The Value Of Service Quality Essay

Customer satisfaction leads to repurchase. The continuously repurchase of a company’s product results in a stable relationship between customers and suppliers. A large stable customers based reduces the volatility of the cash flows. The lower volatility of the cash flows also leads to a lower cost of capital. Customers’ satisfaction also leads to cross-selling. Enhance

(2004, p. 363), “the total summation of difference between perceptions and expectations from the five dimensions results to the perceived quality; expectations from customers are rewarded through the ending dimension (reliability) and surpass it through the process dimension-- empathy, assurance, tangibility and responsiveness”.

Many companies today have come to the conclusion that customer loyalty is not effortlessly achieved since customers have so many options and alternative to choose from. Customers are the decision makers of where and when to shop. The research in this chapter will focus on what factors or elements impact customer’s loyalty. According to Harvey Thompson (2004), there are numerous factors that influence customer’s loyalty. One of these factors is the price of the products rather than the perception of value. Another factor is the attribute of the product and how well it caters to the customers wants and needs. Service is another element in which the customer measures their experience and evaluates whether they

Service quality is an antecedent of perceived value, and it will cause a significant influence on perceived value (Bojanic, 1996; Oh, 1999; Sweeney et al., 1999). Ostrom & Iacobucci (1995) found that price, level of quality, friendliness of service personnel, and the degree of customization of the service are important factors to customer value perceptions. Although customer perceived value has long been recognized in marketing research as an important concept in influencing preference, satisfaction, loyalty, and other important outcomes (Cronin et al., 2000), most studies have examined customer value in the context of offline rather than online customer behavior (Overby & Lee, 2006). Although customer perceived value in the online shopping environment is of crucial importance, previous studies have neglected that variable (Chang et al., 2005).

This chapter discusses the research literature review on the roles of physical environment, price perception and service quality in determining customer loyalty. Chapter 2 will includes the headings: the SERVQUAL model, the physical environment, price perception, what is customer satisfaction and what is customer loyalty.

Many customers, independent of industry, have expectations of the service they want to receive. The rank of their expectations depends on earlier encounters and experience. Providing good service to your customers is essential to a successful business future. Companies within different industries, particularly in hospitality are renowned to become tremendously successful by offering excellent customer service, and thus creating an everlasting image which contributes to the maintaining of high demand for their goods and services. Quality gaps occur

Specifically, another potential dimension, recovery, is incorporated into the SERVPERF instrument. After establishing sufficient reliability and validity of this instrument, we proceed with the second objective – to examine the relationship among service quality, food quality, perceived value, customer satisfaction, and behavioral intentions. The organization of this paper includes another five sections. The theoretical foundation of perceived service quality and its dimensions are reviewed in the next section, followed by the research methodology including the development of the instrument. Then, the data analysis and findings of this study are presented, followed by the conclusions and managerial implications. The paper concludes with a section on the limitations of this work and potential future research. 2. Theoretical foundation The importance of service quality is substantially addressed in the fast-food management literature. Superior service leads to satisfied and loyal customers whose continued patronage is essential to the success of FFRs. Conversely, poor service quality increases customer dissatisfaction and the likelihood that customers dine at a competitor’s FFR and/or become an active champion in persuading others to go elsewhere (Gilbert et al., 2004). Hence, it is crucial for service managers to understand how customers perceive the service they provide, and what components might determine

From some evaluations it is seen that high satisfaction during the ‘post-purchase process’ can also influence purchase extent as well as a customer’s willingness to recommend that business’s products or services to others.

The efficiency in the shipping service is normally rated in terms of speed. For example, does the manufacturer or supplier’s get the order out in the same day or not? The other critical shipping factors include the packaging standards and the level of protection put in place to ensure that the product gets in to the hands of the customer safely and in good time. When it comes to quality of service. The main factor that determines a good service includes the manner and speed of response to queries. A comprehensive and easy to understand website is critical in providing good customer service; a good website should also make it easy for consumers to find and order what they want. Some e-juice websites provide an e-juice ratings list, which makes it easy for customers to find their favorite e-juices. When ranking the price of e-juice products; comparisons are normally made to check if the prices compare favorably with those of other suppliers. The other pricing factors including shipping cost and offers.

important factor of brand loyalty. An indirect positive relationship of service quality and satisfaction to brand

It proves link between qualities of service attributes and satisfaction of customer is basically asymmetric. Above all, this research shows link between satisfaction of customer, loyalty and retention. Such approach of such of customer behaviour helps provide service and generates profit in a meaningful way.

Parasuranman et al (1985) is one of the cornerstone studies of service quality, which gave the definition of service quality as the discrepancy between customers’ expectation for service and their perceptions of service performance they receive. The three authors further developed a comprehensive measurement set of service attributes called SERVQUAL. An appliance repair and maintenance firm, several retail banks, a long-distance telephone provider, a securities broker, and credit card companies. ERVQUAL is a 22-item scale which measures service quality from five perspectives; reliability, responsiveness, assurance, empathy, and tangibles (Parasuraman et al, 1988). SERVQUAL has been widely used as criteria of evaluating service quality (e.g., Reidenbach & Sandifer-Smallwood, 1990; Tan & Pawitra, 2001; Markovic & Raspor, 2010). Zeithaml et al (1990, p. xi) applauded

Additionally, Taylor and Todd, 1995, state that ease of use as an internal belief personally, should be examined depending on the experience, which should go through different measure path with perceived usefulness testing. For instant, people with zero experience may focus on ease of use firstly, contrarily; experienced users who already overcome the consideration of ease of use may pay more attention on usefulness. Moreover, user-friendly is one of the elements refers to e-adoption. Adoption of e-service is difference from e-commerce via online platform due to complexity and the objective of building long-term relationship between customers and organization (Feathermana and Pavloub, 2003).

　　　Yoshida and James’s (2010) argues that service quality directly influences satisfaction with the service experience and that product quality also has directly influences on customer satisfaction. The outcome of their study indicate that product and service quality influence customer satisfaction, and in turn, customer satisfaction influences customers shopping behaviors. And according to their study, one of the most important factor concerning service quality

The framework for this research is premised on the expectancy-disconfirmation paradigm (Oliver 1980; Parasuraman, Zeithaml and Berry 1988, 1994 and Gronroos 1994) and the expectancy-disconfirmation comparison judgment as determinants of customer satisfaction and perceived service quality. Consumers’ evaluation of service quality is a function of the magnitude and direction of the gap between the customer’s expectations of services and customer’s assessment (perception) of the service actually delivered.