Sustainability Communication and Service Experience Expectations
(A2024-119531)

AUTHORS

Jishnu Bhattacharyya, Nottingham University Business School China, University of Nottingham Ningbo China; Balaji Makam, Rennes School of Business; Yangyang Jiang, The University of Nottingham Ningbo China

ABSTRACT

Service providers are enacting a range of sustainability initiatives as part of their corporate social responsibility efforts. In this context, we identified two initiatives: the Enhancement Initiatives, which advocate for sustainable resource production and increases the positive environmental impacts of its operations (e.g., use of solar energy at the gym), and the Reduction Initiatives, which focus on minimizing negative environmental impacts of operations by minimizing resource use (e.g., efficient water uses at the car wash). We argue that enhancement (vs. reduction) initiatives are more effective in enhancing consumers’ service experience expectations. The perceived service inconvenience explains the relationship between sustainability initiatives and customer service experience expectations. Our results also suggest that brand positioning is the boundary condition. These predictions are tested in eleven empirical studies. The implications relate to brand positioning strategy, resource allocation decisions, and effective communication.