Service recovery is an organization's resolution of problems from dissatisfied customers, converting those customers into loyal customers. It is the action a service provider takes in response to service failure. By including customer satisfaction in the definition, service recovery is a thought-out, planned process of returning aggrieved/dissatisfied customers to a state of satisfaction with an organization/service. Service recovery differs from complaint management in its focus on immediate reaction to service failures. Complaint management is based on customer complaints, which, in turn, may be triggered by service failures. But since most dissatisfied customers are reluctant to complain, service recovery attempts to solve problems at the service encounter before customers complain or before they leave the service encounter dissatisfied. Both complaint management and service recovery are customer retention strategies. Researchers recently proved that strategies such as value co-creation and follow-up can improve the effectiveness of service recovery efforts.