Intl Conference on Economics, Finance & Business, Prague

EFFECT OF CUSTOMER EMOTIONAL INTELLIGENCE ON RELATIONSHIP BETWEEN SERVICE RECOVERY AND CUSTOMER SATISFACTION

SIRIJIN WONGJARUPUN, KORAKOT WICHITPONG, PREEYANUCH APIBUNYOPAS

Abstract:

Service is a process of human interaction, specifically an interaction between employees and customers. Service recovery is crucial in the service sector, particularly when a company fails to meet customer expectations. Prompt and appropriate actions are needed as service recovery is closely related to customer emotions, which greatly impact satisfaction. Customers exhibit varying levels of emotional intelligence (EI) when responding to service recovery. EI is necessary for both service employees and customers in achieving effective service delivery. However, the role of customer EI during service recovery lacks attention in the academic research. Thus, this study aims to investigate the effect of customer EI, as a moderator, on the relationship between service recovery and customer satisfaction. Survey research with 305 respondents was conducted. Ordinary least squares regression was used to determine whether customer EI influences the relationship between service recovery and customer satisfaction. Quantile regression was employed to explore the moderator’s effect across different levels of customer satisfaction. The results revealed that customer EI positively moderates the relationship between service recovery and customer satisfaction. However, the influence of this moderator was primarily observed at low to moderate levels of customer satisfaction. By understanding the role of EI, service providers can effectively manage customer emotions during service recovery, ultimately leading to enhanced satisfaction. Overall, this study enhances our comprehension of how customer EI impacts service recovery and customer satisfaction, enabling service providers to tailor their approaches and cultivate stronger customer relationships.

Keywords: Service Recovery, Customer Satisfaction, Emotional Intelligence.

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