Final Anil 2
Transcript of Final Anil 2
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Physical Evidence and the Servicescape
Explain the profound impact of physical evidence, particularly the servicescape, on customer perceptionsand experiences.
Illustrate differences in types of servicescapes, the roles played by the servicescape, and the implications for strategy.
Explain why the servicescape affects customer andemployee behavior, using a framework based inmarketing, organizational behavior, and environmental psychology.
Present elements of an effective physical evidence
strategy.
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Customer-Driven Service
Designs and Standards
Company Perceptionsof Customer
Expectations
K ey Factors Leading to Provider
Gap 2
Key Factors Related to Physical Evidence:
Overpromising through physical evidence
Lack of physical evidence
Failure to develop Tangibles in line with customer expectations
Servicescape design does not meet customer & employee
needs
Inadequate maintenance and updating of servicescape
Gap
2
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Definition of Physical Evidence
Servicescape: the environment inwhich the service is delivered
and where the firm and the
customer interact
Any tangible commodities that facilitate performance or
communication of the service
Can be critical to the ultimate success or failure of the service
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Elements of Physical Evidence Servicescape: Facility exterior: exterior signage,
parking, landscape, surrounding environment
Facility interior: interior design, equipment,signage, layout, air quality/temperature
other tangibles: business cards, stationery, billing
statements, reports, employee dress, uniforms,
brochures, web pages, virtual servicescape
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Examples of Physical Evidence from
the Customer¶s Point of View
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Typology of Service Organizations Based on
Variations in Form & Use of the ServicescapeComplexity of the servicescape evidence
Servicescapeusage
Elaborate Lean
Self-service(customer only)
Golf LandSurf 'n' Splash
ATMTicketronPost off ice kioskInternet servicesExpress mail drop-off
Interpersonalservices(both customer andemployeee)
HotelRestaurantsHe alth clinicHospital
Bank AirlineSchool
Dry cleaner Hot dog standHa ir salon
Remote service(em ployee only)
Telephone comp anyInsurance compa nyUtilityMany professional services
Telephone m ail-order desk Automated voice-m essaging-based services
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Role of servicescape Functionally:
± facilitate or hamper service delivery
± Helps to frame expectations ± Plays a communication and promotions role
Strategically:
± Fosters approach rather than avoidance behaviour
± Provides a means of competitive differentiation ± Represents the quality and value of the service offering
± Can also establish particular ambient mood for customers and employees
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Roles of the Servicescape
Package ± conveys expectations
± influences perceptions
Facilitator
± facilitates the flow of the service delivery process
provides information (how am I to act?)
facilitates the ordering process (how does this work?)
facilitates service delivery
Socializer
± facilitates interaction between:
customers and employees
customers and fellow customers
Differentiator
± sets provider apart from competition in the mind of the consumer
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Packaging Utilizing firm¶s physical evidence to
package the service sends quality cues to
consumers and adds value.
Image development improves consumer
perception of service, reduces perceived
purchase risk and post-purchase cognitivedissonance.
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Packaging Chinese restaurants often utilize specific
types of architectural designs that
communicate firm¶s offering to customers.
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Facilitating Service Process Physical evidence can provide information
about how service production process
works.
Examples: signage that instructs customers,
menus and brochures that explain the firms¶
offering, and physical structures that directthe flow of consumers while waiting.
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Socializing Employees and
Customers Physical evidence, such as uniforms,
facilitates employee socialization toward
firm¶s goals and affects consumer
perceptions.
Studies show uniforms aid in identifying
firm¶s personnel, presents a physicalsymbol, and implies a coherent group
structure.
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Means for
Differentiation
Banks experience difficulties indifferentiating themselves from
competitors. Physical evidence provides strategy for
service differentiation.
Numerous studies have shown that well-dressed individuals are perceived as moreintelligent.
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Understanding Servicescape
Effects on Behavior Stimulus-Organism-Response Theory
Multidimensional environment is the
stimulus
Consumers and employees are the
organisms
Behaviors are the responses
Stimulus Organism Response
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The Effect of Physical Evidence and
Atmosphere on Buyer Behaviour
As an attention creating medium: the use of colour,
noise, smell and so on (sensory impacts)
As a message creating medium: the use of symboliccues to communicate with the intended audience
As an effect creating medium: using colours,
sounds, spatial design and so on to heighten the
buyer¶s desire
K otler (1973)
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A framework for understanding the impact
of the physical environment
Customers,
employees
Cognitive
Emotional
Physiological
Ambience
Space
Signs,
symbols
Customers
Approach
AvoidE mployees
Productivity
Job Satisfaction
Service quality
Staff turnover
Environmental
stimuliThoughts
and feelings
Behavioural
responses
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³Response´: Behaviors
in the ServicescapeArousal
Nonarousal
Exciting
Pleasure
Relaxing
Distressing
Displeasure
Gloomy
M ehrabian-Russell M odel
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³Organism´: Internal
Responses to the Servicescape Cognitive
± Beliefs
± Categorization
± Symbolic meanings
Emotional
± Mood
± Attitude
Physiological
± Pain
± Comfort
± Movement
± Physical fitness
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³Organism´: Internal
Response Moderators Personality
Purchase situation
Temporary mood states
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³Stimulus´: Environmental
Dimensions of the Servicescape Ambient conditions
± Temperature
± Air quality
± Noise
± Music
± Odor
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³Stimulus´: Environmental
Dimensions of the Servicescape Spatial Layout/Function
± Layout
± Equipment ± Furnishings
Signs, Symbols, and Artifacts
± Signage ± Personal artifacts
± Style of decor
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³Stimulus´: Environmental
Dimensions of the Servicescape Sound appeals
Scent appeals
Sight appeals
± Size perceptions
± Shape
± Color perceptions
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A Framework for Understanding Environment-User
Relationships in Service Organizations
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Tools for Designing
Servicescapes/ UnderstandingServicescape Effects
Environmental Surveys-ask customers/
employees
Direct Observation- see problems/
unobtrusive
Experiments
Photographic Blueprints
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Guidelines for Physical Evidence Strategy
Recognize the strategic impact of physical
evidence.
Blueprint the physical evidence of service.
Clarify strategic roles of the servicescape.
Assess and identify physical evidence
opportunities.
Be prepared to update and modernize theevidence.
Work cross-functionall y
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Servicescape Exercise
Describe the ³atmosphere´ (layout, colors, sounds,smells, etc.) of your organization . How does the
atmosphere make you feel?
Describe the customers. How are they dressed, and
how do they act? Are they alone or with others? Anyinferences regarding their lifestyles or incomes?
Describe the customer contact personnel. How are they
dressed, and how did they behave?
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A Framework for Understanding
Environment-User Relationships in
Service Organizations
Source: Adapted from Mary Jo Bitner (1992)
PHYSIC AL
ENVIRONMENTAL
DIMENSIONS
HOLISTIC
ENVIRONMENT
INTERNAL
RESPONSES
BEHAVIOR
AmbientConditions
Space/Function
Signs, Symbols,
and Artifacts
PerceivedServicescape
Cognitive
Emotional
Physiological
Cognitive
Emotional
Physiological
EmployeeResponses
Customer Responses
IndividualBehaviors
SocialInteractionsbetween and
amongcustomer and
employees
IndividualBehaviors
Figure 11.2