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Consumer Behaviour for Services : Consumer Behaviour for Services By Dr. Kevin Lance Jones

Consumer Behaviour Service Differences : Consumer Behaviour Service Differences Intangibility problem Consumer involvement Perceived Risk Sources of Information

Consumer Evaluation Processes for Services : 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 Credence Qualities characteristics that may be impossible to evaluate even after purchase and consumption

Continuum of Evaluation forDifferent Types of Products : Continuum of Evaluation forDifferent Types of Products Clothing Jewelry Furniture Houses Automobiles Restaurant meals Vacations Haircuts Child care Television repair Legal services Root canals Auto repair Medical diagnosis Difficult to evaluate Easy to evaluate { High in search qualities High in experience qualities High in credence qualities { { Most Goods Most Services

Services - Decision Making Process : Services - Decision Making Process Need awareness Information search Evaluation of service suppliers Request service Service delivery Evaluation Future Intentions Memory Memory

Categories in Consumer Decision-Making and Evaluation of Services : Categories in Consumer Decision-Making and Evaluation of Services Information Search Evaluation of Alternatives Purchase and Consumption Post-Purchase Evaluation  Use of personal sources  Perceived risk  Evoked set  Emotion and mood  Service provision as drama  Service roles and scripts  Compatibility of customers  Attribution of dissatisfaction  Innovation diffusion  Brand loyalty

Consumer Categories in Decision-Making and Evaluation of Services : Consumer Categories in Decision-Making and Evaluation of Services

Key Issues for Decision Making : Key Issues for Decision Making Who is involved in the decision making process? How long does the process take? What is the set of competing services from which consumers make their choice? What is the relative importance attached by decision makers to different elements of the service offer? What sources of information are used in evaluating competing service offers?

Maslow’s Hierarchy of Needs : Maslow’s Hierarchy of Needs Self-actualisation Esteem Love Safety Physiological E.g -Meals Experiment with ethnic cuisine A meal at the best restaurant in town Social meal with friends and family Safe food from a reputable source Food from any uncontaminated source Internal Satisfaction The respect of others Action for and from others Survival Satisfaction of basic hunger

Information Sources : Information Sources Previous personal experience Word of Mouth recommendation (WOM) Reference groups Media communications Internet sources

Evaluation of Alternatives : Evaluation of Alternatives A process of choice reduction. ‘Rules’ based approaches used. Critical attributes, average score of all attributes, or weighted attributes.

Perceived Risk : Perceived Risk Factors affecting perceived risk: The level of tangible evidence Buyer involvement New purchase Personal risk tolerance Situational factors Legal safeguards

Discussion ExerciseDifferences Between the Service Experience in China and Other Countries : Discussion ExerciseDifferences Between the Service Experience in China and Other Countries Authenticity Caring Control Courtesy Formality Friendliness Personalization Promptness Discuss cultural differences with the following …..

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