Trải nghiệm khách hàng có luôn mang lại lợi ích cho các công ty dịch vụ? Xem xét động cơ nhận thức khách hàng và sự tương tác khách hàng trong bối cảnh dịch vụ thẩm mỹ.Trải nghiệm khách hàng có luôn mang lại lợi ích cho các công ty dịch vụ? Xem xét động cơ nhận thức khách hàng và sự tương tác khách hàng trong bối cảnh dịch vụ thẩm mỹ.Trải nghiệm khách hàng có luôn mang lại lợi ích cho các công ty dịch vụ? Xem xét động cơ nhận thức khách hàng và sự tương tác khách hàng trong bối cảnh dịch vụ thẩm mỹ.Trải nghiệm khách hàng có luôn mang lại lợi ích cho các công ty dịch vụ? Xem xét động cơ nhận thức khách hàng và sự tương tác khách hàng trong bối cảnh dịch vụ thẩm mỹ.Trải nghiệm khách hàng có luôn mang lại lợi ích cho các công ty dịch vụ? Xem xét động cơ nhận thức khách hàng và sự tương tác khách hàng trong bối cảnh dịch vụ thẩm mỹ.Trải nghiệm khách hàng có luôn mang lại lợi ích cho các công ty dịch vụ? Xem xét động cơ nhận thức khách hàng và sự tương tác khách hàng trong bối cảnh dịch vụ thẩm mỹ.Trải nghiệm khách hàng có luôn mang lại lợi ích cho các công ty dịch vụ? Xem xét động cơ nhận thức khách hàng và sự tương tác khách hàng trong bối cảnh dịch vụ thẩm mỹ.Trải nghiệm khách hàng có luôn mang lại lợi ích cho các công ty dịch vụ? Xem xét động cơ nhận thức khách hàng và sự tương tác khách hàng trong bối cảnh dịch vụ thẩm mỹ.
RESEARCHOVERIEW
Precursors and rationales oftheresearch
In today's competitive global market, particularly within the service sector, companies must prioritize customer experience as a key competitive advantage Research indicates that enhancing customer experience is crucial for service organizations, prompting them to appoint dedicated executives for customer experience management Each interaction point—pre-consumption, during the service, and post-consumption—plays a vital role, as a negative experience can undermine efforts to cultivate customer loyalty A well-designed customer experience not only drives revenue but also helps retain loyal customers and fosters engagement and a unique company culture According to a 2019 Acquia report, a staggering 76% of consumers are likely to switch to a competitor after a single negative experience.
Focusing on customer experience can lead to substantial improvements in both revenue and profitability for businesses Customer experience is defined as the internal and subjective reactions, encompassing cognitive and emotional responses, that customers have during their interactions, whether direct or indirect, with a brand.
Understanding customer experience is essential for executives to effectively design their services and maintain a competitive advantage in today's market Consumers are increasingly seeking unique and memorable experiences rather than just products or services This shift emphasizes the importance of grasping customer experience to ensure long-term success and differentiation in a competitive landscape.
Previous studies have shown that customer experience significantly impacts positive business outcomes, such as customer retention and profitability Companies can gain a competitive advantage by designing unique experiences that respond to customer needs Positive emotions associated with customer experiences lead to satisfaction and repurchase behavior, while negative emotions result in dissatisfaction and avoidance Overall, enhancing customer experience is crucial for improving business performance.
Understanding customer experience is crucial for achieving successful marketing outcomes, as positive experiences lead to better performance (Ramaswamy, 2004; Camarero, 2007; Rose et al., 2012) Modern marketing emphasizes brand and customer engagement, making it vital to explore the factors influencing this engagement (Kumar, 2019; Khan et al., 2020; Pansari & Kumar, 2016; Meire et al., 2019; Rather, 2020; Jessen et al., 2020) While previous studies have debated the conceptual framework of customer engagement, empirical research remains limited, particularly regarding the antecedents of customer engagement (Dwivedi, 2015; Hollebeek, 2011b; Hollebeek, 2014; So, 2016; France et al., 2016) A key question arises: Is customer experience an antecedent of customer engagement, or is customer engagement a consequence of customer experience? Exploring this relationship is essential for both academic and practical advancements in the field.
In the evolving landscape of service provision, customers have transitioned from being mere outsiders to active participants, often acting as "partial employees" who significantly influence production efficiency and service quality (Groth, 2005) This shift is further illuminated by social identity theory, which posits that individuals derive part of their self-concept from their membership in social groups, impacting their emotional connections (Tajfel, 1974) Dholakia et al (2004) argue that social identity serves as a key motivator for consumers to engage with online communities, fulfilling their social needs and fostering a positive self-image Brewer (1991) adds that individuals often define themselves through their group affiliations, striving to enhance their group's status Consequently, a strong identification with a company leads consumers to perceive themselves as integral to the organization, fostering positive attitudes and behaviors that align with corporate goals (Ran and Zhou, 2019) This research leverages social identity theory to explore mediators in the relationship between customer experience and engagement.
Individuals exhibit varying levels of dispositional need for cognitive closure (NFC), which influences their information-seeking behavior in social contexts (Kruglanski & Webster, 1996; Calogero et al., 2009) Those with high NFC tend to prefer quick decision-making and predictability, often showing a dislike for ambiguity and closed-mindedness Conversely, individuals with low NFC demonstrate greater tolerance for ambiguity and a preference for slower decision-making and openness (Webster & Kruglanski, 1994; Kossowska, 2002; Leone & Chirumbolo, 2008) Additionally, facial expressions significantly impact interpersonal interactions, as they can evoke emotional responses and influence predictions about others' behavior (Hatfield et al., 1992; Frith & Frith, 2007; Alguacil et al., 2017) Research suggests that those with low epistemic motivation may align their behavior with the emotional cues expressed by others (Van Kleef et al., 2009) This study aims to explore how customers' personal characteristics, particularly their motivation to process cues related to beauty services, affect their interactions.
Customer experience is increasingly recognized as a key competitive advantage for service businesses and a crucial element in service design projects (Teixeira et al., 2012) Experiential marketing has emerged as a strategy aimed at fulfilling consumers' emotional desires by creating memorable experiences, particularly within the beauty services sector (Jeon, 2013) While significant research has been conducted on experiential marketing across various industries, including cultural and fashion sectors, comprehensive studies specifically focusing on beauty salons remain scarce Most existing research in the beauty industry tends to concentrate on aspects like emotion or relationship marketing, leaving a gap in holistic experiential marketing analysis (Jeon, 2013).
Researchgaps
Despite extensive research on customer experience in the service industry, a significant gap remains in understanding how it varies across different contexts Existing literature primarily examines the factors that shape customer experience (Alnawas and Hemsley-Brown, 2019; Quach et al., 2020; Chylinski et al., 2020), yet highlights that these experiences differ based on industry and cultural context (Verhoef et al., 2009; Shobeiri, Mazaheri, and Laroche, 2018; Hwang and Seo, 2016) For instance, US customers tend to prioritize playfulness, aesthetics, and service excellence more than their Chinese counterparts (Shobeiri, Mazaheri, and Laroche, 2018) While researchers strive to establish a universal measure of customer experience, most studies have concentrated on financial services (Rose et al., 2012; Klaus et al., 2013; Garg et al., 2014; Fernandes and Pinto, 2019) Klaus and Maklan (2012) proposed a four-dimensional measure of customer experience, encompassing product experience, outcome focus, moments of truth, and peace of mind, but empirical testing remains limited Only two studies have explored this framework in diverse service contexts, specifically in the mortgage and hotel industries (Klaus and Maklan, 2012; Lemon and Verhoef, 2016), underscoring the need for further investigation into how customer experiences differ across various settings (Verhoef et al., 2009; Shobeiri, Mazaheri, and Laroche, 2018; Hwang and Seo, 2016).
Thus,theapplicationofthe“customerexperience”conceptualstructureofKlausand Maklan
(2012) for this reseach aims to examine its scales applicability in thecontext of beauty services in Vietnam and to propose managerial implications more detailed and comprehensive isneeded.
Despite existing research, there is a notable lack of focus on understanding the customer aspects and service context that convert customer experiences into positive outcomes for companies Most studies have only explored customer experience as a factor influencing commitment, perception, and behavior Therefore, it is essential to investigate the mechanisms and conditions that transform customer experience into beneficial company results Given that customer engagement behavior encompasses various actions that positively impact businesses, employing a multi-dimensional framework to analyze the relationship between customer experience and engagement behavior is necessary for a more comprehensive understanding.
Previous studies have explored the impact of customer experience on customer engagement behavior, but they often utilized varying theoretical frameworks rather than Social Identity Theory This highlights the need for further research to understand how customer experience influences engagement behavior through this new lens Customer experience is shaped by personal factors rather than solely produced by companies, making it essential to examine how individual traits, such as extraversion, conscientiousness, and openness, affect customer responses to company offerings According to Social Identity Theory, when customers value their interactions with a company and its staff, they are more likely to identify with them, which can be reflected in their post-experience behaviors Additionally, customer motivation plays a crucial role in this process, as customers contribute to the co-creation of value This study also integrates Customer Dominant Logic and Need for Cognition Theory, emphasizing the importance of individual cognitive frameworks, particularly focusing on customer epistemic motivation—the drive to gain a comprehensive understanding of one's circumstances.
Beauty services are categorized as personal services where customer experience significantly influences the co-production of service outcomes (Konishi, 2016) According to Konishi, services fall into two groups: the first group evaluates service quality based on credibility, such as medical or legal services, while the second group, which includes beauty care services, resorts, and restaurants, relies on customer experience for evaluation This classification highlights the critical role of customer experience in beauty services However, there is a lack of research exploring how customer experience translates into positive outcomes for companies, particularly in Vietnam Therefore, this study focuses on the beauty services sector in Vietnam to address this gap.
Researchaims
This research focuses on the beauty service sector in Vietnam, aiming to validate the customer experience scale and explore the connection between customer experience and engagement behavior Grounded in Customer-Dominant Logic and Social Identity Theory, it posits that customer experience influences engagement behavior through customer-employee and customer-company identification Additionally, customer epistemic motivation moderates this relationship The proposed research framework is structured into three key sections, with the first addressing the mediating role of customer-employee identification in linking customer experience to engagement behavior.
This article explores the mediating role of customer-company identification in the relationship between customer experience and customer engagement behavior It also examines how customer epistemic motivation conditions the indirect relationship between customer experience and customer engagement behavior The study will present and discuss the development of formal hypotheses, methodology, results, and general conclusions.
Research objectivesandquestions
Relating to the aim of the research showed in section (1.2), the following research questions/objectives are formulated with expected solutions.
Objective 1:Determine whether customer engagement behavior is the outcome of customer experience in the beauty service context The two corresponding research questions developed were:
1.1 Is customer engagement behavior the outcome of customer experience in the beauty servicecontext?
Objective 2:Examine the mediating roles of customer-firm and customer-employee identification in the relationship between customer experience and customer engagement behavior of the beauty service context The two corresponding research questions developed were:
2.1 Are customer-firm and customer-employee identification the mediators in the relationship between customer experience and customer engagement behavior of the beauty service context?
2.2 How are the mediating roles of customer-firm and customer-employee identification in the relationship between customer experience and customer engagement behavior of the beauty servicecontext?
Objective 3:Examine the moderating roles of customer epistemic motivation in the indirect relationship between customer experience and customer engagement behavior of the beauty service context The two corresponding research questions developed were:
3.1 Does customer epistemic motivation play the moderating role in the relationship between customer experience and customer engagement behavior of the beauty servicecontext?
3.2 How is the moderating role of customer epistemic motivation in the relationship between customer experience and customer engagement behavior of the beauty servicecontext?
Objective 4:Identifying the demographic variables control customer engagement behavior in the beauty service context The corresponding research question developed was:
4.1Which demographic variables control customer engagement behavior in the beauty servicecontext?
Objective 5:Provide recommendations to increasing customer engagement in the beauty service context The corresponding research question developed was:
5.1 What recommendations for the managers on the mechanism that translate customer experience to customer engagement behavoir, especially in the beauty service industry?
Researchcontext
The beauty service industry encompasses businesses dedicated to enhancing individuals' appearances, offering both emotional and physical benefits that increase their value This dual advantage contributes to the industry's consistent growth and resilience, even during economic downturns, as evidenced by the Professional Beauty Association's 2020 report According to the Global Wellness Institute, the beauty sector continues to thrive, showcasing its enduring appeal and significance in people's lives.
From 2015 to 2017, the global healthcare industry experienced significant growth, expanding by 12.8% and rising from $3.7 trillion to $4.2 trillion Notably, the beauty sector has emerged as a key player, achieving an impressive annual growth rate of 8%, reaching a market size of around $100 billion.
The beauty industry continues to thrive, with global market value exceeding $500 billion and the U.S market alone reaching $93.5 billion in 2019 The skincare sector is a significant contributor, valued at nearly $135 billion This dynamic growth is fueled by the constant introduction of new products and services, leading to a projected 10% increase in employment for barbers, hairdressers, and estheticians, and an impressive 22% rise for massage therapists by 2024 Notably, Asia is emerging as the fastest-growing beauty market, following Europe.
Particularly in Vietnam, in recent years, cosmeticbrands,beautysalons,andspashavesprungupandthesenseofbeauty has also increased, especially among the young and middle-aged people, who have a average income.
The British Beauty Council, in collaboration with BritainThinks, has established a comprehensive definition of the beauty service industry, which encompasses holistic treatments, beauty treatments, and hair services This definition reflects a consensus among various stakeholders within the industry (British Beauty Council, 2019) A survey conducted by the Research Office and Legislative Council Secretariat in 2019 across several Asian countries, including Hong Kong, Taiwan, Japan, Singapore, and Korea, identified three primary types of beauty services: beauty salons that offer conventional services such as hairdressing and makeup; aesthetic salons that focus on skincare and body care using manual techniques and equipment; and cosmetic surgery, which enhances appearance through surgical and medical procedures, including plastic surgery aimed at reconstructing facial and bodily defects caused by various factors.
Schmenner (1986) categorized the service industry into four distinct patterns based on labor intensity and customer interactions Labor intensity reflects the balance between labor waste and value added, while customer interaction indicates how often a service provider engages with a customer during service delivery Beauty services are identified as labor-intensive, requiring highly skilled professionals The interaction between beauticians and customers is crucial, as it significantly influences the success of the beauty service Consequently, this dissertation focuses on beauty services to explore the dynamics of customer experience and interaction.
Figure 1.1 Categorize services by customer interaction
In his 2016 study, Konishi categorized goods and services into two groups based on the ease of quality evaluation: tangible products, which are straightforward to assess, and intangible services, which present challenges in quality assessment He identified three key aspects for evaluating quality: tangible products are assessed through search qualities, general services through credence qualities, and personal services through experience qualities This classification provides a structured approach to understanding the quality of various goods and services.
Figure 1.2 Quality evaluations for goods and services
Konishi (2016) categorizes services into two distinct groups: the first group includes services like medical, repair, and legal services, where quality is assessed based on credibility; the second group encompasses services such as beauty care, resorts, restaurants, and tourism, where quality is determined by customer experience Beauty services fall into this second category, making their quality evaluation challenging, as it relies heavily on customer experience metrics Customers interact with the brand through various touchpoints, connecting with beauticians and the business, which leads to positive outcomes for the company This connection is why the dissertation focuses on beauty services as its primary subject of study.
In recent years, the beauty industry in Vietnam has transformed into a thriving market, driven by a surge in consumer demand for skin and body care services Major cities like Ho Chi Minh City, Hanoi, Da Nang, Hai Phong, and Binh Duong are witnessing a rapid increase in beauty service businesses, with approximately 2,000 new establishments emerging annually This growth has created ample job opportunities, employing around 2 million individuals in the sector However, many beauty service providers face challenges such as losing customers to competitors and ineffective communication strategies, with the number of establishments growing by 15-20% each year (VietNamNet Bridge, 2016).
As the demand for beauty services continues to rise in Vietnam, driven by economic growth and an increasing appreciation for aesthetics across all age groups, the beauty service industry is rapidly expanding Cities and towns are witnessing a surge in beauty establishments, including salons, spas, and clinics However, this growth has led to intense competition, making it essential for beauty businesses to identify unique opportunities by understanding market dynamics and customer preferences Ho Chi Minh City stands out as Vietnam's largest beauty services market, attracting both domestic and international tourists seeking medical and beauty treatments As of September 2019, the city boasted 1,329 beauty service businesses, reflecting the growing need to cater to diverse beauty demands.
In Vietnam's beauty service industry, there are two main categories: beauty care services and beauty surgery services Beauty care services involve non-invasive procedures that do not cause bleeding or alter the internal structure of the body, while beauty surgery services entail invasive operations aimed at changing a person's physical appearance for cosmetic purposes This distinction is outlined in Decision No 27/2018/QD-TTg, issued by the Prime Minister on July 6, 2018, which formalizes the classification of beauty services in Vietnam.
Beauty salons specialize in a variety of hair services, including haircutting, hair washing, styling, curling, dyeing, and straightening They cater to both men and women, offering additional treatments such as eyelash services and manicures, ensuring a comprehensive range of grooming options.
Aesthetic salons offer a range of health promotion services that focus on relaxation and wellness, including sauna services, sunbathing, and various types of massages These establishments provide non-surgical treatments aimed at enhancing skincare and body care, ensuring clients receive holistic care without the need for invasive procedures.
Cosmetic surgery clinics offer individuals the opportunity to undergo surgical and nonsurgical procedures aimed at enhancing their physical appearance for aesthetic purposes rather than medical necessity These procedures, which include popular treatments like Botox and dermal fillers, focus on reshaping and improving various body structures, ultimately boosting self-confidence and personal satisfaction.
Plastic surgery clinics:This is a surgical specialty involved with the reconstruction of facial and body tissue defects caused by illness, trauma, or birth disorders.
Table 1.1 Classification of beauty services in Vietnam Beauty care service Beauty surgery service
Beauty salons Aesthetic salons Cosmetic surgery Plastic surgery
Hairdressingsalon s Spa (Dayspa, beauty spa, clinicspa) Cosmetic surgery clinics Plastic surgery clinics
Manicure salons Massage (Foot massage,
To comply with legal requirements for beauty care services, business owners must choose between two models: registering as an individual business household or establishing a company The level of participation and interaction varies across service sections, including beauty care and beauty surgery services The beauty care service sector encompasses common offerings such as beauty salons and aesthetic salons, making it easier for researchers to engage with respondents during surveys Consequently, this thesis focuses on beauty salons for its research.
The origins of beauty salon services can be traced back to the ancient art of hairstyling in civilizations like Egypt, Rome, and Greece However, the beauty services profession began to evolve commercially in the late 19th century, driven by technological innovations that created new hairstyle demands In the late 1890s, the first cosmetology schools were established in America to train primarily women for this growing field For many years, small sole proprietorships dominated the industry, but the surge in purchasing power among working women during the 1970s and 1980s led to significant expansion, resulting in a dramatic increase in corporate-owned salons.
Keyterms
The beauty industry encompasses sales of cosmetics, perfume, and products for skin and hair care Beauty salons and spas are considered the service sector of the beauty industry (Grindstaff, 2020)
Beauty services encompass three primary categories: hairdressing, personal care, and body artistry (City of Adelaide, 2020) As noted by the Research Office & Legislative Council Secretariat (2019), the sector is primarily divided into beauty salons, aesthetic salons, and cosmetic surgery, highlighting its diverse offerings and significant impact in the beauty industry.
Beauty salons providing conventional beauty services through hairdressing,perming and make-up (Research Office & Legislative Council Secretariat,2019).
Research subjectandscope
This research examines the customer experience in beauty salons and its impact on customer engagement, specifically in Ho Chi Minh City, Vietnam, a rapidly growing market for the beauty salon industry By focusing on premium-priced salons catering to the upper middle class, the study aims to provide salon managers with insights into customer behavior and the significance of customer experience in fostering engagement A total of 1,200 questionnaires were distributed among female consumers across twelve top salons, gathering diverse feedback on their experiences.
Structure of theresearch
Introducing the research topic and a brief background following by problem statement, research question, research objectives, scope and limitations, the significance and structure of the thesis.
Presenting the related literature concerning customer experience, customer engagement.
Providing detail instrument of research model, research process, measurements and questionnaire design, data collection method and data analysis method.
Analyze collected data and interpret into the findings of the research
Draw out conclusion and propose recommendations to enhance customer toward beauty salons in Ho Chi Minh City.
LITERATUREREVIEW
Review of Customerexperience(EX)
In the early days, Abbott (1955) and Alderson (1957) focused on emphasizing that
People seek satisfying experiences rather than mere products, highlighting the significance of emotional factors in decision-making and consumption Experiential theorists, such as Hirschman and Holbrook, emphasize the role of emotions in shaping human behavior Experience can be defined in various contexts of consumption, with numerous definitions that often lack specificity Understanding these dimensions is crucial for recognizing the true desires of consumers.
2004; Caru and Cova, 2007; Meyer and
The concept of customer experience has evolved significantly since its initial exploration by Holbrook and Hirschman in the mid-1980s, which highlighted the perception of consumption and hedonic consumption While generic definitions offer a broad understanding of experiences across various contexts, they often lack the specific components necessary for a detailed examination Subsequent research has focused on different elements of experience, emphasizing the importance of sensory, emotional, and imaginative aspects of consumption Early studies aimed to address manageable characteristics of service encounters, particularly strategies to mitigate negative experiences This multifaceted approach underscores the complexity of customer experience and its critical role in shaping consumer behavior.
In 1982, Schmitt identified five components of experience: sensory, affective, cognitive, physical, and social-identity By 2011, he refined this concept, outlining four interconnected dimensions of brand experience: sensory, affective, intellectual, and behavioral Additionally, Verhoef et al (2009) described customer experience as encompassing cognitive, affective, emotional, social, and physical responses Understanding these dimensions is crucial for enhancing customer engagement and brand loyalty.
The overall customer experience is shaped by a combination of cognitive, emotional, physical, sensorial, spiritual, and social elements that influence interactions with various market actors This experience is essentially the aggregation of raw data derived from all direct and indirect interactions, highlighting the importance of each element in creating a cohesive customer journey.
Customer experience encompasses a range of internal and social responses that customers have during a service encounter, including cognitive, emotional, and physical reactions (Bustamante and Rubio, 2017) It is a multi-dimensional concept that involves spiritual, sensorial, physical, rational, and emotional evaluations of various service touchpoints (Pekovic and Rolland, 2020; Kuppelweiser and Klaus, 2020).
Pine and Gilmore (1998) introduced the concept of customer experience, sparking significant interest in both research and practice Recent definitions highlight that customer experience stems from interactions between customers and products or organizations, eliciting emotional responses (Gentile, Spiller, and Noci, 2007) Verhoef et al (2009) emphasized the role of past experiences in shaping current perceptions, while Walls (2009) noted that experiences are unique, involving customer participation and emotional engagement Pimpakorn and Patterson (2010) defined customer experience as the cumulative assessment of all service interactions Taking a broader perspective, Patrício et al (2011) argued that interactions occur within a wider network of companies rather than just between a single company and its customers Klaus and Maklan (2012) described customer experience as resulting from both cognitive appraisal and emotional responses, although the significance of these sequences remains unclear, prompting managers to take greater responsibility for customer outcomes Srivastava and Kaul (2014) highlighted the importance of personal interactions in building customer experiences, emphasizing the centrality of the customer-employee relationship.
Customer experience has evolved into a crucial marketing concept aimed at delivering unique, enjoyable, and memorable interactions with customers While the idea itself is not new, its ongoing development continues to attract attention from researchers, particularly in the realm of service marketing A strategic approach to customer experience enables companies to create comprehensive value, achieve differentiation, and maintain a sustainable competitive edge Traditional service value propositions are increasingly inadequate; therefore, businesses must prioritize designing customer experiences alongside product and service creation Customer value is derived from a combination of various elements within the customer experience, necessitating that companies develop competencies to design and manage these experiences effectively The literature offers diverse definitions of customer experience, highlighting it as a multidimensional concept encompassing cognitive, affective, sensory, and conative components Notably, the comprehensive framework proposed by Klaus and Maklan (2012) is particularly relevant for studying service experiences, though it has yet to gain widespread adoption.
Table 2.1 Overview of some important definitions of EX
Customers' perceptions of service experiences are shaped by three key elements: functional clues, which relate to the technical performance of the service; mechanic clues, which encompass the tangible aspects associated with the service; and humanic clues, which pertain to the behavior and appearance of service providers Together, these clues significantly influence both the rational and emotional aspects of perceived service quality, ultimately shaping the overall customer experience.
Customer experience is defined by the interactions between a customer and a product or organization, leading to a specific reaction It encompasses a personal journey that engages customers on various levels, including rational, sensory, physical, and emotional dimensions.
(Grundey, 2008) “Subjective episode in the construction/transformation oftheindividual, with however, an emphasis on the emotions and senses lived during the immersion at the expense of thecognitive dimension.”
Customer experience encompasses the internal and subjective reactions that individuals have during any direct or indirect interaction with a company Direct contact typically happens during the purchase, usage, and service phases, often initiated by the customer In contrast, indirect contact involves unplanned interactions with a company's products, services, or brands, manifested through word-of-mouth recommendations or criticisms, advertising, news reports, and reviews.
2007) “The customer experience originates from a set of interactionsbetween a customer and a product, a company, or part ofitsorganization,whichprovokeareaction.Thisexperience isstrictly individual and implies the customer’s involvementat
Authors Definitions different levels (rational, emotional, sensorial, physical and spiritual).
2009) “Customerexperienceconstructisholisticinnatureandinvolvesthe customer’s cognitive, affective, emotional, social and physical responses to the retailer this experience is created not only by those elements which the retailer cancontrol.”
Experience is a learned outcome linked to predictable behaviors, yet it also involves processes that can lead to unpredictable consumer responses.
11) “Threecharacterisationsoftheconceptofserviceexperienceareidentified in the literature review: phenomenological service experience, process-based service experience and outcome- based serviceexperience”
(Schmitt, 2011) “Brand experience consists of four separate, though related,dimensions: sensory, affective, intellectual, and behavioral”
Service experience encompasses the customer's evaluation of all interactions—both direct and indirect—with a service provider, influencing their loyalty and likelihood of repeat purchases Key dimensions of service experience include product experience, outcome focus, critical moments of truth, and the assurance of peace of mind.
2012) “Serviceexperienceismultidimensional,consistingofacognitivedimensi onrelatedtoservicequalityandtwoaffectivedimensions related to positive activation, such as enthusiasm or boredom, and positive deactivation, such as relaxation orstress”
Customer experience as a journey that customers goes through where they accumulate awareness and response through every carrier contact with the service provider.
Customer experience encompasses various elements, including cognitive, emotional, physical, sensorial, spiritual, and social aspects, which shape a customer's direct or indirect interactions with other market participants Essentially, it represents the aggregate of raw data from these interactions, culminating in a comprehensive overall experience.
An optimal experience refers to a psychological state where an individual is fully immersed in an activity, characterized by intense concentration and enjoyment During this state, a person is highly engaged, motivated, and positive, aligning their energy and focus with the task at hand.
Customer experience is crucial for business success and gaining a competitive edge, with 76% of consumers switching brands after a single negative interaction Prioritizing exceptional customer experience not only meets but exceeds customer expectations, fostering long-term loyalty and ultimately driving revenue growth Satisfied customers are invaluable, as they promote the business through positive word of mouth and online reviews Therefore, investing in enhancing customer experience is essential, particularly for today's informed consumers, as those who enjoy positive interactions tend to spend more and remain loyal, while also helping businesses reduce costs.
(Kriss,2014).Focusontheeffectivenessofthecustomerexperience,and your business will see significant performance improvements across the top- and bottom- line (Brown,
Review of Customer engagementbehavior(EG)
The concept of "engagement" in business relationships has gained significant interest among practitioners in recent years, particularly in the context of customer engagement, which has emerged as a crucial element in marketing research over the past decade (Islam and Rahman, 2016) Marketing scholars widely agree that fostering customer engagement can lead to sustainable competitive advantages for companies (Brodie et al., 2013; Hollebeek, 2012; Kumar and Pansari, 2016) Engaged customers are believed to contribute to increased company revenue (Kumar and Pansari, 2016) Furthermore, customer engagement is viewed as an extension of relationship marketing, playing a vital role in strengthening the connection between companies and their customers, ultimately aiding in the pursuit of competitive advantage (So et al., 2016; Vivek et al., 2012).
2.2.1 Conceptualization of Customer engagement behavior
The concept of engagement has been explored for over a century, encompassing diverse interpretations across various fields In social contexts, it pertains to civic and community involvement, while in business, it relates to contractual relationships and management practices In marketing, engagement signifies the positive interactions between businesses and their customers, highlighting the importance of customer engagement.
Customer engagement is both a psychological state and a process, as highlighted in marketing literature Bowden (2009) emphasized that it serves as a motivational factor for loyalty, while Vargo and Lusch (2004) explored it through the lens of service-dominant logic, concluding that it involves developing and nurturing relationships Schaufeli et al (2002) and Salanova et al (2005) defined customer engagement as a psychological state that can vary in intensity at specific times Brodie et al (2011) noted that customer engagement is an ongoing process, characterized by varying levels of complexity and intensity in different situations This study synthesizes various conceptualizations of customer engagement, as shown in Table 2.3.
Table 2.3 Overview of some important definitions of EG
2014) “The level of a person’s cognitive, emotional and behavioralpresence in brand interactions with an online community.”
“The level of a customer’s motivational, brand-related andcontext dependent state of mind characterized by specific levels of cognitive, emotional and behavioral activity in brand interactions.”
(2014) “A consumer's positively valenced cognitive, emotional andbehavioral brand related activity during, or related to, specific consumer/brand interactions.”
The customer’s behavioral manifestation toward the brand orfirm, beyond purchase, resulting from motivational drivers.
“The level of a customer’s physical, cognitive & emotionalpresence in their relationship with a service organization” Customer engagement as a psychological state that is characterized by a degree of vigor, dedication, absorption, and interaction.”
“It is holistic in nature and involves the customer’s cognitive,affective, emotional, social and physical responses to the entity, product and service.”
“Behavior through which customers make voluntary resourcecontributionsthathaveabrandorfilmfocusbutgobeyondwha t is fundamental totransactions”
“The intensity of an individual’s participation and connectionwiththeorganization’sofferingsandactivitiesinitiatedbyei ther the customer or theorganization."
In marketing literature, customer engagement has evolved from a unidimensional concept, primarily focusing on customer behavior, to a multidimensional construct that encompasses affective, behavioral, and cognitive dimensions Early studies highlighted the limitations of a unidimensional approach, emphasizing its inability to capture the full complexity of customer engagement Recent research has expanded the definition, acknowledging the multifaceted nature of engagement and its significance in understanding customer interactions.
In 2014, researchers established that customer engagement is a second-order construct comprising five key dimensions: identification, enthusiasm, attention, absorption, and interaction This reflective model of customer engagement, illustrated in Figure 2.3, is substantiated by existing literature on both employee engagement (Rich, Lepine, and Crawford, 2010) and customer engagement (Patterson et al., 2006).
Figure 2.3 Conceptual model of Customer engagement
(Source: So, King and Sparks, 2014)
In today's fast-paced business landscape, customer engagement is crucial for improving company performance, driving sales growth, gaining a competitive edge, and increasing profitability Research by Brodie et al (2011), Vivek et al (2012), and Kumar et al (2010) highlights customer engagement as a key metric reflecting the effectiveness of a firm's marketing activities over time.
Customer engagement is a dynamic psychological state that evolves through a customer's interactive experiences with a service agent or focal object, as highlighted by Van Doorn et al (2010) and Brodie et al (2011) A review of existing studies reveals a range of dimensions and diversity in the antecedents of customer engagement, with a significant focus on the relationship between these antecedents and the overall customer experience Understanding these antecedents and dimensions is crucial for enhancing customer engagement strategies.
Table 2.4 Relevant literature on EG’s dimensions and antecedences
Petzer, (2018) Customer satisfaction, Customer perceived value Interaction, Attention,
Absorption, Identification Insurance service, South Africa
Vivek, et al., (2014) - Conscious attention, Enthused participation, Social connection
Involvement Interactivity, Rapport, Trust, Brand attachment, Commitment, Brand performance perception
Identification, Enthusiasm, Attention, Absorption, Interaction
Hollebeek, (2011) Co-created value, Brand experience, Satisfaction, Trust, Commitment, Customer value, Brand loyalty, Customer equity, Firm reputation, Brand recognition, Financial outcomes
Roy, et al., (2018) Service convenience,
Service quality, Service fairness Augmenting behavior,
Co-developing behavior, Influencing behavior, Mobilizing behavior
Retail banking and mobile services
Co-developing behavior, Influencing behavior, Mobilizing behavior
Public transport service, theUK
Islam, et al., (2019) Service quality Cognitive, Emotional,
Ahn and Back, (2018) Brand experience Cognitive, Emotional,
Self-enhancement, Learning, Social integration, Company identification
Loyalty, Word-of- Mouth, Customer interaction, Co-creation
Barari, et al., (2020) Organic pathway (Perceived quality, Perceived value);
Promoted pathway (Functional initiative, Experiential initiative);
Relationship quality (Satisfaction, Trust, Commitment)
Direct engagement Tourism service, Moc Chau -
Vietnam Dwivedi, (2015) Involvement with category,
Brand usage experience Vigor, Dedication, Absorption Brand engagement, India Cheung, Lee and Jin,
Vigor (Physical), Absorption (Cognitive), Dedication (Emotional)
Satisfaction, Trust/commitment, Identity, Consumption goals, Resources, Perceived costs/benefits
Valence,Form/modality, Scope, Nature of impact, Customergoals
Theoreticalbackground
Managers and researchers operate with distinct mental models, often referred to as logics, that shape their approach in service settings (Gummesson, 2007; Gronroos, 2006) In the marketing field, there has been a notable shift from goods-dominant logic to service-dominant logic (Vargo and Lusch, 2016) The former perspective considers the company as the sole producer of value, while the latter highlights the co-creation of value between producers and customers (Heninonen et al., 2010) Despite the service-dominant logic's focus on the customer's viewpoint, both logics ultimately frame service through the lens of the provider (Heninonen et al., 2010; Brown, 2007).
Figure 2.5 Characteristics of the offering and actor focus
Service-Dominant Logic (SDL) posits that providers play a crucial role in the co-creation of value, often emphasizing visible customer experiences while overlooking the underlying mental models of customers (Heinonen and Strandvik, 2015) For instance, companies utilize service blueprinting to visualize the customer service process (Bitner et al., 2008) Additionally, research by Payne et al (2009) explores opportunities for companies to engage in co-creation with customers, highlighting the importance of understanding customer perspectives.
Figure 2.6 Customer-dominant logic of service and service management
As an alternative logic, Customer dominant logic is introducedandp o s i t i o n e d a s c u s t o m e r - f o c u s e d v i s a v i s t o p r o v i d e r - d o m i n a n t l o g i c s t h a t i n c l u d e s b o t h g o o d s - d o m i n a n t l o g i c a n d s e r v i c e - d o m i n a n t l o g i c ( H e n i n o n e n , e t a l , 2 0 1 0 ) C u s t o m e r d o m i n a n t l o g i c i s a v i e w t h a t e m p h a s i z e s o n u n d e r s t a n d i n g c u s t o m e r l o g i c , t h e s y s t e m s o f a c t o r s a n d s p h e r e s t h a t c u s t o m e r s a r e i n v o l v e d w i t h , a n d h o w c u s t o m e r s c r e a t e v a l u e f r o m t h e f i r m s ’ o f f e r i n g s ( H e i n o n e n a n d
H e i n o n e n , etal.,2013).Customerdominantlogicpositsthatvalueisformedthrough customers’ interpretation of experiences and accumulated customer realities (e.g customers’ ecosystem and life spheres) where value is embedded (Heinonen, et al., 2013; Heninonen, et al.,
Customer dominant logic provides a comprehensive understanding of customer value by exploring not just what value is created, but also how, when, and where it is formed (Heinonen et al., 2013; Heninonen et al., 2010) This approach emphasizes the importance of viewing customer experiences from the customer’s perspective, taking into account both visible and invisible factors that contribute to value creation The dissertation applies customer dominant logic to investigate the timing and processes through which customer experiences foster customer engagement, while also considering the customers' ecosystem and their underlying logics.
Social identity theory suggests that individuals extend beyond their personal identity to form a social identity, which helps articulate their sense of self (Tajfel and Turner, 1985; Bhattacharya and Sen, 2003) This process involves categorizing themselves within various contextual frameworks, such as gender, ethnicity, occupation, and sports teams, as well as more transient groups (Kramer, 1991; Scott and Lane, 2000) The identification with specific groups shapes individuals' self-perceptions, linking their identities to those of the groups or organizations they belong to (Ashforth and Mael, 2000).
Individuals have the ability to choose and negotiate their identities, aligning themselves with groups that they find attractive or that enhance their social identity (Bhattacharya and Sen, 2003; Scott and Lane, 2000) Consumers are often motivated to identify with specific groups that fulfill their self-definitional needs, helping them to define who they are (Bhattacharya and Sen, 2003; Dutton, Dukerich, and Harquail, 1994) Additionally, the perception of a group's esteem by others plays a crucial role in strengthening an individual's identification with that group (Bhattacharya and Sen, 2003).
Moreover, people can also choose to be identified with a group even when they are not a formal member of the group (Bhattacharya and Sen, 2003; Scott and
Consumers can identify with an organization or its service employees even without being formal members of those groups (Lane, 2000; Ahearne, Bhattacharya, and Gruen, 2005; Tuskej, Golob, and Podnar, 2013) While some researchers suggest that customer identification with a company stems from their identification with service employees (Bhattacharya and Sen, 2003; Ahearne, Bhattacharya, and Gruen, 2005), other studies indicate that these two constructs can operate independently and play distinct roles in influencing company outcomes (Chan, Gong, Zhang, and Zhou, 2017; Yim, Tse, and Chan, 2008).
Research indicates that strong identification with an organization leads to positive outcomes, including increased support and favorable evaluations of the organization (Ahearne, Bhattacharya, and Gruen, 2005; Kelley, Donnelly, and Skinner, 1990) Consumers who identify closely with companies are more likely to engage in extra-role behaviors, such as promoting the company through positive word-of-mouth, recruiting new customers, and suggesting product improvements (Dutton, Dukerich, and Harquail, 1994; Scott and Lane, 2000; Ahearne, Bhattacharya, and Gruen, 2005) Additionally, this identification fosters customer engagement behavior, highlighting the importance of brand loyalty and consumer connection (He, Li, and Harris, 2012; Lam et al., 2010).
Researchers have been investigating the factors that influence customer identification with companies and service employees, focusing on elements such as Corporate Social Responsibility (CSR) practices, loyalty programs, and the relationships customers have with service staff Studies indicate that these factors contribute to a positive customer experience, which in turn fosters favorable evaluations and stronger identification with both the companies and their employees.
In conclusion, customers who appreciate their interactions with a company and its service employees are more inclined to develop a strong identification with both the company and its staff This connection enhances customer loyalty and engagement, reinforcing the importance of positive service experiences.
The service experience involves a significant interaction between customers and company employees, leading to positive identification with the brand This connection enhances customer engagement behavior following the service encounter, ultimately benefiting the company This study leverages social identity theory to explore how identification with the company and its employees mediates the relationship between customer experience and engagement behavior in the beauty services sector.
Cacioppo and Petty (1982) argue that individuals with a high need for cognition are more motivated to engage with information compared to those with a low need for cognition They define this need as "an individual's tendency to engage in and enjoy effortful cognitive endeavors" (Cacioppo, Petty, & Kao, 1984) Research by Cacioppo et al (1996) indicates that while everyone seeks to understand their world, those with high cognitive needs actively seek, absorb, and reflect on information, whereas individuals with low cognitive needs often depend on external sources, such as celebrities or experts Their findings highlight that differences in the need for cognition influence how individuals engage with cognitive tasks, acquire information, and cope with cognitively demanding situations (Cacioppo et al., 1996).
Research indicates that the "Need for cognition" is closely linked to an individual's interest in science, stemming from a natural curiosity about the world (2006) This need is positively correlated with a desire to learn more about academic subjects (Olson, Camp, and Fuller, 1984) Petty and Brinol (2006) differentiate between two learning systems: one that is emotional and intuitive, and another that is cognitive and rational Individuals with a high need for cognition tend to engage deeply with information, prioritizing quality over superficial insights, and actively seek additional information (Verplanken, Hazenberg, and Palenéwen, 1992) Studies have shown that these individuals process media information more analytically and carefully (Cacioppo, Petty, and Morris, 1983; Xiao et al., 2021; Su et al., 2021) Numerous studies across various contexts support these findings (Evans, Kirby, and Fabrigar, 2003; Yoon and Lee, 2021; Wu, Chen, and Chang, 2021; Sandra and Otto, 2018; Gallagher, 2012), suggesting that the effectiveness of marketing and business strategies is significantly influenced by the need for cognition (Putrevu, Tan, and Lord, 2004).
Martin,etal.,2003;PilliandMazzon,2016;Obiedat,2013;Pan,etal.,2020;Khan and Abid Usman,2021).
Personal service establishments (PSEs) provide a variety of beauty services, including manicures, pedicures, facials, waxing, and hairstyling or barbering (Barn and Chen, 2012) These services emphasize the significance of customer interaction with front-line employees, as personal service is characterized by this critical engagement (Ganesh, Arnold, and Reynolds, 2000; Beatson, Coote, and Rudd, 2006) Customers exhibit varying interaction behaviors based on their cognitive needs before, during, and after their service experience, making the Need for Cognition theory a relevant framework for exploring beauty services in this research.
Proposalframework
This article explores the interconnections between customer experience and customer engagement behavior, revealing four key insights Firstly, it establishes that customer experience is essential for fostering customer engagement behavior, highlighting that while many studies address customer experience, they often overlook its positive impact on company profits Secondly, the customer-dominant logic theory emphasizes the collaborative role of customers in value creation throughout the entire service process Thirdly, social identity theory indicates that customers with a strong sense of belonging to an organization actively contribute to its value Lastly, the need for cognition theory suggests that varying cognitive motivations influence decision-making behaviors among customers This research posits that a positive customer experience enhances identification with the company and its employees, ultimately driving customer engagement behavior, with customer epistemic motivation moderating this relationship The research framework and hypotheses will be further detailed in the subsequent section.
Customer experience Customer engagement behavior
Operationalization of theselectedvariables
Customer experience occurs whenever customers engage with services across various channels and at different times, including before and after the interaction It is shaped by their evaluation of all cumulative contacts with the services Additionally, customer experience is multi-dimensional, encompassing spiritual, sensorial, physical, rational, and emotional evaluations of the service touchpoints.
Customer experience dimensions vary significantly across different contexts and cultures For luxury hotel customers, factors like quality materials, signage, and personal artifacts are crucial, whereas budget hotel customers prioritize different aspects Additionally, the importance of customer experience dimensions can differ even within the same industry across various cultures; for instance, Indian customers place a higher value on social interaction and convenience in retail settings Furthermore, the evaluation of customer experience also changes between online and offline environments, with certain elements being more relevant in one context than the other.
Measuring customer experience has proven challenging, as it often reflects evaluations of products or services by assessing various dimensions (Klaus and Maklan, 2012; Gentile et al., 2007) This complexity arises from the lack of a unified measurement framework due to the diverse nature of service dimensions (Lemon and Verhoef, 2016) Additionally, customer experience is influenced by the interplay between customers, services, and contextual factors, making it insufficient to evaluate solely based on a company's offerings (Verhoef et al., 2009; Teixeira et al., 2012) Thus, researchers suggest that customer experience is influenced by both controllable and uncontrollable factors from the company's perspective (Teixeira et al., 2012; Verhoef et al., 2009).
Klaus and Maklan (2012) developed a comprehensive measure for customer experience, identifying four key dimensions: product experience, outcome focus, moments-of-truth, and peace-of-mind Product experience emphasizes the significance of customers feeling empowered by having choices and the ability to compare different offerings, even from the same provider In contrast, outcome focus highlights the necessity of a goal-oriented experience, ensuring that services effectively assist customers in achieving their objectives.
However, although some elements personal to customers such as social influence and purpose of shopping might apparently are not controllable, understandingcustomers’personalelementsmighthelpcompanytodesignservices thatleadtothedesiredcustomerexperiences(Verhoef,etal.,2009;Teixeira,etal.,
Research on customer experience primarily focuses on its antecedents and consequences (Gounaris et al., 2007; Chen, 2015; Berry et al., 2002; Rose et al., 2012) While several studies investigate the factors influencing customer experience, they often adopt a narrow perspective that emphasizes company viewpoints and the visible aspects of experiences (Teixeira et al., 2012; Gentile et al., 2007; Rose et al., 2012) For instance, Rose et al (2012) analyze how service attributes impact cognitive and affective evaluations, as well as purchase intentions.
Customer experience is a multi-dimensional concept that encompasses spiritual, sensorial, physical, rational, and emotional evaluations of service touchpoints (Gentile et al., 2007; Klaus & Maklan, 2012) It is shaped by the cumulative interactions customers have with services over time (Rose et al., 2012) and occurs across various channels (Stein & Ramaseshan, 2016) Importantly, customer experience is co-created through the interaction between customers and services, making it partially controllable by companies (Verhoef et al., 2009; Teixeira et al., 2012) While certain personal factors, such as social influence and shopping purpose, may seem uncontrollable, understanding these elements can aid companies in designing services that foster desired customer experiences.
The customer experience quality scale, developed by Klaus and Maklan (2012), evaluates cognitive and emotional value from the customer's perspective, capturing value-in-use beyond mere attributes and assessing emotional responses and functionality of company offerings Despite its potential, this scale has not been extensively tested empirically This paper aims to investigate the applicability of the customer experience quality scale in beauty salons in Vietnam, following the framework proposed by Lemon and Verhoef (2016) Through a qualitative study, we will refine the measurement items and explore their relationship with other constructs, ultimately examining the proposed research framework.
Previous research indicates that customers' identification with a company and its employees fosters behaviors that extend beyond mere transactions, a phenomenon known as customer engagement behavior (Kang et al., 2015; Jaakola and Alexander, 2014; Bhattacharya and Sen, 2003; Chan et al., 2017) Kumar and Pansari (2016) found that increased customer engagement positively impacts a firm's performance Defined as a psychological process, customer engagement involves customers being fully immersed in a specific context, exhibiting varying levels of cognitive, emotional, and behavioral activity during interactions (Thakur, 2016; Bowden, 2009) Essentially, customer engagement behavior encompasses actions taken by customers that transcend their traditional roles in service provision, driven by their own initiative and motivation toward the company (Roy et al., 2018; Cheung et al., 2020).
Customer engagement behavior encompasses several key activities, including positive word-of-mouth promotion, assisting the company and fellow customers, suggesting product improvements, recruiting new customers, and proactively communicating potential issues These actions enable customers to contribute valuable resources that enhance the overall value of the company's offerings.
2016).Insum,customer-engagementbehaviorprovidescompanieswithapoolof customers who are not merely transactional and hence, it is an essential source of competitive advantage for the company (Roy, et al., 2018).
Research indicates that various factors can influence customer engagement with services, particularly contextual elements (Patterson et al., 2006; Fernandes and Esteves, 2006) Customers are more inclined to engage with high-involvement, interaction-based services that have low availability and high switching costs (Fernandes and Esteves, 2006; Bolton and Saxena-Iyer, 2009) Additionally, customer identification with the service context is crucial for enhancing engagement (Coelho et al., 2018; Ahearne et al., 2005) Studies show that strong brand identification significantly boosts customer engagement with the brand (Coelho et al., 2018; Stephenson and Yerger, 2014).
The interaction between customers, companies, and service providers is crucial to the overall customer experience (Stein and Ramaseshan, 2016; Tynan et al., 2014) Positive customer experiences lead to increased engagement with services, resulting in favorable outcomes for firms, such as enhanced customer engagement behavior (Yi and Gong, 2009; Yim et al., 2008; Coelho et al., 2018) Despite previous research synthesizing the concept of customer engagement behavior, a clear understanding of its role in value co-creation was lacking until Jaakola and Alexander's 2014 study, which first conceptualized customer engagement behavior (CEB) within service systems Four key dimensions of customer engagement behavior have been identified: Augmenting behavior, Co-developing behavior, Influencing behavior, and Mobilizing behavior Understanding the motivations behind these engagement behaviors is essential for companies aiming to leverage voluntary customer contributions effectively.
2.5.3 Relationship between Customer experience (EX) and engagement behavior(EG)
The experience construct is crucial for enhancing customer and brand engagement, as highlighted by research linking engagement to consumption Hollebeek (2011) defines "engagement" as a personal and context-dependent outcome derived from the interaction between a customer and a brand Brodie et al (2011) further emphasize that customers achieve engagement through immersive and co-creative interactions with a brand within service relationships.
Customer interactions within service relationships are essential for the development of customer engagement (Brodie et al., 2011) Consumer brand engagement is a multi-faceted experience that encompasses focus, conversation, interaction, emotions, sensory enjoyment, and immediate activation (Gambetti et al., 2012) Engagement and experience exist in a complex, iterative process, indicating that communication may vary across different contexts (Brodie et al., 2011; Bijmolt et al., 2010; Fehrer et al., 2014) A review of existing theories highlights that customer experience serves as a precursor to customer engagement behavior, while customer engagement behavior is a result of customer experience Thus, this study posits that customer experience has a direct impact on customer engagement behavior, leading to the proposed hypothesis.
H 1 - Customer experience has a positive impact on customer engagementbehavior.
2.5.4 Mediatingrole of Customer-firm identification (FI) andemployee identification(EI)
Customer-company identification is essential for fostering long-lasting relationships between businesses and their customers It encompasses both cognitive and affective components The cognitive aspect involves a mental link between how a company defines itself and how customers perceive their own identities, highlighting self-categorization and conceptual overlap In contrast, the affective component emphasizes the positive emotional bond between an organization’s identity and how customers evaluate themselves, reflected in their positive self-conscious emotions.
Research indicates that positive customer experiences enhance identification with a company When customers engage emotionally and cognitively with service providers and fellow consumers, they are more inclined to align themselves with the brand This connection arises from favorable evaluations of the company, allowing customers to fulfill their self-defining needs through the brand's image and perceived attributes.