Betrayal? Relationship quality implications in service recovery

Purpose The purpose of this paper is to examine whether high quality relationships buffer or magnify the negative impact of a failed service recovery on subsequent consumer attitudes and behaviors. Design/methodology/approach A total of 264 online shoppers were surveyed using a structured questionnaire. Respondents were asked to imagine themselves in a hypothetical failed service recovery scenario involving a multi‐channel retailer with whom they shop. Findings Results from a MANCOVA analysis and SEM modeling indicate that, following a failed service recovery incident, high quality relationships present a challenge for the service provider. In accordance with the hypotheses, consumers with a high level of relationship quality will decrease their repurchase intentions to a greater extent; more strongly and negatively adjust their overall relationship quality; and react to the service recovery effort less favorably than those with lower levels of relationship quality. Research limitations/implications The findings suggest that high quality relationships may “raise the bar” of service recovery management, rather than “buffering” firms from service failure. Practical implications Service providers should consider the potential implications of customer relationship quality in their service recovery management efforts. Originality/value The study provides empirical evidence of the “double‐edge” issue of relationship quality in service recovery management, illustrating the need to incorporate this variable in future service failure/recovery research.