Purpose
This paper aims to explore the evolution of the service environment literature and speculates about future research in this area. This paper focuses on studies regarding how the interior and exterior environments of physical service settings (including retail stores) influence consumer response. Web atmospherics are not covered in this paper. In addition, while a number of studies have been conducted on retail and service atmospherics elements in other disciplines, such as environmental psychology and leisure and hospitality, the focus is on research published in marketing and consumer-related journals.
Design/methodology/approach
This paper reports the results of empirical studies; however, as there are few empirical studies on the effects of exterior environmental characteristics (e.g. storefronts) in marketing, two conceptual papers on this topic will be reviewed to set the stage for future research on exterior design.
Findings
Over the past 40 years, there has been a proliferation of articles on how service environments influence consumer responses. The review covers illustrative examples of articles in several categories of environmental topics. The areas for future research based on the review are suggested.
Originality/value
An up-to-date review of service environment research that is broad in scope is provided. The authors also propose 41 different research questions based on the review that services scholars can use to take this area of inquiry forward.
We examine decision-making under risk as a function of the degree to which consumers anthropomorphize their luck. We propose that consumers make riskier financial decisions when they anthropomorphize (vs. objectify) their luck and that this effect occurs because humanizing luck engenders a perceived sharing of risk in the presence of "lady luck." A series of experiments shows that consumers among whom anthropomorphized versus objectified luck is salient display greater risk-taking in financial, but not social, decisions. These effects are heightened among consumers who frequently engage in risky decision-making and are driven by perceptions of risk-sharing produced by anthropomorphized luck. Collectively, these findings document how anthropomorphizing luck can influence consumers' decision-making within the financial domain. We discuss important consumer welfare implications associated with the negative consequences that result from repeated detrimental consumer behaviors, particularly given the pervasive use of anthropomorphized luck by marketers in the gambling domain.For a change, lady luck seemed to be smiling on me. Then again, maybe the fickle wench was just lulling me into a false sense of security while she reached for a rock.
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