With the introduction of virtual reality (VR) devices for private consumers in 2013, the industry experience great attention and notable progresses have been made in relation to hardware components (Papagiannidis et al. 2013). This enables better experiences of virtual environments and reduces the awareness of the consumer to be exposed to virtual stimuli, so that the virtual environment is perceived as (almost) real – the so-called immersion effect (Grau 2003). Even though VR is already in place, little research in service marketing literature exists about it (Bigné, Llinares, and Torrecilla 2016), so that this technique represents one of the most important topics to investigate from service perspective (Kannan and Li 2017). We assume that the immersion-effect might influence the perception of the service encounter and thus influence consumer evaluation in a new way. Thereby, we contribute to service marketing literature by exploring the value and barriers for VR usage in so-called virtually-extended service encounters from a customer perspective. Thereby, we further examine for which kind of services VR is useful, how consumer perceive VR technology in service environments and how the extension of the traditional service encounter by VR technology influences consumers’ service quality evaluations. VR represents a promising technology to promote high-involvement products or services like travel, furniture, or cars. Companies offering these kind of products and services can provide simple devices to customers, who can experience the product in a realistic setting upfront their purchase decisions. Especially novelty and innovation characteristics of VR-technology may have positive spillover effects on company brand, the product as well as the final purchase decision. To proceed with this research, we plan lab experiments with well-developed VR-devices.

Attitude and ability of frontline employees in customer interaction influence company reputation. Since respective theory is scarce, this paper – based on a qualitative interview study – presents an examination of the status quo of the topic in luxury watch retail. Theories of service quality, identity and impression management are briefly addressed.

The two purposes of this study were to understand service encounters in Korean restaurants by foreigners living in Korea and to examine the effect of service encounters on the customer's emotion feelings, customer satisfaction, and behavioral intention. Based on the reactions of a total of 614 foreigners obtained by empirical research, this study reviews the reliability and fitness of the research model, and verifies a total of 4 hypotheses using the Amos program. The hypothesized relationships in the model were tested simultaneously using a structural equation model (SEM). The proposed model provided an adequate fit to the data: χ2 683.466 (df=216), CMIN/df 3.164, RMR 0.095, GFI 0.911, AGFI 0.886, NFI 0.933, CFI 0.953, and RMSEA 0.059. As a result of empirical analysis, the physical environment, interactions with employees, and interactions with other customers were quantified as service encounter factors in Korean restaurants. These factors were indicated to have an influence on customer's emotion feelings. Also, customer's emotion feelings had a positive influence on customer satisfaction and behavioral intent. Limitations and future research are also discussed.

The purpose of this study was to examine the effect of customer perceptions of control within the dining experience on customer satisfaction. Customer perceptions of the resulting pace of the service encounter negatively impacted their satisfaction ratings during the stages of ordering, production, and payment in a restaurant. The moderating influence of perceived service pace satisfaction during service stages in a restaurant on the relationship between perceived service pace and customer satisfaction was also examined. Perceived service pace satisfaction was examined using expectancy disconfirmation theory. The effect of perceived pace on customer satisfaction was moderated by perceived service pace satisfaction during the production stage with a greater tolerance to a faster pace during the ordering stage. The management needs to consider the negative effect of service encounter pace on customer satisfaction. Perceived service pace satisfaction during the service stages in a restaurant should also be factored into strategy development for duration control.

The purpose of this study was to understand the interrelationships between customers' perception of service encounter elements, customers' emotional response and customer satisfaction in a family restaurant. Based on a total of 408 samples, this study reviewed the reliability and fitness of the research model and verified a total of 4 hypotheses using the Amos program. The hypothesized relationships of the model were tested simultaneously using a structural equation model (SEM). The proposed model provided an adequate fit to the data, χ2=821.151 (df=333), CMIN/df 2.466, GFI .878, NFI .927, IFI .955, TLI .949, CFI .955, RMSEA .060. The results showed that human factor (β=.426) and physical factor (β=.266) as service encounter elements in family restaurants were indicated to have a positive (+) influence on customers' positive emotion. For influence of customers' negative emotion, human factor (β=-.157) was surveyed to have a negative (-) influence. Also, customers' positive emotion (β=.716) and negative emotion (β=-.081) had significant effects on customer satisfaction. Limitations and future research directions are also discussed.

The purpose of this study was to identify the differences of cognitive responses, emotional responses, customer satisfaction, and service loyalty about service encounter quality by types of restaurants and to analyse emotional responses, customer satisfaction, and service loyalty in accordance with level of service encounter quality. The questionnaire were collected from customers (N=812) who had used restaurants in Seoul, aiming at 15 or more-year-old customers from October 24, 2005 to November 6, 2005. The main results of this study were as follows: Statistically significant difference was showed in importance and performance of interaction quality, importance and performance of physical environment quality, performance of outcome quality depending on types of restaurants, while significant difference was not indicated in importance of outcome quality by types of restaurants. Positive emotional response was significantly high by types of restaurants in order of fine-dining restaurants, family restaurants, and fast-food restaurants, while negative emotional responses were significantly higher in fast-food restaurants than in the other two types. As far as Customer satisfaction are concerned, fine-dining restaurants showed higher customer satisfaction than the other two types. Attitudinal service loyalty was high in fine-dining restaurants, family restaurants and fast-food restaurants in order and behavioral loyalty was not significantly different with each type of restaurant. In accordance with level of service encounter quality, cluster analysis was conducted and the clusters were divided into 'high-valuation' and 'low-valuation'. 'High-valuation cluster' and 'low-valuation cluster' showed significant difference depending on types of restaurants that customers used(p<.001). The customers who used fine-dining restaurants and family restaurants valued the performance of service encounter highly. However, in fast-food restaurants, a lot of low-valuation customers existed. Therefore, fast-food restaurants have to improve performance of interaction quality, outcome quality and physical environment quality in service encounter. In addition, in 'high-valuation cluster' who valued service encounter quality highly showed higher scores in positive responses, customer satisfaction, service loyalty than in 'low-valuation cluster', and showed low negative responses.