Consumer Evaluations of New TechnologyBased SelfService Options

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Consumer Evaluations of New Technology-Based
Self-Service Options
Article 26

• By Pratibha A. Dabholkar
• Presented by Sarah Hettervik

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Objectives

• Focus on customer participation from the view
  of the customer in regards to new
  technology-based self-service options instead of
  managements viewpoint.
• Focus on the customers expectations evaluation
  by looking at two models that can be applied to
  customers expectations
• Attribute-based model
• Overall affect model

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Two Alternative Models

• The Attribute Based Model Based on a cognitive
  approach to decision making where consumers would
  evaluate attributes associated with the
  technology-based self-service option to form
  expectations of service quality.
• The Overall Affect Model The overall affect
  model focuses on any preconceived notions a
  customer may have to determine the expectation of
  the service.

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Previous Research Cont.

• (Landgeard et al.,1981) Found that time,
  effort, and control were very important to those
  who preferred the self-service option. He also
  found that people who like working with machines
  were prone to be accepting of the self-service
  option. He believed that interaction with another
  person to be influential even though he failed to
  find the need for it.
• (Davis et al., 1992) Measured enjoyment using
  three seven point semantic differentials items
  based on the words enjoyable, Fun, and
  pleasant.
• (Ledingham, 1984) He found that time was
  important to people using online banking and
  shopping. He felt the loss of social interaction
  in self-services could not compensate for the
  time that would be saved without the interaction.

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Previous Research Cont.

• (Gronroos,1984) Suggested measurement of
  service quality has to be defined from the
  customers POV and must be relevant to the
  situation where its measured.
• (Eroglu,1987) He did extensive research on the
  realism and testing of scenarios.
• (Parasuraman et al., 1988) Identified that
  reliability is an important determinant to
  service quality.
• (Jacob and Olson,1985) - Suggested that
  subjective quality (customer evaluation) is more
  related to sales performance, which deserves more
  attention than objective quality (management).

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Methodology

• A questionnaire and scenario approach were taken
  when conducting the study.
• The scenarios and questionnaires were about
  customers using a touch screen to order a meal
  in a fast food restaurant (technology-based
  self-service), or ordering verbally.
• A sample of 505 College students were selected.
  This is due to the fact that most students are
  familiar with touch screens (ATMs) and are also
  critical consumers to the fast food business.

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Methodology Cont.

• Several versions of the scenario were pre-tested
  for realism before deciding upon the most
  simplest version.
• The topics on the questionnaire asked about
  expected service quality, intentions to use touch
  screen, manipulation and realism checks and went
  through The Attribute Based Model and The Overall
  Affect Model
• Attribute Based Model
• Expected speed of delivery
• Expected ease of use
• Expected reliability
• Expected enjoyment
• Expected control
• Overall Affect Model
• Attitude Toward Using Technological Products
• Need for Interaction with Service Employee

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Scenario

• Appendix A. Stimulus for questionnaire
• A. 1. Situation
• You are in a fast food restaurant for lunch.
  Approaching the counter, you find that you have
  two ordering options you may order verbally as
  usual or use the newly installed touch screen
  machine. (The touch screen is located on the
  counter and has directions for use and the
  complete menu on the screen itself. Ordering is
  done by touching the appropriate boxes on the
  screen and items can be re-entered if you make a
  mistake or change your mind.) Both options have
  the same menu at the same prices and allow you to
  personalize your order (e.g., 'hold the mustard,'
  etc.). In each case you pay the cashier after
  placing the order and the cashier hands you the
  food you ordered when it is ready. You estimate
  that the waiting time for using the touch screen
  to order will definitely be longer (shorter) than
  the waiting time for placing a verbal order.
• Note The last sentence in the scenario is used
  to manipulate the treatment, waiting time, and is
  omitted for the control group.

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Results

• 68.9 percent of students said they would prefer
  the touch screen to order fast food.
• The study showed that control and enjoyment were
  significant determinants of service quality.
• Control enhanced consumer evaluations and impacts
  the intentions to use the option.
• Enjoyment enhanced customer evaluations of this
  option and would directly increase intention to
  use the option when there is a shorter waiting
  time.
• Ease of use was also a key determinant in service
  quality, but only for high waiting time and
  control groups.
• A shorter waiting time would not mean ease of use
  was critical in evaluating service quality.

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Results Cont.

• Speed of delivery and reliability had no impact
  with evaluations or service quality under any
  conditions.
• The Overall affect Model results reflected from
  past research that attitudes towards technology
  had a positive effect on evaluation of
  technology-based self-service options. The need
  for interaction with employees was also an
  important determinant of service quality.

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A Test of the Attribute-Based Model
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A Test of the Overall Affect Model
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Conclusion

• This study shows how much information can be
  attained by focusing on the consumers perspective
  instead of only managements perspective. This can
  lead to decisions made by service firms on what
  activities potential customers are willing to
  participate in.
• Consumers seem to favor The Attributed-Based
  Model when creating evaluations of service
  quality for technology-based self-service
  options. This model helped researchers narrow
  down specific attributes and situations to
  determine customer expectations.
• This study showed that more than two-thirds of
  the responses said they would prefer touch screen
  ordering in fast food restaurants.

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Future Research and Limitations

• Since the technology tested in this study is new
  and unlikely available, it was necessary to carry
  out the study using scenario and questionnaire
  methods. However future research could examine
  the link with expected service quality and
  selection of technology-based self-service in an
  actual service encounter.
• By performing a field study, limitations of
  shortened questionnaires, anticipating no
  respondent bias, and accepting that some
  circumstances are beyond the researchers control
  (like long waiting lines) should be expected.

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Management Implications

• Since the results of the study were positive in
  regards to the possibilities for service firms,
  this should encourage them to explore the
  potential of technological-base self-service
  options.
• College students eat frequently at fast food
  restaurants.
• These results may also apply to other groups
  other than college students.
• Investment in this type of technology could be
  quickly recovered.
• Service Firms should design and promote their own
  attributes of the service delivery that can
  result in better evaluations of service quality.