Consumer research has shown that satisfaction with complaint handling strongly influences word of mouth behaviour, but affects to a lesser extent repurchase intent. To better explain the performance outcomes derived from complaint handling, we propose a conceptual model in which gratitude along with satisfaction are assumed to be critical mediators of the effects of recovery investments on performance outcomes. This model was tested using a quasi-experimental survey drawing on data from multiple industries. Our results show an opposing pattern of results for each mediator. Whereas gratitude strongly influences repurchase intent, but is not related to word of mouth, satisfaction with complaint handling exhibits a high contribution to word of mouth and no significant effect on repurchase intent. Our findings suggest that the mediating role of gratitude and satisfaction rely on different psychological mechanisms. Overall, the research empirically demonstrates that shortterm feelings of gratitude generated by a complaint handling act are likely to increase purchase intentions. Finally, we draw on the findings of this study to offer implications for service recovery researchers and managers
