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SERVICESCAPE
        &
PHYSICAL EVIDENCE


            BY:
  PROF. B. R. DEBATA
    RIMS,ROURKELA

     Dated on: 23.11.2011
TODAY’S AGENDA
• Explore the impact on customer perceptions of physical
  evidence, particularly the servicescape

• Illustrate differences in types and roles of servicescapes and
  their implications for strategy

• Explore how the servicescape affects employee and customer
  behavior
SERVICESCAPE
1.   the actual physical ENVIRONMENT where the service is
     performed, delivered, and consumed.
2.   Where the firm and customer interact.
3.   Consider impact on customer response, particularly
     perceptions, evaluation, assessment.
4.   Situations, where customer experiences are important.

Example:
    patient examination room in a doctor’s office; catering
    service: white linen cloths, eating utensils, menus, kitchen
Physical Evidence
• the environment in which the service is delivered and where
  the firm and the customer interact, and any tangible
  commodities that facilitate performance or
  communication of the service.

Example:
  when you visit the web site for Taj hotels, you can look at
  pictures of its newest hotels and make reservations quickly.
Elements of Physical
     Evidence
 Servicescape               Other tangibles

 Facility exterior          Business cards
  Exterior design           Stationery
  Signage                   Billing statements
  Parking                   Reports
  Landscape                 Employee dress
  Surrounding environment   Uniforms
                            Brochures
 Facility interior          Web pages
  Interior design           Virtual servicescape
  Equipment
  Signage
  Layout
  Air quality/temperature
Physical Evidence: Customer’s
        Point of View
Factors influencing the
design of the servicescape
 1. Who is the servicescape for

     Customers?
     Employees?
     Employees may feel differently to customers about
      the décor - they experience it for longer

 – Both need to be involved in the design process
Factors influencing the
 design of the servicescape
2.    The complexity of the service
     – Lean servicescapes (simple; few elements, spaces, and
       pieces of equipment) for less complex service
         • E.g. Hair cut, Mail
     – Elaborate for the more complex services
         • E.g. Hotels, Restaurant, Insurance
Types of Servicescapes
 Servicescape         Elaborate                    Lean
 usage
 Self-service         Golf course                  ATM
 (customer only)      eBay                         Car wash
                                                   Simple Internet services
                                                   Express mail drop-off

 Interpersonal        Hotel                        Dry cleaner
 services             Restaurant                   Retail cart
 (both customer and   Health clinic                Hair salon
 employee)            Hospital
                      Bank
                      Airline
                      School
 Remote service       Telephone company            Telephone mail-order desk
 (employee only)      Insurance company            Automated voice messaging
                      Utility                        services
                      Many professional services
Roles of the Servicescape
1.       Packaging

     –      The service package offer & communicate an image to
            the customer.
     –      The physical setting of the service is wrapped &
            convey an external image of what is inside to
            customers.
     –      To evoke an image, particular sensory or emotional
            reaction
     –      Important for new customers
     –      Includes dress and general appearance of personnel
            (dress for success)

     Exp: FedEx – providing customer with strong metaphors &
         service packaging that convey the brand positioning.
2.       Facilitating

     –      Ensuring efficiency in service delivery
     –      Make the service consumption comfortable &
            convenient for customer.

     –      E.g. airport – International Traveller
     –      E.g. banking services
3.       Socialising

     –      Convey expected roles and behaviours of both the
            employee and the customer
     –      Ease the customer/ employee relationship
     –      Provide balance between
     –      Ex: A new employee in an organization / Private bank
            Vs. Public bank
4.       Differentiating

     –      A segmentation device – the design of the physical
            facility can differentiate a firm from its competitor.
     –      Ex: Shopping mall – signage, color, music.
     –      Ex: Washington Mutual Bank
Physical environment
• Ambient conditions (Explicit / implicit signals to
  communicate firm’s image)
      • Temperature
      • Lighting
      • Noise
      • Music
      • Smell
      • Colour
   – E.g. music affects perceptions of time
   – Scent (strong impact on mood, affect & evaluate
     responses)
• Spatial layout and functionality:
      • Layout of machinery and equipment
      • Furnishings
      • Opportunities for privacy

• Sign & symbols
       • Signage
       • Style of décor
       • Non-verbal communication
Internal responses
Cognitive (thinking / feeling)
        • Beliefs, categorisation, symbolic meaning, and brand
         knowledge (E.g. parking lot – less – no good meal)

   – Affective (emotional – behavioural responses)
      • Mood and attitude (arousing, sleeping, unpleasant)

   – Physiological (affects the sensory organs)
      • Pain, comfort (air quality, temperature)
Individual behaviours
• Approach behaviour:
   – Affiliation
   – Exploration
   – Stay longer
   – Commitment


• Avoidance behaviour:
   – The opposite of these
Social / Individual
           behaviours
• Between customer and employee and

• Between customer and customer

Individual Behavior:

•   Attraction
•   Spend money
•   Return
•   Stay / Explore
THANK YOU !

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Servicescape

  • 1. SERVICESCAPE & PHYSICAL EVIDENCE BY: PROF. B. R. DEBATA RIMS,ROURKELA Dated on: 23.11.2011
  • 2. TODAY’S AGENDA • Explore the impact on customer perceptions of physical evidence, particularly the servicescape • Illustrate differences in types and roles of servicescapes and their implications for strategy • Explore how the servicescape affects employee and customer behavior
  • 4. 1. the actual physical ENVIRONMENT where the service is performed, delivered, and consumed. 2. Where the firm and customer interact. 3. Consider impact on customer response, particularly perceptions, evaluation, assessment. 4. Situations, where customer experiences are important. Example: patient examination room in a doctor’s office; catering service: white linen cloths, eating utensils, menus, kitchen
  • 5. Physical Evidence • the environment in which the service is delivered and where the firm and the customer interact, and any tangible commodities that facilitate performance or communication of the service. Example: when you visit the web site for Taj hotels, you can look at pictures of its newest hotels and make reservations quickly.
  • 6. Elements of Physical Evidence Servicescape Other tangibles Facility exterior Business cards Exterior design Stationery Signage Billing statements Parking Reports Landscape Employee dress Surrounding environment Uniforms Brochures Facility interior Web pages Interior design Virtual servicescape Equipment Signage Layout Air quality/temperature
  • 8. Factors influencing the design of the servicescape 1. Who is the servicescape for  Customers?  Employees?  Employees may feel differently to customers about the décor - they experience it for longer – Both need to be involved in the design process
  • 9. Factors influencing the design of the servicescape 2. The complexity of the service – Lean servicescapes (simple; few elements, spaces, and pieces of equipment) for less complex service • E.g. Hair cut, Mail – Elaborate for the more complex services • E.g. Hotels, Restaurant, Insurance
  • 10. Types of Servicescapes Servicescape Elaborate Lean usage Self-service Golf course ATM (customer only) eBay Car wash Simple Internet services Express mail drop-off Interpersonal Hotel Dry cleaner services Restaurant Retail cart (both customer and Health clinic Hair salon employee) Hospital Bank Airline School Remote service Telephone company Telephone mail-order desk (employee only) Insurance company Automated voice messaging Utility services Many professional services
  • 11. Roles of the Servicescape 1. Packaging – The service package offer & communicate an image to the customer. – The physical setting of the service is wrapped & convey an external image of what is inside to customers. – To evoke an image, particular sensory or emotional reaction – Important for new customers – Includes dress and general appearance of personnel (dress for success) Exp: FedEx – providing customer with strong metaphors & service packaging that convey the brand positioning.
  • 12. 2. Facilitating – Ensuring efficiency in service delivery – Make the service consumption comfortable & convenient for customer. – E.g. airport – International Traveller – E.g. banking services
  • 13. 3. Socialising – Convey expected roles and behaviours of both the employee and the customer – Ease the customer/ employee relationship – Provide balance between – Ex: A new employee in an organization / Private bank Vs. Public bank
  • 14. 4. Differentiating – A segmentation device – the design of the physical facility can differentiate a firm from its competitor. – Ex: Shopping mall – signage, color, music. – Ex: Washington Mutual Bank
  • 15. Physical environment • Ambient conditions (Explicit / implicit signals to communicate firm’s image) • Temperature • Lighting • Noise • Music • Smell • Colour – E.g. music affects perceptions of time – Scent (strong impact on mood, affect & evaluate responses)
  • 16. • Spatial layout and functionality: • Layout of machinery and equipment • Furnishings • Opportunities for privacy • Sign & symbols • Signage • Style of décor • Non-verbal communication
  • 17. Internal responses Cognitive (thinking / feeling) • Beliefs, categorisation, symbolic meaning, and brand knowledge (E.g. parking lot – less – no good meal) – Affective (emotional – behavioural responses) • Mood and attitude (arousing, sleeping, unpleasant) – Physiological (affects the sensory organs) • Pain, comfort (air quality, temperature)
  • 18. Individual behaviours • Approach behaviour: – Affiliation – Exploration – Stay longer – Commitment • Avoidance behaviour: – The opposite of these
  • 19. Social / Individual behaviours • Between customer and employee and • Between customer and customer Individual Behavior: • Attraction • Spend money • Return • Stay / Explore