MGT0666 Telecommunication Marketing

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MGT0666 Telecommunication Marketing
SERVQUAL A Multiple-Item Scale for Measuring
Consumer Perceptions of Service
Quality 20040257 HAN SANG-YEAL November 2th,
2004
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Purpose
SERVQUAL is a 22-item instrument for
assessing customer perceptions of service quality
in service and retailing organizations.

• To describe the development of a multiple-item
  scale for measuring service quality (SERVQUAL)
• Discuss the Scales properties and potential
  applications

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Contents

• Describe a discussion of the conceptualization
  and operationalization of the service quality
  construct
• Describe the procedures used in constructing and
  refining a multiple-item scale to measure the
  construct
• Present evidence of the scales reliability,
  factor structure, validity on the basis of
  analyzing data from four independent samples
• Present a discussion of potential applications
  of the scale

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Summary of Steps Employed in Developing the
Service-Quality Scale
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Summary of Steps Employed in Developing the
Service-Quality Scale

• SERVQUAL Service Quality

Reliability 4 items
Tangibles
Reliability
5 Dimensions Of SEVQUAL
Responsiveness
Responsiveness 4 items
Tangibles 5 items
Communications
Scale Purification
Credibility
Security
Competence
Courtesy
Empathy 5 items
Assurance 4 items
Understanding
Access
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1st Section
Delimits the domain of the service-quality
construct and describes the generation of scale
items
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Step 1 Employed in Developing the
Service-Quality Scale

• Perceived Quality Perceptions Expectation
• Perceived Quality
• - The consumers judgment about an entitys
  overall excellence or superiority
• Perception
• - Perception of performance of service that a
  firm offer resulted by the
• incidents of satisfaction
• Expectation
• - Viewed as desires or wants of consumers (what
  should be offered by SP)

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Step 2 Employed in Developing the
Service-Quality Scale

• Tangibles, Reliability, Responsiveness,
  communication, credibility, security, competence,
  courtesy, understanding/knowing the customer ,
  access
• - The result of exploratory Research of
  Parasuraman Zeithaml, and Berry
• (1985)

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Step 3 Employed in Developing the
Service-Quality Scale

• Each item was recast into two statements
• a. to measure expectations about firms in
  general within the service category
• being investigated. gt E1. They should
  have up-to-date equipment.
• b. to measure perceptions about the particular
  firm whose service was being
• assessed. gt P1. XYZ has up-to-date
  equipment.
• A seven-point scale ranging from Strongly
  Agree(7) to Strongly
• Disagree(1)

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2nd Section
Presents the data-collection and
scale-purification procedures
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Step 4 Employed in Developing the
Service-Quality Scale

• Screened and qualified respondents a two-part
  questionnaire consisting a 97-statement
  expectations part followed by a 97 statement
  perceptions part.

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Step 5 Employed in Developing the
Service-Quality Scale

• 97-item instrument was refined by analyzing
  pooled data to produce a scale that would have
  general applicability
• Coefficient alpha
• - To estimate the reliability of data under
• conditions when you have two or
• more comparable scores per person
• Factor analysis
• - To reduce a large number of variables
• to a smaller number of factors for
• modeling purposes
• Oblique rotation
• - Produce a factor-loading matrix that
• was by and large easy to interpret

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Step 6 Employed in Developing the
Service-Quality Scale

• The 34 item scale instrument ready for further
  testing with data from new samples
• - The average pairwise correlation among the
  seven factors following oblique
• rotation .27 (with relatively high factor
  loadings refer to the table in the next slide )
• - High alpha value indicated good internal
  consistency among items within each
• dimension.
• - The combined reliability for the 34-item
  scale is quite high .94

Summary of Results from First Stage of Scale
Purification
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Step 6 Employed in Developing the
Service-Quality Scale
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Step 6 Employed in Developing the
Service-Quality Scale
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Step 7 Employed in Developing the
Service-Quality Scale

• To qualify for the study, respondents had to
  have used the services of the firm in question
  within the past three months

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Step 8 Employed in Developing the
Service-Quality Scale

• Two differences occurred consistently across four
  independent samples and data sets gt further
  purification of the 34-item scale
• a. The corrected item-to-total
  correlations for several items and the alphas for
  the corresponding dimensions were lower than
  those obtained first stage
• gt A few items with relatively low
  item-to-total correlations were deleted
• b. The factor-loading matrices obtained
  form all four analyses showed much greater
  overlap between dimensions D4 and D5, and between
  dimensions D6 and D7
• gt Combined D4 and D5 Communication
  Courtesy Assurance
• gt Combined D6 and D7 Understanding
  Access Emphathy

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Step 9 Employed in Developing the
Service-Quality Scale
Summary of Results from Second Stage of Scale
Purification
Parsimonious mean (34-items gt 22-items)
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3rd Section
Provides an evaluation of the scales reliability
and factor structure
Reliability The consistency of a score from a
test
Validity (accuracy) The extent to which a
test measures what it is designed to measure

• Low R
• Low V

• High R
• Low V

• High R
• High V

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Step 10 Employed in Developing the
Service-Quality Scale

• The reliabilities are consistently high across
  all four samples
• - The total-scale reliability is close to .9
  in each of the four instances
• (Bank, Credit Card, Repair and Maintenance,
  Long-distance Telephone)
• The overall patterns of factor loadings are
  remarkably similar across the four independent
  sets of results
• Relatively low intercorrelations among the five
  factors supports the distinctiveness of SERVQULs
  five dimensions

Factor loading the correlation coefficients
between the variables and factors
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Step 10 Employed in Developing the
Service-Quality Scale

• The reliabilities and factor structures indicate
  that the SERVQUAL have sound and stable
  psychometric properties
• - SERVQUAL would be meaningful to a variety
  of service firms.
• Items under each of the five dimensions can be
  suitably reworded and/or augmented to make them
  more germane to the context in which the
  instrument is to be used

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4th Section
Deal with assessment of the scales validity
Reliability necessary conditions for a
scales construct validity - not sufficient
Validity the extent to which scores
reflect true individual characteristics, not
systematic biases or random
errors

• Low R
• Low V

• High R
• Low V

• High R
• High V

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Step 11 Employed in Developing the
Service-Quality Scale

• The scale must satisfy certain other conceptual
  and empirical criteria to be considered as having
  good construct validity
• The basic conceptual criterion pertaining to
  construct validity Content (face) validity
• - Does the scale appear to measure what it is
  supposed to?
• - Do the scale items capture key facets of the
  unobservable construct being measured?
• - The procedures used in developing SERVQUAL gt
  guarantee content validity
• The scales validity assessed by examining its
  convergent validity
• - One way ANOVA for examining the
  correspondence between SERVQUAL scores and
• Firms Overall Q ratings
• - Duncans multiple range test investigate
  ANOVA results to identify significant differences
  
• across the Overall Q categories
• 
  

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Step 11 Employed in Developing the
Service-Quality Scale

• The strength and persistence of the linkage
  between the Overall Q categories and the SERVQUAL
  scores across four independent samples offer
  strong support for SERVQUALs Convergent validity
• SERVQUAL validity was further assessed by
  examining whether the construct measured by it
  was empirically associated with measures of other
  conceptually related variables.
• - Respondents answering yes to the first
  (recommend) question and no to the second
• (Problem) question could be hypothesized to
  perceive higher service quality than other
• respondents. gt refer to the next table

Recommend the service to a friend Yes
Perceive higher service quality
Have ever reported a problem with the service
No
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Step 11 Employed in Developing the
Service-Quality Scale
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5th Section
Discusses potential applications of the scale

• SERVQUAL a concise multiple-item scale with
  good reliability and validity that retailers can
  use to better understand the service expectations
  and perceptions of consumers and, as a result,
  improve service

Reliability
Tangibles
Reliability
5 Dimensions Of SEVQUAL
Responsiveness
Responsiveness
Tangibles
Communications
Scale Purification
Credibility
Security
Competence
Courtesy
Empathy
Assurance
Understanding
Access
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5th Section
Discusses potential applications of the scale

• SERVQUAL has been designed to applicable across
  a broad spectrum of services
• - Easy to be adapted to fit the
  characteristics or specific research need of a
  particular
• organization
• Potential applications of SERVQUAL
• - To determine the relative importance of the
  five dimensions in influencing customers
  overall quality
• perceptions, regress the overall quality
  perceptions scores on the SERVQUAL scores for
  the individual
• dimensions gt refer to the table in the next
  slide
• - To categorizing a firms customers into
  several perceived-quality segments
• understand better what needs to be done to
  improve its image in the eyes of a very important
  group
• - Multi-unit retail companies can use SERVQUAL
  to assess its service performance relative to its
  
• principal competitors by comparing each
  stores average SERVQUAL score with the scores
  from
• other stores.
• - To assess its service performance relative to
  its principle competitors

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5th Section
Discusses potential applications of the scale
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Conclusion

• SERVQUAL
• - a concise multiple-item scale with good
  reliability and validity that retailers can
• use to better understand the service
  expectations and perceptions of
• consumers and, as a result, improve service

• SERVQUAL has a variety of potential applications
  for wide range service and retailing
  organizations
• - assess consumer expectations about and
  perceptions of service quality
• - Pinpoint areas requiring managerial
  attention and action to improve service
• quality
• The validity of this instrument will stimulate
  much needed empirical research focusing on
  service quality and its antecedents and
  consequences.