CUSTOMER EXPECTATIONS OF SERVICE

CUSTOMER EXPECTATIONS OF SERVICE

Knowing what the customer expects is the first and possibly most critical step in delivering quality service.

Being wrong about what customers want can mean losing a customer’s business when another company hits the target exactly.

Being wrong can also mean expending money, time, and other resources on things that don’t count to the customer.

Also it mean not surviving in a fiercely competitive market.

CONSUMER EXPECTATIONS

Pre-trial beliefs about a service that function as standards against which performance is judged

Types of Expectations:Desired Service – the level of service the

customer hopes to receiveAdequate Service – the level of service the

customer will accept

Expected Service: Two levels of Expectations

Desired Service

Adequate Service

Zone of Tolerance

DUAL CUSTOMER EXPECTATION LEVELS

ZONE OF TOLERANCE

The extent to which customers recognize and are willing to accept this variation in service performance.

ZONE OF TOLERANCE

Different customers possess different Zones of Tolerance Ex. Very busy customers – smaller zone of

tolerance Zones of Tolerance Vary for Service Dimensions

Customers’ zone of tolerance also vary for different service attributes or dimensions.

The more important the factor, the narrower the zone of tolerance

Ex. Customers are less tolerant about unreliable service (broken promises, service errors) than other deficiencies, which means that they have higher expectations for this factor.

Zones of Tolerance Vary for Service Dimensions

Desired Service

Adequate Service

Zone of Tolerance

Desired Service

Adequate Service

Zone of Tolerance

Level

of

Expectations

Most imp. factors Least imp. factors

Factors that influence Desired Service

Personal Needs: States or conditions essential to the physical or psychological well being – physical, social, psychological and functionalEx. Thirsty & hungry cricket fan look for food

vendors to come frequently, other one may not expect to come

High social and dependent customer expects lot from brokers

Factors that influence Desired Service

Enduring Service Intensifiers: Individual, stable factors that lead the customer to a heightened sensitivity to service Derived service expectation:

• Customer expectations are driven from another person or group

• Ex. Selecting a office space, selecting a holiday tour, arrangement for 15th August Celebrations etc.

Personal service philosophy• The customer’s underlying generic attitude about the

meaning of service and proper conduct of service providers• Ex: An automobile insurance customer. You expect to be

treated the way you treat other people. Both elevates the level of desired service.

Factors that influence Adequate Service

Are short-term in nature and fluctuate more than the factors that influence desired expectation

1. Transitory service intensifiersShort term, individual factors that makes

consumer more aware of the need of service

• Ex: personal emergency situations, raise the level of adequate service

Factors that influence Adequate Service

2. Perceived service alternativesOther providers from whom the customer

can obtain serviceAs the number of alternatives increases,

the level of adequate service increases and zone of tolerance decreases

3. Customer self-perceived roleShaped by the believe that how well they

perform their own duties

Factors that influence Adequate Service

4. Situational factors Situation beyond control of service provider,

lowers adequate service level Emergency, accident, earthquake,etc Reason for purchase, Consumer Mood,

Weather, Time constraints

5. Predicted service Predictions made by customers about what

is likely to happen

Factors that influence Desired and Adequate Service

Explicit Service Promises statement from organizations, advertising,

personal selling, usually increase desired level and narrow zone

Implicit Server Promises Service related ones like:

• Tangibles• Price • Distribution – multiple outlets• Service personnel, firm image, pre-service waiting

Factors that influence Desired and Adequate Service

Word of Mouth Past Experience

Particular serviceWithin the same industryRelated service

• More experience, the narrower the zone of tolerance

Managing Consumer Expectations

Customers expectations must be managed

During pre purchase phaseLearn what customer expectTell customers what to expectConsistently provide the services

customer expect

Managing Consumer Expectations During service encounters

Communicate with customers during the service If possible, modify the service to meet customer

expectation Explain why service cannot be modified

During Post purchase phase Communicate – expectations were met? Develop follow up program Develop a procedure for dealing with dissatisfied

customers