For goods, important aspects might be reliability, durability, performance characteristics, aesthetics, etc. These dimensions will differ according to the product type: the most important factor being whether it meets the end requirements of the customer Bergman and Klefsjö , p.

The enormous growth of the service sector in Western economies since the Second World War has resulted in a growing literature on service quality. There are two popular models of service quality in use.

Grönroos's service quality model The model created by Grönroos b attempts to understand how the quality of a given service is perceived by customers. It divides the customer's perception of any particular service into two dimensions: Technical quality - What the consumer receives, the technical outcome of the process.

Functional quality - How the consumer receives the technical outcome, what Grönroos calls the "expressive performance of a service" Grönroos b, p. Grönroos b, p. He also points out that the functional quality dimension can be perceived in a very subjective manner Fig.

Grönroos's Service Quality Model Source: Grönroos b, p. The 'Gap' model The 'Gap' model Parasuraman et al. firms and with consumers. A series of five 'gaps' regarding service quality were then identified: "A set of key discrepancies or gaps exists regarding executive perceptions of service quality and the tasks associated with service delivery to consumers.

These gaps can be major hurdles in attempting to deliver a service which consumers would perceive as being of high quality" Parasuraman et al.

Five gaps were identified: Between customers' expectation and management's perceptions of those expectations, i. not knowing what customers expect Between management's perceptions of customers' expectations and service quality specifications, i.

the wrong service-quality standards. Between service quality specifications and service delivery, i. the service performance gap.

Between service delivery and external communications to customers about service delivery, i. when promises do not match delivery. Between customers' expectation and perceived service the total of the other four gaps. It is this last 'gap' which has the most significance.

The 'Gap' model keeps a clear focus on the perceptions of the customer, and these are seen as paramount As part of this research, criteria for evaluating service quality were gathered. Ten key categories were identified which they called "Service Quality Determinants", and noted that despite the different types of service analysed, consumers used fairly similar criteria.

The ten Service Quality Determinants listed by Zeithaml et al. Reliability - Ability to perform the promised service dependably and accurately. Responsiveness - Willingness to help customers and provide prompt service. Competence - Possession of the required skills and knowledge to perform the service.

Courtesy - Politeness, respect, consideration, and friendliness of contact personnel. Credibility - Trustworthiness, believability, honesty of the service provider. Security - Freedom from danger, risk or doubt.

Access - Approachability and ease of contact. Communication - Keeping customers informed in language they can understand and listening to them. Understanding the customer - Making the effort to know customers and their needs.

It is possible that these criteria could provide an initial framework for the development of quality criteria in other contexts The ten determinants of service quality interact in the minds of customers with other factors, namely past experience, word of mouth and external communications to create a view of what service is expected.

The diagram Fig. Personal word of mouth communications are still important and still exist in a network environment.

This factor in particular brings another level of subjectivity into the model, and leaves service quality definitions vulnerable to aspects of human behaviour, for example: the desire to emulate other people's choices associated with and exploited by the fashion industry.

This could create potential inefficiencies Anand et al. The work on determinants led to the development of a scale for measuring customer perceptions of service quality called SERVQUAL Parasuraman et al.

This scale has been subject to criticism and refinement and there is a continuing debate about the measurement of service quality and the determinants which should be used Mathews Source: Parasuraman, et al.

Schlesinger and Heskett , for example, argue that organisations should abandon the industrial approach to services - the mass-production techniques used in supermarkets, fast-food restaurants and airports - and adopt a "new model" of service based around customers' requirements.

Additionally, the service quality debate is connected with the debates on "excellence" initiated by the management guru Tom Peters Peters and Waterman and other concepts like market orientation Caruana and Pitt ; Caruana et al. The process is called Total Quality Management TQM. The essence of a TQM strategy is described by Bergman and Klefsjö , p.

Focus on customers Base decisions on facts Focus on processes Improve continuously Let everybody be committed The important insight is that quality becomes a continuous process. This is especially important for service industries, where customer perceptions of quality are constantly changing.

Quality becomes a process of continuous feedback and improvement. This process is known as a "quality system". Bullivant , p. Rowley , however, notes that while there is general agreement about the theoretical aspect of TQM, the practical aspects of implementation are more problematic.

In the UK the British Standards Institution BSI first published BS in for quality systems and the standard was further developed by the International Organisation for Standardisation ISO into the ISO series.

A useful definition of quality is found in ISO "quality is the totality of features and characteristics of a product or service that bears on its ability to satisfy stated or implied needs" ISO This has since been refined to "the totality of characteristics of an entity that bear on its ability to satisfy stated and implied needs" ISO ; EN ISO ; BS EN ISO The ISO approach has been applied in many different organisations and obtaining certification can be essential in some industries Rothery ; Harvard Although services can be included in the certification process ISO ; EN ; BS Part 8: , ISO is seen primarily as a product-orientated rather than process-orientated model.

Benchmarking can be carried out with relation to different types of organisation Bendell et al. A salesperson or an ad may shape their answers. After a need is recognized, the prospective consumer may seek information to help identify and evaluate alternative products, services, and outlets that will meet that need.

Such information can come from family, friends, personal observation, or other sources, such as Consumer Reports, salespeople, or mass media. The promotional component of the marketers offering is aimed at providing information to assist the consumer in their problem solving process. In some cases, the consumer already has the needed information based on past purchasing and consumption experience.

Bad experiences and lack of satisfaction can destroy repeat purchases. The consumer with a need for tires may look for information in the local newspaper or ask friends for recommendation. If they have bought tires before and was satisfied, they may go to the same dealer and buy the same brand.

Information search can also identify new needs. As a tire shopper looks for information, they may decide that the tires are not the real problem, that the need is for a new car.

At this point, the perceived need may change triggering a new informational search. Information search involves mental as well as the physical activities that consumers must perform in order to make decisions and accomplish desired goals in the marketplace.

It takes time, energy, money, and can often involve foregoing more desirable activities. The benefits of information search, however, can outweigh the costs. For example, engaging in a thorough information search may save money, improve quality of selection, or reduce risks.

The Internet is a valuable information source. After information is secured and processed, alternative products, services, and outlets are identified as viable options.

The consumer evaluates these alternatives , and, if financially and psychologically able, makes a choice. The criteria used in evaluation varies from consumer to consumer just as the needs and information sources vary. One consumer may consider price most important while another puts more weight importance upon quality or convenience.

Heuristics are helpful sets of rules that simplify the decision-making process by making it quick and easy for consumers. That is, there are individuals who find the selection process to be difficult and disturbing.

For these people there is a tendency to keep the number of alternatives to a minimum, even if they have not gone through an extensive information search to find that their alternatives appear to be the very best. On the other hand, there are individuals who feel it necessary to collect a long list of alternatives.

This tendency can appreciably slow down the decision-making function. The evaluation of alternatives often involves consumers drawing on their evoke, inept, and insert sets to help them in the decision making process.

The brands and products that consumers compare—their evoked set — represent the alternatives being considered by consumers during the problem-solving process.

When a consumer commits significant time to the comparative process and reviews price, warranties, terms and condition of sale and other features it is said that they are involved in extended problem solving.

Unlike routine problem solving, extended or extensive problem solving comprises external research and the evaluation of alternatives.

Whereas, routine problem solving is low-involvement, inexpensive, and has limited risk if purchased, extended problem solving justifies the additional effort with a high-priced or scarce product, service, or benefit e.

Likewise, consumers use extensive problem solving for infrequently purchased, expensive, high-risk, or new goods or services. For a consumer who is shopping around for an electric vehicle, for example, they would not even remotely consider gas-guzzling vehicles like large SUVs.

Marketers have an opportunity here to position their brands appropriately so consumers move these items from their insert to evoke set when evaluation alternatives.

The selection of an alternative, in many cases, will require additional evaluation. For example, a consumer may select a favorite brand and go to a convenient outlet to make a purchase. Upon arrival at the dealer, the consumer finds that the desired brand is out-of-stock. At this point, additional evaluation is needed to decide whether to wait until the product comes in, accept a substitute, or go to another outlet.

The selection and evaluation phases of consumer problem solving are closely related and often run sequentially, with outlet selection influencing product evaluation, or product selection influencing outlet evaluation. Consumer hyperchoice is a term used to describe purchasing situations that involve an excess of choice thus making selection for difficult for consumers.

Sheena Iyengar studies consumer choice and collects data that supports the concept of consumer hyperchoice. In one of her studies, she put out jars of jam in a grocery store for shoppers to sample, with the intention to influence purchases.

Iyengar discovered that when a fewer number of jam samples were provided to shoppers, more purchases were made. But when a large number of jam samples were set out, fewer purchases were made Green, After much searching and evaluating, or perhaps very little, consumers at some point have to decide whether they are going to buy.

Anything marketers can do to simplify purchasing will be attractive to buyers. This may include minimal clicks to online checkout; short wait times in line; and simplified payment options. When it comes to advertising marketers could also suggest the best size for a particular use, or the right wine to drink with a particular food.

Sometimes several decision situations can be combined and marketed as one package. For example, travel agents often package travel tours with flight and hotel reservations. For instance, how much effort is the consumer willing to spend in shopping for the product?

What factors influence when the consumer will actually purchase? Are there any conditions that would prohibit or delay purchase? Providing basic product, price, and location information through labels, advertising, personal selling, and public relations is an obvious starting point.

Product sampling, coupons, and rebates may also provide an extra incentive to buy. Actually determining how a consumer goes through the decision-making process is a difficult research task. All the behaviour determinants and the steps of the buying process up to this point are operative before or during the time a purchase is made.

Keeping the customer happy is what marketing is all about. Nevertheless, consumers typically experience some post-purchase anxiety after all but the most routine and inexpensive purchases.

This anxiety reflects a phenomenon called cognitive dissonance. According to this theory, people strive for consistency among their cognitions knowledge, attitudes, beliefs, values.

When there are inconsistencies, dissonance exists, which people will try to eliminate. In some cases, the consumer makes the decision to buy a particular brand already aware of dissonant elements. In other instances, dissonance is aroused by disturbing information that is received after the purchase.

The marketer may take specific steps to reduce post-purchase dissonance. Advertising that stresses the many positive attributes or confirms the popularity of the product can be helpful. Providing personal reinforcement has proven effective with big-ticket items such as automobiles and major appliances.

Salespeople in these areas may send cards or may even make personal calls in order to reassure customers about their purchase. Assael, H. Consumer Behavior and Marketing Action 3rd ed. Boston: Kent Publishing. Green, P.

An Expert on Choice Chooses.