CHAPTER 7: SERVICESCAPE

THE IMPACT OF SERVICE FAILURE AND

RECOVERY

Service failure – is generally described as

service performance that falls below a
customer’s expectations in a such way that
leads to customer dissatisfaction.

Service recovery - refers to the actions take by

an organization in response to a service failure
to improve the situation for the customer.

FAILURES OCCUR FOR ALL KINDS OF REASONS:

 The service may unavailable when

promised.
 It may be delivered late or too slowly
 The outcome may be incorrect or
poorly executed
 Employees may be rude or uncaring

Service recovery paradox – firms do so well in

their service recovery that customers end up
more satisfied than they would have been if the
firm had never failed in the first place.