© 2008 The McGraw-Hill Companies, Inc. All rights reserved.McGraw-Hill/Irwin

2Chapter

Consumer behaviour in services

Search, experience, and credence properties

Consumer choice Consumer experience Post-experience evaluation Understanding differences among

consumers

© 2008 The McGraw-Hill Companies, Inc. All rights reserved.McGraw-Hill/Irwin

Objectives for chapter 2:Consumer behaviour in services

Enhance understanding of how consumers choose and evaluate services, through focusing on factors that are particularly relevant for services.

Describe how consumers judge goods versus services in terms of search, experience, and credence criteria.

Develop the elements of consumer behaviour that a services marketer must understand: choice behaviour, consumer experiences, and post-experience evaluation.

© 2008 The McGraw-Hill Companies, Inc. All rights reserved.McGraw-Hill/Irwin

Objectives for chapter 2:Consumer behaviour in services

(continued)

Examine attitudes towards the use of self-service technologies

Explore how differences among consumers (cultural differences, group decision making) affect consumer behaviour and influence services marketing strategies.

© 2008 The McGraw-Hill Companies, Inc. All rights reserved.McGraw-Hill/Irwin

Consumer evaluation processes for services

Search qualities Attributes a consumer can determine prior to

purchase of a product

Experience qualities Attributes a consumer can determine after purchase

(or during consumption) of a product

© 2008 The McGraw-Hill Companies, Inc. All rights reserved.McGraw-Hill/Irwin

Consumer evaluation processes for services (continued)

Credence qualities Characteristics that may be impossible to evaluate

even after purchase and consumption

© 2008 The McGraw-Hill Companies, Inc. All rights reserved.McGraw-Hill/Irwin

Figure 2.1

Continuum of evaluation for different types of products

Clo

thin

g

Jew

elry

Fu

rnit

ure

Ho

use

s

Au

tom

ob

iles

Res

tau

ran

t v

mea

ls

Vac

atio

ns

Hai

rcu

ts

Ch

ild

car

e

Tel

evi

sio

n r

epai

r

Leg

al s

ervi

ces

Ro

ot

can

als

Au

to r

epai

r

Med

ical

dia

gn

osi

s

Difficult to evaluate

Easy to evaluate

High in searchqualities

High in experiencequalities

High in credencequalities

MostGoods

MostServices

© 2008 The McGraw-Hill Companies, Inc. All rights reserved.McGraw-Hill/Irwin

Figure 2.2

Stages in consumer decision making and evaluation of services

© 2008 The McGraw-Hill Companies, Inc. All rights reserved.McGraw-Hill/Irwin

Need recognition

Basic needs identified by

Maslow

Example Service provided

Physiological Food Restaurant

Safety, security Security Bodyguard services

Social Friendship Dating agency

Ego Self esteem Gym membership

Self actualisation

Enriching experience Bungee jumping

© 2008 The McGraw-Hill Companies, Inc. All rights reserved.McGraw-Hill/Irwin

Evaluation of alternativesSelf-service technologies (SSTS)

© 2008 The McGraw-Hill Companies, Inc. All rights reserved.McGraw-Hill/Irwin

Issues to consider in examining the consumer’s service experience

Services as processes Service provision as drama Service roles and scripts The compatibility of service customers Customer co-production Emotion and mood

© 2008 The McGraw-Hill Companies, Inc. All rights reserved.McGraw-Hill/Irwin

Issues to consider in examining post-experience evaluation

Word-of-mouth communication Attribution of dissatisfaction Positive or negative biases Brand loyalty

© 2008 The McGraw-Hill Companies, Inc. All rights reserved.McGraw-Hill/Irwin

Understanding differences among consumers

Cultural differences Values and attitudes Manners and customs Material/tangible features Aesthetics

Group decision making Households Organisations