing a model that identifies important intermediate variables between a market orientation and increased firm value. The model posits that a market orientation guides investment in market-based assets and other asset types, that these assets may be levered to create a competitive advantage and value for customers, and that this results in loyalty and easier customer attraction. Quicker and more extensive market penetration, shorter sales cycles, and decreased marketing and sales costs enhance the cash flow of a market-oriented firm. This may be recognised in higher valuations, which ultimately translate into higher share prices and wealth creation for the owners of the firm.

As the number of tourists continues to grow globally, the hospitality industry players inevitably face more challenges. High competition among the competitors and emergence of new technologies such as online booking platforms make the competition more intense among players in the hospitality sector. The quality of services provided is undoubtedly crucial to the success of the hotel. Hence any service failure has to be addressed appropriately in order to maintain a high level of customer satisfaction and to keep the image of the hotel intact. It is therefore vital that service recovery programmes are carefully planned to meet various types of service failures which may inevitably occur. In this study, questionnaires were distributed to customers who had experienced service failures. The aim was to investigate the influence of service quality and service recovery on satisfaction, and ultimately the effect on customer loyalty. The research also tested the mediating effect of corporate image between the relationship of customer satisfaction and customer loyalty. The findings showed that both service recovery and service quality had a significant impact on customer satisfaction. Similarly, it was found that customer satisfaction induced customer loyalty towards the hotel operator. The result also showed corporate image mediated partially between the relationship of customer satisfaction and customer loyalty.

Purpose-The purpose of this paper is to extend the emergent consumer tribe literature to facilitate a more complete understanding of the antecedents and roles implicit within consumer tribal membership. Principally a conceptual paper, this study focuses upon how a more complete understanding of consumer roles can be leveraged to create sustainable loyalty. Design/methodology/approach-This study comprised an examination of the tribe's social behaviour, membership roles and influence on individual consumption. The research was approached interpretively with a case study design investigating a tribe of vinyl record collectors in a New Zealand context. Findings-Key findings include the confirmation of Kozinets' antecedents of tribal membership and the four roles of tribal members previously conceptualised by Cova and Cova. The tribe was found to have a core set of values that moderated any individual differences. A hierarchy, managed through the distribution of "cultural capital", was found to exist amongst the group. In an extension of Cova's modelling a fifth role of "Chief" was identified, whereby the Chief was found to act as an opinion leader and organiser amongst the group. Research limitations/implications-Owing to constraints of both time and research funding, only one tribe was examined in this case study, hence the results are very specific to the group studied. Future research should apply the managerial implications from this study to other case contexts to test and expand understanding of consumer tribe dynamics and the creation of consumer loyalty. Originality/value-This paper creates a link between extant consumer behaviour, loyalty and consumer culture theory. The presented results have implications for the marketing manager through advancement towards creation of a model of tools a firm can use to connect with and build sustainable loyalty with consumer tribes.