Is differential treatment in response to service failures effective? The roles of comparison, loyalty, and scarcity messages

Previous studies have shown how a strong relationship between a customer and a firm can exacerbate dissatisfaction after a service failure. However, the effectiveness of providing preferential benefits to loyal customers during a service recovery has been less explored. The purpose of this paper was to examine the impact of differential treatment on post-recovery responses by customers’ loyalty status as well as the moderating role of scarcity...