By : Namdev Prajakta.M. Punam.J. Priyanka.S. Tejal.T. Bhagyashree.H.

Service Quality
 According to Lewis and Booms (1983) service

quality is a measure of how well a delivered service matches the customer expectation. Reason to focus on quality: y to meet customer needs while remaining economically competitive in the same time. y satisfying customer needs is very important for the enterprises to survive.

Service Quality
The outcome of using quality practices is: y Understanding and improving of operational

processes y Identifying problems quickly and systematically y Establishing valid and reliable service performance measures y Measuring customer satisfaction and other performance outcomes

Service Quality
Creates Expected service: y Word of mouth y Past experience y Personal needs Comparison of Perceived service and Expected

service.

Dimensions of Service Quality

Factors influencing the existing gap by Parasuraman,

Zeithaml and Berry (1988): y Reliability (dependability, accurate performance) y Assurance (competence, courtesy, credibility & security) y Tangibles (appearance of physical elements) y Empathy (easy access, good communications & customer understanding) y Responsiveness (promptness & helpfulness)

Models of Service Quality

y Disconfirmation of expectations y The Nordic model y The three component model y The Gaps model of service quality & SERVQUAL

Disconfirmation of expectations (Oliver980)

The Nordic model

(Gronroos 1990)

y Represents the service experience on the basis of

functional and technical elements y Technical quality refers to what the customer receives from the service y Functional quality refers to service delivery y Model emphasises companies must be careful what they promise

The three-component model Rust & Oliver

(1994)

Source: Rust & Oliver, 1994. p. 11

Gap model of service Quality

Key factors contributing to the gaps

 GAP 1: Not knowing what customers expect:

y Lack of marketing research orientation y Inadequate upward communication y Too many levels of management

Key factors contributing to the gaps

GAP 2: The wrong service quality standards: y Inadequate management commitment to service

quality y Perception of infeasibility y Inadequate task standardization y Absence of goal setting

Key factors contributing to the gaps

 GAP 3: Service performance gap: y Employee role ambiguity y Employee role conflict y Poor Employee job fit y Poor Technology job fit y Inappropriate evaluation and reward systems y Lack of empowered service employees y Lack of teamwork

Key factors contributing to the gaps

 GAP 4: When promises do not match delivery: y Inadequate horizontal communication y Tendency to overpromise

Key factors contributing to the gaps

GAP 5: customer satisfaction: y depends on gap 1-4 y The greater the gap the lower the customer

satisfaction, because expectation and perception do not match.

Closing the Gaps

y Gap 1: Learn what customers expect y Gap 2: Establish the right service quality

standards

y Gap 3: Ensure that service performance meets

standards
y Gap 4: Ensure that delivery matches promises

Customer Satisfaction
Kotler defined satisfaction as: a persons feelings of

pleasure or disappointment resulting from comparing a products perceived performance (or outcome) in relation to his or her expectations.
Customer Satisfaction provide you with major

competitive advantages: y Repeat buying which will reduce cost of doing business

Customer Satisfaction
y product command higher price leading to higher

profits y gaining financial and moral support from satisfied customers in times of corporate crisis y word of mouth publicity from satisfied customers

Factors Influencing Customer Satisfaction

y Product/service quality

y Specific product or service features y Consumer emotions y Attributions for service success or failure y Perceptions of equity or fairness y Other consumers, family members, and coworkers y Price y Personal factors
y the customers mood or emotional state y situational factors

Outcomes of Customer Satisfaction

y Increased customer retention

y Positive word-of-mouth communications y Increased revenues

Measuring Satisfaction