Service Quality Concepts and Dimensions Pertinent to Tourism, Hospitality, and Leisure Services Beth Schlagel Wuest PERCEPTIONS OF SERVICE QUALITY Guests’ perceptions of service quality vary widely. Likewise, guests’ perceived satisfaction with performed services also varies widely. Two distinet variables influence their perceptions: customer expectations and service standards. The gap between expectations and service standards/performance is the primary indicator of overall service quality (Parasuraman, Zeithaml, and Leonard, 1994b). Customer Expectations BB Guests are the judges of service quality (Berry and Parasuraman, 1991). Their expectations of services greatly influence their resulting level of satisfaction. It is far easier to please guests with lower expectations than those with higher expectations. Consequently, an understanding of guests’ expectations is critical. Lewison (1997) categorizes service expectations in three levels: essential, expected, and optional. Zeithaml, Berry, and Parasuraman (1993) include three similar levels in their conceptual model of customer service expectations: predicted, adequate, and desired. Essential services are those which are the essence of the service business. These services meet the fundamental requirements to continue operations. For example, tourism, hospitality, and leisure service providers must maintain reasonable business hours, admit or check-in guests, inform guests of service details, and acknowledge complaints. Guests predict or believe these services will be performed. 3 Expected services are those which guests assume the service provider should offer in order to provide adequate service. Expected services go beyond the essential services required for the company to stay in business. However, because of guests’ expectations, such services need to be offered in order to be competitive. Services such as convenient operating hours, payment options, reservations, and reasonable information pertaining to the services, facilities, and locale are expected by most guests. It is also important to note that as guests are provided with additional services, these services soon become commonplace. Over the years, expected services increase. Guests become more demanding, requiring the service provider to move beyond what is commonplace.Other services are considered optional or desired. Guests consider these services an added bonus that enhances the value oftheir visit. Optional services express the uniqueness of the service provider and contribute to its competitive edge. Today, the trend in optional services is toward indulgence, including ambiance, convenience, and unobtrusive service (“Indulgence Rules,” 1998). However, because guests generally do not expect optional services, they ordinarily will not fault the service provider if such services are not available. To effectively provide optional services, it becomes essential for the service provider to recognize the true desires of the targeted guests. Service Standards ‘Tourism, hospitality, and leisure service providers establish service standards. Standards, however, are “changing benchmarks as customer's [sic] expectations increase and the organisation responds to such changes” (Callan, 1994, p. 482). Appropriate service standards depend on the mission of the organization. Standards achieved, however, further depend on two basie factors: the service policies of the organization and the actual performance of the service procedures. Service providers establish policies that are deemed comparable to their image and appropriate to their target market. Such policies may be initinted by management or a service team. They may be developed through a formalized process or may simply evolve from experience and preferences. Policies may be elaborated in company documents or merely spread by word of mouth throughout the organization. Regardless of the system, service policies set the standards for the provision of guest services in the company. Service standards are only as good as the resultant performance. Although service policies may establish guidelines and performance standards, personnel may not, perform adequately. Some companies develop extensive service policies only to have staff fall short in performance. After all, why would a recent survey (Dailey, 1997) find that respondents were more satisfied with their experience of facing a drill in the dentist's office than ordering a meal at a fast-food restaurant? Consequently, service ‘managers who successfully set an example, relay procedures, and motivate employees are more likely to capture the essence of a quality service plan. Starbucks is a case in point. Their early goal of providing excellent service has led to considerable suecess in a pricey coffee market (Dailey, 1997).Perceived Service Performance Perceived service quality reflects the difference between guests’ expectations and the actual services performed (Parasuraman, Zeithaml, and Berry, 19942). The extent to “which expectations and service performance are similar or different influence the extent to which guests are satisfied or dissatisfied. Although varying approaches have been taken to study these differences, the subjective disconfirmation conceptual model has been cited as most influential in determining customer satisfaction (Dion, DiLorenzo-Aiss, and Javalgi, 1998; Oliver, 1993). In this model, a “better-than/worse- than” comparison between expectations and actual services results in a positive or negative outcome. Interestingly, it has been noted that disconfirmation may explain the perceived variance in service quality more than mere performance (Parasuraman, Zeithaml, and Berry, 19940). For example, disconfirmation helps to explain the ‘variance in guests’ perceptions of service quality in situations when similar services were rendered. ‘Typically, guests consider services performed to be exceptional when the expected services have been surpassed in quality and quantity. If guests are pleasantly surprised bya host of unexpected optional services, their level of satisfaction and rating of service performance will be considerably higher. As an added bonus, highly satisfied guest is one of the best forms of advertisement. If guests’ expectations are sufficiently met with the services provided, they will assess the services as adequate. Unfortunately, what is adequate today may not be adequate tomorrow. Further, mediocrity is not a standard by which companies will excel, If guests’ expectations are sufficiently met with the services provided, they will assess the services as adequate. Unfortunately, what is adequate today may not be adequate tomorrow. Further, mediocrity is not a standard by which companies will excel. ‘The worst-case scenario occurs when service performed does not measure up to guests’ expectations. Poor service leaves a guest unimpressed, discouraged, and unsatisfied. Although, in some instances, the dissatisfied guest represents an ‘opportunity for the service provider to rectify the unpleasant experience and correct service policies and performance, in too many instances the service provider is completely unaware of the guest's displea sure. Although many guests let their Aissatisfaction be known by telling the front desk staff or the manager, according to a recent American Express Travel Index, 14 percent of leisure travelers do nothing and 4 percent never return (“Handling Bad Hotel Serviee,” 1998). In another study conducted by the Technical Assistance Research Corporation, dissatisfied customers told nine or ten people about their unpleasant experience, while satisfied customers told only four to five people (Vanderleest and Borna, 1988). Just asa highly satisfied customer can be amajor asset, a dissatisfied guest can be a liability.DIMENSIONS OF SERVICE QUALITY Service quality is the result of a complex network of several dimensions. Through the years, researchers have been on a quest to identify the most significant components of service quality. A variety of factors have been identified as contributing to service quality. Parasuraman, Zeithaml, and Berry (1988, 1994a) are among the most recognized researchers in the area of service quality. Their development and refinement of the ‘SERVQUAL battery has produced a generic measure of service quality through the examination of twenty-two service items, which factor into five basie service dimensions (Parasuraman, Zeithaml, and Berry, 1988, 1994a; Parasuraman, Berry, and Zeithaml, 1991). The service dimensions consist of reliability, tangibles, responsiveness, assurance, and empathy. Reliability reflects the service provider's “ability to perform service dependably and accurately” (Parsuraman, Zeithaml, and Berry, 1988, p. 23). Reliability includes “doing itright the first time,” which is one of the most important service components for customers (Berry and Parasuraman, 1991). Reliability also extends to providing services as and when promised and maintaining error-free records. Thus, the penchant to over-promise services and lead guests toward unrealistic expectations only serves to undermine guests’ tolerance and trust. ‘Tangibles consist of the “appearance of physical facilities, equipment, personnel, and communications materials” (Berry and Parasuraman, 1991, p. 16). Although typically rated the least important of the five services, tangibles are still considered a core service component. The importance of tangibles can be illustrated by Holiday Inn's recent endeavor to evaluate and redefine their image after customers told them they were “looking a little old” (Wagner, 1998). Responsiveness represents the “willingness to help customers and provide prompt service” (Parasuraman, Zeithaml, and Berry, 1988, p. 23). It has been said that “today luxury is time” (Watkins, 1908, p. 26). Consequently, service providers’ ability to provide services in a timely manner is a critical component of service quality for many guests. Assurance reflects the “knowledge and courtesy of employees and their ability to inspire trust and confidence” (Parasuraman, Zeithaml, and Berry, 1988, p. 23). Guests expect to feel safe in their transactions with employees. Situations in which employees enter guest rooms without knocking, confront guests without appropriate identification, or misguide guests with inaceurate information discredit the staff's ability to reassure the guest. Empathy involves the “caring, individualized attention the firm provides its customers” (Parasuraman, Zeithaml, and Berry, 1988, p. 23). The importance of empathy may be the root of the statement, “If one looks at who is winning, it tends to ‘be companies that see the guest as an individual” (Watkins, 1998, p. 26). Due to guests’ desires that employees see things from their point of view, Holiday Inn, Holiday Inn. Select, and Holiday Inn Sunspree properties are piloting an empathy training program intended to help employees relate to their guests in a more empathic manner (Wagner, 1998).NHTIEPOUS PeSeaPeners MaVE ada pred HIE SRR V EAL batbery tO Specie HICHSITIES ; products, and target markets. Saleh and Ryan (1991) were among the first to analyze service quality in the hospitality industry using SERVQUAL dimensions, More recently, Baker and Fesenmaier (1997) effectively used the SERVQUAL model to study service quality expectation differences among three groups (visitors, employees, and managers) involved in a tourism service encounter. Wuest, Emenheiser, and Tas (1996) also used SERVQUAL as a basis for examining mature travelers’ perceptions of lodging. service quality. Some researchers, however, have questioned the effectiveness of SERVQUAL for the hospitality industry (Fick and Ritchie, 1991; Johns, 1993). Webster and Hung (1994) adapted and condensed SERVQUAL in an attempt to make it more manageable for the hospitality industry. Similarly, Knutson and colleagues (1991) developed LODGSERY, a modified version of SERVQUAL, which measures the expectations of guests in the lodging industry and which substantiates the earlier works ‘on SERVQUAL. Stevens, Knutson, and Patton (1995) also devised DINESERY, yet another take on SERVQUAL, intended to measure guests’ expectations in the restaurant industry. Although scale items measuring hospitality service quality may vary depending on the specific end use, the same five service dimensions remain constant. Regardless of the version or adaptation of SERVQUAL that is used, the five dimensions (reliability, tangibles, responsiveness, assurance, and empathy) clearly appear to be the best and most consistent measure of service quality. OBJECTIVES OF SERVICE Why is customer service so important to tourism, hospitality, and leisure service providers? Customer service has a direct impact on the customer's level of satisfaction, which, in turn, ultimately reflects on the service provider's bottom line. Although itis difficult to measure the true impact of customer service, quality customer service has been cited asa means for improving a variety of aspects of a business. The following discussion focuses on several objectives of services. Improve Guest Convenience ‘Many services contribute to the guest's sense of convenience, comfort, and well- being, Services such as accessible rest rooms, refreshment vending, shuttle service, and comfortable seating add to guest convenience, enjoyment, and satisfaction and indirectly encourage guests to extend their stay. The key to getting closer to one's customers is making it easier for them to do business with the service provider, better known as convenience (Anton, 1996).Generate Traffic Quality customer service has the potential to generate inereased traffic for the service provider. Satisfied guests will be more likely to extend their stay, return to the destination, and recommend the property to other potential guests. Further, the delivery of quality service and customer satisfaction has been clearly linked with profits, cost savings, and market share (Sager, 1994). Asa result, a satisfied guest is a key element in improving traffic and creating repeat business. Establish a Competitive Edge Tourism, hospitality, and leisure service providers, as members of the service industry, are expected by the great majority of potential guests to provide a set of baseline services. However, service providers who extend their services beyond ‘minimal expectations have a far better chance of satisfying their guests. With creative ideas and a strong understanding of the needs and desires of their guests, hospitality service providers are developing innovative, extensive service strategies. The “critical differences in customer/guest service are what often separate hospitality industry leaders from industry followers” (“The New Imperative,” 1998, p. 54). Customer Demand By providing specific services, businesses can generate demand among certain target markets. Business travelers, family vacationers, and conventioneers have been among the most frequently targeted groups. Each group requires a series of customized services that can be promoted as a special package in order to attract greater guest demand. According to a survey conducted by Lodging Hospitality, topflight businesspeople use and expect the amenities of home including such services as basic cable television, newspaper delivery, coffee, room service, fitness facilities, and laundry/dty cleaning (Wolff, 1998). The quality-conscious service manager should provide these services if vying for travel dollars and attempting to generate customer demand among business travelers.CONTINUUM OF SERVICE ‘When looking for ways to improve service quality, hospitality industry service providers often focus on the face-to-face encounter with guests. It seems only natural to assume that the guest will remember and be influenced by a positive, personable experience with staff. However, the guest's overall perception of service quality results from a variety of experiences with the service provider over a period of time. Therefore, itis important to encourage service providers to look not only at the on-site personal experience of the guest, but also at events that precede and follow. To provide effective services throughout the service continuum, consultants such as KPMG's Customer Centric Management have broadened their scope to enable companies in the hospitali checkout and marketing follow-up (“The New Imperative,” 1998). A service continuum illustrates how a guest encounters the services provided over a period of time. On the continuum, services are described as those the guest experiences before entering the industry to provide adequate services from the initial reservation through, facilities of the service provider, those the guest encounters while the service is actually being performed, and those that occur after the guest has departed (see Figure 3.1) Before Information about hospitality, tourism, and leisure services is marketed in a variety of ways—television and radio spots, newspaper and magazine advertisements, pamphlets, direct mail flyers, Web pages, and billboards, to name a few. Such. information gives potential guests their first perception of the services provided and contributes to the establishment of their expectations. Consequently, if the services are ‘marketed in a straightforward, honest format, they will be more apt to measure up to guests’ expectations. Information must also provide sufficient detail to answer potential guests’ basic questions, and if possible, a means for acquiring additional information. For example, the guest will need clear directions, operating hours, and. other essential details to be able to successfully utilize the services. FIGURE 3.1. Continuum of Servic Hospitality Service Provider ‘Customer Information cpanel Ke : Before, During, and After the Customer Encounter with the ‘Customer Follow-up aint of Entry Fesewations Payment Terms Complaint Resohation Fours Guest Assistance Frequent Guest Grounds Physical Faciitios Guest Senions Checkout Point of DepartureMany tourism, hospitality, and leisure service providers encourage guests to make advance reservations. For many guests, this is their first encounter with the service provider. Whether reservations are made directly with staff on the property, or through ‘a central reservation center, reservationists must convey a sincere desire to assist the guest and enable the guest to access the facilities with ease. Customers have become accustomed to convenient hours of operation. Service providers must establish convenient hours of operation and maintain them in accordance with those posted. Offering consistent services without unexpected interruptions will go a long way in establishing a loyal customer base. The old adage “first impressions are lasting impressions” seems equally true among tourism and hospitality facilities. Upon entering the grounds of the hotel, restaurant, or other tourist facility, customers gain their first impression. Design, maintenance, and aesthetics of parking areas, grounds, and facilities, appropriateness of signs, and adequate lighting and security all add to the quality of the impressions generated. During When the guest arrives, the service provider has the opportunity to interact face-to- face with the guest. Because guests experience services and facilities in a variety of ways and because many guests feel that any contact with employees is a service experience, all employees must be considered as part of the service equation. As guests arrive, they typically anticipate a most pleasant experience. After all, isn't that why they spend more than a little time in planning their travel or recreation? Guests want their first encounter with the service provider to be consistent with their expectations. Pleasant and efficient service at the point of entry or check-in must be consistent with guest expectations. Monetary exchanges between service providers and guests require careful consideration. Customers prefer options for making payments, such as cash, checks, traveler's checks, and a variety of eredit cards. Service providers, on the other hand, have to weigh the profitability, efficiency, and security of providing an array of alternatives. Guests also expect efficiency and security, as well as accuracy, in their transactions with the service provider.Ofall services, guest assistance typifies what is thought of as “pure” customer service. The elements of human interaction, personalized service, and responsiveness to guest needs are the essence of guest assistance and service. Without acceptable provision of these core services, service providers will have difficulty earning the guest's vote of confidence. Althongh it is common to associate quality guest services with “high-end luxury properties,” even budget properties are able to meet their guests’ needs through creative solutions. For example, some budget hotels that are economically unable to provide room service have developed partnerships with nearby restaurants. Hospitality Franchise Systems, with their 4,200 franchised hotels under the Days Inn, Howard Johnson, Park Inn, Ramada, Super 8, and Villager motel chains, has partnered with Pizza Hut to deliver to over 900 of its hotels (Rubel, 1995). Such ideas prove to be win- win solutions for everyone involved: guests, property managers, and outside service providers. Physical facilities reflect the policies of management and signify the quality of guest service. Properties that have been maintained and appropriately updated give the guest a feeling of cleanliness, security, and safety. Overall, the condition of the property suggests a level of value (or lack thereof) to the guest. Even simple tasks such as replacing light bulbs, maintaining parking areas, and checking rest rooms for cleanliness contribute to the guest's perception of the property. Obviously, remodeling and redecorating spaces, which is a costly undertaking, should be included in long- range plans. Staybridge Suites by Holiday Inn has gone so far in providing satisfactory facilities that they adopted an interactive television system whereby extended-stay ‘guests can select from alternate floor plans and have their suite rearranged for them while they are out (Staybridge Suites by Holiday Inn, 1998). Target markets ordinarily require targeted services. Guest services focus on the special needs and desires of the anticipated guests. For example, family-focused tourism destinations provide specialized services for all members of the family. Business-centered properties, on the other hand, narrow their offering of services to the needs of the business traveler. Walt Disney World Resorts attempts to meet its varied target markets through six resorts, each with a distinctive combination of space, facilities, themes, and entertainment options (“Walt Disney World Resorts,” 1998). Guest checkout/point of departure signals the last chance for personal, face-to-face contact with the guest. Not only does this experience contribute to the guest's lasting, impressions, but it is also the property's last chance to inspire the guest. Ideally, if any problems have surfaced, this is a perfect time for resolution. At the point of departure guests are somewhat sensitive and require special care. After all, their vacations are coming to an end, they are going back to work, they may be tired, their schedules may have been disrupted, or they may have spent more than they had planned. Regardless of reasons, a host of situations preoccupy their thoughts, making friendliness and efficiency an important part of departure procedures.