Understanding core and peripheral service quality in customer repurchase of the performing arts

Abstract

Purpose – This research models the interrelationship of service quality (SQ) for core and peripheral service, perceived value and satisfaction to establish a system of relationship that predicts repurchase intention (RI) in a performing arts context. Business researchers in services understand that organizations must base success on consumer retention. With increased competition and dwindling funding, the performing arts have more constraints in managing and designing customer retention programs. Knowledge of the predictors of customer judgments in re-purchase intention is undeveloped in the performing arts sector positioning both academic and practical research as warranted. This paper aims to fill this gap. Design/methodology/approach – A survey instrument customized to the performing arts was administered to a sample of 273 past and present performing arts audience members and examined using structural equation modeling. Findings – Results indicate that customers determine their re-purchase intention based on both core and peripheral SQ, mediated by perceived value and customer satisfaction. There was no direct or significant relationships found for SQ of core and peripheral services and perceived value to RI. Practical implications – This work supports the need for strategic consideration of both peripheral service aspects and core show quality in service design and delivery in order to maximize perceived value, satisfaction and repurchase intent. Findings suggest a balanced approach to the 'act' (core) and the activities required to take it to the market (peripheral) is required. Originality/value – This is the first known paper presenting this system of relationships and the first to test this system of relationships in the performing arts context.