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Purpose The increasing popularity of immersive activities (e.g. immersive performing art (IPA) at tourism destinations calls for the need to understand customers’ immersive experiences and its impact on their attitudes and behavioral intentions. This study aims to conceptualize customers’ interactive experience in IPA and systematically examine how interaction in IPA experience shapes customers’ word-of-mouth (WOM) intention and thus generates business values for destination managers. Design/methodology/approach A two-step mixed-methods approach was used. The qualitative study was adopted to identify the salient dimensions of interaction in IPA experience and develop a context-specific measurement scale. Structural equation modeling approach was applied to test the theoretical model using partial least squares 3.3.0. Findings The results indicated that the three dimensions of interaction in IPA experience (i.e. parasocial interaction, narrative interaction and environmental interaction) are positively related to customers’ experiences of narrative transportation and self-expansion related to the IPA, which further influence their WOM intention. Originality/value This study considers IPA as an emerging form of immersive tourism activities and conceptualizes its interactive nature, and contributes to the understanding of how customers’ interactive experience helps them construct meanings through narrative transportation, and offers valuable guidance for IPA designers and destination management organizations.