The effects of service recovery on customer satisfaction and customer loyalty in banks

摘要

With the advent of health risks related to gathering of people, banks among other institutions are relying on e-services to reach out to their customers. These services are directly affected by service failure and recovery. This study examines the relationship between effective service recovery, well-established communication structure, customer satisfaction and customer loyalty, in order to provide a better quality service for the millennial customers. Collected data was analysed using the SPSS software. The results show that there is a significant positive relationship between the following attributes: service recovery and customer loyalty, customer satisfaction and positive word-of-mouth, communication and conflict handling on loyalty.