Creating Loyalty in Collective Hedonic Services: The Role of Satisfaction and Psychological Sense of Community

Abstract

Generally, researchers consider that customer satisfaction is the core driver of loyalty. However, in the case of collective hedonic services, feelings of connectedness among service users might also play an important role in forming brand loyalty. A study among visitors of a music festival actually shows that a feeling of community has a greater impact on loyalty intentions than does overall satisfaction. Thus, satisfying customers is not always the key route to value creation. Sometimes customer interaction more effectively enhances what Prahalad (2004) calls the “co-creation of experience”.

Keywords: Brand Community, Collective Hedonic Service, Consumption Community, Emotional Experience, Event, Festival, Loyalty, Psychological Sense of Community, Satisfaction

JEL Classification: C12, C30, L83, M31