Consequences of Heterogeneity Across Service Providers (or Vive la Difference) Valerie Folkes University of Southern California
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1 Consequences of Heterogeneity Across Service Providers (or Vive la Difference) Valerie Folkes University of Southern California
2 Heterogeneity or Variation in the Service Consumers Receive Across different service providers (e.g., Berry 1980; Parasuraman, Zeithaml and Berry 1985) Within a service provider Across consumers and service providers, and even within the same consumer and service provider pair due to co-production of services (e.g., Langeard et al. 1981) Across different firms
3 Implications of Variation Across Frontline Service Providers Effects on Inductive Inferences Inferences about other service providers within the firm (within-firm similarity) Inferences about the firm as compared to competitors (across-firm differentiation)
4 My Research Has Focused on Information about Individual Frontline Service Providers Compares individuals who violate consumers expectancies with those who do not violate expectancies Draws on theories from psychology Method - laboratory experiments Measures rating scales Limited information given to student participants
5 Expectancy Violation Elicits Cognitive Elaboration Expectancies about services in general (norms for good service) Expectancies about occupations from lay theories about service skills (includes stereotypes about the kinds of people that are good at delivering the service) Expectancies about the firm (brand commitment)
6 Types of Causal Inferences from Information about the Individual Attributions to the: Individual Service Provider (e.g., the person has unique traits) Situation (e.g., the store was very busy that day) Firm (e.g., all service providers share the same characteristics as the individual)
7 Valence Effects in Inductive Inferences Negativity effects in inductive inferences about product quality (e.g., Herr, Kardes and Kim 1991) Positivity effects in inductive inferences about service quality (Folkes and Patrick 2003) Norms for good service (Johnson, Anderson and Fornell 1995) Bad service is less typical One individual s s bad service can be explained away
8 Violation of Expectancies in Service Provider Performance Atypical service provider For the occupation (e.g., a female financial planner) For the firm (e.g., a trainee, a star performer) Consequences for Within-firm similarity Across-firm differentiation
9 Gender Stereotypes Create Perceptions of Atypicality for the Occupation
10 Effects of a Counter-Stereotypical Service Provider (Matta and Folkes 2005) Individual s s gender was counter-stereotypical for occupation Excellent performance from counter-stereotypical individual violates expectancies Expectancy violation elicits greater cognitive elaboration, leading to within-brand dissimilarity Greater across-brand differentiation only when the counter-stereotypical individual performs excellently Gender effects symmetrical
11 Experiment Examining Inductive Inferences When Gender Composition is Known Motivated partly by need to eliminate an alternative explanation for brand differentiation finding Research about effects of demographic diversity in groups (e.g., Taylor 1981; Heilman and Blader 2001) Experiment examining effects of known gender composition on consumers inferences Measures beliefs about stereotypically female traits
12 Manipulation of Gender Composition of the Firm Gender heterogeneity Solo woman Minority woman Gender homogeneity All women All men
13 Mean Ratings of the Excellent Individual Service Provider and the Firm s s Other Providers Dependent measure Individual s communal traits Others communal Individual s agentic traits Others agentic traits Organization superiority Organization similarity Homogenous Male (7 M) Solo Female (1W, 6M) Minority Female (3 W, 4 M) Homogenous Female (7 W)
14 The Combination of Stereotypically Male and Stereotypically Female Traits in an Outstanding Employee
15 Other Research - Atypical Service Providers Create Expectancies for Different Service Service providers identified as excellent performers create expectancies for delivering service better than other employees how does that influence firm differentiation?
16 Service Provider Functional Heterogeneity Within the Firm Many services have multiple components Many firms employ individuals who specialize in a particular function Some units/occupations are more typical or central to a service category than others
17 Functional Heterogeneity (as Opposed to Homogeneity) May be Associated With: Larger firms Individual provider has greater depth of knowledge about his/her particular service (and so higher quality service given from individual) Decreased amount of interaction with each customer (and so less knowledge about customer and less ability to customize; weaker social relationship with each customer) More customer uncertainty about the quality of the firm s s other services (i.e., less generalization across service providers than within provider across different services)
18 Consequences of a Behavioral Approach to Investigate Service Heterogeneity Advantages: Behavioral theory Control from the experimental method Insight into cognitive processes mediating effect Disadvantages: Ecological validity - Laboratory research vs. field research One shot vs longitudinal research Relative impact difficult to assess
19 Mean Ratings of Regular Employees and Outstanding Service Providers and their Firms Regular Provider Excellent Poor Outstan ding Excellent Poor Typicality Individual s Competence Others Competence Brand Similarity Brand Superiority
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