Service Behavior Factors that Lead to Satisfied Customers

HTM 681 Reading 9 (Spring 2009) Kathryn Frazer Winsted,2000 Service behaviors that lead to satisfied customers European Journal of Marketing, 34, 3/4, 399 – 417 Feb. 19, 2009 Suh-hee Choi

Background How does this patient evaluate service encounters? What does he REALLY want her to do? Aren’t we obsessed with SERVQUAL? Need to examine behaviors based on the real service encounters!

Research Questions Which behaviors do consumers use to evaluate services? Which behaviors/factors are related to satisfaction? Four stages 1. Literature review: Identify dimensions 2. Open-ended survey: Behavior identification 3. Identify relationships between behaviors and satisfaction 4. Group behaviors into factors

Industry-specific Analysis Difference Similarity ,[object Object],-- professional -- long-term relationship -- credence attributes ,[object Object], -- generic / unskilled -- experience attributes ,[object Object]

WOM is importantSERVQUAL is too generic.. An industry-specific analysis is needed!

1. Literature Review: Identify Dimensions + focus groups Authenticity Promptness Caring Service Encounter Dimensions Personalization Perceived control Courtesy Friendliness Formality

2. Behavior Identification Behavioral identification questionnaire (Q1) • 156 students in the US / Open-ended questions • e.g. “what thing would a doctor do if he or she were being ? Ans: behaviors (smile) Sorting + Antonym Courteous Coding 4000 behaviors 448 codes 137 behaviors

2. Behavior Identification Authenticity Caring 137 behaviors 119 – both 12-restaurant 6-medical 25~60 generated for each dimension 3~12 uniquely for one dimension Personalization smile Courtesy Friendliness Formality

3. Identify Relationships between Behaviors and Satisfaction Behavioral analysis questionnaire (Q2) • 304 (medical) + 424 (restaurant) = 728 undergrads • recalled recent visit - 137 behaviors: 7 point Likert scale of agreement - satisfaction levels: 6 questions Crosby et al., 1990, 79 “semantic differential scales” – feelings, pleasure, satisfaction Churchill and Surprenant, 1982, global faces scale

3. Identify Relationships between Behaviors and Satisfaction Pearson’s correlation between behaviors and satisfaction  123 (out of 137) of behaviors are significantly correlated with satisfaction ,[object Object], 78 (restaurant), 63 (hospital) : 59 behaviors in common “there are some differences in the level of relationship with satisfaction and in a few of the behaviors identified” (406) can we conclude like this? emotional issues are more important caretakingissues are more important

4. Group Behaviors into Factors Group factors that are highly correlated with satisfaction and test ability to predict satisfaction. “since the behaviors highly correlated with satisfaction are almost identical for the two industries, a single factor analysis was instead performed for both industries to avoid redundancy and to allow for improved generalizability.” (409) Didn’t you say that an industry-specific analysis is needed? (412) “This research supports the notion that many of the behaviors important to consumers in evaluating service encounters are the same across different types of service encounters.”

4. Group Behaviors into Factors Principal component analysis Factor loading 0.50 and above with high reliability were selected (34 items, 3 factors—concern, congeniality, civility, all factors with Cronbach alpha > 0.9) ,[object Object]

Discriminant analysis (dividing low / high satisfaction)  each factor classified correctly 96% of the cases,[object Object]

4. Group Behaviors into Factors AUTHENTICITY “not negative” behavior Chandon et al. (1997) perceived competence listening dedication SERVQUAL Empathy Assurance Responsiveness Congeniality Concern Civility RESPECT CONVERSATION/ PERSONALIZATION positive attitude

4. Group Behaviors into Factors assurance (SERVQUAL) empathy (SERVQUAL) Responsiveness (SERVQUAL) Respect Authenticity communication personalization Table III. Service dimensions with factor loadings (loading > 0.5)

Discussion Tangibles? Factors might be different depending on the context Sampling / Methods

Service Behavior Factors that Lead to Satisfied Customers

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