2.

1 Theoretical Background
Customer citizenship behavior is defined as voluntary and discretionary behavior of individual customers that is not directly or explicitly expected or rewarded but that in the aggregate, leads to higher quality service and promotes the effective functioning of service organizations (Bove, Garma, 2009). Based on the theory of social exchange Customer Citizenship Behavior is a concept where customers reciprocate positive behavior from a sense of personal obligation or gratitude. Antecedents of CCB typically include customer satisfaction, service quality and commitment to service workers. While Groths definition implies that the organization is the beneficiary of these voluntary behaviors, these behaviors may also be directed towards service personnel (e.g., positive word of mouth about service personnel) or other customers (e.g., customers providing instructions to other customers). As such, we introduce a new concept of customer citizenship behavior directed at service personnel to reflect service personnel as beneficiaries of these behaviors. Bove and Garma (2006) found that when customers performed citizenship behaviors directed at service personnel it reduced their workload, had a positive effect on their morale and job satisfaction. Similarly CCB has up to eight dimensions: positive word of mouth, suggestions for service improvement, policing of other customers, voice, benevolent acts of service facilitation, displays of relationship affiliation, flexibility, participation in firms activities (Bove, et al., 2009) [customer citizenship behavior directed at service] In an environment where competition is fierce, and resources are increasingly scarce, organizations are continually looking for avenues to increase their efficiency and effectiveness. Customer citizenship behavior also referred to as extra-role behavior, or customer voluntary performance, offers a means by which service organizations can gain a competitive edge with no cost. Customer citizenship behaviors may be described as helping behaviors directed towards the service organization or other individuals, such as service employees or fellow customers.

A series of studies recognize the role of positive customer functions and proposes concepts such as customer citizenship behavior and voluntary performance. Bettencourt (1997) defines customer voluntary performance as helpful, discretionary behaviors of customers that support the ability of the firm to deliver service quality. Groth (2005) defines customer citizenship behavior as voluntary and discretionary behavior by individual customers that is not directly or explicitly expected or rewarded, but that aggregates into higher service quality and promotes the effective functioning of service organizations (e.g., helping another customer or providing suggestions to the service organization). Service companies now increasingly involve their customers in the production and delivery of services. [OCB and CCB Lead to CB2E] Loyal customers may engage in positive, voluntary behavior that creates added value to the firm. Such behavior has been labeled customer citizenship behavior. Gruen (1995) contends customer citizenship behavior can be exhibited in a variety of forms including altruism, courtesy, sportsmanship, civic virtue, and conscientiousness. As examples of such behavior Gruen includes participation in company sponsored research, display of relationship affiliation, making suggestions for improving processes, and proactive communication of anticipated problems (e.g., making a cancellation even when it is not required). Bettencourt (1997) suggests customers who pick up trash, bus tables, or report burnt out light bulbs and messy changing rooms to an employee are exhibiting behaviors that add value to the firm. As these scholars suggest, such voluntary behaviors help to keep the organization running smoothly (Gruen 1995). [worh beyond revenue] The concept of citizenship behavior has attracted a great deal of attention over the past decade in organizational literature. Although citizenship behavior plays an important role in service organizations, research on citizenship behavior has almost exclusively focused on employees rather than on customers. Recently, the framework of the Organizational Citizenship Behavior has been extended to the customer context by considering that customers may display citizenship behavior where they purchase products and services. Bettencourt (1997) also conceives voluntary customer behavior that assists an organizations performance, such as customers acting as partners, promoting the organization through word of mouth and cooperating with employees. When customers

consider themselves as partners they contribute to the development and delivery of an organizations service quality, similar to an organizations employees (Bowen,1986: Mills and Morris, 1986). In order to act as a partner, customers should become psychologically attached to and care about the organization. Identification is primarily a psychological substrate for deep, committed, and meaningful relationships with the company (Bhattacharya and Sen, 2003). Ahearne (2005) defines Customer Citizenship identification as the degree to which consumers feel a sense of connection to a company and suggest that within the customer context, customers who identify with the organization expend more effort on voluntarily behavior. Identified customers support the companys goals (Bhattacharya and Sen, 2003), recruit new customers, encourage and advise others to purchase from the company, and build resilience to negative corporate information (Lichtenstein, 2004). Customer Citizenship identification is also one of the desirable consequences of high brand loyalty (Bhattacharya, 1995) and positive word of mouth. Therefore, it is expected that Customer Citizenship Identification leads Customer Citizenship Behavior. [the impact of perceived employee identification]

2.2 Benefits of Customer Citizenship Behavior

Loyal customers may serve as mentors to other less experienced customers (Zeithaml and Bitner, 1996). Because of their experience with the provider, loyal customers can help other customers understand the explicitly or implicitly stated rules of conduct (Grove and Fisk, 1997). By sharing their expertise with uninformed customers, loyal customers can make the service delivery process easier for all parties involved--employees, customers, and even other customers involved in the service experience. Indeed, when loyal customers mentor others, they take over some of the functions of the service provider (e.g., provide their own entertainment, demonstrate how to use equipment). These customers may be even more effective than paid employees--they are readily available, and the absence of a profit motive can lend credibility to their advice (Adelman, Ahuvia, and Goodwin, 1994).

As the discussion above illustrates, the influence of loyal customers can reach far beyond their proximate impact on the company. This can be compared to the ripple caused by a pebble tossed into a still pond--the effect the small stone can have on the surface of the pond goes well beyond the original water displacement--and introduce the loyalty ripple effect to illustrate the far reaching influence a loyal customer can have on other customers and on an organization. Unfortunately, in many instances such influence is not easily measured. However, let us look at a numerical illustration of the loyalty ripple effect stimulated by word-of-mouth communications.

Consider Samia--a loyal customer of Persona. Samia is 38, married with two young children, and spends about TK. 2,500 every three months on haircuts for her family. Thus, on average, Samia spends about TK. 10,000/year at Persona. Assuming her family will have similar service needs for another 15 years and that they continue to live in their current neighborhood, Samantha's direct contribution to Mallory's as a loyal customer is TK. 1, 50,000. Although this figure provides some indication of how valuable Samantha is to the organization, her full value to Persona is actually much greater. Let us imagine Samia is pleased with the services provided by Persona and recommends the salon to five people over the next 15 yearsone recommendation every three years. Even if only two of those five people subsequently visit Persona and become loyal customers, the loyalty ripple effect of Samias patronage becomes evident. Assuming these two new customers will have needs similar to Samias, her value to Persona can actually be TK. 4, 50,000 (TK. 1, 50,000 + 2 TK. 1, 50,000) Beyond this direct revenue, Samantha and the two new customers may offer indirect value to Persona that is not as easily quantified. For example, as they become loyal customers they may be more inclined to engage in small helpful tasks such as picking up a glass bottle left in the parking lot or pointing out a water spout in a rest room that does not shut off completely. They may help co-produce the service by providing detailed descriptions of precisely the hair cut desired and bringing in a picture of that specific hair style. In addition, these customers may contribute to the satisfaction of other customers and Persona employees by offering advice and encouragement and by sharing stories of past positive experiences with Persona.