Consumers’ Behavioral Intentions Toward Self-Service Technology in the Emerging Markets

ABSTRACT

Self-service technologies (SSTs) allow customers to offer their own service encounters via the interaction of electronic service interfaces or machines rather than by interacting with a firm's service personnel. This lack of personal interaction generates doubts and queries in the minds of the people, especially those unaware or less aware of these technology-based services. Such a situation is quite prevalent in the developing nations (like India), where still a large number of people are apprehensive about using the latest technologies. In this regard, the present study aims to develop an integrated model designed to predict and explain the various factors that influence customers’ behavioral intentions to use or not to use one particular SST (i.e., ATM services). The study finds that bank customers are less innovative and less optimistic to try out new technologies. Usefulness of the technology helps in developing positive attitude toward the technology, which in turn affects customers' intentions to use that technology.     

Distinguishing between the impact of social media public and private compliments on customers’ future service recovery expectations

We seek to explore whether customers’ levels of service recovery expectations differ across customers who, prior to the service failure, publicly complimented the firm on social media and customers who, in advance of the service failure, privately complimented the firm on social media. We explore these differences in terms of satisfaction with the service provider and willingness to go back to the service provider. We conduct an experiment to test the research hypotheses. Our study results show that customers who complimented the service provider publicly (relative to privately) on social media in advance of a service failure require a higher level of service recovery to be satisfied with the service provider and go back to the service provider. Further, these effects are partly moderated by customer loyalty and social media usage intensity.     

Exploring factors which motivate older consumers’ self-service technologies (SSTs) adoption

Although the proportion of the older population is growing, the majority of research on technology adoption behaviour, such as the adoption of self-service technologies (SSTs), tends to focus on younger consumers. To fill this gap, this study is designed to explore factors which motivate older consumers’ adoption of SSTs by applying Gatignon and Robertson’s diffusion process model. Responses were collected from 104 respondents who were aged 55 or over and who had used self-checkouts in the past. The data were analysed using partial least squares path modelling with SmartPLS 3.0 software. The results indicate that perceptions of SST characteristics, including usefulness, enjoyment, and control, are indirect antecedents of older consumers’ SST adoption through service quality and/or perceived risk. Another key predictor of older consumers’ adoption of SST is prior usage experience with SSTs, which strongly influences usefulness and compatibility. Findings from this study contribute to the literature because little research has explored what drives older consumers to use SSTs.     

From customer experience to human experience: Uses of systematized and non-systematized knowledge

The conceptual framework proposed herein reveals how firms might establish a human experience focus, using both systematized and non-systematized knowledge to identify points of pain and gain. Such efforts align with the critical need for firms to develop their approaches to the customer experience, by moving beyond addressing how customers respond to their offerings and toward thinking about the human experience of how firms respond to customers’ ambitions, beliefs, values, and feelings to interact in the manner customers prefer. To create a human experience, firms must manage it in relation to touchpoints, personalization, operations, and company culture, using systematized knowledge to monitor the experience, identify problems, and make improvements, together with non-systematized knowledge to innovate in relation to the experience.     

The role of other customers during self-service technology failure

Service recovery through inter-customer helping is especially meaningful in the self-service technology (SST) failure context because SSTs are associated with a high risk of failure due to the lack of face-to-face contacts with employees. In understanding the phenomenon of inter-customer helping, two fundamental questions are investigated in the current research: (1) does social influence play a role in customers’ helping decisions? and (2) what are the motives for helping? Through two experimental studies, we provide evidence that two different forms of social influence play a role in helping others during SST failures, and customers have self-centered (vs. other-centered) motives. Results from Study 1 showed that individuals in the private environment indicated more willingness to help than individuals in the public environment did due to heightened perceived responsibility. Study 2 revealed that tie strength influenced willingness to help via a dual pathway: perceived responsibility and social approach motives. Finally, we discuss and highlight the positive influence that self-centered motives can exert in the SST failure scene.     

An omnichannel approach to retailing: demystifying and identifying the factors influencing an omnichannel experience

ABSTRACT

The purpose of this research is to identify the factors that influence an omnichannel experience. Omnichannel is an emerging approach to retailing that responds to the changing nature of how customers shop in alternation between online and offline shops, and the increasing use of digital devices (e.g. smartphones and tablets), as a consequence retailers are focusing and establishing a seamless integrated approach to their services. Omnichannel is now a hot topic in retailing but there is a lack of empirical studies into the factors that influence an omnichannel experience. Using a mixed methods approach, we propose and empirically test a conceptual model that identifies four factors influencing an omnichannel experience: brand familiarity; customisation; perceived value, and technology readiness. We conceptualise omnichannel to include three key channels; in-store, online and mobile. Two hundred and forty-six questionnaires were collected and analysed using PLS-SEM and 11 interviews were carried out with marketing/ omnichannel professionals. Our results indicate that brand familiarity has a strong influence on omnichannel (in-store, online and mobile) while perceived value has a negative impact on the mobile experience. Our results show that retailers need to consider multiple factors, such as brand familiarity, customisation, perceived value and technology readiness as influencing factors of an omnichannel experience, and plan the use of multiple touchpoints simultaneously to enhance their overall customer’s experience. Although this study demonstrates the significant factors influencing an omnichannel experience, questions remain regarding the exact use of each touchpoint by customers and the extent of overlap between the touchpoints. which .     

Patient experience in the digital age: An investigation into the effect of generational cohorts

This research examines how patient experience is affected by various generational cohorts’ perceived ease of use and usefulness of healthcare patient portals and how this experience, in turn, shapes cohort technology use. Results suggest that digital technology needs to be designed and implemented with cohorts in mind. This study complements research in digital technology and customer experience by highlighting the relevance of generational cohort differences, that is whether they adopted digital technology (i.e., Generation X) or always had digital technology, (i.e., Millennials) on a patient’s experience.     

“If you loved our product”: Do conditional review requests harm retailer loyalty?

Online retailers frequently solicit reviews from customers who have recently purchased their products or services. This research examines how consumers react to conditional requests—wherein a retailer explicitly asks them to consider their experience but to only leave a review if this experience was favorable—versus more neutral unconditional requests. The provision of conditional requests is widespread, presumably because retailers believe that such requests will yield more positive reviews. Irrespective of whether these potential benefits materialize, the present research demonstrates that the consequences of conditional requests on customer loyalty (i.e., retailer engagement and repeat purchase behavior) are uniformly negative and surprisingly expansive. Six experiments with over 3,000 participants reveal that customers who receive conditional (vs. unconditional) requests are subsequently less loyal to the retailer, whom they perceive as manipulative and untrustworthy. This research also shows that easily implementable message modifications can attenuate (although not necessarily eliminate) the adverse effects of conditional requests on customer loyalty. Substantively, this work highlights how the messaging used in a review request affects customers’ inferences as well as their later judgments and behaviors. Managerially, the findings should exhort online retailers to exercise caution before sending conditional review requests given the risk of reputational harm.     

Strategic consequences of self-service technology evaluations

This article develops a conceptual model of self-service technology (SST) evaluations on customer-centric (loyalty, trust, and word of mouth) and firm-centric (profitability and enterprise value) strategic consequences to guide future research and help practitioners better understand the potential benefits and risks associated with satisfied (dissatisfied) SST customers. An SST evaluation is a post-use assessment of service quality and performance perceptions during an SST service encounter. This article synthesizes prior research to develop generalizations about conceptual relationships with and among the outcomes of SST evaluations. Iterative positive (negative) SST encounters cumulatively improve (diminish) customer relationships and the marketer’s financial success. Given the phenomenal rise and anticipated growth in SST use, this model provides a much-needed framework to organize the emerging literature into a coherent structure that summarizes past research and guides new discoveries about the implications of SST service evaluations through a set of research propositions based in marketing theory.     

Creating Shopper Value: Co-Creation Roles,In-Store Self-Service Technology Use,and Value Differentiation

This study examines how retailers can use self-service technologies (SST) to increase shopper satisfaction. Using a survey of 188 consumers of a new self-service kiosk launch within a convenience-store (c-store) setting, we examine how such retailers might influence shopper's perceptions of value by better involving customers in the service delivery experience. Our proposed model links classic service operations and marketing design insights to the service-dominant logic perspective of service value co-creation. We find that shoppers perceive enhanced value creation from the new SST when they feel comfortable in their roles and the surrounding service design supports those roles.     

A direct comparative framework of customer satisfaction: An application to Internet search engines

Traditionally, satisfaction evaluations have been studied in the expectancy-disconfirmation paradigm in which customers compare firm performance to expectations. The current customer-satisfaction framework incorporates competitive comparisons indirectly through expectations. However, in markets in which competing alternatives are often primed in the evaluation context (e.g., product and retailer information presented in Bizrate.com), customers may directly compare performance and satisfaction across competing alternatives.In this article, we develop a direct comparative framework (DCF) of customer satisfaction. To make our DCF managerially useful, we also develop an operational model that managers can use to draw strategic insights based on customers’ satisfaction evaluations. We demonstrate our framework and operational model by applying them to the Internet search-engine market.     

The role of customer gratitude in making relationship marketing investments successful

This paper recognises that customer loyalty is important for many competitive organisations, and that retail firms make investments to build and maintain loyal relationships with their existing and potential customers (e.g. loyalty programs). However, there has been little focus on the mechanisms by which these relationship investments operate to achieve customer loyalty. This paper examines one mechanism, namely customer gratitude, which works to make a firm’s relationship marketing investment a success or a failure. Using data from 1600 undergraduate students, this study empirically confirms the mediating role of customer gratitude between the customers’ perceptions a firm’s relationship marketing investments and customers’ perceptions of the value of the relationship with the firm. Further, a significant moderating effect of perceived benevolence on the relationship between customers’ perceptions a firm’s relationship marketing investments and customer gratitude was identified. For theorists, this customer gratitude model offers a better psychological explanation of how relationship marketing investments operate to improve the value that customers place on their relationships with retailers. Our research suggests that managers should invest resources to stimulate customer gratitude in order to build strong customer–seller relationships.     

Online retail experience and customer satisfaction: the mediating role of last mile delivery

ABSTRACT

For various industries worldwide, recent years have been defined by the remarkable growth of e-commerce. Enabled by the Internet, retailers can reach more customers, spread much further in the distribution chain, and optimize their resources. In the new market environment, customer experience has become a source of competitive advantage. This study investigates the role of last mile delivery in the customer’s e-retail experience. A quantitative methodology was used, which incorporated a survey that was conducted in Sweden and measured participants’ most recent e-retail experience. The results indicate that the last mile delivery experience mediates the relationship between the customer’s perception of the online shopping experience and customer satisfaction. These conclusions provide ground for further thorough investigations of the role of last mile delivery in the e-retail context and support e-retailers in increasing their customers’ satisfaction.     

Online service personalization for apparel shopping

This study explores the dynamics of online service personalization in the online apparel retailing context, with regard to customers’ actual online shopping activities. From an empirical study of American Internet shoppers (n=204), three types of widely-used online service personalization, that is (i) offer, (ii) recognition, and (iii) personal advice, were identified. Moreover, grounded by the Theory of Reasoned Action [Fishbein, M., Ajzen, I., 1975. Belief, Attitudes, Intention, Behavior: An Introduction to Theory and Research. Addison-Wesley, Reading, MA], relationships between customers’ online service personalization attitudes and their online shopping activities—regarding apparel items—have been investigated. Findings of this study empirically present the dynamics of online service personalization in the context of online apparel retailing. Also, the results show that customer online shopping experiences may impact on their online service personalization attitudes. Theoretical and managerial implications are also discussed regarding online service management. Based on the results, Internet-based apparel retailers may benefit from developing various types of personalization services by enhancing shopping intentions of their customers, in particular, of those who are loyal to the retailers.     

Timing customer reactivation initiatives

Firms operating in non-contractual settings apply customer reactivation initiatives such as email messages to stimulate customers who have become inactive temporarily or permanently to resume their transaction activities. Thus, firms need to know which customers are inactive, and when a customer becomes inactive. Existing approaches struggle to distinguish active from inactive customers and do not provide time-scale estimates of when to send reactivation mails. To address these shortcomings, we develop an approach to target and time the sending of reactivation mails. Building on control chart methods, we introduce a gamma–gamma control chart, modelling the average customer interpurchase time and the variation therein to determine activity boundaries. Crossing these boundaries signals a potential change in a customer’s purchasing activity, providing a signal to initiate customer reactivation. A field experiment in the greetings and gifts industry, supported by several additional analyses, illustrates the improved performance of our approach when it comes to signaling customer activity against a wide range of competing models. The improved performance of our method occurs particularly in settings where customers vary strongly in purchase and inactivity patterns.     

Can the Retailer’s ICT Enhance the Impact of Service Recovery Efforts on Customer Satisfaction?

Abstract

Service recovery remains a topic of considerable interest for both academics and practitioners. This paper aims to explore the relations between recovery efforts and causal attributions, satisfaction, and both conventional and online word-of-mouth, as well as the moderating role of information and communication technologies (ICT) on the relationship between retailer’s efforts and satisfaction with the service recovery. On a sample of 336 retail customers who experienced service failure, we use SEM and multigroup analysis. As a result of the data analysis, there is evidence supporting the positive impact of attributions and recovery efforts on satisfaction, and the influence of the latter on both conventional and online word-of-mouth. Furthermore, the moderating influence of technology in the “recovery efforts-satisfaction” relationship is evidenced. Practical implications for retail managers and further research are presented.     

A comprehensive examination of internet banking user behaviour: evidence from customers yet to adopt,currently using and stopped using

Abstract

Despite the surge in interest in research on customers’ adoption of internet banking (IB), how discontinued users can be brought back to IB has not received much attention. To respond to this question and to provide a comprehensive understanding of IB customer behaviour, we develop a conceptual model grounded on the extended technology acceptance model, and empirically validate it using a sample of 614 IB customers (including those yet to adopt, current users and discontinued users) from China. Perceived value is the most important driver for explaining all categories of customers’ IB-related behaviours. Banks that implement measures that aim to increase the perceived usefulness of IB and enhance the value of IB are likely to be rewarded with increasing IB adoption amongst its customer base.     

Hide and uncover: the use of secrets in marketing

ABSTRACT

Amidst the forceful public demand for organisational transparency, there is an ambition to explore the limits of openness. What kind of information could and should firms keep secret and under which conditions? In this paper, we explore the limits of transparency in the marketing domain and develop a conceptual model of secrecy in marketing. We describe three modes of ‘secretive’ relations: between the brand and customers who know the brand secret (insiders), between the brand and customers from whom the secret is hidden (outsiders), and between insiders and outsiders. The effects of secrecy in marketing extend along with these three modes. First, secrecy creates value for insiders by reinforcing their connection to the brand. Second, it provokes outsiders’ curiosity, especially when the secret is related to a prominent brand. Finally, secrecy establishes insiders as an aspirational reference group for outsiders.