The Impact of Servicescapes on Customer Satisfaction: A Study on African Service-Based Small and Medium-Sized Enterprises (SMES) in Ireland.

Abstract

The objective of this study was to investigate the impact of servicescape (the physical environment of a business) on customer satisfaction amongst African service-based SMEs. Servicescape is an essential part of a business as it accentuates the experiences a customer has while receiving a service, this further leads to satisfaction or dissatisfaction. As such, the servicescape need to be properly constructed taking into cognisance the physical dimensions (lighting, spatial, ambient, scent, music etc), the social dimensions (crowd control) and the natural dimensions (supporting relaxation). This study also considered the impact of the COVID-19 pandemic which revised servicescapes to adhere to government regulations on social distancing. The study adopted the qualitative research methodology which uses non-numerical forms of data and analysis. Data was collected through the conduct of interviews with five (5) owners of African service-based SMEs and five (5) customers of these SMEs. Data was analysed using the thematic format, themes where was based on the research objectives. The study discovered that the use of the several dimensions of servicescape (physical, social and natural dimensions) by African service based SMEs resonated positively with customers thus keeping them satisfied and loyal to the business, furthermore the revised servicescapes due to the COVID-19 pandemic had both positive and negative effects on customer satisfaction, for some customers the revised servicescape enhanced their trust and loyalty to business as they had a feeling that the business owner was mindful of their health and safety, while to other customers the revised servicescape reduced the level of social interaction thus reducing the satisfaction gained whenever they visited such SMEs. The study recommends that considerations should be given to physical, social, and natural dimensions when constructing a servicescape. In addition, business owners should consider gender of their target market, when implementing servicescapes as what constitutes customer satisfaction and experience differs across gender lines. In addition, business owners should consider cushioning the effect of the strict Covid-19 guidelines on customers.