Services Marketing

Chapter 16 : Physical Evidence

Elements of Physical Evidence

Types of Physical Evidence

Essential Evidence
Peripheral Evidence

Significance of Physical Evidence

Chapter Summary

Customers in the service sector attempt to take cues about the service provider's capabilities and the quality of service offered from physical evidence. The major elements of physical evidence include the physical environment, the modes and content of communication, service personnel, the tangible elements accompanying the service and the brand.

The layout of the service center, atmosphere and aesthetics constitute physical environment. A well-designed layout, maintenance of appropriate lighting, music and visuals, pleasant and attractive ambiance of the outlet ensure that customers enjoy their service encounter. Placing signboards where needed and displaying the chart of service charges helps customers serve themselves and improves their experience.

Service providers should price their services right (neither too high nor too low) to attract customers. Some service providers offer tangibles like books or gifts to improve their relationship with customers. Service providers also need to invest on building the corporate brand, which conveys their image. Brand is another tangible considered by customers before purchasing a service.

Physical evidence can be categorized into two types – peripheral and essential. Essential physical evidence is provided by those tangibles, without which the service cannot be delivered. Peripheral evidence is provided by those tangibles given out by service providers as gifts. The important benefits offered by physical evidence are increased employee productivity, creation of good impression among customers, increased credibility of the service provider, and differentiation from competitors, effective management of service quality and repositioning of services.

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