One that is commonly us defines services
quality as the extent to which a service meets customer’s needs or
expectations. Today the most popular model of service quality in use is service quality gap model, perceived service quality as the difference between consumer expectations and their perceptions.
Service , being intangible, the quality model has to be subjective (rather than objective like specs, BOM etc) and hence is dependent on customer’s perception and evaluation. A legal service client will judge the quality of outcome, or how the court case was delivered, and also the quality of the process. Process quality also includes such things as lawyer’s timeliness, the responsiveness in returning phone calls, his empathy for the client, his courtesy and interviewing skills. Similarly, a restaurant customer will judge the service on customer’s perception of the meals (technical outcome quality) and on how the meal was served and on how the employees interacted with customers (process quality). Some researchers found that customers consider following five dimensions in their assessment of service quality:
- Reliability: This dimension is shown to have the highest influence on the customer perception of quality. It is the ability to perform the promised service dependably and accurately. When service delivery fails the first time, a service provider may get a second chance to provide the same service in the phase called ‘Recovery’. The expectations of the customer are usually higher during the recovery phase than before because of the initial failure. Thus, the service provider is likely to come under greater scrutiny, thereby increasing the possibility of customer dissatisfaction. The reliability dimension, which ensures timely delivery time after time, helps the service provider to meet the customer expectations fully at the lowest level of service expectation.
- Responsiveness: It is the willingness of the service firm’s staff to help customers and to provide them with prompt service. The customers may have queries, special requests, complaints, etc. In fact, each customer may have problems of his or her own. While the front-end employee may have been trained or equipped to deliver standardized services, the customers want them to go beyond this limit. It is the willingness to help the customer or willingness to go that extra distance that is responsiveness. The second aspect of responsiveness is speedy response to a customer request. When response is delayed customers usually loses interest. Many sales representatives respond on the phone, ‘I will call you back’. The call is never returned. The customer draws his or her own conclusion about the quality of service he is likely to receive in the future.
- Assurance: It is defined as the ability of the company to inspire trust and confidence in the service delivery. It refers to knowledge and courtesy of the service firm’s employees and their ability to inspire trust and confidence in the customer toward the company. This dimension is considered vital for services that involve high risk as customers may not be able to evaluate all the uncertainties involved in the process by them. There are property developers/builders who provide a list of previous buyers of flats or apartments to potential buyers. The evaluation of construction services is beyond technical capabilities of most buyers. However, the prospective customers are free to call the previous customers. When prospective customers hear from them about the company and its satisfactory delivery, they feel assured and develop a more positive attitude towards the company.
- Empathy: It refers to the caring, individualized attention the service firm provides each customer. When service provider puts himself in the shoes of the customers, he may see the customer’s viewpoint better. When customers feel that the provider is making his best effort to see their viewpoint, it may be good enough for most.
- Tangibles: It refers to physical facilities, equipment, and appearance of a service firm’s employees. The job of the tangible and physical evidence of a service is multifunctional. When a patient in the waiting room of a clinic sees the doctor’s certificate, he becomes aware of the quality of service he is about to receive. Tangibles provide the customer proof of the quality of service.
Hence service marketing mix has 3 additional qualities : People, Process and Proof (Physical Evidence).
These dimensions are relevant for
banking, insurance, appliance repair and maintenance, securities
brokerage, long distance telephone service, automobile repair service
and others. The dimensions are also applicable to retail and business
services. Sometimes customers will use all these dimensions to determine
service quality perceptions at other times not. For example, in remote
encounter such as an encounter with ATM, empathy is not likely to be
relevant dimension and in an encounter such as scheduling a repair call,
tangibles will not be relevant.
Using SERVQUAL INSTRUMENT to Measure Service Quality
It is formulated such that it measures the (lack of) service quality as the difference between customers’
expectations and their evaluation of the service they received. The
first part of the questionnaire asks customers to indicate the level of
service they would expect from a firm in a particular industry. The
second part of the questionnaire asks customers to evaluate the service
performed by a specific service firm.
Gap 1: between consumer expectation and management perception
This gap arises when the management does not correctly perceive what the customers want. For instance, hospital administrators may think patients want better food, but patients may be more concerned with the responsiveness of the nurse. Key factors leading to this gap are:- Insufficient marketing research
- Poorly interpreted information about the audience's expectations
- Research not focused on demand quality
- Too many layers between the front line personnel and the top level management
Gap 2: between management perception and service quality specification
Although the management might correctly perceive what the customer wants, they may not set an appropriate performance standard. An example would be when hospital administrators instruct nurses to respond to a request ‘fast’, but may not specify ‘how fast’. Gap 2 may occur due to the following reasons:- Insufficient planning procedures
- Lack of management commitment
- Unclear or ambiguous service design
- Unsystematic new service development process
Gap 3: between service quality specification and service delivery
This gap may arise through service personnel being poorly trained, incapable or unwilling to meet the set service standard. The possible major reasons for this gap are:- Deficiencies in human resource policies such as ineffective recruitment, role ambiguity, role conflict, improper evaluation and compensation system
- Ineffective internal marketing
- Failure to match demand and supply
- Lack of proper customer education and training
Gap 4: between service delivery and external communication
Consumer expectations are highly influenced by statements made by company representatives and advertisements. The gap arises when these assumed expectations are not fulfilled at the time of delivery of the service. For example, the hospital printed on the brochure may have clean and furnished rooms, but in reality it may be poorly maintained, in which case the patients' expectations are not met. The discrepancy between actual service and the promised one may occur due to the following reasons:- Over-promising in external communication campaign
- Failure to manage customer expectations
- Failure to perform according to specifications
Gap 5: between expected service and experienced service
This gap arises when the consumer misinterprets the service quality. For example, a physician may keep visiting the patient to show and ensure care, but the patient may interpret this as an indication that something is really wrong.Determinants
The ten determinants that may influence the appearance of a gap are:- Competence is the possession of the required skills and knowledge to perform the service. For example, there may be competence in the knowledge and skill of contact personnel, knowledge and skill of operational support personnel and research capabilities of the organization.
- Courtesy is the consideration for the customer's property and a clean and neat appearance of contact personnel, manifesting as politeness, respect, and friendliness.
- Credibility includes factors such as trustworthiness, belief and honesty. It involves having the customer's best interests at prime position. It may be influenced by company name, company reputation and the personal characteristics of the contact personnel.
- Security enables the customer to feel free from danger, risk or doubt including physical safety, financial security and confidentiality.
- Access is approachability and ease of contact. For example, convenient office operation hours and locations.
- Communication means both informing customers in a language they are able to understand and also listening to customers. A company may need to adjust its language for the varying needs of its customers. Information might include for example, explanation of the service and its cost, the relationship between services and costs and assurances as to the way any problems are effectively managed.
- Knowing the customer means making an effort to understand the customer's individual needs, providing individualized attention, recognizing the customer when they arrive and so on. This in turn helps to delight the customers by rising above their expectations.
- Tangibles are the physical evidence of the service, for instance, the appearance of the physical facilities, tools and equipment used to provide the service; the appearance of personnel and communication materials and the presence of other customers in the service facility.
- Reliability is the ability to perform the promised service in a dependable and accurate manner. The service is performed correctly on the first occasion, the accounting is correct, records are up to date and schedules are kept.
- Responsiveness is the readiness and willingness of employees to help customers by providing prompt timely services, for example, mailing a transaction slip immediately or setting up appointments quickly.
- Reliability: the ability to perform the promised service dependably and accurately
- Assurance: the knowledge and courtesy of employees and their ability to convey trust and confidence
- Tangibles: the appearance of physical facilities, equipment, personnel and communication materials
- Empathy: the provision of caring, individualized attention to customers
- Responsiveness: the willingness to help customers and to provide prompt service
