Service Quality

Service quality refers to the various dimensions of service a customer consider when evaluating service. The evaluation of these dimensions usually determines the customer’s perception of quality as poor, acceptable or good.

Assessments of Service Quality [TERRA]

Researchers have found that customers typically consider the following five dimensions (TERRA) in their assessments of service quality:

Tangibles - The appearance of physical facilities, equipment, staff and written materials.

Empathy - Caring, individualized attention given to customers.

Reliability - The ability to perform the promised service dependably and accurately.

Responsiveness - The willingness of employees to help customers and to provide prompt service.

Assurance - The knowledge and courtesy of employees and their ability to inspire trust and confidence.

TERRA means soil – the basis from where service quality can be grown!

Click here to view a video that explains the five dimensions of service quality

How Do Customers Rate Service Quality

You should now have an understanding of how customer expectations are shaped and how their perceptions of service are formed. A combination of these two concepts will determine how they will rate the quality of your service. We can use the following equation to illustrate:

Perceived service quality = Perceptions (P) Minus Expectations (E)

P > E: The customer is highly satisfied or surprised with the quality of service and the business managed to exceed expectations.

P = E: The customer is satisfied with the service quality and the business managed to meet the expectations.

P < E: The customer is dissatisfied with the service quality and the business has disappointed the customer.

We agreed that the intention of the business should not only be to attract new customers, but also to provide them with such a level of customer service, that they will become loyal supporters and walking, talking advocates of our business. The least we should aim at is to meet customer expectations and avoid disappointing them. Then only can we aspire to exceed their expectations and build a reputation as an exceptional service provider!

Click here to view a video that explains the formula for a great customer experience.