Do Mystery Shoppers Really Predict Customer Satisfaction and Sales Performance?

Mystery shopping (MS) is a widely used tool to monitor the quality of service and personal selling. In consultative retail settings, assessments of mystery shoppers are supposed to capture the most relevant aspects of salespeople’s service and sales behavior. Given the important conclusions drawn by managers from MS results, the standard assumption seems to be that assessments of mystery shoppers are strongly related to customer satisfaction and sales performance. However, surprisingly scant empirical evidence supports this assumption. We test the relationship between MS assessments and customer evaluations and sales performance with large-scale data from three service retail chains. Surprisingly, we do not find a substantial correlation. The results show that mystery shoppers are not good proxies for real customers. While MS assessments are not related to sales, our findings confirm the established correlation between customer satisfaction measurements and sales results.     

E-retail factors for customer activation and retention: An empirical study from Indian e-commerce customers

Customer satisfaction has emerged as one of the most important factors that guarantee the success of online store; it has been posited as a key stimulant of purchase, repurchase intentions and customer loyalty. A comprehensive review of the literature, theories and models have been carried out to propose the models for customer activation and customer retention. Five major factors that contributed to the success of an e-commerce store have been identified as: service quality, system quality, information quality, trust and net benefit. The research furthermore investigated the factors that influence the online customers repeat purchase intention on the basis of the Means End Chain theory (MEC) and Prospect theory. By hypothesising that a combination of both utilitarian value and hedonistic values are needed to affect the repeat purchase intention (loyalty) positively, Structural equation model has been presented on the primary data collected from the Indian online shoppers. Results indicate the e-retail success factors, which are very much critical for customer satisfaction. By increasing the utilitarian value and hedonistic values derived by the customers, customer satisfaction and hence the customers repeat purchase intention can be increased significantly.     

The cost (and the value) of customer attire: linking high- and low-end dress styles to service quality and prices offered by service employees

This study tests the impact of customer dress on the price of goods and services offered and on service quality. Mystery shoppers visited stores in three different business contexts. For each context, 30 mystery shoppers paid three visits each, once in sloppy, once in casual, and once in fashionable attire. Supporting research hypotheses, dress had conflicting effects on employees: customers wearing fashionable/casual clothing received better service than those dressed sloppily, while the latter were offered goods and services at lower prices. The findings imply that organizations should reconsider their customer discrimination policies, and engage customers in developing accepted dress codes.     

Bad behavior and conflict in retailing spaces: Nine suggestions to ease tensions

This article builds on years of work studying territoriality and conflict issues between customers and employees in retail and service settings. The key contribution of this research is to illustrate the bad behaviors and conflicts that take place in retail spaces between customers, between customers and employees, and between employees. Using multi-methods of data collection—critical incident technique, interviews, mystery shoppers, and surveys—the authors outline these bad behaviors and conflicts for managers and offer nine solutions to help retailers handle these behaviors and conflict in retail spaces.     

A study of e‐retailing management: analysing the expectations and perceptions of Spanish consumers

This article analyses various elements that influence the purchasing behaviour of online consumers. These elements include the aesthetic aspects of a web site and the interactive processes that take place at the time of purchase. The study analyses the expectations and perceptions of a sample of Spanish online customers. On the basis of these attitudes, the sample of respondents is segmented. In addition, the main factors that determine online service satisfaction are identified. The segments of respondents are then positioned with respect to these identified factors in online service quality. The analysis thus allows differentiation of both customers and service quality. The paper concludes with recommendations for online retailers who wish to operate a successful ‘virtual’ retail outlet.     

Loyalty Formation for Different Customer Journey Segments

The proliferation of new touchpoints empowers today’s customers to design their own journey from search to purchase. To address this new complexity, we segment customers by their use of specific touchpoints in the customer journey, investigate the association of several covariates with segment membership, consider the rise of mobile devices as potential “game changers” of existing segments, and explore how the relationships among product satisfaction, journey satisfaction, customer inspiration, and customer loyalty differ across segments. Based on anticipated utility theory and using latent class analyses on large-scale data from two samples of 2,443 and 2,649 journeys, we identify five time-consistent segments―store-focused shoppers, pragmatic online shoppers, extensive online shoppers, multiple touchpoint shoppers, and online-to-offline shoppers―that differ considerably in their touchpoint and mobile device usage, their segment-specific covariates, and their search and purchase patterns. The five segments remain unchanged in the two data sets even though the usage of mobile devices has increased substantially. Furthermore, we find that the relationships between various loyalty antecedents and customer loyalty differ between the segments. The insights from this paper help retailers develop segment-specific customer journey strategies.     

I Heart Logistics—Just Don’t Ask Me to Pay For It: Online Shopper Behavior in Response to a Delivery Carrier Upgrade and Subsequent Shipping Charge Increase

The provision of outstanding delivery service is increasingly critical for retailers engaged in e-commerce. As a result, many are interested in switching from their existing carrier to one that is more highly capable in order to better serve their customers. In making this switch, the retailer faces a dilemma: Better carriers cost more, so they will either have to accept a reduction in profit or increase the shipping charge to their customers. While research shows that shoppers recognize certain carriers as superior—and both theory and empirical evidence suggest that people are willing to accept certain cost-justified increases to what they are charged in a transaction—studies also show that online shoppers loathe shipping charges. Thus, what is an e-retailer to do? Through a series of vignette experiments, we examine the question of how online shoppers respond to a shipping charge increase when the retailer switches to a more highly perceived delivery carrier. Our findings show that shoppers are not particularly accepting of the switch, and while they are not likely to complain, resulting purchase intentions are notably low. Alternative strategies for implementing the carrier switch are also explored.     

Third Party Customers Infecting Other Customers for Better or for Worse

In this article the effect of the displayed emotions of third party customers and purchase occasion on customers are examined, even when there is no direct interaction between customers. Three independent studies, including two experiments are employed. The first experiment examines the effects of both positive and negative displayed emotions of third party customers and purchase occasion on customer emotions and repurchase intentions, when there is no direct interaction between customers. The second experiment captures changes in the customers’ affective state on a moment‐by‐moment basis enabling differentiation between the effects of the service environment and the intervention of exposure to the displayed emotions of third party customers. Results show that customers are “infected” by the displayed emotions of third party customers even when there is no direct interaction between the customers. It is also demonstrated that the purchase occasion affects the type and intensity of emotions customers experience and the likelihood of repurchase. Implications for scholarly research and retailers are discussed.     

Consumer e-shopping acceptance: Antecedents in a technology acceptance model

This study integrates e-shopping quality, enjoyment, and trust into a technology acceptance model (TAM) to understand consumer acceptance of e-shopping. Online surveys with college students (n = 298) were conducted. E-shopping quality for apparel products consists of four dimensions: web site design, customer service, privacy/security, and atmospheric/experiential. A structural equation model reveals that e-shopping quality determines perceptions of usefulness, trust, and enjoyment, which in turn influence consumers' attitudes toward e-shopping. Consumer perceptions of usefulness and attitude toward e-shopping influence intention to shop online, while perceived ease of use does not influence attitude toward e-shopping. Shopping enjoyment and trust play significant roles in consumers' adoption of e-shopping. This study provides important implications for e-tailers whose web site developers must keep in mind that customers are not only web users with trust/safety and information needs, but also shoppers with service and experiential needs.     

Cognitive Lock‐In Effects on Consumer Purchase Intentions in the Context of B2C Web Sites

The perspective of power law of practice and human capital model asserts that cognitive search costs, cognitive transaction costs, and cognitive switching costs are three lock‐in mechanisms that a business‐to‐consumer (B2C) Web site holds to retain customers. Whether the ability of customer value or the lock‐in mechanism is more dominant for retaining online shoppers has received recent attention, but remains unresolved in the literature. This study sheds light on perceived value and cognitive lock‐in to develop a research model to predict consumer purchase intentions. Empirical results obtained from a survey of customers of a B2C Web site are used to examine the proposed model. Implications of cognitive lock‐in and product cues for increasing purchase intentions are also discussed.     

Please smile,the CCTV is running!

This paper examines the use of closed-circuit television (CCTV) system notices in banks. This study was designed to measure the effect of the wording of CCTV notices on customer service quality expectations and purchase intent, while also considering the customer involvement as the moderating effects. Results show that customers, in expectation of better service quality, may be more likely to purchase the service when moderately worded CCTV notices (i.e. ‘please smile, the CCTV is running!’) had been employed in the bank rather than when the negatively worded CCTV notices (i.e. ‘Taping now! All your behaviour here is monitored by the CCTV system!’) are deployed. These effects were stronger in low-involvement situations. Implications of the findings and the future research directions are also discussed.     

The effects of relationship quality on customer retaliation

This research examines the effects of relationship quality (RQ) on customers' desires to retaliate after service failures. We posit that the effects of RQ are contingent upon the attributions customers make about the firm’s controllability over a service failure. Two competing hypotheses are examined and reconciled. The “love is blind” hypothesis posits that when low controllability is inferred, high RQ customers experience a lesser desire for retaliation than low RQ customers. On the other hand, the “love becomes hate” hypothesis specifies that when high controllability is inferred, high RQ customers experience a greater desire for retaliation than low RQ customers. The hypotheses are tested with a survey-based design and a partial least squares (PLS) model that incorporates a multiplicative latent construct.     

Do extrinsic cues affect purchase risk at international e-tailers: The mediating effect of perceived e-tailer service quality

The inherent nature of the international e-tailing environment leads to the consideration of purchase risk. In this study, an attempt is made to investigate the effect of three extrinsic cues, e-tailer brand equity, Country-Of-e-tailers (COE) and guarantee quality, within such an environment in Taiwan. The research findings support the proposed hypotheses that these exogenous factors affect a mediator, i.e., perceived e-tailer service quality, which in turn affects purchase risk perceived by online shoppers in a borderless marketplace. In conclusion, managerial implications of the research results as well as future research directions are presented and discussed.     

Electronic logistics service quality and repurchase intention in e-tailing: Catalytic role of shopping satisfaction,payment options,gender and returning experience

This paper empirically examines the mediating role of shopping satisfaction between electronic logistics service quality (e-LSQ) and repurchase intention. Further, this paper investigates the moderating role of gender, payment options, and returns or replacement experience on the link between e-LSQ and shopping satisfaction (and repurchase intention). Empirical data comprising 640 Indian online shoppers are analyzed with covariance-based structural equation modeling. The findings indicated that the condition of the shipment is the most crucial e-LSQ dimension and its linkage with shopping satisfaction varies across payment options, gender, and returning experience. The poor condition of the shipment might have triggered the returns in e-tailing in the Indian context. The findings will help e-tail managers design a robust logistics network to retain and win despondent customers.     

The Impact of Coupons on Service Quality Evaluations,Risk, and Purchase Intentions

Abstract

To attract customers, restaurants will often use coupons. This research examined the impact of a promotional coupon on service quality expectations, perceived purchase risk and purchase intentions. It was found that the use of coupons does increase purchase intentions and reduce perceived purchase risk. However, coupons were found to negatively influence service quality expectations. Implications of these findings for restaurant managers are discussed.     

从家电企业谈顾客维系

随着家电市场竞争的日益激烈,顾客流失较为普遍,顾客的维度减弱已成为家电制造企业生存和发展中的最大困惑。产品质量缺陷、顾客对售后服务不满意、竞争对手夺走顾客、与顾客缺乏沟通是主要成因。有效防止顾客流失,企业应加快从＂以产品为核心＂向＂以顾客为中心＂转变,采取积极建立顾客档案、实施全面质量管理、提高服务质量、对顾客进行关联管理等有效措施,增强企业对顾客的维系度,降低顾客流失风险,提升市场竞争力。     

Need for touch and haptic imagery: An investigation in online fashion shopping

Previous research has found evidence that, due to the lack of sensory experience, shoppers are reluctant to purchase a garment online. Despite the importance of identifying possible compensatory cues for touch information, a lack of attention to this issue has been recognized in the literature. On this premise, this study addresses this research agenda to explain the mechanism by which information presentation influences customers' cognitive evaluations and behavioral responses and the role of individual differences in terms of need for touch (NFT). Specifically, drawing on the Stimulus-Organism-Response (S–O-R) paradigm, the study hypothesizes a model investigating whether verbal and pictorial information presentation affect haptic imagery, which in turn is supposed to influence behavioral responses (purchase intention), through a customer's cognitive evaluation (perceived product quality). To validate the research framework, a task-based online experiment was performed. Participants were requested to simulate a purchase experience on an online apparel retailer, after which they completed a questionnaire; 264 valid responses were received. The results support verbal haptic rather than pictorial information as a mechanism influencing haptic imagery and consequently behavioral responses. With regard to NFT, however, the expected moderating effect between haptic imagery, perceived product quality, and purchase intention was not supported.     

Positive gender congruency effects on shopper responses: Field evidence from a gender egalitarian culture

This field study examined how customer-employee interactions are affected by the congruency between an employee's gender and the perceived gender image of the consumption context in one of the most gender equal cultures in the world (Scandinavia). Mystery shoppers had a service encounter with an employee across a set of physical commercial settings that were classified according to their gender image. The mystery shoppers noted the gender of the employee, provided employee evaluations, and indicated word-of-mouth (WOM) ratings. Shoppers who had a gender congruent service encounter (e.g., a female employee in a “feminine” consumption context) reported more favorable employee evaluations and WOM ratings than shoppers who had a gender incongruent service encounter (e.g., a female employee in a “masculine” consumption context), with the impact of gender congruency on WOM ratings mediated by employee evaluations, particularly with respect to competence inferences. These findings highlight the ethical dilemma of a positive gender congruency effect, as it can generate superior consumer responses but also risks resulting in gender occupational segregation.     

Electronic Logistics Service Quality (e‐LSQ): Its Impact on the Customer’s Purchase Satisfaction and Retention

The Internet retailing industry continues to grow rapidly. Several Internet retailers are, however, struggling to retain customers due to the high level of competition among incumbents. We propose that customer satisfaction with the order fulfillment process is an important determinant of overall customer satisfaction with the retailer, as well as with the extent of customer retention enjoyed by the retailer. This paper offers a new concept for electronic logistics service quality and investigates the relationship between the quality of online fulfillment and the ensuing retention of customers, using archival data on 260 online retailers. The structural equation model results indicate that satisfaction with the physical distribution quality and cost are positively related with customer’s purchase satisfaction and customer retention. Additionally, the results indicate that while purchase satisfaction is a strong indicator of customer retention, underlying drivers of purchase satisfaction do not have nearly the same impact on customer retention directly as they have on purchase satisfaction.     

Public service quality and customer satisfaction: exploring the attributes of service quality in the public sector

Beyond the existing SERVQUAL-based research, the authors develop an alternative model of public service quality. The various sources of public service quality are explored and a new classification scheme formulated by using critical incidents technique. Four main qualities of public service are identified: process quality, outcome quality, design quality, and relationship quality. The findings suggest that the critical attributes of public service quality for customer satisfaction differ according to the types of customers in the public sector. Final customers (beneficiaries) give priority to the process and outcome qualities, whereas intermediary customers (social workers) have high regard for the design and relationship qualities.