Understanding Service Consumers

The three-stage model of service consumption — prepurchase, service encounter, and post-encounter — helps us to understand how individuals recognize their needs; search for alternative solutions; address perceived risks; choose, use, and experience a particular service; and finally, evaluate their service experience resulting in a customer satisfaction outcome.

The SERVQUAL scale includes five dimensions: tangibles, reliability, responsiveness, assurance and empathy.

Understanding the customer

Making the effort to know customers and their needs

Does someone in the hotel recognize me as a regular guest?
Does my stockbroker try to determine my specific financial objectives?
Is the moving company willing to accommodate my schedule?

Empathy

•Access

Approachability and ease of contact

How easy is it for me to talk to a supervisor when I have a problem?
Does the airline have a 24-hour, toll-free phone number?
Is the hotel conveniently located?

•Communication

Listening to customers and keeping them informed in the language they can understand

When I have a complaint, is the manager willing to listen to me?

Trustworthiness, believability, honesty of the service provider

Does the hospital have a good reputation?
Does my stockbroker refrain from pressuring me to trade?
Does the repair firm guarantee its work?

•Security

Freedom from danger, risk, or doubt

Is it safe for me to use the bank’s ATMs at night?
Is my credit card protected against unauthorized use?
Can I be sure that my insurance policy provides complete coverage?

•Competence

Possession of the skills and knowledge required to perform the service

Can the bank teller process my transaction without fumbling around?
Is my health insurance able to obtain the information I need when I call?
Does the dentist appear to be competent?

•Courtesy

Politeness, respect, consideration, and friendliness of contact personnel

Does the flight attendant have a pleasant demeanor?
Are the telephone operators consistently polite when answering my calls?

Is my accountant dressed appropriately?
Is my bank statement easy to understand?

Reliability

Ability to perform the promised service dependably and accurately

Does my lawyer call me back when promised?
Is my telephone bill free of errors?
Is my TV repaired right the first time?

Responsiveness

Willingness to help customers and provide prompt service

When there is a problem, does the firm resolve it quickly?
Is my stockbroker willing to answer my questions?
Is the cable TV company willing to give me a specific time when the installer will show up?

Assurance

•Credibility

Generic Dimensions used by Customers to Evaluate Service Quality

Dimensions of Service Quality

Definition

Sample Illustrations

Tangibles

Appearance of physical facilities, equipment, personnel, and communication materials

Are the hotel’s facilities attractive?

The harder it is to evaluate a service, the higher is the perceived risk associated with that decision.

Consider the purchase of professional services. People seek such assistance precisely because they lack the necessary training and expertise themselves — e.g., counseling, surgery, legal advice, and consulting services. How can it be ensured that the best possible job was done? Often it comes down to a matter of having confidence in the provider’s skills and professionalism.

Credence Attributes are characteristics that customers find hard to evaluate even after consumption. Here, the customer is forced to believe or trust that certain tasks have been performed at the promised level of quality. In the restaurant example, credence attributes include the hygiene conditions in the kitchen, the nutritional quality, and the quality of ingredients used (e.g., “Do they really use the higher grade olive oil for cooking?”).