Can customer loyalty to a salesperson be harmful? Examining customer perceptions of salesperson emotional labor strategies post ethical transgressions

Past research suggests that customer loyalty is a critical component in successful business-to-business sales relationships. Challenging this view, this study suggests that customer loyalty may actually have an unexpected “dark side” to it. Specifically, grounded in Emotions as Social Information (EASI) theory, this research investigates the role that customer loyalty (to a salesperson) has on customer coping behavior post salesperson ethical transgressions. We take the often-underrepresented customer perspective in selling relationships to test our theoretical model using a field study that consists of 239 professional procurement specialists. Our results indicate that when customers believe that a salesperson is more genuine in displaying emotions, after an ethical transgression, customers are more likely to forgive, and less likely to seek revenge against or avoid the salesperson. On the other hand, when customers believe that a salesperson is “faking” emotions, customers are more likely to cope with ethical transgressions by avoiding and seeking revenge against the salesperson. Our study also finds that when an ethical transgression occurs, a “love becomes hate” effect occurs, where customer loyalty undermines a salesperson's efforts and does not always favor the salesperson.