The service recovery paradox


The service recovery paradox

 

At some point in life, we all have experienced the service recovery paradox. Want to know what is it?

The service recovery paradox (SRP) is a circumstance in which a customer usually tends to become more loyal to an organization after the company has rectified a service failure, compared to how they would treat the company if non-faulty service had been provided. 

 

It has been observed that customers become more loyal to a business after they have experienced a service failure, then if it had never occurred in the first place.

For example- You get a haircut from Urban company and you tend to dislike it. At this point, Urban company can make it up to you by providing you a total refund or vouchers for discount. If they do that and you get satisfied then there is a high probability that you would be more loyal to Urban company services in the future. In this example, recovery is really important for Urban Company as it is impossible to provide error-free services in this sector.

 

The graph shows how the customer tend to become loyal after a service recovery.

When things go not as per the plan, you can see that line taking a dip as a problem occurs and that loyalty starts to decline or disappear.

This service recovery paradox can only take place when a business faces a gap or service failure, the situation can only improve when the company takes action to rectify their mistakes by satisfying the customer.

 

 


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