An investigation of complainants’ post-complaint responses following evaluations of retailers' complaint handling of major household appliance failures

Abstract

Complaint handling encounters represent useful opportunities for retailers to rectify problems, salvage the relationship between the retailer and the customer, and increase customer satisfaction and customer loyalty. Service recovery (complaint handling) therefore becomes critical “moments of truth” for organisations in their efforts to satisfy and retain customers. The purpose of the research was to explore and describe complainants’ evaluations of appliance retailers’ complaint handling procedures in terms of their perceptions of justice. In addition, the relationships between perceived justice and emotions and perceive justice and post-complaint behavioural intentions were explored. The unit of analysis was consumers who had encountered an appliance failure and had sought redress from the appliance retailer where the appliance was originally purchased (within a oneyear recall period). This study used a cross-sectional survey approach to capture real perceptions of justice, emotions and behavioural intentions. Convenience sampling was employed in Tshwane, a major metropolitan area of South Africa. Data was collected via a self-administered questionnaire. A total of 198 usable questionnaires were collected. The results of the exploratory factor analysis showed that respondents had specific expectations about retailers’ complaint handling. Confirmatory factor analysis indicated that the respondents indeed judged complaint handling in terms of procedural, interactional and distributive justice. They experienced procedural justice when complaint handling personnel followed company policy and the correct procedures in handling their complaints, when the employees were competent, when they resolved complaints in a timely manner and made it easy for the dissatisfied consumers to voice their complaints. The respondents experienced interactional justice when complaint handling personnel treated them with respect (were polite), made it easy for them to determine where to lodge their complaints (i.e. to whom they should complain in the company), communicated clearly (with adequate use of language), were appropriately concerned about the problem, took great effort in resolving the complaint, and provided them with an appropriate explanation as to why the appliance has failed. Verbal communication about where to complain forms part of respondents’ perception of the fairness of the interpersonal communications used in settling complaints factor, rather than the procedural justice factor. The respondents experienced distributive justice when they perceived that the redress (i.e. compensation: free repairs, product exchange, refund, voucher etc.) offered by the retailers was more they expected, was fair, was what they deserved or was what they needed. Respondents perceived that retailers’ were fair concerning procedural justice and distributive justice, but unfair concerning interactional justice. The strongest positive emotions that respondents experienced were gratitude, happiness, being valued and joyfulness, while lower levels of warm feelings and pride were experienced. The strongest negative emotions that respondents experienced were anger, annoyance, being upset and being in a bad mood, while lower levels of guilt and sadness were experienced. Relationships exist between respondents’ perceptions of justice and their emotions, and between their emotions and post-complaint behavioural intentions (repurchase intentions, word-of-mouth intentions and third-party complaint intentions). The study has important practical implications for appliance retailers