Do peer-to-peer interaction and peace of mind matter to the generation Z customer experience? A moderation-mediation analysis of retail experiences

Due to the current fragmentation of experiences, companies have diminished control over the experience they provide at particular touchpoints. However, customers, on the other hand, have gained enhanced power over certain touchpoints. Touchpoints can be categorized as internal or external elements of a customer's journey. Our current knowledge of how businesses might affect external factors that may influence consumers' views of their experiences is very limited and the absence of information may stem from organizations prioritizing components within their control that can be fully managed internally. Fear, anxiety, and dread play a critical role in different touchpoints, either as indications of anticipated future outcomes or as emotions felt during the interaction. The experience with a touchpoint can also be affected by the presence of other customers providing patrons with the opportunity to engage with them at random. This interaction can result in gaining knowledge from others' experiences to address their own concerns, reduce uncertainty, and decrease perceived risks. Although emotion has always been studied as an individual experience, it is important to recognize that social interactions can also influence customer emotions, potentially aiding in the resolution of difficulties. This study examines the correlation between interactions occurring in the retail setting (in the form of peer-to-peer interactions) and the sense of peace of mind experienced by Generation Z consumers and how this affects their overall customer experience. Generation Z is sometimes characterized by a high risk aversion, especially when it comes to product categories in which they have little experience. As a result, this makes these individuals more susceptible to the influence of others. A market research company was hired to collect data from customers between 18 and 21 years of age who had just completed a purchase at various retailers at different malls. Participants were approached and randomly invited to participate in a survey immediately upon exiting a retailer once age verification and informed consent were confirmed. The instrument to measure the primary constructs was developed using scales validated by prior service-marketing literature. The PROCESS Macro developed by Hayes (PROCESS: A versatile computational tool for observed variable mediation, moderation, and conditional process modelling, University of Kansas, KS, 2012) was used to test mediation and moderated mediation of the variables used for the research model. The results demonstrate that P2PQ influences the experience process as an external and uncontrollable touchpoint. The relationship between P2PQ and POM represents a departure from how P2PQ was previously analyzed within the CX context and highlights the significance of the variable within the experience design process. The results also demonstrate that P2PQ interaction predicts CX via POM and that this relationship is stronger for hedonistic services than for functional ones.