physical evidence
TRANSCRIPT
Physical Evidence in Services
Services being intangible, customers often rely on tangible cues, or physical evidence to evaluate the service
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Servicescapes
“Servicescape” is a term popularized by Zeithaml and
Jo Bitner, two American researchers.
Kotler has used the term “Atmospherics”.
Like a landscape, a servicescape creates a mood, a
longing, an attraction or a desire to visit the service
provider.
Examples- a well-laid out mall where a youngster may
hang out with friends, or book shop with ample
seating
Purpose of Service Environments
Helps firm to create distinctive image and unique positioning
Service environment affects buyer behavior in 2 ways: Message-creating medium: Symbolic cues to communicate
the distinctive nature and quality of the service experience Make servicescape stand out from competition and attract customers from target segments
Effect-creating medium: Use colors, textures, sounds, scents and spatial design to enhance desired service experience
Comparison of Hotel Lobbies
Four Seasons Hotel, New York Orbit Hotel and Hostel, Los Angeles
Each servicescape clearly communicates and reinforces its hotel’s respective positioning and sets service expectations as guests arrive
Physical surroundings help shape appropriate feelings and reactions in customers and employees For example: Disneyland
Servicescapes form a core part of the value proposition For example: Club Med
The power of servicescapes is being discovered
Servicescape as Part of Value Proposition
Insights from Mehrabian-Russell Stimulus-Response Model
Simple yet fundamental model of how people respond to environments
The environment, its conscious and unconscious perceptions, and interpretation influence how people feel in that environment
Feelings, rather than perceptions/thoughts drive behavior
Typical outcome variable is “approach” or “avoidance” of an environment, but other possible outcomes can be added to model
The Russell Model of Affect
Arousing
Pleasant
Sleepy
Unpleasant
Exciting
RelaxingBoring
Distressing
Behavioral Consequence of Affect Pleasant environments result in approach, whereas
unpleasant ones result in avoidance Arousal amplifies the basic effect of pleasure on
behavior If environment is pleasant, increasing arousal can generate
excitement, leading to a stronger positive consumer response
If environment is unpleasant, increasing arousal level will move customers into the “distressed” region
Feelings during service encounters are an important driver of customer loyalty
AmbientConditions
Space/Function
Signs,Symbols, and Artifacts
CognitiveEmotional
Psychological
An Integrative Framework: Bitner’s Servicescape Model
ENVIRONMENTAL DIMENSIONS
HOLISTIC ENVIRONMENT
MODERATORSINTERNAL RESPONSES BEHAVIOR
Source: Mary J. Bitner, “Servicescapes: The Impact of Physical Surroundings on Customers and Employees,” Journal of Marketing 56 (April 1992), pp. 57-71.
Perceived Servicescape
EmployeeResponse
Customer Response
Employee Responses
Customer
Responses
CognitiveEmotional
Psychological
Approach• Affiliation• Exploration• Stay longer• SatisfactionAvoid(opposite of approach)
Approach• Attraction• Stay/Explore• Spend More $$$• SatisfactionAvoid(opposite of approach)
Social Interaction Between
Customers and Employees
Elements of Physical Evidence1. Facility Exterior Exterior design Signage Parking Landscape Surrounding environment
2. Facility Interior Interior design Equipment
Elements of Physical Evidence Signage Layout Temperature
3. Other tangibles Business cards Stationery Billing statements Reports Uniforms
Examples of physical evidence from the customers point of view
Service Servicescape Other tangibles
Hospitals Building exteriorParkingSignsWaiting areaReceptionPatient care roomMedical equipmentRecovery room
UniformsReports/stationeryBilling
Courier Not applicable PackagingTrucksUniforms
Impact of Signs, Symbols, and Artifacts
Guide customers clearly through process of service delivery Customers will automatically try to draw meaning from
the signs, symbols, and artifacts Unclear signals from a servicescape can result in anxiety
and uncertainty about how to proceed and obtain the desired service
For instance, signs can be used to reinforce behavioral rules
Signs Teach and Reinforce Behavioral Rules in Service Settings
Note: Fines are in Singapore dollars (equivalent to roughly US $300)
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Physical and Remote Services
Obviously, the servicescape, or the design of the
service facility, has the maximum impact when the
customer physically uses the facility.
There are some services that he may be able to access
over the phone, or on the internet. There, the tangibles
may be the quality of the voice on the phone, or the
design of the webpage he goes to.
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Pleasure in Transacting Business Bank A is pleasantly decorated, with an air-conditioned
reception hall and its people greet customers with a friendly smile
Bank B- the surroundings are dingy, and poorly ventilated. Broken windows, dirty curtains, unpainted walls, unswept floors greet customers.
WHICH BANK would a customer choose?
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Post-purchase
Even after the customer has consumed a service, he
may remember the tangible features of the service
brand, and look forward to going there the next time, if
they were pleasant. Dissonance may set in if he has
been in unpleasant surroundings at the service
provider.
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Design Issues
The functional utility of the place needs to be kept
in mind while designing.
If there is going to be a queue, for example,
adequate comfortable standing space has to be
provided for.
Serving arrangements in a self-service restaurant
need to take into account scope for expanding the
counters during rush hour, with adequate sitting
area for people to eat their food in.
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Light, Sound, Music
For example, a theme restaurant with an aquarium,
and a waterfall, may provide one kind of ambience.
A rural theme can bring out plantain leaves instead of
plates and different seating arrangements from the
usual table and chair.
A dance floor may bring in certain types of customers,
while others may prefer a quiet ambience.
Impact of Music In service settings, music can have a powerful effect on
perceptions and behaviors, even if played at barely audible levels
Structural characteristics of music―such as tempo, volume, and harmony―are perceived holistically Fast tempo music and high volume music increase arousal
levels People tend to adjust their pace, either voluntarily or
involuntarily, to match tempo of music
Careful selection of music can deter wrong type of customers
Impact of Music on Restaurant Diners Restaurant Patron Behavior
Fast-beat Music Environment
Slow-beat Music Environment
Difference between Slow- and Fast-beat Environments
Absolute Difference
% Difference
Consumer time spent at table
45min 56min +11min +24%
Spending on food
$55.12 $55.81 +$0.69 +1%
Spending on beverages
$21.62 $30.47 +$8.85 +41%
Total spending
$76.74 $86.28 +$9.54 +12%
Estimated gross margin
$48.62 $55.82 +$7.20 +15%
Source: Ronald E. Milliman (1982), “Using Background Music to Affect the Behavior of Supermarket Shoppers,” Journal Of Marketing, 56 (3): pp. 86–91
Impact of Scent An ambient smell is one that pervades an
environment May or may not be consciously perceived
by customers Not related to any particular product
Scents have distinct characteristics and can be used to solicit emotional, physiological, and behavioral responses
In service settings, research has shown that scents can have significant effect on customer perceptions, attitudes, and behaviors
Effects of Scents on Perceptions of Store Environments
Evaluation Unscented Environment Mean Ratings
Scented Environment
Mean Ratings
Difference
Store Evaluation
Negative/positive 4.65 5.24 +0.59
Outdated/modern 3.76 4.72 +0.96
Store Environment Unattractive/ attractive
4.12 4.98 +0.86
Drab/colorful 3.63 4.72 +1.09Boring/Stimulating
3.75 4.40 +0.65
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Theme Parks
1. Theme parks offer differing ambience. Some are built
around cartoon characters like Mickey Mouse, or Asterix.
2. There are others with a variety of water slides, swimming
etc. Sea-shore parks have shows in which marine animals
like Seals, Sea Lions, and Dolphins perform. Each of
these parks tries to create an ambience suitable to its
audience, its theme, and its surroundings.
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Petroleum Outlets
In India, Bharat Petroleum has created a uniformly
branded, visible chain of retail outlets across the country.
The existing outlets have been given a makeover, with
highly visible signage in attractive colour schemes.
Cleanliness, modernity are as important as the fuels and
services sold by them.
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Buses
In most states, govt. buses are poorly maintained,
unwashed and look neglected.
This gives a poor impression to the person traveling in
them. On the same routes in some states, there are colorful
and well-maintained buses run by private operators.
In terms of physical evidence as well as comfort, many
long distance bus routes are dominated by the private
players
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Movie Theatres
Movie-going is now an experience, and needs to be
marketed as such, to differentiate it from the VCD or
home theatre.
One of the major attractions should be the ambience,
or the physical evidence of the “servicescape”.
The new multiplexes in are trying to attract all types
of audiences, including families, who had largely
disappeared from movie theatres.