Beauty Beyond Products: Exploring the Drivers of Customer Satisfaction in Malaysia’s Leading Health and Beauty Retailer

Yong Yu Lee; Kun Peng Xia; Shi Ying Lee; Che Ying Lee; Huey Shan Lee; Wei Yin Lee; Yan Lin Lee; Varun Kumaran B; Anees Janee Ali; Daisy Mui Hung Kee

doi:10.32535/ijafap.v8i3.4213

Beauty Beyond Products: Exploring the Drivers of Customer Satisfaction in Malaysia’s Leading Health and Beauty Retailer

Yong Yu Lee, Kun Peng Xia, Shi Ying Lee, Che Ying Lee, Huey Shan Lee, Wei Yin Lee, Yan Lin Lee, Varun Kumaran B, Anees Janee Ali, Daisy Mui Hung Kee

Abstract

Drawing on service-dominant logic and the framework of stimulus-organism-response, our study investigates the mechanisms through which service attributes influence customer satisfaction in health and beauty retail. Analysis of survey data from 99 Watsons Malaysia customers reveals that staff behavior directly influences both perceived service quality and customer satisfaction, while service accessibility shapes satisfaction primarily through customer emotional responses and perceived service quality. The findings demonstrate the distinct pathways through which different service attributes contribute to satisfaction outcomes, with both cognitive and emotional responses playing crucial mediating roles. This study advances service management theory by illuminating the complex mechanisms underlying customer satisfaction formation and provides practical guidance for retail managers in designing effective service improvement initiatives. The results highlight the importance of considering both direct and indirect pathways when developing service enhancement strategies in health and beauty retail contexts.

Keywords

Customer emotional responses; perceived service quality; service accessibility; staff behaviour; Watsons Malaysia

Full Text:

PDF

References

Alam, S. S., Ali, M. H., Omar, N. A., & Hussain, W. M. H. W. (2020). Customer Satisfaction in Online Shopping in Growing Markets: An Empirical Study. International Journal of Asian Business and Information Management (IJABIM), 11(1), 78-91. https://doi.org/10.4018/IJABIM.2020010105

An, M.-A., & Han, S. L. (2020). Effects of experiential motivation and customer engagement on customer value creation: Analysis of psychological process in the experience-based retail environment. Journal of Business Research, 120, 389-397. https://doi.org/10.1016/j.jbusres.2020.02.044

Ban, T. K., Lee, J. L. J., Volha, R., Zamri, M. S. A. B., Azian, N. H. B., Ng, P. L., Maulana, Z. E. I., Via, S., Vladimir, G., & Kee, D. M. H. (2024). Investigating the Strategies Employed by McDonald's to Establish Sustainable Customer Relationships. International Journal of Tourism and Hospitality in Asia Pasific (IJTHAP), 7(2), 76-89.

Blau, P. (2017). Exchange and power in social life. Routledge.

Bolton, R., Gustafsson, A., Tarasi, C., & Witell, L. (2021a). Designing satisfying service encounters: website versus store touchpoints. Journal of the Academy of Marketing Science, 50, 85-107. https://doi.org/10.1007/s11747-021-00808-9

Bolton, R., Gustafsson, A., Tarasi, C., & Witell, L. (2021b). Managing A Global Retail Brand in Different Markets: Meta-Analyses of Customer Responses to Service Encounters. Journal of Retailing. https://doi.org/10.1016/J.JRETAI.2021.03.004

Ee, C. G., Ibrahim, H., Gulati, C., Chok, C., Shanshan, D., Kushwah, D., Choudhary, D., Jain, A., Maron, A. R., & Kee, D. M. H. (2024). Analysis of the Factors Affecting Customer Preference Towards McDonald’s. International Journal of Tourism and Hospitality in Asia Pasific (IJTHAP), 7(1), 129-142.

Gong, T., Park, J., & Hyun, H. (2020). Customer response toward employees’ emotional labor in service industry settings. Journal of Retailing and Consumer Services, 52, 101899. https://doi.org/10.1016/J.JRETCONSER.2019.101899

Hallencreutz, J., & Parmler, J. (2019). Important drivers for customer satisfaction – from product focus to image and service quality. Total Quality Management & Business Excellence, 32, 501-510. https://doi.org/10.1080/14783363.2019.1594756

Haunch, K., Thompson, C., Arthur, A., Edwards, P., Goodman, C., Hanratty, B., Meyer, J., Charlwood, A., Valizade, D., Backhaus, R., Verbeek, H., Hamers, J., & Spilsbury, K. (2021). Understanding the staff behaviours that promote quality for older people living in long term care facilities: A realist review. International journal of nursing studies, 117, 103905. https://doi.org/10.1016/j.ijnurstu.2021.103905

Hennig-Thurau, T., Groth, M., Paul, M., & Gremler, D. D. (2006). Are All Smiles Created Equal? How Emotional Contagion and Emotional Labor Affect Service Relationships. Journal of Marketing, 70(3), 58-73. https://doi.org/10.1509/jmkg.70.3.058

Hollebeek, L. D., Glynn, M. S., & Brodie, R. J. (2014). Consumer Brand Engagement in Social Media: Conceptualization, Scale Development and Validation. Journal of Interactive Marketing, 28(2), 149-165. https://doi.org/10.1016/j.intmar.2013.12.002

Huang, C.-H., & Lin, Y. (2020). Relationships among employee acting, customer-perceived service quality, emotional well-being and value co-creation. Asia Pacific Journal of Marketing and Logistics. https://doi.org/10.1108/apjml-04-2019-0245

Huarng, K., Cervera, A., & Mas-Verdu, F. (2018). Innovation and service-dominant logic. Service Business, 12, 453-456. https://doi.org/10.1007/S11628-018-0369-6

Hult, G., Sharma, P. N., Morgeson, F., & Zhang, Y. (2019). Antecedents and Consequences of Customer Satisfaction: Do They Differ Across Online and Offline Purchases? Journal of Retailing. https://doi.org/10.1016/J.JRETAI.2018.10.003

Husemann, K., Zeyen, A., & Higgins, L. (2023). Marketplace accessibility: a service-provider perspective. European Journal of Marketing. https://doi.org/10.1108/ejm-04-2022-0280

Hussain, K., Jing, F., Junaid, M., Bukhari, F. A. S., & Shi, H. (2019). The dynamic outcomes of service quality: a longitudinal investigation. Journal of Service Theory and Practice, 29, 513-536. https://doi.org/10.1108/jstp-03-2019-0067

Jian, O. Z., Baliyan, M., Gadi, P. D., Azman, S. B., Yusoff, S. B. M., Nadzri, S. N. B. M., Bansal, M., Kumar, K., Srivastav, K. P., & Kee, D. M. H. (2024). The Role of Sustainability Perception in Consumer Behavior: A Study of Packaging, Ingredients, and Brand Awareness in the Soft Drinks Industry. International Journal of Accounting & Finance in Asia Pasific (IJAFAP), 7(2), 116-130.

Jin, B., & Kim, G. (2021). Assessing Malaysia and Indonesia as emerging retail markets: an institution-based view. International Journal of Retail & Distribution Management. https://doi.org/10.1108/ijrdm-05-2020-0187

Joudeh, J., & Dandis, A. (2018). Service quality, customer satisfaction and loyalty in an internet service providers. International journal of business and management, 13(8), 108-120.

Kermanshachi, S., Nipa, T. J., & Nadi?ri?, H. (2022). Service quality assessment and enhancement using Kano model. Plos One, 17. https://doi.org/10.1371/journal.pone.0264423

Kim, J.-H. (2021). Service authenticity and its effect on positive emotions. Journal of Services Marketing. https://doi.org/10.1108/JSM-07-2020-0261

Loo, P., Khoo-Lattimore, C., & Boo, H. (2021). How should I respond to a complaining customer? A model of Cognitive-Emotive-Behavioral from the perspective of restaurant service employees. International Journal of Hospitality Management, 95, 102882. https://doi.org/10.1016/J.IJHM.2021.102882

May, D. R., Gilson, R. L., & Harter, L. M. (2004). The psychological conditions of meaningfulness, safety and availability and the engagement of the human spirit at work. Journal of Occupational and Organizational Psychology, 77(1), 11-37. https://doi.org/10.1348/096317904322915892

Miao, C., Barone, M., Qian, S., & Humphrey, R. (2019). Emotional intelligence and service quality: a meta-analysis with initial evidence on cross-cultural factors and future research directions. Marketing Letters, 30, 335-347. https://doi.org/10.1007/s11002-019-09495-7

Mishra, M., & Mund, P. (2024). Fifty?two years of consumer research based on social exchange theory: A review and research agenda using topic modeling. International Journal of Consumer Studies. https://doi.org/10.1111/ijcs.13074

Otterbring, T., Arsenovic, J., Samuelsson, P., Malodia, S., & Dhir, A. (2023). Going the Extra Mile, Now or After a While: The Impact of Employee Proactivity in Retail Service Encounters on Customers’ Shopping Responses. British Journal of Management. https://doi.org/10.1111/1467-8551.12765

Pei, X., Guo, J., Wu, T.-J., Zhou, W., & Yeh, S.-P. (2020). Does the Effect of Customer Experience on Customer Satisfaction Create a Sustainable Competitive Advantage? A Comparative Study of Different Shopping Situations. Sustainability. https://doi.org/10.3390/su12187436

Seiders, K., Voss, G. B., Godfrey, A. L., & Grewal, D. (2007). SERVCON: development and validation of a multidimensional service convenience scale. Journal of the Academy of Marketing Science, 35(1), 144-156. https://doi.org/10.1007/s11747-006-0001-5

So, K. K. F., Yang, Y., & Li, X. (2024). Fifteen Years of Research on Customer Loyalty Formation: A Meta-Analytic Structural Equation Model. Cornell Hospitality Quarterly. https://doi.org/10.1177/19389655241276506

Su, L., Swanson, S. R., & Chen, X. (2016). The effects of perceived service quality on repurchase intentions and subjective well-being of Chinese tourists: The mediating role of relationship quality. Tourism Management, 52, 82-95. https://doi.org/https://doi.org/10.1016/j.tourman.2015.06.012

Tan, S., Chan, K., & Tan, P. L. (2023). Segmenting the Malaysian female young adolescent market based on gender roles and identities. Young Consumers. https://doi.org/10.1108/yc-01-2023-1675

Terblanche, N. (2018). Revisiting the supermarket in-store customer shopping experience. Journal of Retailing and Consumer Services, 40, 48-59. https://doi.org/10.1016/J.JRETCONSER.2017.09.004

Tomaševi?, D., Gaševi?, D., & Vranješ, M. (2020). The impact of service quality in retail trade facilities on customer loyalty. Marketing Science, 51, 121-130. https://doi.org/10.5937/markt2002121t

Troebs, C.-C., Wagner, T., & Heidemann, F. (2018). Transformative retail services: Elevating loyalty through customer well-being. Journal of Retailing and Consumer Services. https://doi.org/10.1016/J.JRETCONSER.2018.09.009

Vaidyanathan, N., & Henningsson, S. (2022). Designing augmented reality services for enhanced customer experiences in retail. Journal of Service Management. https://doi.org/10.1108/josm-01-2022-0004

Van Vaerenbergh, Y., & Hazée, S. (2024). Frontline employee work engagement and customer service evaluations: a conceptual replication. Journal of Service Management. https://doi.org/10.1108/josm-07-2024-0304

Vargo, S., & Lusch, R. (2008). Service-dominant logic: continuing the evolution. Journal of the Academy of Marketing Science, 36, 1-10. https://doi.org/10.1007/S11747-007-0069-6

Vieira, V. (2013). Stimuli–organism-response framework: A meta-analytic review in the store environment. Journal of Business Research, 66, 1420-1426. https://doi.org/10.1016/J.JBUSRES.2012.05.009

Wolter, J., Bock, D., Mackey, J., Xu, P., & Smith, J. (2019). Employee satisfaction trajectories and their effect on customer satisfaction and repatronage intentions. Journal of the Academy of Marketing Science, 1-22. https://doi.org/10.1007/S11747-019-00655-9

Yeo, G., & Ong, D. (2024). Associations between cognitive appraisals and emotions: A meta-analytic review. Psychological bulletin. https://doi.org/10.1037/bul0000452

Yun, L. J. (2024). An Empirical Study of The Factors Affecting University Students’ Satisfaction Towards Foodpanda Mobile Application. Asia Pacific Journal of Management and Education (APJME), 7(1), 44-59.

DOI: https://doi.org/10.32535/ijafap.v8i3.4213