Purpose: This study draws on the service-dominant (S-D) logic paradigm to examine value co-creation and co-destruction. As these phenomena are driven by positive and negative “customer-to-customer” (C2C) interactions, this paper aims to examine their influence on tourist perceptions of service quality and how they shape affective responses toward tourism and hospitality services and brand loyalty. Design/methodology/approach: Following a comprehensive literature review, the authors used convenience sampling to gather a large sample of tourists at Shanghai Disneyland, a recently opened and already popular international tourism attraction. Structural equation modeling was used to test for direct and moderated relationships. Findings: The findings indicated that positive and negative C2C interactions have significant though differential impacts on customer responses. Furthermore, it was found that visitor arousal mediated the relationship between service quality and brand loyalty. Prior experience was identified as a moderator in the co-creation and co-destruction process during service encounters. Practical implications: This paper is one of the first to examine the concept of co-destruction in the tourism and hospitality context. It contributes to the literature by demonstrating the merits of proactive service provision by tourism operators, taking account of both the co-creation and co-destruction of value. Originality/value: The study extends the literature by taking account of both positive and negative C2C interactions when examining co-creation and co-destruction in the context of service encounters. It also contributes to knowledge by assessing the asymmetry of such interactions in the context of the customer experience.