Unit 6 Service Quality Service personal values Models of Service quality Defining service quality Measuring serivce quality Service recovery Customer satisfication servey service quality chat luong dich vu
Unit Service Quality Nguyen Manh Tuan 5/18/2020 nguyen manh tuan – internal use Learning Objectives Service evaluations using means-end chain approach Describe the five dimensions of service quality Use the service quality gap model to diagnose quality problems for a service firm Describe a walk-through audit (WtA) Describe service recovery 5/18/2020 nguyen manh tuan – internal use AGENDA – Part A Service Personal Values Models of Service Quality 5/18/2020 nguyen manh tuan – internal use Service Personal Values (Lages & Fernandes 2005) 5/18/2020 nguyen manh tuan – internal use Service Personal Values (Lages & Fernandes 2005) Zeithaml’s (1988) means-end chain approach to understanding the cognitive structure of consumers: product/service information is retained in memory at levels of abstraction Service attributes refer to functional benefits or concrete service attributes (Olson and Reynolds, 1983) 5/18/2020 nguyen manh tuan – internal use Service Personal Values (Lages & Fernandes 2005) Service quality is defined as the discrepancy between consumers perceptions of services offered by a particular firm and their expectations about firms offering such services (Parasuraman et al., 1985, 1988, 1991) It is a long-term attitude (Cronin et al., 1994), believed to affect behavioral intentions, which is thought to impact the consumer’s individual behavior (Parasuraman et al., 1996) 5/18/2020 nguyen manh tuan – internal use Service Personal Values (Lages & Fernandes 2005) Service value is defined as a cognitive tradeoff between perceptions of quality and sacrifice (Cronin et al., 1994), or, between the perception of what is received and given (Zeithaml 1988) Zeithaml (1988) identifies definitions of value: “low price”,”whatever I want in a product”, “the quality I get for the price I pay”, and “what I get for what I give” 5/18/2020 nguyen manh tuan – internal use Service Personal Values (Lages & Fernandes 2005) Personal values are beliefs or conceptions about end-goals or desirable end-states, classified by Rokeach (1973) as terminal values They are key central elements in consumers’ cognitive structure, meaning that by understanding and acting on consumer personal values, it may be possible to better understand consumer behavior (Homer and Kahle, 1988) 5/18/2020 nguyen manh tuan – internal use Service Personal Values (Lages & Fernandes 2005) Personal values are a strong tool for understanding and reaching users and usages, as they can drive and explain consumer attitudes and behaviors (Madrigal and Kahle, 1994) They can be more reliable and consistent in understanding consumer behavior towards a service than all of the other “lower level” constructs (at the attribute, quality and value levels) (Zeithaml 1988) 5/18/2020 nguyen manh tuan – internal use Service Personal Values (Lages & Fernandes 2005) Zeithaml’s (1988) means end chain approach explains hierarchically how an individual cognitively runs through a consumption process In a lower level, he/she pays attention to the product/service characteristics (e.g., mobile service functionalities) The quality level starts when the individual checks if all these perceptions are in accordance with the initial expectations he/she had about it (e.g., evaluation of service access speed) 5/18/2020 nguyen manh tuan – internal use 10 Defining Service Quality Word of mouth Service Quality Dimensions Reliability Responsiveness Assurance Empathy Tangibles 5/18/2020 Past experience Personal needs Expected service Perceived service Service Quality Assessment Expectations exceeded ESPS (Unacceptable quality) nguyen manh tuan – internal use 20 Dimensions of Service Quality Reliability: Perform promised service dependably and accurately Ex: receive mail at same time each day Responsiveness: Willingness to help customers promptly Ex: avoid keeping customers waiting for no apparent reason 5/18/2020 nguyen manh tuan – internal use 21 Dimensions of Service Quality Assurance: Ability to convey trust and confidence Ex: being polite and showing respect for customer Empathy: Ability to be approachable Ex: being a good listener Tangibles: Physical facilities and facilitating goods Ex: cleanliness 5/18/2020 nguyen manh tuan – internal use 22 Gaps in Service Quality Word-of-mouth communications Personal needs Past experience Customer Expected service GAP Perceived service Service delivery (including pre- and post-contacts) GAP GAP GAP External communications to consumers Translation of perceptions into service quality specifications Provider 5/18/2020 GAP Management perceptions of consumer expectations nguyen manh tuan – internal use 23 Service Quality Gap Model Service Quality Gap Model Customer Perceptions Managing the Evidence Customer Satisfaction GAP Understanding the Customer Management Perceptions of Customer Expectations Service Delivery Conformance GAP 5/18/2020 5/18/2020 Expectations Customer / Marketing Research GAP Communication GAP Conformance Customer Design GAP Service Standards nguyen manh tuan – internal use nguyen manh tuan – internal use Service Design 1-24 24 SERVQUAL Reliability (the ability to perform the promised service dependably and accurately) Assurance (the knowledge and courtesy of employees and their ability to convey trust and confidence) Tangibles (the appearance of the physical facilities, equipment, personnel, and communication materials) Empathy (the caring, individualised attention provided to the customer) Responsiveness (the willingness to help customers and provide prompt service) RATER dimensions (22 questions) 5/18/2020 nguyen manh tuan – internal use 25 Walk-Through Audit Service delivery system should conform to customer expectations Customer impression of service influenced by use of all senses Service managers lose sensitivity due to familiarity Need detailed service audit from a customer’s perspective WtA is a customer focused survey to uncover areas for improvement 5/18/2020 nguyen manh tuan – internal use 26 Customer Satisfaction survey vs WtA Purpose Focus 5/18/2020 Customer Satisfaction Survey Walk-through Audit Determine overall satisfaction associated with the current level of service quality Conduct a systematic assessment of the entire customer service experience from beginning to end Measure customer attitudes toward, opinions about, and perceptions of service quality Measure customer perceptions of the effectiveness of each stage of the service delivery process nguyen manh tuan – internal use 27 Customer Satisfaction survey vs WtA Customer Satisfaction Survey Identify important customer service requirements or quality dimensions Design, test, and administer questionnaire to a sample of customers Summarize and analyze questionnaire results with Process emphasis on low ratings and changes relative to prior survey administrations Determine areas needing improvements and implement change designed to correct deficiencies Repeat for continuous quality improvement 5/18/2020 Walk-through Audit Flowchart the service livery process from the customer perspective Design, test, and administer questionnaire to a sample of customers, management, and/or customers at benchmark organizations Summarize and analyze questionnaire results with emphasis on low ratings relative to benchmark firms and gaps between management and customers Determine deficiencies and implement improvements Repeat for ongoing nguyen manh tuan – internal use improvement 1-28 Customer Satisfaction survey vs WtA Customer Satisfaction Survey 1 Survey may be completed by customers at any time after receiving service Management, with some customer input, designs/structures the survey around common service dimensions (e.g Features availability, timeliness, responsiveness, convenience) Often performed by marketing personnel 4 Primary emphasis is placed on assessing the determinants of the customer’s overall impression of thenguyen service 5/18/2020 manh tuan – internal use Walk-through Audit Questionnaire is completed by customers during or immediately after receiving service A comprehensive audit of the customer’s total service experience of all dimensions of service package (e.g supporting facilities, ) Usually conducted by operations personnel Emphasis is placed on the customer’s evaluation of each stage of the service delivery process and his/her overall impression of the organization’s performance 1-29 Service Recovery Even with the best quality intentions, service failures occur Customer Feedback and Word-of-mouth The average business only hears from 4% of their customers who are dissatisfied with their products or services Of the 96% who not bother to complain, 25% of them have serious problems The 4% complainers are more likely to stay with the supplier than are the 96% non-complainers About 60% of the complainers would stay as customers if their problems was resolved and 95% would stay if the problem was resolved quickly A dissatisfied customer will tell between 10 and 20 other people about their problem A customer who has had a problem resolved by a company will tell about people about their situation 5/18/2020 nguyen manh tuan – internal use 30 Service Recovery Framework Service recovery outcomes: customer satisfaction, loyalty Service recovery antecedents: Customer commitment/loyalty Service quality Failure severity Service guarantee 5/18/2020 nguyen manh tuan – internal use 31 Service Recovery Framework Service recovery phases Pre-recovery Immediate recovery Follow-up recovery Types of service recovery activities Psychological Tangible Delivery of service recovery Frontline empowerment Speed of recovery 5/18/2020 nguyen manh tuan – internal use 32 Approaches to Service Recovery Case-by-case addresses each customer’s complaint individually but could lead to perception of unfairness Systematic response uses a protocol to handle complaints but needs prior identification of critical failure points and continuous updating Early intervention attempts to fix problem before the customer is affected Substitute service allows rival firm to provide service but could lead to loss of customer 5/18/2020 nguyen manh tuan – internal use 33 THE END 5/18/2020 nguyen manh tuan – internal use 34 ... manh tuan – internal use 11 Models of Service Quality Service quality Service Product Service delivery Service Environment The Three Component Model of Service Quality (Rust & Oliver, 1994) 5/18/2020... in Service Quality Measuring service quality SERVQUAL Walk-through Audit (WtA) ? ?Service recovery 5/18/2020 nguyen manh tuan – internal use 19 Defining Service Quality Word of mouth Service Quality. .. of Service Quality Parasuraman et al 1985 5/18/2020 nguyen manh tuan – internal use 18 AGENDA – Part B Chapter Service Quality (text book) Defining service quality Dimensions of Service Quality