This study is to examine how different timing of free gifts (pre-informed vs. surprise) under different consumption occasions (ordinary vs. special) independently and/or together affect consumers’ affective (overall utility) and attitudinal (satisfaction) evaluations of dining service experiences. According to utility theory (Kahneman, Wakker & Sarin, 1997), an individual’s final choice is determined by his/her evaluation of utility which refers to the experience of feelings and emotions in response to a service. Anticipated utility occurs before a purchase or an actual event; experienced utility occurs during the event. In examining the customers’ dining experiences in conjunction with free gift timing and a consumption occasion, this study focuses on anticipated and experienced utility. Two hypotheses are proposed: H1. Consumption occasions moderate the effect of timing of free gift offer on overall utility and satisfaction with the service experience in a restaurant dining environment. Specifically, on a special (vs. ordinary) consumption occasion, surprise (vs. pre-informed) free gifts increase consumer’s overall utility about and satisfaction with restaurant service experience. H2. Overall utility mediates the interactive effects of free gifts and consumption occasions on satisfaction with restaurant service. Data were gathered using a web-based experiment with a 2(free gift: surprise vs. pre-informed) x 2 (consumption occasion: special vs. ordinary) between-subject design. As a result, both H1 and H2 are supported. Participants dining at a restaurant for a special occasion had higher overall utility about their restaurant service experience when they received free gifts as a surprise as opposed to pre-informed gifts. On the other hand, participants who dined on ordinary occasions perceived an overall utility of the restaurant service to a greater extent when they received pre-informed free gifts than surprising gifts. The results indicated that it is important to consider the strategic timing of complimentary gifts to enhance customer experiences. Moreover, this study found that overall utility mediates the effect of free gifts on satisfaction only under special consumption occasions. In special occasions, participants who receive free gifts elicit affective emotions and then, they are satisfied with the restaurant service, but participants under ordinary occasions are directly satisfied with the service through free gifts.

• Eunkyeong Jung(University of Tennessee at Knoxville, USA)
• Sejin Ha(University of Tennessee at Knoxville, USA)