An investigation of the relationships between service quality, customer satisfaction, perceived value and behavioural intentions

Customer satisfaction and service quality are two important concepts in the marketing literature. However, there has been some confusion about the conceptualisation and measurement of these two concepts and the nature of the relationship between them. The primary objective of this research was to develop a more thorough understanding of these concepts, and a model that could help to explain the links between them and their relationships with post-purchase behaviour. A preliminary theoretical model was developed, based on an exhaustive review of the literature. Following exploratory research, the model was revised by incorporating "Perceived Value" and "Perceived Sacrifice" to help explain customer's post-purchase behaviour. A longitudinal survey was conducted in the context of the restaurant industry, and the data were analysed using structural equation modelling. The results provided evidence to support the main research hypotheses. However, the effect of "Normative Expectations" on "Encounter Quality" was insignificant, and "Perceived Value" had a direct effect on "Behavioural Intentions" despite expectations that such an effect would be mediated through "Customer Satisfaction". It was also found that "Normative Expectations" were relatively more stable than "Predictive Expectations". It is argued that the present research significantly contributes to the marketing literature, and in particular the role of perceived value in the formation of customers' post-purchase behaviour. Further research efforts in this area are warranted.

Efforts towards adaptability enhancement:how manufacturing and service industries can learn from each other

This paper discusses the recent emerging efforts for adaptability enhancement of Japanese industries to cope with a volatile demand environment. It is based on an analysis of data obtained from respondent companies. The analysis is focused on both manufacturing and manufacturing- related service industries such as construction/maintenance, software supply, manufacturing consultation and logistics industries to highlight their current situation, the sense of crisis in Japanese companies and possible future directions in relation to the two industry sectors. The principal conclusion is that for most companies consideration of a revision or modification to its cost structure is an essential requirement for survival in the global competitive environment.

The impact of service characteristics on the switching costs-customer loyalty link

This research investigates the interrelationship between service characteristics and switching costs and makes two contributions to the service retailing literature: (1) As a means of better understanding the effectiveness of switching costs, the study suggests a two-dimensional typology of switching costs, including internal and external switching costs and (2) it reveals that the effect of these switching costs on customer loyalty is contingent upon four service characteristics (the IHIP characteristics of service). We carried out a meta-analytic review of the literature on the switching costs-customer loyalty link and created a hierarchical linear model using a sample of 1,694 customers from 51 service industries. Results reveal that external switching costs have a stronger average effect on customer loyalty than do internal switching costs. Moreover, we find that IHIP characteristics moderate the links between switching costs and customer loyalty. Thus, the link between external switching costs and customer loyalty is weaker in industries higher in the four service characteristics (as compared to industries lower in these characteristics), while the opposite moderating effect of service characteristics for the internal switching costs-loyalty link is noted. © 2014 New York University.

Understanding innovation in outsourcing services

Recent years have witnessed an expansion in service industries such as finance, travel and retail. Firms in the services have shifted their traditional occupation with products to consider how value can be created and appropriated in the service industry [1]. In particular, information technology (IT) and IT-enabled business services have become central to a firm's ability to deliver value to its customers, driving firms to seek ways to improve their services and maintain their competitive position. In this regard, the last ten years have witnessed significant growth in the outsourcing industry which shifted from focus on low cost simple tasks such as coding to end-to-end delivery of services that range from IT services and customer services to more complex business services such as Finance and Accounting, Human Resources, Procurement, and knowledge-intensive services such as customer analysis and research services [2]. © 2012 Springer-Verlag.

Service acculturation:a dyadic study of managerial and employee effects upon service firm performance

The majority of previous research into service quality and services marketing has concentrated upon the measurement of service quality outcomes, rather than the enhancement of the process by which service is delivered. In this study a conceptual model of the service acculturation process is proposed, modelling the input of service managers and employees in the delivery of service quality to customers. The conceptualisation is then empirically tested utilising a dyadic study of the New Zealand hotel industry. Results indicate that 1) a strong commitment to service is important for both managers and employees; and 2) that employees’ teamwork may have an adverse effect on perceived quality of customer service. Implications of the results and future research directions are subsequently discussed.

Antecedents and consequences of service quality in consumer evaluation of self-service internet technologies

Advances in technology coupled with increasing labour costs have caused service firms to explore self-service delivery options. Although some studies have focused on self-service and use of technology in service delivery, few have explored the role of service quality in consumer evaluation of technology-based self-service options. By integrating and extending the self-service quality framework the service evaluation model and the Technology Acceptance Model the authors address this emerging issue by empirically testing a comprehensive model that captures the antecedents and consequences of perceived service quality to predict continued customer interaction in the technology-based self-service context of Internet banking. Important service evaluation constructs like perceived risk, perceived value and perceived satisfaction are modelled in this framework. The results show that perceived control has the strongest influence on service quality evaluations. Perceived speed of delivery, reliability and enjoyment also have a significant impact on service quality perceptions. The study also found that even though perceived service quality, perceived risk and satisfaction are important predictors of continued interaction, perceived customer value plays a pivotal role in influencing continued interaction.

Operations management

Operations management deals with the management of the creation of goods and the delivery of services to the customer. It plays an essential role in the success of any organization. In this book, Andrew Greasley provides a clear and accessible introduction to this important area of study, focusing on all key areas of operations in both manufacturing and service industries. Operations Management, Second Edition covers the main areas of operations strategy, the design of the operations system and the management of operations over time. Yet, its concise nature of the text means students are not overwhelmed by the amount of material presented. This new edition also features: New content in such areas such as the quality gap model, enterprise systems and business process management. Expanded case studies, to include more global and European cases and longer cases at the end of each chapter. Greater clarity in chapter material organization. Worked Examples providing a step–by–step guide to the procedure to solve quantitative problems. Visual redesign in full colour. More support material for students and lecturers, including an interactive WileyPLUS course. All lecturers can access supporting resources on the companion website at www.wiley.com/college/greasley including an Instructor’s Manual with suggested solutions for all case study questions and end of chapter exercises, a Test Bank and PowerPoint slides for each chapter. Students will find multiple–choice test quizzes, web–links and an online glossary. Operations Management is essential reading for all students studying operations management, whether on undergraduate, postgraduate or continuing professional development courses.

The impact of employees' customer orientation and service orientation behaviours on customers' service evaluation

In this paper the authors conceptualize and test the effects of service employees’ customer orientation and service orientation behaviors within an extended service evaluation model encompassing service quality, service encounter quality, perceived value and customer satisfaction. The context is 271 Indian retail customers. Data analysis incorporates confirmatory factor analysis and structural equation modeling. We find that Findings indicate that: 1) customer orientation is positively related to service orientation, customers’ perceptions of service encounter quality and service quality; 2) service orientation influences customers’ perceptions of service encounter quality and service quality; 3) customers’ perceptions of service encounter quality influence customers’ perceptions of service quality and customer satisfaction; 4) customers’ perceptions of service quality influence value perceptions; 5) service quality influences customer satisfaction; and 6) customer satisfaction influences customers’ behavioral intentions. The importance of these findings for practitioners and academics, research limitations and future research avenues are subsequently discussed.

Operations management

Operations Management, 3rd Edition provides a clear and accessible introduction to this important area of study, focusing on all key areas of operations in both manufacturing and service industries. Features: Focuses on the subject from a European perspective. Deals with the management of the creation of goods and the delivery of services to the customer. Covers the main areas of operations strategy, the design of operations system and the management of operations over time. Incorporates more strategic and international commentary. Includes a strategy link section consisting of a paragraph relating each chapter topic to operations strategy. Includes more end of chapter and quantitative exercises. Cases have been updated throughout and now include: Service including public sector, international, a mix of mini–cases and a longer case for each chapter. Accompanied by a comprehensive package of online learning support materials including: A robust testbank featuring 1500 questions, PowerPoint slides and a comprehensive instructor's manual An interactive e–Book is included with every new copy of this text, featuring a wealth of embedded media, including: Animated worked examples, simulations, virtual tours, videos, flashcards and practice quizzes.

Self-service technology and the service encounter

Self-service technology is affecting the service encounter. The potential reduction in personal contact through self-service technology may affect assessments of consumer satisfaction and commitment, making it necessary to investigate self-service technology usage, particularly the long-term impact on consumers' relationships with service organisations. Thus, this paper presents a framework for investigating the impact of self-service technology on consumer satisfaction and on a multi-dimensional measure of consumer commitment. Illustrative quotes from exploratory in-depth interviews support the framework and lead to a set of propositions. Future research directions for testing the framework are also discussed, and potential implications of this research are outlined.

Integrating security services into computer supported cooperative work

This research describes the development of a groupware system which adds security services to a Computer Supported Cooperative Work system operating over the Internet. The security services use cryptographic techniques to provide a secure access control service and an information protection service. These security services are implemented as a protection layer for the groupware system. These layers are called External Security Layer (ESL) and Internal Security Layer (ISL) respectively. The security services are sufficiently flexible to allow the groupware system to operate in both synchronous and asynchronous modes. The groupware system developed - known as Secure Software Inspection Groupware (SecureSIG) - provides security for a distributed group performing software inspection. SecureSIG extends previous work on developing flexible software inspection groupware (FlexSIG) Sahibuddin, 1999). The SecureSIG model extends the FlexSIG model, and the prototype system was added to the FlexSIG prototype. The prototype was built by integrating existing software, communication and cryptography tools and technology. Java Cryptography Extension (JCE) and Internet technology were used to build the prototype. To test the suitability and transparency of the system, an evaluation was conducted. A questionnaire was used to assess user acceptability.

Transmission of image data over digital networks involving mobile terminals

There is a growing demand for data transmission over digital networks involving mobile terminals. An important class of data required for transmission over mobile terminals is image information such as street maps, floor plans and identikit images. This sort of transmission is of particular interest to the service industries such as the Police force, Fire brigade, medical services and other services. These services cannot be applied directly to mobile terminals because of the limited capacity of the mobile channels and the transmission errors caused by the multipath (Rayleigh) fading. In this research, transmission of line diagram images such as floor plans and street maps, over digital networks involving mobile terminals at transmission rates of 2400 bits/s and 4800 bits/s have been studied. A low bit-rate source encoding technique using geometric codes is found to be suitable to represent line diagram images. In geometric encoding, the amount of data required to represent or store the line diagram images is proportional to the image detail. Thus a simple line diagram image would require a small amount of data. To study the effect of transmission errors due to mobile channels on the transmitted images, error sources (error files), which represent mobile channels under different conditions, have been produced using channel modelling techniques. Satisfactory models of the mobile channel have been obtained when compared to the field test measurements. Subjective performance tests have been carried out to evaluate the quality and usefulness of the received line diagram images under various mobile channel conditions. The effect of mobile transmission errors on the quality of the received images has been determined. To improve the quality of the received images under various mobile channel conditions, forward error correcting codes (FEC) with interleaving and automatic repeat request (ARQ) schemes have been proposed. The performance of the error control codes have been evaluated under various mobile channel conditions. It has been shown that a FEC code with interleaving can be used effectively to improve the quality of the received images under normal and severe mobile channel conditions. Under normal channel conditions, similar results have been obtained when using ARQ schemes. However, under severe mobile channel conditions, the FEC code with interleaving shows better performance.

Marketing strategy and new product development in the UK credit card industry

The development of new products in today's marketing environment is generally accepted as a requirement for the continual growth and prosperity of organisations. The literature is consequently rich with information on the development of various aspects of good products. In the case of service industries, it can be argued that new service product development is of as least equal importance as it is to organisations that produce tangible goods products. Unlike the new goods product literature, the literature on service marketing practices, and in particular, new service product development, is relatively sparse. The main purpose of this thesis is to examine a number of aspects of new service product development practice with respect to financial services and specifically, credit card financial services. The empirical investigation utilises both a case study and a survey approach, to examine aspects of new service product development industry practice relating specifically to gaps and deficiencies in the literature with respect to the financial service industry. The findings of the empirical work are subsequently examined in the context in which they provide guidance and support for a new normative new service product development model. The study examines the UK credit card financial service product sector as an industry case study and perspective. The findings of the field work reveal that the new service product development process is still evolving, and that in the case of credit card financial services can be seen as a well-structured and well-documented process. New product development can also be seen as an incremental, complex, interactive and continuous process which has been applied in a variety of ways. A number of inferences are subsequently presented.

The antecedents of prosocial service behaviours:an empirical investigation

Frontline employee attitudes and behaviours during service encounters influence customers' perceptions of service quality. For this reason, the identification of variables that influence service behaviours is important. Much remains unknown about the factors affecting service behaviours in service settings. This study investigates service employees' attitudinal (job satisfaction and organisational commitment) and behavioural (prosocial service behaviours) responses to management strategies (internal communication, professional development and empowerment). One hundred and eighty-eight service employees contributed data, which were analysed using a structural modelling methodology. The authors found that management strategies influence service behaviours directly but the mediating role of job attitudes is not supported.

The role of the sales employee in securing customer satisfaction

Purpose: Previous research has emphasized the pivotal role that salespeople play in customer satisfaction. In this regard, the relationship between salespeople's attitudes, skills, and characteristics, and customer satisfaction remains an area of interest. The paper aims to make three contributions: first, it seeks to examine the impact of salespeople's satisfaction, adaptive selling, and dominance on customer satisfaction. Second, this research aims to use dyadic data, which is a better test of the relationships between constructs since it avoids common method variance. Finally, in contrast to previous research, it aims to test all of the customers of salespeople rather than customers selected by salespeople. Design/methodology/approach: The study employs multilevel analysis to examine the relationship between salespeople's satisfaction with the firm on customer satisfaction, using a dyadic, matched business-to-business sample of a large European financial service provider that comprises 188 customers and 18 employees. Findings: The paper finds that customers' evaluation of service quality, product quality, and value influence customer satisfaction. The analysis at the selling firm's employee level shows that adaptive selling and employee satisfaction positively impact customer satisfaction, while dominance is negatively related to customer satisfaction. Practical implications: Research shows that customer-focus is a key driver in the success of service companies. Customer satisfaction is regarded as a prerequisite for establishing long-term, profitable relations between company and customer, and customer contact employees are key to nurturing this relationship. The role of salespeople's attitudes, skills, and characteristics in the customer satisfaction process are highlighted in this paper. Originality/value: The use of dyadic, multilevel studies to assess the nature of the relationship between employees and customers is, to date, surprisingly limited. The paper examines the link between employee attitudes, skills, and characteristics, and customer satisfaction in a business-to-business setting in the financial service sector, differentiating between customer- and employee-level drivers of business customer satisfaction.