02fc609 perceptions
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Amity Business School
Amity Business School
MBA Class of 2010, Semester III
Customer PerceptionsProf. P K Bansal
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Customer Perception
of Service
Perceptions are always considered relative
to expectations.
Expectations are dynamic evaluations andmay shift over time ± from person to person
and from culture to culture.
Customers perceive services in terms of the
Quality of the service and Satisfaction they
receive in overall with their experiences.
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Service Quality
Elements
Service quality is a focused evaluation that
reflects the customer¶s perception of
elements of service:
± Interaction quality
± Physical environment quality
± Outcome quality
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Amity Business SchoolSatisfaction
Satisfaction is the consumer¶s fulfillmentresponse. It is a judgment that, a product or service features, or the service itself, providesa pleasurable level of consumption-relatedfulfillment.
It can also be reflected as Contentment,Pleasure, Delight or a sense of relief.
Satisfaction is a dynamic, moving target thatmay evolve over time.
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Strategies for Influencing
Customer Perceptions
1. Measure and manage customer Satisfaction and Service Quality
Measure and track trends, diagnose problems,
link to other customer-focused strategies like,employee training, reward system, andorganizational structure etc.
Quality firm¶s benefit from customer satisfaction
in terms of market share, sales per employee,return on sales.
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2.Aim for Customer Quality and Satisfaction inEvery Service Encounter
Satisfaction/Dissatisfaction can be caused by anyof the four main areas of employee responseduring any service encounter viz.
1. Recovery (Employee response to service failures)
2. Adoptability (Employee response to customer needsand requests)
3. Spontaneity (Unprompted and Unsolicited Employeeactions)
4. Coping (Employee response to problem customers)
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1 - Recovery
Used when service delivery system has notdelivered the desired results and the employee isrequired to respond.
The content or form of the employee¶s responsemakes the customer remember the event favourablyor unfavourably.
Recovery strategies include:
Fail-safe your service- Do it right the first time. Adopt
TQM, Poka Yokes.
Act quickly. Employees not only need the authority toact but they should not be punished for takingappropriate action.
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Amity Business School2 - Adaptability
Customers judge service encounter quality in termsof flexibility of employees and the system.
Customer perceives that something special isbeing done for her and is pleased when the service
provider puts forth the effort to accommodate.
Employee should know, when and how thesystem can be flexed, and when and how toexplain to customer why a particular request cannotbe granted.
It requires knowledge of the service concept andservice delivery system.
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3 - Spontaneity
Includes pleasant surprises like, special attention,treated like royalty, receiving something nice butnot requested.
Negative in this group represent, rude behaviour of employee, ignoring the customer etc.
Besides adopting the following strategies, theorganisations should encourage employee¶s
positive spontaneous behaviour and discouragenegative behaviour
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Hire the right people.
Develop competencies and service inclination.
Empower employees.
Promote teamwork, ³every one has a customer´.
Provide needed support systems.
Retain the best employees.
Develop service culture.
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Here, Uncooperative customers are the causeof their own dissatisfaction.
Nothing the employee could do would result inthe customer feeling pleased about the
encounter.
Managers need to acknowledge that, ³customer is not always right´, nor she always behave inacceptable ways. So, they should also be given
training and tools to deal with problemcustomers.
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Understanding of customer expectations in theabove four areas helps building relevantstrategies for aiming customer quality andsatisfaction in every service encounter at the pointof contact.
Aim for ³Zero defect´ or 100% satisfaction.
3. Manage the Evidence of Service to
Reinforce Perceptions.
Evidence of Service, People, Process andPhysical Evidence help in the tangibilising theservice for the customer and creating positive
impression.