AURANGABAD
UNIVERSITY OF HUDDERSFIELD
U.K.
JUNE 2008
“SERVICESCAPE” – Emotions, Behavioural Intentions & Repatronage Intentions
LILANI A. (H-1240)
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“SERVICESCAPE” – Emotions, Behavioural Intentions & Repatronage Intentions
DECLARATION
June, 2008
Anand Lilani
(H-1240)
LILANI A. (H-1240)
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“SERVICESCAPE” – Emotions, Behavioural Intentions & Repatronage Intentions
ACKNOWLEDGEMENTS
I would like to thank all the pe ople who have been actively involved
in carrying out this dissertation and those who have given me this
opportunity to do this dissertation on „Servicescape‟.
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TABLE OF CONTENTS
DECLARATION .......................................................................... II
ACKNOWLEDGEMENTS ............................................................ III
TABLE OF CONTENTS .............................................................. IV
LIST OF FIGURES .................................................................... VII
LIST OF GRAPHS ....................................................................VIII
LIST OF TABLES ....................................................................... IX
SYNOPSIS ................................................................................... X
CHAPTER 1: ISSUE IDENTIFICATION ......................................... 1
1.1 INTRODUCTION ................................................................... 1
1.2 FRAMING OF THE RESEARCH ISSUE .................................... 2
1.3 STATEMENT OF AIM ............................................................ 4
1.4 LIST OF OBJECTIVES ........................................................... 4
1.5 SCOPE ................................................................................. 5
1.6 LIMITATIONS ...................................................................... 5
1.7 STRUCTURE OF THE DISSERTATION .................................... 6
1.8 DISSERTATION STRUCTURE MODEL .................................... 6
1.9 CONCLUSION ...................................................................... 7
CHAPTER 2: LITERATURE REVIEW ............................................ 8
2.1 INTRODUCTION ................................................................... 8
2.2 SERVICESCAPE...................................................................10
2.3 RELEVANCE OF SERVICESCAPE IN UPSCALE
RESTAURANTS ........................................................................12
2.4 THE IMPORTANCE OF THE PHYSICAL ENVIRONMENT IN
UPSCALE RESTAURANTS .........................................................17
2.5 SERVICESCAPE IN DIFFERENT SERVICE SETTINGS .............20
2.6 ELEMENTS OF A SERVICESCAPE .........................................22
2.6.1 AMBIENCE ....................................................................25
2.6.1.1 TEMPERATURE ........................................................ 25
2.6.1.2 NOISE ......................................................................26
2.6.1.3 MUSIC .....................................................................26
2.6.1.4 AROMA ....................................................................28
2.6.1.5 LIGHTING ................................................................29
2.6.2 FACILITY AESTHETICS .................................................30
2.6.2.1 COLOUR ..................................................................31
2.6.2.2 FURNISHINGS ..........................................................31
2.6.2.3 LAYOUT ..................................................................32
2.6.2.5 SOCIAL FACTORS ....................................................33
2.6.2.5.1 EMPLOYEES .......................................................33
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LILANI A. (H-1240)
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LIST OF FIGURES
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LIST OF GRAPHS
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LIST OF TABLES
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SYNOPSIS
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1.1 INTRODUCTION
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Enhancing
Retaining
Satisfying
Getting
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1.5 SCOPE
1.6 LIMITATIONS
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1.9 CONCLUSION
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2.1 INTRODUCTION
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2.2 SERVICESCAPE
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This definition covers all aspects of the service with which the
customer may directly interact including personnel, physical
facilities, and other tangibl e elements during a given time. In service
encounters of relatively short duration; customers typically spend
only a short time inside the restaurant (Bitner, 1990). In such
situations, customers perceive service quality based mainly on
intangible aspects i.e. reliability, assurance, responsiveness, empathy
and less on the tangible aspects i.e. servicescape or physical
surroundings (Wakefield & Blodgett, 1996).
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This definition encompasses all aspects of the service with which the
consumer may interact including personnel, physical facilities, and
other tangible elements during a given time. In service encounters of
relatively short duration, customers typically spend only a short time
inside the restaurant (Bitner, 1990). In these situations, customers
perceive service quality based mainly on intangible aspects which
can be reliability, assurance, responsiveness, empathy and less on the
tangible aspects which is physical surrounding s (Wakefield &
Blodgett, 1996).
For example, customers fast food restaurants are likely to put more
emphasis on how long it takes to have the meal served whi ch would
include reliability and responsiveness and how courteous the
personnel are than on the aesthetics of the restaurant.
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For instance, since customers often wait long for their food after
being seated in an upscale restaurant, it is important that they do not
feel bored. The physical environment might be used to enhance
stimulation and prevent boredom.
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There are many authors who have discussed the various aspects of
servicescape. They have all taken into consideration different
dimensions, which they have identified according to the type of
service facility. It relates to not only the hospitality industry but also
in retailing, malls, banks, airlines, bathrooms, etc.
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Ambient Conditions
Spatial Layout and Functionality and Signs
Symbols and artefacts
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The logic behind selecting such a service setting was that since
customers spend an extended time period, the perceived quality of the
servicescape is higher resulting in satisfaction with the service.
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2.6.1 AMBIENCE
2.6.1.1 TEMPERATURE
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2.6.1.2 NOISE
2.6.1.3 MUSIC
Kellaris and Mantel (1996) have said that music can lengthen the
actual shopping time than was perceived by the customer origina lly
resulting in more spending.
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2.6.1.4 AROMA
Scents or aromas alone will not have a significant impact upon the
customer but will be evaluated with all other cues to form a holistic
picture of the servicescape by the customer. This will lead to a
greater impact of the aroma on the customer‟s behaviour.
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2.6.1.5 LIGHTING
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2.6.2.1 COLOUR
People see and interact within both natural and built environments.
About 80 percent of the information that people absorb through the
senses is visual (Khouw, 2004). However, co lour does more than just
give people objective information. It actually influences how people
feel. The presence of colour becomes even more important in interior
environments in generating positive feelings.
2.6.2.2 FURNISHINGS
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2.6.2.3 LAYOUT
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Social elements are the people (i.e. employees and their customers)
in the service setting (Baker, 1987). The social variables include
employee appearance, number of employees, gender of employees and
dress or physical appearance of other customers.
2.6.2.5.1 EMPLOYEES
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2.6.2.5.2 CUSTOMERS
Customers are something that are the most important in the restaurant
business in today‟s world. In an open service encounter site where
customers could observe service delivery to other customers, the way
services were delivered influenced not only the opinions of the
customers who received the service, but also the opinions of other
customers who observed service delivery.
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The effects of the parts of the physical environment that are more
aesthetic in nature i.e. decor, colours, music, lighting, etc. have been
widely documented in the litera ture by the researcher. Research in
environmental psychology has shown that properly designed physical
environments may create feelings of excitement, pleasure or
relaxation (Mehrabian-Russell, 1974; Russell & Pratt, 1980).
Wakefield and Blodgett (1999) no ted that the physical environment
might directly influence consumers‟ affective responses while service
quality perceptions related to reliability, assurance, responsiveness
and empathy might generate emotional evaluations.
Pleasure
Arousal
Dominance
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2.7 CONCLUSION
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3.1 INTRODUCTION
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In this study, the researcher has used the seven steps Hypothetico
Deductive Method for this research. This study has been undertaken
to study the area of Servicescape. Since there is prolonged
controversy in the area of Servicescape in restaurants, this area has
been selected for study. This study embarks on the discussion to
identify the importance of servicescape to u phold and preserve
customers and also customer intentions of coming back to the
restaurant. With application of the funnel approach, the seven step
hypothetico method narrows down extensive research area,
facilitating the research in an organised manner. T he research has
been restricted to the hotels in Mumbai only.
3.4.1 OBSERVATION
The issue arose after intense reading of relevant books, journals and
online articles on Servicescape by Mary Jo Bitner, Service Marketing
by Kotler, etc.
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3.4.3.1 VARIABLES
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Another study by Ryu (2005) also has also mentioned that the finding
by the author indicate that facility aesthetics, ambience, and social
factor can significantly affect customers‟ pleasure and arousal, and
the pleasure and arousal can significantly influence their intended
behaviour, such as revisit, positive word -of-mouth, length of stay and
expenditure at the restaurant.
According to this study, the researcher then had to link the two
variables. After reading relevant notes, journals, articles and books
on the same topic, the researcher concluded upon these three
hypotheses.
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The researcher has chosen restaurants that offer a full menu, full
table service, food made from the scratch, personalised s ervice and
acceptable ambience. Using a convenience sampling approach, 100
responses were collected at five upscale restaurants or five star
hotels in Mumbai.
Customers will be given surveys at the end of their main course and
will be asked to participate in the study.
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3.4.5.1.1 DINESCAPE
Annoyed-Pleased
Bored-Entertained
Disappointed-Delighted
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Depressed-Cheerful
Calm-Excited
Indifferent-Surprised
Sleepy-Awake
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The researcher intends to test the hypothesis into the Indian Hotel
industry context and hence has selected the metropolitan city of
Mumbai as his target to te st the hypothesis. The researcher has
selected the following restaurants of Five Star hotels in Mumbai:
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Reliability Statistics
Cronbach's
N of Items
Alpha
.876 35
Table 3.1 Cronbach's Alpha
3.4.6 SAMPLING
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QUESTIONNAIRE NO.
Number of Respondents 116
Void Questionnaires 16
TOTAL APPLICABLE
100
QUESTIONNAIRES
Chapter four (Data Analysis) will further depict the data analysed.
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3.4.8 DEDUCTIONS
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Dear Participant,
Your help is essential for the success of this study. I would request
you to kindly contribute 5-7 minutes of your valuable time by filling
this questionnaire. Your participation is strictly voluntary. All
responses will remain confidential. Kindly attach your visiting /
business card, if any.
Your Information
Name:
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3. Behavioural Intentions:
In the following statements, I am interested in your feelings about
your behavioural intentions in relation to this restaurant. For each
statement, please use the scale that best reflects your opinion. (1
denotes extremely disagree, 4 denotes neutral, 7 den otes extremely
agree)
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4.1 INTRODUCTION
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1. TAJ President
2. TAJ Mahal Palace & Tower
3. TAJ Lands End
4. J.W. Marriott
The reason why these hotels were chosen was the fact that they are
the best and the premium – most luxury hotels in Mumbai offe ring
the most excellent Food & Beverage outlets in aspects of its design,
decor, ambience, service, technology, music, quality of food,
collection of wines, etc.
The researcher has used various statistical tools like the mean,
median, mode and standard de viation of the data in order to analyse
the question pertaining to the scale. The information has been
represented by means of graphs and pie charts, after which inferences
have been made.
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The researcher has based the questions on the servicescape elem ents
and seen how important they are to a customer. The statements used
portray the effect it would have on a customer while he is dining at a
restaurant. This would help in determining the impact on their
overall experience and eventually their repurchase intentions or if
they would repatronize the same restaurant in time to come.
The researcher has captured the age and gender dimensions of the
sample through the questionnaire. It has been observed that the
frequency of male respondents is larger than that of female
respondents. The researcher has depicted this in a tabular and
graphical form below.
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The researcher has applied the most commonly used method which is
the Karl Pearson‟s Correlation method which is commonly known as
Pearson‟s coefficient of correlation.
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Reliability Statistics
Cronbach's
N of Items
Alpha
.876 35
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This scale has been incorporated from Ryu K‟s study which was to
analyse the impact of servicescape of quality perception customers on
their emotions and behavioural intentions but in the American
context. The researcher has modified the measurement items relevant
to facility aesthetics, layout, ambience, service product, and social
factors that are needed. This resulted in 23 items related to the
physical environment at the upsc ale restaurants.
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1. Unhappy – Happy
2. Annoyed – Pleased
3. Bored – Entertained
4. Disappointed – Delighted
1. Depressed – Cheerful
2. Calm – Excited
3. Indifferent – Surprised
4. Sleepy – Awake\
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Pleasure
Arousal
Dominance
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DEMOGRAPHICS
Gender Frequency Percentage (%)
Male 57 57
Female 43 43
Total: 100
Income
<25,000 30 30
25,000-50,000 31 31
>50,000 39 39
Descriptive Statistics
Carpeting / Flooring is of
high quality and makes me 100 2.00 7.00 4.8600 1.35602
feel comfortable
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Lighting creates a
100 2.00 7.00 4.8600 1.35602
comfortable atmosphere
Background music is
100 1.00 7.00 4.6100 1.31729
pleasing and relaxes me
Food presentation is
100 1.00 7.00 4.6100 1.31729
aesthetically attractive
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Valid N (listwise) 99
The researcher, after examining the table, has analysed that the
means for the independent variable i.e. servicescape, has a range
between 4.5 to 5.0. This denotes a positive effect of servicescape on
perceptions of customers. These means show a very strong range and
these are the factors that drive emotions into customers.
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As far as the dependent variables are concerned, the means noted for
emotions range between 4.5 and 4.9 (s emantic scale: -3,-2,-
1,0,1,2,3). This actually means that the range of means is between
0.5 and 0.9 which denotes a very low emotion effect which can
destruct customers‟ behavioural intentions of repurchasing,
repatronising or returning back to the same restaurant again.
Correlations
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Correlations
Emotio Behavio Ambien Furnitur Colou Layo Lightin Musi Temperatu Arom
n ur ce e r ut g c re a
Emotion Pearson
Correlati .674*
on 1 .808** .435** .927** .313** .525** .883** *
.251* .577**
Sig. (2-
tailed)
0 0 0 0.002 0 0 0 0.012 0
N
99 99 99 99 99 99 99 99 99 99
Behaviour Pearson
Correlati .652*
on .808** 1 .680** .701** .288** .454** .642** *
0.117 .374**
Sig. (2-
tailed)
0 0 0 0.004 0 0 0 0.245 0
N
99 100 100 100 100 100 100 100 100 100
Ambience Pearson
Correlati .709* -
on .435** .680** 1 .395** 0.176 .603** 0.085 *
.269** 0.104
Sig. (2-
tailed)
0 0 0 0.08 0 0.398 0 0.007 0.303
N
99 100 100 100 100 100 100 100 100 100
Furniture Pearson
Correlati .483*
on .927** .701** .395** 1 0.169 .557** .855** *
.473** .703**
Sig. (2-
tailed)
0 0 0 0.093 0 0 0 0 0
N
99 100 100 100 100 100 100 100 100 100
Colour Pearson
Correlati .481*
on .313** .288** 0.176 0.169 1 .479** .354** *
.283** -.235*
Sig. (2-
tailed)
0.002 0.004 0.08 0.093 0 0 0 0.004 0.018
N
99 100 100 100 100 100 100 100 100 100
Layout Pearson
Correlati .728*
** ** ** ** ** ** *
on .525 .454 .603 .557 .479 1 .375 .770** -0.13
Sig. (2-
tailed)
0 0 0 0 0 0 0 0 0.196
N
99 100 100 100 100 100 100 100 100 100
Lighting Pearson
Correlati .365*
on .883** .642** 0.085 .855** .354** .375** 1 *
.305** .676**
Sig. (2-
tailed)
0 0 0.398 0 0 0 0 0.002 0
N
99 100 100 100 100 100 100 100 100 100
Music Pearson
Correlati -
on .674** .652** .709** .483** .481** .728** .365** 1 .265** 0.189
Sig. (2-
tailed)
0 0 0 0 0 0 0 0.008 0.059
N
99 100 100 100 100 100 100 100 100 100
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Temperatu Pearson
re Correlati .265* -
on .251* 0.117 .269** .473** .283** .770** .305** *
1 0.021
Sig. (2-
0.00
tailed)
0.012 0.245 0.007 0 0.004 0 0.002 8 0.832
N
99 100 100 100 100 100 100 100 100 100
Aroma Pearson
Correlati
on .577** .374** -0.104 .703** -.235* -0.13 .676** -0.19 -0.021 1
Sig. (2-
0.05
tailed)
0 0 0.303 0 0.018 0.196 0 9 0.832
N
99 100 100 100 100 100 100 100 100 100
**. Correlation is significant at the 0.01 level 2-
tailed).
*. Correlation is significant at the 0.05 level (2-
tailed).
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5.1 INTRODUCTION
In this chapter, the researcher has provided a brief view of the study
conducted. Results of this study have shown reliable, valid, and
useful measures of physical a nd human surroundings in the upscale
restaurant setting from the customer point of view. The researcher
has also furnished recommendations by discussing implications for
the restaurant managers / hotel managers. The researcher has
provided a scope for further research that can be carried out on the
same subject.
5.2 CONCLUSION
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5.3 FINDINGS
The researcher found that respondents have rated all elements of the
servicescapes positively. Thi s enables the researcher to highlight the
overall importance of the servicescape for a customer. It also allows
the researcher to infer from the arguments stated in the previous
literature discussed in chapter two.
The primary data collected fro m the respondents (high profile guests
in upscale restaurants of five star hotels in Mumbai) who comprehend
entirely that servicescape positively affect their behavioural
intentions. Restaurant owners / managers should pay more attention
to the design of the servicescape as it can also help them gain a
competitive advantage since the level of restaurants is the same.
Servicescapes affect the customer in the time he spends waiting for
service and would have an impact on the overall evaluation of the
service experience.
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BIBLIOGRAPHY
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Fu, Y.Y., Cho, M.H., & Parks, S. (2000). The impact of fairness
and disconfirmation on restaurant customers‟ satisfaction
judgements. Proceedings of the Fifth Annual Graduate Education
and Graduate Students Research Conference in Hospitality &
Tourism, 202-204. (January 6-8, 2000).
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Wu, C. K., Goh, B.Y., Lin, K., & Chen P. (1999) Measuring
service quality in restaurant operations: an application of the
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BOOKS
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