Abstract

With a goal of establishing a marketing strategy which allows businesses to hold a dominant position in beauty service industry, this study has attempted to investigate causal relations among behavioral intentions by customer satisfaction once service recovery strategy is recovered depending on customers` emotional responses against service failure. In order to provide relevant data to make correct decisions during management and marketing planning so that better customer satisfaction can be achieved in the beauty service industry, the results of the previous studies on service failure and recovery strategy in the beauty service industry have been examined. Then after selecting i) the efforts to recover service failure, ii) satisfaction after recovery and iii) behavioral intention after satisfaction as causal variables, the relation among these variables were verified using a structural equation model. As a result, an appropriate recovery strategy which is developed after service failure makes customers have positive behavioral intentions when customer satisfaction is achieved just as described in previous studies. Furthermore, it is a critical fact which helps businesses keep their customers in a mature market, where it is hard to attract new customers and create long-term profit. This study empirically supports information on how service failure and related variables occur in the beauty service industry. It is significant in that it has helped beauty service providers build service recovery-related strategies.

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