Influence of innovation capability and customer experience on reputation and loyalty

This research applies complexity theory to understand the effect of innovation capability and customer experience on reputation and loyalty. This study investigates the contribution of consumer demographics to such relationships. To this end, this article recognizes effective and intellectual experiences as the key elements of customer experience and proposes a conceptual framework with research propositions. To examine the research propositions, this study employs confirmatory factor analysis (CFA) and fuzzy set qualitative comparative analysis (fsQCA), using a sample of 606 consumers of international retail brands. The findings contribute to the literature on innovation, customer, and brand management. In addition, the results also provide guidelines for managers to create customer value in the retail environment through technical innovation capability (new services, service operations, and technology) and non-technical innovation capability (management, sales, and marketing). Furthermore, this article reflects on the link between the consumer shopping experience and firm reputation and loyalty.