Creating retail customer experience through distribution of decision authority between headquarters and stores

Abstract

: Even when customers are satisfied, they could be having experiences not intended by the company. By comparing dyad relationships between headquarters and stores of a Japanese auto dealer company, this paper examines how decision authority on touchpoints should be distributed to create a superior customer experience. Overall, decision authority was distributed towards stores; however, two stores known for high-quality customer experiences had headquarters exercise decision authority on brand promotion touchpoints. Further, these two stores adapted interpersonal touchpoints to brand promotion touchpoints created by headquarters. In short, from a brand perspective, it is desirable to differentiate decision authority while achieving consistency between touchpoints.