SERVICESCAPE

& PHYSICAL EVIDENCE

Ms.Megha Mody

TODAY’S AGENDA• Explore the impact on customer perceptions of physical

evidence, particularly the servicescape

• Illustrate differences in types and roles of servicescapes and their implications for strategy

• Explore how the servicescape affects employee and customer behavior

SERVICESCAPE

1. the actual physical ENVIRONMENT where the service is performed, delivered, and consumed.

2. Where the firm and customer interact. 3. Consider impact on customer response, particularly

perceptions, evaluation, assessment.4. Situations, where customer experiences are

important.

Example: patient examination room in a doctor’s office; catering service: white linen cloths, eating utensils, menus, kitchen

Physical Evidence• the environment in which the service is delivered and

where the firm and the customer interact, and any tangible commodities that facilitate performance or communication of the service.

Example: when you visit the web site for Taj hotels, you can look at pictures of its newest hotels and make reservations quickly.

Elements of Physical Evidence

Servicescape Other tangibles Facility exterior Exterior design Signage Parking Landscape Surrounding environment

Facility interior Interior design Equipment Signage Layout Air quality/temperature

Business cards Stationery Billing statements Reports Employee dress Uniforms Brochures Web pages Virtual servicescape

Physical Evidence: Customer’s Point of View

Factors influencing the design of the servicescape

1. Who is the servicescape for

Customers? Employees? Employees may feel differently to customers

about the décor - they experience it for longer

– Both need to be involved in the design process

Factors influencing the design of the servicescape

2. The complexity of the service– Lean servicescapes (simple; few elements, spaces,

and pieces of equipment) for less complex service• E.g. Hair cut, Mail

– Elaborate for the more complex services• E.g. Hotels, Restaurant, Insurance

Types of ServicescapesServicescape usage

Elaborate Lean

Self-service (customer only)

Golf course eBay

ATM Car wash Simple Internet services Express mail drop-off

Interpersonal services (both customer and employee)

Hotel Restaurant Health clinic Hospital Bank Airline School

Dry cleaner Retail cart Hair salon

Remote service (employee only)

Telephone company Insurance company Utility Many professional services

Telephone mail-order desk Automated voice messaging

services

Roles of the Servicescape1. Packaging

– The service package offer & communicate an image to the customer.

– The physical setting of the service is wrapped & convey an external image of what is inside to customers.

– To evoke an image, particular sensory or emotional reaction

– Important for new customers– Includes dress and general appearance of

personnel (dress for success)

Exp: FedEx – providing customer with strong metaphors & service packaging that convey the brand positioning.

2. Facilitating

– Ensuring efficiency in service delivery– Make the service consumption comfortable &

convenient for customer.

– E.g. airport – International Traveller– E.g. banking services

3. Socialising

– Convey expected roles and behaviours of both the employee and the customer

– Ease the customer/ employee relationship– Provide balance between – Ex: A new employee in an organization / Private

bank Vs. Public bank

4. Differentiating

– A segmentation device – the design of the physical facility can differentiate a firm from its competitor.

– Ex: Shopping mall – signage, color, music.– Ex: Washington Mutual Bank

Framework for understanding Servicescapes,

Effects on Behavior

BEHAVIOUR

Ambient Conditions

Space/FunctionSigns, Symbols,

and Artifacts

PerceivedServicescape

CognitiveEmotional

Physiological

CognitiveEmotional

Physiological

Employee Responses

Customer Responses

Individual Behaviours

Individual Behaviours

INTERNALRESPONSES

HOLISTICENVIRONMENT

PHYSICALENVIRONMENTAL

DIMENSIONS

Social Interactions between and

among customer and

employees

Social Interactions between and

among customer and

employees

Physical environment• Ambient conditions (Explicit / implicit signals to

communicate firm’s image)• Temperature• Lighting• Noise• Music• Smell• Colour

– E.g. music affects perceptions of time– Scent (strong impact on mood, affect & evaluate

responses)

• Spatial layout and functionality:• Layout of machinery and equipment• Furnishings• Opportunities for privacy

• Sign & symbols• Signage• Style of décor• Non-verbal communication

Internal responsesCognitive (thinking / feeling)

• Beliefs, categorisation, symbolic meaning, and brand knowledge (E.g. parking lot – less – no good meal)

– Affective (emotional – behavioural responses) • Mood and attitude (arousing, sleeping,

unpleasant)

– Physiological (affects the sensory organs)• Pain, comfort (air quality, temperature)

Individual behaviours• Approach behaviour:

– Affiliation– Exploration– Stay longer– Commitment

• Avoidance behaviour:– The opposite of these

Social / Individual behaviours

• Between customer and employee and

• Between customer and customer

Individual Behavior:

• Attraction • Spend money• Return • Stay / Explore

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 the evidence.

Work cross-functionally.

THANK YOU !