Scanned by CamScanner Scanned with CamScannerscone Beawour (Chater 3 yan be mained The i ci ine by GrOMEOOS By Toe ference between the goo oer otc seices eifeenc between he gots anion sn ea soe smeveptinn in eave ot products ane ees es fact hey re oo rele for bth te ant pet wb is bring consume ia he ev etivery and hi I nachines, buildings and so on) on eat Lo the customers: Loan is, of ser service providing od pn Be ‘ime ceca es00 gid thce Fel Ce as Go Trier a ee ee oa rent thei employees aod eXP2 Ges vis-a-vis Goods: 31 Services Is: Consumers’ Distinctive Behaviour Patterns msde iho ky bhai alters of consumes ow ev ing ion 10 nonepesonal information sree cers : ae tern a ee evauation for services vi sources 3 |, Timers ae involved fee informations 2, Cammison to cangible products, tion-secking and post-purchase ca os ov pochsn a paticulr servis, customers ate lesser gaged in p-rueess atuation » ; Wi greater in post-purchase evaluation ducts, customers perceive higher risks whi ™~ ile purchasing a service. -t-induced alternatives for services as i ‘ ‘compared to the products ncomparison t0 pt induced set of altematives inv‘ ‘There are Jesser consumer jolves: self- 4 D 2 ase of non-professional series, most of the consumer Fpison ofthe service 1» Fone and ands ean in vence the canes of pefamanes of PSN ON svi positive Hkely ests 1d moods can increase this chance and vice versa. ervice encounters towards ‘moot Positive emotions an 4) Customers’ emotions congruency 4) Customers’ mood may affect the manner in which service's perceived by them. vice encounter, the greater are the chi 10) The higher is the Inman interaction during se Re Sgment ofthe service may be affected by mono ‘and moods. 11) Service delivery can be equated to drains It which the customers are th ‘aetors the process of service is the “performance” and physical evidence isthe ‘setting’. 1p) Service encounters can be understood as role performances. 13) Adverse deviations from consumers! ‘estimated script may restl 14) Deviations from the consumers” estimated script including the provision cither detract from or add to the existing ‘service experience. 15) Customer satisfaction is affected by & factor known as customer comp: high contract services. 16) Customers attribute a po! vice dissatisfaction to their sel ‘and moods may bins their assessment of the s impressions are designed, retained and ‘ances that customers” nidience’, service staff are the It in reduced service performance. of more than expected traits, may ability. This is significant in case of tion of their se {-incapsbility to perform or specify their service part. I) Most of the customers believe that he¥ partiatty responsible for their satisfaction/ dissatisfaction in the ero delivery. Due to this, they make lesser smmpaintsinvease of services as Compared 10 products 18) Customers adopt product innovation more rapidly as compared to service innovations 19) In comparison to products, there is less brand switching in services. 20) Customer retention is much easier in service as compared 10 products. 3. Search, Experience and Credence Attributes .¢ which is used by the consumer to evaluate the service and products. There nvolved in case of services, while search qualities are more before buying There is a difference in the processes ‘ce and credence qualities ‘are greater experiens closely associated with the products. “The charac vrnaties which can be evaluated by the consumer Scanned by CamScanner Scanned with CamScannerScanned by CamScanner Scanned with CamScanner4 —~- Oe SS aS a ‘Consumer Behaviour ‘(Chapter 3) ° 444, Natureof Consumer Behaviour in Services hg and disposal were developed in regard 10. physical products ind Gag of services. Therefore in order to facilitate the understanding of service Ics are high Servic: tne of servi wnat he used precisely. In case 8 Of exchanging moncy wi buying. a" actual consumption of the product. But when we talk about services, the payment wi ‘ill be made either before (air travel, insurance, movie) or after (hotel, amenities) the utilisation of services Infact, there are many service consumption situations where there is hardly any kind of exchange- Stabe used to esp’; KE aovernmental serviess. Dut tl tne aeons the mit accurate Word Which can be used to explain the first Step of consumption will be “choice” in place of “buying’ 2) Disposition is Minor: In case of services, the term disposi understood by hlighting the most basic and vital difference which exists between the goods and services. is pre ervices are characterised to be as perfectly intangible. This feature of intangibility creates problems as whenever we. think about Sisposition, getting rid of solid wastes comes into mind immediately. ‘rus, isposition is not possible with any pure series due to non-availability of any physical or tangible feaure. But there are very limited numbers of Services which can be said as pure services. Some kind of physical aspect §s associated with many se:vices which could result iy disposition. The fundamental characteristic of services, ic, intangibility, makes disposition a non-salient and less significant aspect of service consumption. This is the ‘main reason behind giving minor position to ‘consumption in the service model. 3) Degree of Intangibility: While evaluating a service, the extent of intangibility can be seen as one of the 2 eater innate: A greater personalised evaluation process can be expected from the customers i case of Fade. Trae etilty associated with the services and it will be more dynamic In comparison to physical goods. Thus, due to intan i naibility. greater cognitive involvement will be required during the evaluation of services as against the physical goods transfer happens before the n has a different concept. This can be easily 4) Bvaluation Occurs Simultancously: In case of service, the evaluative behaviour is observed continuously Hcmaumer Behaviour. But there are some stages in the consumer behaviour where these evaluation, become most conscious or salient. V; . ‘arious selections, choices and us Different behaviours are presented by these variables behaviours are used as a “triggering cue” sages determine the evaluation stage, In case of services, due to intangibility, these during various evaluation stages, 3.1, Ctors Influencing Services Consumer Behaviour factors affect the consumer behaviour, They are described below: Culture I Subcotwres Social ss ry Reference Groups Family is 8, ¥ es and viewpoints of a particular of people. The 2: It is formed by different norms, values, rol lewpoints of a pa group of peop » valine Ud attitodes ‘of the people belonging to a certain place and their consumer behaviour are greatly affected by the culture ofthat location. Thus itis very important for the marketing managers to have 8 £000 Knowledge of the culture of those places where they are siming to market tha seretes, roe example, Annie cule is quite lucrative for the firms which are offering dating services but this cannot be i Andian culture. — ood as the smaller portion having similar norms, behaviour, pattems or 2) Sub-Cultures: These can be underst a thee Bos ae a ee ae eect os values in a cerain society which distnguih then fom the main cute Cosi of lute ae lifestyle, age, race, ethnicity, religion, 8 aon Indian people Who reside in the southern part of the country, 0 that they can fulfil the eating habits of Nc Scanned by CamScanner Scanned with CamScanner48 (Waitt, [MBA Fourth Semester (Matkctine of Seng, hy, 3) Social Class: It includes all those individuals who have similar lifestyles. norms, Values. behaviq,,, _ undes=n opinions. ‘The market seementation can he obtained on the basis of the similarities in beliefs 4.) 6 mnatio?- Similarity has a greater infuence on the shopping pattern ofthe individuals, ‘Therefore, differen py," IBFEPE as « and services are marketed onthe basis of social class of customers. For examples the Hive starhoris< STE on a Sheraton, the Hyatt and Tay group target on the customers belonging to higher income BrOUP OF eit cl "* oP ‘ference Groups: The actions, opinions and judgements of an individual depend on the prospec, EEE ys I comets oun. The use of reference groups in he development of advertisements Qutscom,, Routt Far comm’ ie Tferenee grouns with some certain type of products, servic’ om certain. ebay the 2 + Sahara Group of India utilised the popularity of Indian Cricket Team in their adverse, come 5) Family: Most of the time, purchase decisions are not taken by a single individual, but in fact, ther ee umber of other family persons who have a decisive position in the buying decision. Thus it i 2) Emer important for the marketers to have the clear understanding of how these different individuals have y, prom power to influence the buying decision so tat thy ean be targeted withthe help of marketing Message, Fors There are a number of individuals who have the influence on the decision-making process, viz. initiator (, ° fone who gets the idea of buying products or service for the first time), influencer (the one who has y, 3) Plan decisive influence on the. final buying decision), decision-maker (the one who decides what to purchas, o Purchaser (the one who actually buys the product) and the consumer or user (the one who actual La conspifies oF disposes the product or services), oo Consumer Decision Making Process io famer decision-making is actually a cognitive or thinking process which comes fore the actual or physical buying of products or services. The analysis of the |__r-Purchase Stge 4) Ev Customer regarding the buying situation and the determination of various risks = which can be faced by the customers in case of incorrect buying decisions have a [Service re greater influence on the decision-making and its level of involvement. If there are no L_St™Se EecnurerStse ad fr almost very litle chances of facing any unfavourable situation reslting from the buying, then there will be no requirement of taking precautions from the customer's | —_ Post-Purchase Stage 3.1.7. side. Alternatively, the decision-making efforts are directly associated with the type, In ca: of significance given to the correct choice while buying a product or services. This is the main factor which prodt decides the level of involvement a customer will have in the decision-making process. close The customers have to undergo a very complex purchase process when they decide fi Sou fulfilling their unsatisfied needs. There are mainly three stages inthis process which are as beloey, © SeT¥E® ee 3.1.7. Pre-Purchase Stage : ‘At the pre-purchase stage, the decision regarding buying of a certain service is taken. At thi ‘ital elements are the individual needs and expectations as they decide the various slematves eee cathe considered by the customers. The customers will be able vo decide quickly and using a cern serves can if the purchases are routine in nature and have low associated risks. But the customers may get inys h Provider ieee information search process ifthe services ae going 10 be uted forthe fre qe oWed in the eater associated risk. Just think the difference in buying the pet o 8 DBE and selecting yet pM ane ihe treatment of cancer. Identification of the potential service provider eX! Stage and fy ital for 4 ying decision, '€ customer will evaluate the benefits and risks of each alternative to zeach the final bu Recognition 3.1.7.1, Problem tomer identifies a significant £4p berwegn e , “4 XX problem or a need is recognised when a cu ee Et ea ‘actual state of a producl : “ Gale satisfied, Were28 the “ggg, SKIN. The acaua) state’ means the proc " f kre = process by which an indivi tor service, which is enough t s by which a need is already idual wants his demand to be fulfl jon. Information . of need recognition. 00 Process T facets. The customer must BE conscious, eee ce rom outside the organisation, byt" the neeae om *ssing of ini race’ “There are many factors penning to he rossi © T process of customers are some from inside or problems, which are arising either Scanned by CamScanner Scanned with CamScanner enti le Ve akeconumer Behaviows (Chapter) oo ‘pris leads a customer to a it Te which fmmer 10 get motivated. Th Feeiakcs ta apne stor, the process of probe mer to get inyolved in some Mes as Sas problems Recognition ast of problen can be recog. 8 vo ‘Problems: Routine problems SO IOI gous tate and desired state, Bae eee Pe, hate ‘some gap is likely to be fount mn Feel op ses Se. ston ec wae a et tomato Keleiup, etc, are some of the examples associated Wit cont ypes of problems. ergeney Problems: These types of problems are oft ted by the custom eae probl often unanticipated by the customer and reat Em solutios | © eR mpe, a businessman fh 1, businessman finds thatthe display of hi SAU rep atreaarasmereet ert is neoded tobe sate regret ig some problem i for various alt shones, starts window ids and peer BFOUPS- ‘ceded right now cognition ean DE ringhil buyin nt for in the ‘eplacea imi ring Problems: The problems which are expected b sted to oveur but there is no im * 3) ease a onion, ae known a planing problems. For exampl : |e Ging of his motile phone but tlhe can work with See Ra fea of ble phones, paying atenton towards the enone Prapring, or may stat asking forthe suggestions about the LS er inp problem forces a person to buy ‘pre-need! products, i en ot ats Pamay be needed inthe near future. he products Wades atm ing Situation: These are the situations it r ving re the siuations in which unexpected robles oct the immediate rl ot noes. Fashionable product can Bsn a soe ig sas m may be aware of the changing aon of Ie eu faxkionsyles now and MAS fashion but sil b Popt them in Future. alte Search for Information 1s from the services, return i snot possible as it is feasible im E08 OF rae abundantly as services are more 347.2. Fase of non-fulfilment of expectation fs, Apart from this, information ‘related to the services are not avail Pry associated with the experience thatthe search qualities. Sources of Information Search smal and extemal sources are the two mel SoU rom where the information can be collect: 1) Internal Sources: Internal sources of information are ‘mainly used by the customers ‘particularly when the customer is looking to buy Timited problem-solving services or ‘has a higher level of brand Joyalty. The acquisition of these sources ‘can be active or passive: 4) Acively Acquired ‘Many customers wise the past searches related to a certain product or service 28 3 : i ‘While customers’ personal ‘experience can also be used for this purpose which ‘ © Pot of information can be collected with its help. ing decision can also be acquired ‘Acquired: Some very usettl {information related to buyl pent Teaming whichis passive in nature “withthe help of low invol on can also be coll personal contact OF jnformation from the marketers. act of the five information sources. They ‘usually have very mong “jsions of the customers. Tn fact, all the five sources of rketing activities. Thus, the basic or fundamental information promotional messages: and d by the mi the distribution of the service, ‘ous independent sources | “used for ) | jtion can be Use ‘or any other source ected with the help of some external sources such. ‘Marketing-derived Fr wage ese iss Geerleauon bt aS are with the product or services or is Pome heer eon sures sch a ends and pest 2 product ors promotion. Scanned by CamScanner Scanned with CamScannerHo AOATUTITAD 889] 40 315 ‘afesone uP UC) . “BUAILD axOY1 UO Wopsad estar lory Up “ournuayay s1 Ae ieee erie i aglauarep o1 e.xaHN aN Jo jonuafi ae suDWop aca ee {fq pasn euaiua ay ‘aoua "1 cap nu ma Kf) “29U9}] RHAILID DAMEN HAD JoUNSIp am: aUaK F satunsuos 40 anpoid ‘uonnys k2n9 40,4 “VII. S900} 8 ots pe ou pneu a oq eee juning s1ayp 2ouaNY.Ut puw aseypind jetuarod ap ssassi o ia ree oa '9}od ai} ssasst Oo} eLsaHH49 asayT Asn ssoUFONsN:) “adines UOHENER? 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The encounter between the customer and service provider explains the charac a pay Servis 9 Kinds of encounters can be experienced beyond the “line of visibitity” in Meee TS. Thy “Moment of truth” was coined by Richard Normann in order to expl ‘i nono ar ot ag Perception of the service quality in the mind of the customers. It is a very sm ‘ae Then it in Service evaluation takes place from the customer side and thus an opinion is ae ante i tay Encounters which happen between the customer and different service provi or hae me a Perception of the customers can be altered with each new moment of truth. For exa es there can be ag, of encounters which can be experienced by an airline passenger which usually initiate from buying oe telephone reservation staff, and can extend til the in-flight services, baggage receiving at the baggage coy! and then it can end at receiving the loyalty points. It must be noted that these types of moments of truth are quite significant in accomplishing higher stand, Service quality. Thus, the focus must be on these encounters so that some special and competitive position, be gained when it comes to service quality. Different organisations serve their frontline employees who in. direct contact with the customers. People who have direct contact with the customers are now positioned ary top of the chart rather than at the bottom as it was the case earlier. It is the responsibility of other members, the firm (o serve these frontline employees who are involved in serving the customers. Satisfaction m te Customer is again brought into focus by altering the organisational chart and effective management of mons, ion of the organisation into different profit centres to ts clementary level and empowering the managers who are now much closer to the customer re effect decision-making, 3.1.8.1. — Types of Service Encounter Circa service firms have differen: modes of delivery. But encounter can be seen as the common elem Tie Ertan! nal types of service deliveries. The three main types of service once” are stated below 1) Remote Encounters: I the early days, services were considered ts the sree Of different activites wick eau direct interaction between the customer and the service provide, But as the technologi: garancement is coming into the picture, technology is playing am active tie the service exchange. Whet Ce customer interacts withthe service without having any direct commny gr the service providers, i cain Ta encounters. With the help of some media such as machine indirect service encounters sn saad, This can be seen in the examples of ATM machines or suena vending machine. There is. shi! in service delivery from a personal contact to the indinect service encounters exp ally in coe ct i sieways couriers and railways, Different communication memes: tnd the internet ave oe oe bats tol in this regard. For example, withthe help of malware Website, customers eqns Played a signifies easily without directly mecting the service provider, Similarly, withthe help of eke qo, POOR thei tikes the deposit and withdrawal of a ible. It has bee he help of el » Processes and machines incered ook quite effectively # and tested in order to provide 2) Phone Encounter or Indirect oe insurance companies and friendship . -ncoun also experics fice Services and credit card inquiries, PRCA. Phone Sneounters are anive “Onated By the enstomes Scanned by CamScanner Scanned with CamScanner31.8.2. paner extent of variability S associated wi ‘ ANON inane of mene ee a caatrners te Ne teehee Ba aly Te noe ge ee fnejvenes ad efficiency i ling the cust we 2 Ssh comers al qa rregor Facet-Face: As its que ce sand te sertce Hone ee on we provider and the customer in wren set onal univers educa personal lephone ysieat encounters, With the inevesi inoteases, Deypte ving the YM ‘ee quality perveprion alot Hee thant on the basis of the custome fone of yo, 8 At by other fa aly alse ty the Fats 8m Hote system hae its here facet iteration betwee ae Nile the eguiemewt of persona ineatos erween the ue nusserent paths, beanty eaten, as surgery ‘can be a number of problems Thee Problems in case of face-to-face interaction friitte these kinds of encounters. Thus, there A physical setting és compsory 0 mse, s. ther wll fe alan epee ea 40 the Fore of technical dimensions ba nein experience th eel the sericea me ses sgn, The athe pat fe te sae apres am ws a ws es exaing These encounters can consist of direct interaction with th ; tion with the various tangible stimuli sueh as sniform of the qrmfessbook and chequebook services offered th hanking), In the services where there ix «dite interaction ofthe customer with the service provider, an active role has to be Played by the customer during the service rendering process, Tt implies thatthe role of os consumer an! sevice prover ts 10 Pe played by the customer himself. The service quality will be decided by the ations of dhe customers apart from the different other dimensions of service exchange. . : Factors Affecting Service Encounter issatisfaction result from the evaluation of service encounter quality. "The various Customer satisfaction and factors which have the potential of deciding the customer's perception related to service 1) Recovery: This ean be seen as the incidence when th serice service provider deals with that situation. The s facilitating hotel room despite hav inadequate service in restaurant, not well-known fa responsibility remai satisfy the customer. as to avoid any kind of confusion. The apologise for such incidences and must ‘The manner in which the service some additional benefits mus regaining the trust and confidence of future by having a positive opinion. 2) Adaptability: This ca customers. This can be accomplishe For example, offering spec student's needs, facilitating evs system can also play a major role flexibility of the employees : about the service can be created by Fa .s with the service spontaneous 0 3) Spontaneity: It enta delivery of the servi adhering to strict rules and regulations ict to the customers that the "The customers should be hes sgoing to be improved shou! ‘he offered to reduce their dss be seen as the jal diet 10 Ps jerdrafts on 4 wn the determination of service quality by who are inv ices. For examples f the satisfaction or dissatisfaction of the customers and can affect are elaborated below: lure has oceurred and how effeetively the ‘re commonly scen as Might delays, 2 pre-booking, ete. It is also a will get a perfect service all the time. But the major providers to deal with these jaeidents of service failure and tries vo ard patiently and the issues must be understood clearly so eervice failure must be accepted by the service provider and he must sMneure the customer to rectify the service failure as soon as possible. i also be communicated to the customer and sfaction, ‘These methods are quite useful in gain in ervice failure examples the retailers and to utilise their services the customers ability of the retailer to hancle the special requirements of the Mf by the employee with the help of flexible service delivery riients on @ flight joumey, adjusting course sehedules 3s Per ank accounts and so on, The flexibility of service delivery the customers alongwith the sourable perception ‘ved in the process of service delivery, A fav these flexibilities in service delivery. wider’s employees during the ing prompt actions and not jomer satisfaction can ing + deliberate actions of the service pro during some emergency situations, givit co that services can be provided quickly. 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