The customer experience – loyalty link: moderating role of motivation orientation

Abstract

PurposeThe purpose of this paper is threefold: first, to examine the effects of different touch points on customer experience, second, effects of customer experience on loyalty intentions, and actual spend, and third, the moderating role of motivation orientation on these effects.Design/methodology/approachBy recognizing the importance of capturing customer experience assessments at the “time of the experience”, a smartphone technology mobile app was developed for the purpose of this study. Real time customer experience data were collected at individual touch points.FindingsThe results show that the real-time touch point evaluations significantly effect overall customer experience and that these effects significantly differ for utilitarian and hedonic motivation orientations. The effects of technology, atmospherics, employee–customer interaction and service/product interaction touch points on overall customer experience are significantly stronger for hedonic orientation than for utilitarian orientation. In contrast, the effect of process touch point on overall customer experience is significantly stronger for utilitarian than hedonic orientation. Also, favorable overall customer experience evaluations exert significant positive influence on loyalty intentions, and actual spend, and these influences are significantly stronger for consumers with hedonic than utilitarian motivation orientations.Practical implicationsThe findings of this study will enable companies to manage customer experience programs effectively by providing an understanding of the distinct touch points that occur along the customer journey and the relative importance of each of these touch points in enhancing customer experience.Originality/valueThis is the first empirical study that offers important insights on the effects of different touch points on customer experience, and on the moderating role of consumer motivation orientations on the touch points – customer experience – loyalty link by using real-time data.