A Model of Hospital Patient Engagement for Value Co‐Creation: Does It Affect Performance? A U.S. Hospital Industry Study

A holistic model encompassing a hospital patient engagement system and its relationship to the quality of provider‐patient interactions is presented. Based on service‐dominant logic, the study examined whether the effects on hospital performance of providers' systemic patient engagement efforts to enable value co‐creation are fully mediated by experiential quality (realized patient engagement). The research model was tested via 2SLS regressions using survey data matched with secondary data. Mediation hypotheses were tested using bootstrapping. The results showed that experiential quality fully mediates the beneficial effects of a hospital patient engagement system on patient recommendation, readmission rate, return on assets, and excess margin. Post hoc tests confirmed the broad applicability of a hospital patient engagement system for reputational and financial advantage.