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Waiting and Consumer Measures in
    Interactive, Multi-Stage Services
                Dennis von Bergh
                  Paul Ghijsen
                Kees Gelderman



 Presentation preparted for
   EIRASS TU3.4 session
On Service Quality in Vienna
          July 10th
Introduction
• Increasing importance of services
• Increasing value of time for customers
    (Lovelock and Gummesson, 2004)

• Negative influence between waiting time
    perception and service evaluation
•   Few studies on waiting in multi-stage services
    (Hensley & Sulek, 2007)

       • Pre-process phase with service-entry wait
       • In-process phase with in-service wait
       • Post-process phaseLeclerc, 1988)
         (Dubé-Rioux, Schmitt &
                                with service-exit wait
Research Objective
• Analyse the relative importance of customer
 perceptions with the waits before, during and
 following the service delivery in relation to
 service quality, customer satisfaction and
 customer loyalty.
Research Questions
•   What is effect of wait perception affect
    consumer measures before, during and
    following the service?
•   Which wait perception exerts the largest
    relative influence?
•   Does the effect of wait perception on
    customer metrics differ between service
    industries?
•   What is the effect of waiting time satisfaction
    on waiting time and consumer measures
Theoretical background 1/3
• Waiting time perception
    • Service entry wait is predominant: “people want to get
          started” (Maister, 1985; Davis & Maggard, 1990; Hwang & Lambert, 2005; Hensley &
          Sulek, 2007)

    • Objective, subjective, cognitive and affective aspects
          Demoulin, 2007)
                                                                                         (Bielen &


• Hierarchical Service Quality Model
  2001)
                                                               (Pollack, 2009; Brady & Cronin,


    • Service quality, customer satisfaction, customer loyalty
          (Hayes, 2008; Söderlund, 2006)

• Service classification literature
    • Interaction           (Mills & Marguiles, 1980, 1986; O’Farrell & Moffatt, 1991)

    • Processes          (Schmenner, 2004)
Theoretical Background 2/3
• Service & Marguiles (1980),literatureMoffatt (1991)
            classification
     •Mills                    O’Farrell &
          • Maintenance interactive services (MIS)
               •   Cosmetic, continuous employee/customer interaction
                   with focus on building trust/confidence to sustain
                   relationship
               •   Restaurants, banks, insurance
          • Task interactive services (TIS)
               •   Concentrated employee/customer interaction with focus
                   on the task to be performed
               •   Job selection, advertising, engineering
          • Personal interactive services (PIS)
               •   Focuses on the improvement of the client/customer's
                   direct intrinsic and intimate wellbeing
               •   Dentists, schools, professionals
Theoretical Background 3/5
• “Revised Service Process Matrix”
  (Schmenner, 2004)
Theoretical Background 4/4
• Service evaluation literature:
• •consumer measures
        Pollack (2009), Brady & Cronin (2001)

           • Service quality
                   •   Interaction quality
                   •   Physical environment quality
                   •   Outcome quality
    •   Hayes (2008), Söderlund (2006)

           • Customer satisfaction
                   •   Transaction perspective
                   •   Service perspective
                   •   Overall perspective
           • Customer loyalty
                   •   Word-of-mouth
                   •   (re)purchase intentions
Theoretical Background 3/3
• “Hierarchical Service Quality Model” and the Consumer
  Measures (Pollack, 2009; Brady & Cronin, 2001)
Adapted Conceptual Model
     Basic Conceptual Model
                                        Waiting time
                                        satisfaction



      Perceived service
                                                                      Service quality
      entry waiting time



     Perceived in-service                                               Customer
         waiting time                                                   satisfaction



      Perceived service                                                 Customer
       exit waiting time                                                 loyalty




…waiting time satisfaction is a complete mediating variable in the perceived waiting
        time and service satisfaction link … (Bielen and DeMoulin, 2007)
Methodology
• Selection service venues
    • Maintentance-interactive services: 4 restaurants
    • Task-interactive serv.: 1 job selection center 4 processes
    • Personal-interactive serv.: 1 dental clinic 4 dental proc.
• 500 questionnaires per service venue
• Simple random sampling (p=.5)
                    Results overview
• 1027 respondents included (response rate 68,5%)
    • 329 Mi (65.8%), 343 Ti (68,6%), 355 Pi (71%)
• Age: mean=33, sd=17, min=13, max=87
• 59% Male, 41% female
Results Basic model
Maintenance-interactive                Task-interactive                      Personal interactive
restaurants                            job selection                         dental




              * significant p<.05, ** significant p<.01 and *** significant p<.001
Results Adapted model
Results Adapted model
Results Adapted model
Results
Maintenance-interactive                    Task-interactive                      Personal
interactive




      •
          * significant p<.05, ** significant p<.01 and *** significant p<.001
Conclusions
• Findings nuance Maister’s (1985) proposition
   • “People want to get started” (in Maintenance IS)
   • “People want to get on with it” (in Personal IS)
   • “People want to leave asap” (in Task IS)
• Two effect-routes of waiting time perception
   • Central route with high involvement processing and
       (largest) cognitive formulation of service quality
   •   Peripheral route with low involvement processing and
       direct effect on customer satisfaction
       “Elaboration Likelihood Model” (Petty & Cacioppo, 1986)
Conclusions
• Explanation may be suggested from:
   • “StagesTheory”     (Gottschalk & Solli-Saether, 2009)

   • “Elaboration Likelihood Model”               (Petty & Cacioppo, 1986)

       • Conscious central route
            •   High involvement processing
            •   Cognitive responses
            •   Conscious formulation of service quality
            •   Direct effect of wait satisfaction on service quality
       • Unconscious peripheral route
            •   Low involvement processing
            •   Customer makes less cognitive effort and
            •   Unconsciously formulation of service quality
            •   Direct effect of wait satisfaction on customer satisfaction
Limitations, implications and FR
• Limitations
     •   Customer demographics
     •   Objective waiting time aspects
     •   Emotional states of consumers (e.g. anxiety)
     •   Consciousness of the wait (awareness)

• Theoretical implications
   • Service settings matter and mediation matters
• Managerial implications
     •   Influence relative importance of wait stages (in combination with type
         of customer interaction)

• Further research
     •   Customers’ emotional states (e.g. anxiety)
     •   Customers’ degree of consciousness of a wait situation
     •   Manage expectations via Edutainment or playing games
Thank you

Questions or comments?

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Eirass Presentation July10th Vienna

  • 1. Waiting and Consumer Measures in Interactive, Multi-Stage Services Dennis von Bergh Paul Ghijsen Kees Gelderman Presentation preparted for EIRASS TU3.4 session On Service Quality in Vienna July 10th
  • 2.
  • 3. Introduction • Increasing importance of services • Increasing value of time for customers (Lovelock and Gummesson, 2004) • Negative influence between waiting time perception and service evaluation • Few studies on waiting in multi-stage services (Hensley & Sulek, 2007) • Pre-process phase with service-entry wait • In-process phase with in-service wait • Post-process phaseLeclerc, 1988) (Dubé-Rioux, Schmitt & with service-exit wait
  • 4. Research Objective • Analyse the relative importance of customer perceptions with the waits before, during and following the service delivery in relation to service quality, customer satisfaction and customer loyalty.
  • 5. Research Questions • What is effect of wait perception affect consumer measures before, during and following the service? • Which wait perception exerts the largest relative influence? • Does the effect of wait perception on customer metrics differ between service industries? • What is the effect of waiting time satisfaction on waiting time and consumer measures
  • 6. Theoretical background 1/3 • Waiting time perception • Service entry wait is predominant: “people want to get started” (Maister, 1985; Davis & Maggard, 1990; Hwang & Lambert, 2005; Hensley & Sulek, 2007) • Objective, subjective, cognitive and affective aspects Demoulin, 2007) (Bielen & • Hierarchical Service Quality Model 2001) (Pollack, 2009; Brady & Cronin, • Service quality, customer satisfaction, customer loyalty (Hayes, 2008; Söderlund, 2006) • Service classification literature • Interaction (Mills & Marguiles, 1980, 1986; O’Farrell & Moffatt, 1991) • Processes (Schmenner, 2004)
  • 7. Theoretical Background 2/3 • Service & Marguiles (1980),literatureMoffatt (1991) classification •Mills O’Farrell & • Maintenance interactive services (MIS) • Cosmetic, continuous employee/customer interaction with focus on building trust/confidence to sustain relationship • Restaurants, banks, insurance • Task interactive services (TIS) • Concentrated employee/customer interaction with focus on the task to be performed • Job selection, advertising, engineering • Personal interactive services (PIS) • Focuses on the improvement of the client/customer's direct intrinsic and intimate wellbeing • Dentists, schools, professionals
  • 8. Theoretical Background 3/5 • “Revised Service Process Matrix” (Schmenner, 2004)
  • 9. Theoretical Background 4/4 • Service evaluation literature: • •consumer measures Pollack (2009), Brady & Cronin (2001) • Service quality • Interaction quality • Physical environment quality • Outcome quality • Hayes (2008), Söderlund (2006) • Customer satisfaction • Transaction perspective • Service perspective • Overall perspective • Customer loyalty • Word-of-mouth • (re)purchase intentions
  • 10. Theoretical Background 3/3 • “Hierarchical Service Quality Model” and the Consumer Measures (Pollack, 2009; Brady & Cronin, 2001)
  • 11. Adapted Conceptual Model Basic Conceptual Model Waiting time satisfaction Perceived service Service quality entry waiting time Perceived in-service Customer waiting time satisfaction Perceived service Customer exit waiting time loyalty …waiting time satisfaction is a complete mediating variable in the perceived waiting time and service satisfaction link … (Bielen and DeMoulin, 2007)
  • 12. Methodology • Selection service venues • Maintentance-interactive services: 4 restaurants • Task-interactive serv.: 1 job selection center 4 processes • Personal-interactive serv.: 1 dental clinic 4 dental proc. • 500 questionnaires per service venue • Simple random sampling (p=.5) Results overview • 1027 respondents included (response rate 68,5%) • 329 Mi (65.8%), 343 Ti (68,6%), 355 Pi (71%) • Age: mean=33, sd=17, min=13, max=87 • 59% Male, 41% female
  • 13. Results Basic model Maintenance-interactive Task-interactive Personal interactive restaurants job selection dental * significant p<.05, ** significant p<.01 and *** significant p<.001
  • 17. Results Maintenance-interactive Task-interactive Personal interactive • * significant p<.05, ** significant p<.01 and *** significant p<.001
  • 18. Conclusions • Findings nuance Maister’s (1985) proposition • “People want to get started” (in Maintenance IS) • “People want to get on with it” (in Personal IS) • “People want to leave asap” (in Task IS) • Two effect-routes of waiting time perception • Central route with high involvement processing and (largest) cognitive formulation of service quality • Peripheral route with low involvement processing and direct effect on customer satisfaction “Elaboration Likelihood Model” (Petty & Cacioppo, 1986)
  • 19. Conclusions • Explanation may be suggested from: • “StagesTheory” (Gottschalk & Solli-Saether, 2009) • “Elaboration Likelihood Model” (Petty & Cacioppo, 1986) • Conscious central route • High involvement processing • Cognitive responses • Conscious formulation of service quality • Direct effect of wait satisfaction on service quality • Unconscious peripheral route • Low involvement processing • Customer makes less cognitive effort and • Unconsciously formulation of service quality • Direct effect of wait satisfaction on customer satisfaction
  • 20. Limitations, implications and FR • Limitations • Customer demographics • Objective waiting time aspects • Emotional states of consumers (e.g. anxiety) • Consciousness of the wait (awareness) • Theoretical implications • Service settings matter and mediation matters • Managerial implications • Influence relative importance of wait stages (in combination with type of customer interaction) • Further research • Customers’ emotional states (e.g. anxiety) • Customers’ degree of consciousness of a wait situation • Manage expectations via Edutainment or playing games