Copyright © 2013 by McGraw Hill Education (India) Private Limited. All rights reserved.
Valarie A Zeithaml | Mary Jo Bitner
6E
Dwayne D. Gremler | Ajay Pandit
Integrating Customer Focus Across the Firm
SERVICES MARKETING
Copyright © 2013 by McGraw Hill Education (India) Private Limited. All rights reserved.
CUSTOMER PERCEPTIONS OF
SERVICE
44
Copyright © 2013 by McGraw Hill Education (India) Private Limited. All rights reserved.
Customer Perceptions
Customer Satisfaction
Service Quality
Service Encounters: The Building Blocks
for Customer Perceptions
4-3
Copyright © 2013 by McGraw Hill Education (India) Private Limited. All rights reserved.
Objectives for Chapter 4:
Consumer Perceptions of Service
Provide a solid basis for understanding what influences
customer perceptions of service and the relationships
among customer satisfaction, service quality, and
individual service encounters.
Demonstrate the importance of customer satisfaction—
what it is, the factors that influence it, and the
significant outcomes resulting from it.
Develop critical knowledge of service quality and its
five key dimensions: reliability, responsiveness,
empathy, assurance, and tangibles.
Show that service encounters, or the “moments of
truth” are the essential building blocks from which
customers form their perceptions.
4-4
Copyright © 2013 by McGraw Hill Education (India) Private Limited. All rights reserved.
The customer is . . .
Anyone who receives the company’s
services, including:
external customers (outside the organization,
business customers, suppliers, partners, end
consumers)
internal customers (inside the organization,
e.g., other departments, fellow employees)
4-5
Copyright © 2013 by McGraw Hill Education (India) Private Limited. All rights reserved.
4-6
Customer Perceptions of Quality and
Customer Satisfaction
Copyright © 2013 by McGraw Hill Education (India) Private Limited. All rights reserved.
Factors Influencing
Customer Satisfaction
Product quality
Service quality
Price
Specific product or service features
Consumer emotions
Attributions for service success or failure
Perceptions of equity or fairness
Other consumers, family members, and
coworkers
Personal factors
Situational factors
4-7
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4-8
ASQI and Market Value Added
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Outcomes of Customer Satisfaction
Increased customer loyalty
Positive word-of-mouth communications
Increased revenues
Increased return to shareholders
4-9
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4-10
Satisfaction and Loyalty in Competitive
Relationship between Customer
Industries
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Top Box Scores – A Higher Standard
Overall Satisfaction Definitely Will Definitely Would
with XYZ Repurchase from Recommend XYZ
(% of customers) XYZ
TOP BOX
Very Satisfied =96% =91%
(64%)
44-point drop 55-point drop
All SECOND BOX
Somewhat Satisfied =52% =36%
Customers (29%)
BOTTOM 3 BOXES
Neutral to Very Dissatisfied
(7%) =7% =4%
Source: Technical Assistance Research Bureau (TARP), 2007.
4-11
Copyright © 2013 by McGraw Hill Education (India) Private Limited. All rights reserved.
What is Service Quality?
The Customer Gap
EXPECTED SERVICE
Customer Gap
PERCEIVED SERVICE
Service quality is the customer’s judgment of overall excellence of the
service provided in relation to the quality that was expected.
4-12
Copyright © 2013 by McGraw Hill Education (India) Private Limited. All rights reserved.
Service Quality
The customer’s judgment of overall
excellence of the service provided in
relation to the quality that was expected.
Service quality assessments are formed
on judgments of:
outcome quality
interaction quality
physical environment quality
4-13
Copyright © 2013 by McGraw Hill Education (India) Private Limited. All rights reserved.
The Five Dimensions of
Service Quality
Ability to perform the promised service
RELIABILITY dependably and accurately.
Knowledge and courtesy of employees and their
ASSURANCE ability to inspire trust and confidence.
Physical facilities, equipment, and appearance
TANGIBLES of personnel.
Caring, individualized attention the firm
EMPATHY provides its customers.
Willingness to help customers and provide
RESPONSIVENESS prompt service.
4-14
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4-15
Geek Squad’s Focus on
Responsiveness
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4-16
How Customers Judge the Five
Dimensions of Service Quality
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SERVQUAL Attributes
RELIABILITY EMPATHY
Providing service as promised Giving customers individual attention
Dependability in handling customers’ Employees who deal with customers in a
service problems caring fashion
Performing services right the first time Having the customer’s best interest at
Providing services at the promised heart
time Employees who understand the needs of
Maintaining error-free records their customers
Convenient business hours
RESPONSIVENESS TANGIBLES
Keeping customers informed as to Modern equipment
when services will be performed Visually appealing facilities
Prompt service to customers Employees who have a neat, professional
Willingness to help customers appearance
Readiness to respond to customers’ Visually appealing materials associated
requests with the service
ASSURANCE
Employees who instill confidence in customers
Making customers feel safe in their transactions
Employees who are consistently courteous
Employees who have the knowledge to answer
customer questions 4-17
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Exercise to Identify Service Attributes
In groups of five, choose a services industry and
spend 10 minutes brainstorming specific
requirements of customers in each of the five
service quality dimensions. Be certain the
requirements reflect the customer’s point of view.
RELIABILITY
ASSURANCE
TANGIBLES
EMPATHY
RESPONSIVENESS
4-18
Copyright © 2013 by McGraw Hill Education (India) Private Limited. All rights reserved.
The Service Encounter
is the “moment of truth”
occurs any time the customer interacts with the
firm
can potentially be critical in determining
customer satisfaction and loyalty
types of encounters:
remote encounters, phone encounters, face-to-face
encounters
is an opportunity to:
build trust
reinforce quality
build brand identity
increase loyalty
4-19
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4-20
A Service Encounter Cascade for a
Hotel Visit
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A Service Encounter Cascade for an
Industrial Purchase
Sales Call
Delivery and Installation
Servicing
Ordering Supplies
Billing
4-21
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4-22
Service Encounters: An Opportunity to
Build Satisfaction and Quality
Copyright © 2013 by McGraw Hill Education (India) Private Limited. All rights reserved.
Common Themes in Critical
Service Encounters Research
Recovery: Adaptability:
employee response employee response
to service delivery to customer needs
system failure and requests
Coping: Spontaneity:
employee response unprompted and
to problem customers unsolicited employee
actions and attitudes
4-23
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4-24
Recovery
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4-25
Adaptability
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4-26
Spontaneity
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4-27
Coping
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Technology-Based Service Encounters
Themes for satisfying SSTs
The technology solved an intensified need
The technology was better than the alternative
The technology did its job
Themes for dissatisfying SSTs
The technology itself failed
The process failed
The technology was poorly designed
The customer did not use the technology
properly
4-28