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Customer Perceptions
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Chapter5-2
Service Quality
Service Encounters: The Building Blocks for Customer Perceptions
McGraw-Hill/Irwin
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Perceptions
"process by which individuals select, organize, and interpret the input from their senses to give meaning and order to the world around them
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Satisfaction
Its the consumers fulfillment response. A judgment that a product or service provides a pleasurable level of consumption related fulfillment.
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Factors of satisfaction
1. 2. 3. 4. 5. Product and service features Consumer emotions Attributions for service success or failures Perceptions of equity or fairness Other consumers, family members and cowerkers
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Customer emotions
Stable/ Preexisting emotions - Mood state or life satisfaction +ve: happiness, pleasure, elation, warm-heartedness -ve: sadness, sorrow, regret, anger. Influence how cm feel about service experience
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Service Quality
An assessment of how well a delivered service conforms to the clients expectations. A critical element of customer perceptions. A dominant element in customer evaluation.
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Dimensions
1. Reliability: ability to perform the promised service dependably and accurately 2. Responsiveness: willingness to help customers 3. Assurance: employees knowledge and courtesy that inspires trust 4. Empathy: caring attention to customers 5. Tangibles: appearance of physical facilities, personnel, materials, etc.
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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
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Source: C. Fornell Customer Satisfaction and Corporate Earnings, commentary appearing on ACSI website, May 1, 2006, http://www.bus.umich.edu/research/nqre/Q1-01c.html.
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TOP BOX
Very Satisfied
(64%)
= 96%
44-point drop
= 91%
55-point drop
All Customers
SECOND BOX
Somewhat Satisfied
= 52%
= 36%
(29%)
BOTTOM 3 BOXES
Neutral to Very Dissatisfied
(7%)
7%
4%
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Customer Gap
Service quality is the customers judgment of overall excellence of the service provided in relation to the quality that was expected.
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Service Quality
The customers 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
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Knowledge and courtesy of employees and their ability to inspire trust and confidence. Physical facilities, equipment, and appearance of personnel. Caring, individualized attention the firm provides its customers. Willingness to help customers and provide prompt service.
Tangibles
Empathy Responsiveness
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Empathy:
Responsiveness:
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SERVQUAL Attributes
RELIABILITY
EMPATHY
Providing service as promised Dependability in handling customers service problems Performing services right the first time Providing services at the promised time Maintaining error-free records
Giving customers individual attention Employees who deal with customers in a caring fashion Having the customers best interest at heart Employees who understand the needs of their customers Convenient business hours
RESPONSIVENESS
Keeping customers informed as to when services will be performed Prompt service to customers Willingness to help customers Readiness to respond to customers requests
TANGIBLES
Modern equipment Visually appealing facilities Employees who have a neat, professional appearance Visually appealing materials associated 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
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is an opportunity to:
build trust reinforce quality build brand identity increase loyalty
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Sales Call
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Recovery:
employee response to service delivery system failure
Adaptability:
employee response to customer needs and requests
Coping:
employee response to problem customers
Spontaneity:
unprompted and unsolicited employee actions and attitudes
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Recovery
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Adaptability
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Spontaneity
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Coping
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