Effect of Customer Engagement on Customer Value Creation and Subjective Well-being

Abstract

Purpose: This study analyzes the intermediate effect of customer value creation on the relationship between customer engagement and subjective well-being. It highlights the importance of customer engagement and interest while, validating the impact of customer's psychological happiness and satisfaction through customer value creation.Methods: Using the SPSS Ver.21.0 program as an analysis method, this study performed frequency analysis, factor analysis, reliability analysis, and three-stage mediated multi-regression. The survey included 240 customers who experienced experience and demonstration services at the cosmetics stores in Seoul and the metropolitan area from December 3 to 31, 2021. For the analysis, 232 samples were used, excluding 8 samples that were deemed unusable.Results: First, customers who experienced experience and demonstration services in cosmetics stores have a positive effect on customer value creation. Furthermore, this positive effect extends to customers' psychological well-being and satisfaction. Second, in the context of the relationship between customer information and subjective well-being, customer value creation has been demonstrated to have a partial mediating effect.Conclusion: Experience and demonstration services offer by cosmetics stores with high-quality content can enhance customer participation and encourage active customer engagement. Consequently, they contribute in, improving functional satisfaction, enjoyment and social value for customers. By efficiently achieving mutual value creation between companies and customers through leveraging such customer information, these services can function as strategic marketing tools. Moreover, they play a crucial role in completing the image improvement of companies and their cosmetic products by projecting customers' happiness on to cosmetics and services offered.