1. Introduction
Recently, the sharing economy, known as a sustainable solution for green economic development, has grown rapidly [
1]. P2P sharing services such as Airbnb and Uber thus have the potential to grow from a global revenue of USD 15 billion in 2014 to USD 335 billion by 2025 [
2]. As a new business model, P2P sharing services face unique challenges [
3]. Hence, extant research investigated various facets of P2P sharing services, such as conceptualization (e.g., [
4,
5]), antecedents (e.g., [
6,
7]), and barriers (e.g., [
8]). However, research on service failure/recovery considering the characteristics of P2P sharing services is insufficient [
9]. Against this backdrop, this study investigated service failure and recovery in P2P sharing services.
In a P2P sharing-service model, three different actors who create triadic relationships participate in the service delivery process: a platform provider (PP; e.g., Airbnb), a peer service provider (PSP; e.g., host), and a customer [
5]. The triadic relationships in P2P sharing services have features that differ from those of traditional services. First, from the customer’s perspective, there are two service providers (PP and PSP) [
5]. For example, Airbnb (PP) provides a platform service where customers can find the desired accommodation, and a host (PSP) provides his/her private place to these customers. This is fundamentally different from traditional services, in which customers transact with only one object (service firm) at a time [
10]. In addition, it brings complexity to customers, such as, “Who should I complain to and ask to solve the problem?” when a service failure occurs [
5]. Second, peers can be either PSPs or customers [
5]. For example, customers can use Airbnb (PP) services when they travel and rent their rooms or houses via the Airbnb platform as hosts (PSPs). Since the customers’ expectation in the service failure/recovery situation can differ depending on their PSP experience due to homophily [
11], customer responses to the service failure/recovery situation can be more complex than when dealing with a traditional service. Given these two complex aspects, this study explored the complexity of attribute configurations that elicit positive/negative customer responses to the PP. To discover effective/ineffective recovery strategies, this study combined linear and nonlinear methods based on complexity theory [
12]. Specifically, it examined the influence of the characteristics of service failure/recovery that are generic (severity of service failure and recovery effort) or unique to P2P sharing services (source of service recovery: SSR), as well as the characteristics of customers that are generic (age and gender) or unique to P2P sharing services (PSP experience; PE) that influence customers’ behavioral intentions toward the PP (reuse and switching intentions). This study thus contributes to both the theoretical and methodological domains. Theoretically, this study provides a better understanding of the complex formulation of customers’ behavioral intentions in service failure/recovery situations with special reference to P2P sharing services. Methodologically, it employed fuzzy-set qualitative comparative analysis (fsQCA), which is a new methodology in the field of P2P sharing services.
The remainder of this paper is organized as follows.
Section 2 presents the theoretical background and the proposed model. Then,
Section 3 and
Section 4 describe the research methodology and results, respectively.
Section 5 discusses the results and their managerial implications. Finally,
Section 6 offers the contributions, limitations, and directions for future research.
5. Discussion and Managerial Implications
To better understand customers’ behavioral intentions toward the PP in service failure/recovery situations, this study used two distinct methodologies: MRA and fsQCA. Comparing the results of the two methods yielded several implications. This section discusses the main findings of each model. Managers of P2P sharing services could gain valuable insights into specific service recovery strategies from the discussion in this section.
The MRA results show a significant relationship between customers’ PSP experience and their switching intention, while the relationships between the other independent variables and customers’ behavioral intentions are not statistically significant. Specifically, customers with PSP experience showed high switching intention when they experienced service failure even though they obtained recovery in both the high- and low-severity service failure situations. On the contrary, the fsQCA results represent a different story. The fsQCA results indicate diverse configurations consisting of various causal conditions rather than only one condition (i.e., PSP experience) leading customers’ behavioral intentions. Specifically, each causal condition (i.e., for repurchase intention: SSR, PE, A, G; for switching intention: SSR, A, G) that showed insignificant relationships with customers’ behavioral intentions in the MRA is combined with other causal conditions and has a statistically significant effect on outcomes. The next paragraph discusses the main fsQCA findings in detail.
The main findings of Model 1 (severity of service failure: high; recovery effort: refund) are as follows. First, the results confirm that SSR is an important factor leading to customers’ behavioral intentions toward the PP. Noticeably, almost all solutions (Model 1-a: solutions 1, 2, and 4 (three out of four); Model 1-b: all solutions) include SSR. Specifically, the results of Model 1-a show that (1) even though PSP restores the service, the reuse intention of the PP is high (solutions 1 and 2). However, depending on customer characteristics (i.e., PE, age, and gender), there is a configuration where the reuse intention of the PP is high when the PP has to restore the service (solution 4). In Model 1-b, (2) the SSR inducing a switching intention of the PP depends on the characteristics of customers, namely PE and gender. Specifically, while male customers with PE had high switching intentions when the PSP refunded them, female customers with PE had a high switching intention when the PP refunded them. Second, the results also show that PE is an important factor inducing a customer’s behavioral intention. The fact that most solutions (Model 1-a: solutions 1, 3, and 4 (three out of four); Model 1-b: all solutions) contain PE supports this argument. Given the results of Model 1-a, (1) depending on PE, the SSR leading to customers’ high reuse intention of the PP may vary. Specifically, while customers with PE showed high reuse intentions when the PSP refunded them, customers without PE showed high reuse intentions when the PP refunded them. Therefore, it can be inferred that customers with PE believe that the PSP is responsible for service recovery, while customers without PE believe that the PP is responsible for service restoration. In Model 1-b, the results show that (2) customers with PE had a high switching intention of the PP even after service recovery when they experienced serious service failure. It can be interpreted that customers with PE are stricter with the PP than those without PE. Third, the results also support that customers’ demographic characteristics are important in inducing customers’ behavioral intentions. As such, (1) depending on the customer’s demographic characteristics, the SSR and PE that induce customers’ behavioral intentions differ. In addition, (2) depending on the type of behavioral intention, influencing characteristics differ. Specifically, in Model 1-a, both age and gender affected the configuration of customers’ reuse intention of the PP. For example, young male customers showed high reuse intention when the PP refunded them (solution 4), and old customers showed high reuse intention when the PSP refunded them (solution 2). On the other hand, in Model 1-b, only gender affects the configurations of customers’ switching intentions for the PP. Specifically, male customers had high switching intentions, although the PSP refunded them, while female customers showed high switching intentions, although the PP refunded them.
The main findings of Model 2 (severity of service failure: low; service recovery: apology) are as follows. First, in low-severity service failure situations, gender is the most important factor leading to customers’ behavioral intentions toward the PP. All solutions consider gender. Specifically, in both models (Models 2-a and 2-b), female customers showed a high behavioral intention toward the PP. In Model 2-a, female customers had a high reuse intention if they received an apology. However, in Model 2-b, despite receiving an apology, female customers showed a high switching intention. This result may be explained by the importance of PE. According to the results of Model 2-b, among female customers, only those with PE showed a high switching intention. It can be interpreted that despite experiencing a low-severity service failure and receiving an apology, female customers with PE are stricter toward the PP. Second, age and SSR are also important factors. Almost all solutions of Model 2-a (age and SSR: solutions 2 and 3 (two out of three)) and Model 2-b (age and SSR: all solutions) include age and SSR. Specifically, in Model 2-a, young customers showed high repurchase intentions when the PP apologized, while old customers showed high repurchase intentions when the PSP apologized. In addition, in Model 2-b, young customers showed high switching intentions when the PSP apologized, while old customers showed high switching intentions when the PP apologized. Consequently, it can be inferred that, for young customers, the PP provides service recovery and, for old customers, the PSP provides service recovery as an effective service recovery strategy.
6. Conclusions
The academic contributions of this study are as follows. First, it extends the literature on both P2P sharing services and service failure/recovery. While extant research on P2P sharing services focused on the conceptualization (e.g., [
4,
5]), antecedents (e.g., [
6,
7]), and barriers (e.g., [
8]) of P2P sharing services, this study investigated service failure/recovery issues. In addition, the research on service failure/recovery that considers the characteristics of P2P sharing services is insufficient [
9]. This study extends the literature on service failure/recovery by investigating effective/ineffective service recovery configurations that reflect the unique characteristics of P2P sharing services (i.e., SSR and PE). Second, theoretically, this study provides a better understanding of the complexity formulation of customers’ behavioral intentions in service failure/recovery situations, with special reference to P2P sharing services. Third, this study expands the field of application of fsQCA. Most research on P2P sharing services employed asymmetric methods such as MRA [
27], with only a few studies having employed fsQCA to identify solutions that trigger customers’ intent to use P2P sharing services (e.g., [
29,
31,
47]) or induce positive experiences (e.g., [
27,
48]). To the best of the author’s knowledge, this study is one of the first to perform configural analysis to identify effective/ineffective service recovery strategies in P2P sharing services. Consequently, by implementing complexity theory and fsQCA, this study confirms the importance of examining complex causal patterns of predictors [
37]. Finally, this study provides some valuable insights by comparing the results of MRA and fsQCA. Since the MRA approach cannot explain asymmetric contrarian cases, it cannot provide a comprehensive description of the relationships between variables [
37]. Hence, MRA fails to explain the complexities that exist in real life [
35]. On the contrary, fsQCA generates various detailed solutions reflecting real complexities [
35,
37]. However, it does not provide generalizable solutions, while the MRA approach can [
32]. Given the pros and cons of the two approaches, this study provides a comprehensive perspective by taking advantage of both methods.
Despite its contributions, this study has several limitations, which suggest interesting opportunities for future research. First, this study considered only the characteristics of customers (PSP experience, age, and gender). However, extant research has shown that age and gender differences between customers and service providers induce social biases and, as a result, affect customer responses to services [
49,
50]. Therefore, the characteristics of PSPs should be considered in future research. Second, although there are two types of service providers (i.e., PP and PSP) from the customer’s perspective [
5], this study only considered customers’ behavioral intentions toward the PP, specifically the reuse and switching intentions, as outcomes. Hence, future studies should consider customers’ behavioral intentions toward the PSP as well. Specifically, future studies should consider the intent to give good review scores and write positive/negative reviews, which are important from the perspective of the PSP [
51]. Finally, the sample consisted of US customers, which may limit the generalizability of the findings. Since cultural differences among customers influence their responses to service failure/recovery [
52], similar studies in different cultural settings are needed.