Stronger Impact of Interpersonal Aspects of Satisfaction Versus Tangible Aspects on Sustainable Level of Resident Loyalty in Continuing Care Retirement Community: A Case Study

The objectives of the study were to examine the impact of interpersonal and tangible aspects of resident satisfaction on word-of-mouth (WOM) intention in community-embedded third places with long-duration service experiences and to investigate the mediating effect of interpersonal aspects on the relationship between tangible resident satisfaction and WOM intention. Paper-based survey questionnaires and postage-paid envelopes were mailed to 293 continuing care retirement community (CCRC) residents. Reliability and validity of the multidimensional construct of resident satisfaction were ensured through confirmatory factor analysis. Hierarchical regression analysis and MANOVA were used to test the hypotheses. A total of 157 completed surveys were received. Analysis showed that two categories of resident satisfaction were statistically distinct. Interpersonal aspects of resident satisfaction (resident involvement, social interaction, and staff care) positively impacted WOM intention more than the tangible aspects (room, home, and meals service). The relationship between tangible resident satisfaction and WOM intention was mediated by interpersonal aspects of resident satisfaction. This study contributes to the literature by (1) examining the mediating effect of interpersonal resident satisfaction between tangible satisfaction and WOM intention in community embedded third places and by (2) exploring the role of non-traditional third places, (i.e., third places nested within residential community settings) as opposed to conventional types (i.e., individual commercial settings). Thus, it addresses the call for research on permanent residents with long-duration service experiences and the effect of one location nested within another.