Complaint Handling and Shoppers’ Response Outcomes: An Investigation in the Context of Online Retail

Marketer-initiated approaches to relationship marketing have grown in prominence in the recent years majorly as a result of an understanding by firms that customer retention is more advantageous than constantly seeking new customers. The proven benefits of relationship building further account for a greater willingness on the part of online retail firms to seek customer loyalty and commitment. On the other hand, the competitive nature of products that are offered online and the benefits in the form of convenience, comparison, ease of use, and global choice have made shoppers less tolerant towards service/ product shortfall. It is in this backdrop, the present study examines the complaint handling by service providers and the resultant post-complaint satisfaction as the basis for developing loyalty and relationship behavior of online shoppers. Using the survey approach and questionnaire design, responses were obtained from 138 online retail shoppers. The results of the study provide useful insights and lend strong support to the important role of complaint handling in positively affecting shoppers’ post-complaint satisfaction which in turn, significantly contributes towards their behaviour and relationship commitment. In all, due attention to the areas of improvement identified in the present work will help the online retail firms in designing more effective complaint handling systems to address consumers’ negative experiences and foster long-term relationship with them in future.