SELF-SERVICE CONSUMER LOOKS FOR HUMAN TOUCH

Tsung-Chi Liu and Ching-Chuan Wu

National Cheng Kung University
College of Management
Department of Business Administration and Graduate Institute of International Business
No.1, University Road, Tainan City 701, Taiwan (R.O.C.)
email: tcliu@ncku.edu.tw, r4895101@ncku.edu.tw, phone: +886-6-2757575 ext 53331

ABSTRACT

Rapid advances in computing and telecommunication technologies, particularly the Internet, have profoundly
changed the dynamics of financial market. The powerful and relatively inexpensive Web platform is well suited for
online trading and other financial activities globally. This research explores the impact of the use of two self-
service delivery modes--self-service with self-service technologies and self-service with personal service--on
consumers’ assessments of satisfaction. This research setting focuses on the context of the online stock trading.
Possible research setting may include the retailing industry as it has implemented these two service delivery modes.
Keywords: service delivery mode, self-service technology, Web-enabled call center, online trading

INTRODUCTION

Service encounters have been defined as the moment of interaction between a customer and a firm [17] [33] [38]
and have been shown to affect critical outcomes such as customer satisfaction [5] [6] [26] [27] [35]. In addition to
a physical setting, service encounters may also take place through the phone, via the mail, or even over the Internet.
Brokerage firms provide an Internet trading channel and online customer service to online retail stock investors
[25]. Many financial services firms are offering the Internet as a self-service technology (SST), in an effort to
increase efficiency, to decrease the cost, and to give customers greater access to satisfy their customers. Recently,
customer service is a top priority for business and information. Instead of offering face-to-face interpersonal
services, banks and financial institutions depend on call center to meet the needs of changing environment in which
customers demand for 24/7 access. It is clear that call centers create and sustain customer satisfaction [3] and call
centers play a role in achieving customer satisfaction [1] [3]. To ensure that the needs of all consumers are met,
websites must be integrated with call center, without eliminating the valuable personal touch [29].

Self-service concept is simple: customers themselves perform tasks that were once done for them by others. Online
retail investors themselves trade stocks online and require online customer services through the implementation of
self-service concept. Self-service concept has cultivated a variety of self-service technological facilities including
automatic teller machines (ATMs), Internet transactions, self-scanning supermarket check-outs, information
services available via cell phones, and self-service payment kiosks [23]. By implementing self-service concept, the
integrated infrastructure, and the relative powerful and inexpensive Web platform [19], the advanced online trading
system provides two modes of service delivery: services delivered by self-service technologies (SSTs) and by a
live agent’s personal assistance from Web-enabled call center. For discussion, we called the service delivered by
SSTs as self-service with SSTs, and the service delivered by the live agent’s personal assistance as self-service
with personal service. We study the impact of the use of these two modes of service delivery on customer
satisfaction.

Self-service technologies (SSTs) are technological interfaces that enable online customers to produce a service
independent of direct service employee involvement [23]. Self-service technologies do not always work on online
trading since online stock transactions sometimes require retail investors contact with a live agent for certain
financial activities including clarification of personal information, error collection due to service design, or
something required but not listed on the website [12]. Different from the traditional call center, Web-enabled call
center provides online customer service by agents who communicate with Web visitors via email, agent callback,

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chat text, and/or Internet telephony [4] [12] [30] [29]. The agents of today's Web-enabled call center are required to
have effective interpersonal skills in writing statement message, e-mail message, telephone conversation, and in
computer technical support for helping customers with trouble navigating websites for needed information [30].

Therefore, there is a need for research on Web-enabled methods of service since a considerable attention is being
devoted to customer adoption of Web-enabled technologies [20] [34]. Moreover, many academic researchers have
acknowledged that there is a need to understand further in the area of self-service technology [8] [9] [14] [22] [31].
Therefore, our purpose in this research is to present a framework for investigating the impact of the use of two
service delivery modes -- self-service with SSTs and self-service with personal service -- on customer satisfaction.
We believe that to study the impact of the use of these two service delivery modes on customer satisfaction will
contribute to the understanding of the area of self-service delivery usage. The next section focuses on the literature
relevant to this proposed framework and outlines the exploratory in-depth interview study used to support the
development of the conceptual framework. The research concludes with implications and future research to test
this conceptual model. Suitable quotations from the in-depth interviews will be provided throughout this research
to support the propositions.

CONCEPTUAL FRAMEWORK

The use of the self-service with SSTs and self-service with personal service can benefit from the technology and
human contact. Self-service with SSTs provides technologies, and self-service with personal service provides
personal assistance. That leads to the balance in needs of technology and human touch. Figure 1 illustrates the
relationships among the key dimensions in the conceptual framework developed and discussed in this research.
These relationships are supported by quotations from an exploratory in-depth interview study. The framework
proposed suggests a theoretically and practical supported argument for investigating the area of self-service
delivery usage.

FIGURE 1
Conceptual Model
P3
Number of times of use of self-
service with SSTs

Self-service with SSTs

attributes (for online stock
trading) P1
Customer Satisfaction

P2
Self-service with
personal service
attributes (for Web-
enabled call center) P4
Number of times of use of self-
service with personal service

Self-service with SSTs Attributes and Self-Service With Personal Service Attributes

It has been suggested that different industries would have their own particular attributes [7]. It is likely that
attributes may differ across the two service delivery modes, self-service with SSTs and self-service with personal
service. Therefore, the service delivery modes are presented herein as separate constructs. Self-service technology
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attributes have been identified in previous research [16] [9] [23] [37], for example, reliability, conveniences,
customization, security, customer support, control, personalization, delivery, and information. After considering
the characteristics of Web-enabled call center and its functionality, we decide to adopt oral skills, writing skills,
and computer technical support as attributes of self-service service with personal service [30].

The proposed framework exists direct relationship from the attributes of these two service delivery modes to
customer satisfaction. Online retail stock investors like to customize their trading accounts and play around the
features to meet their needs. It can be expected that online retail stock investors will rate the performance
positively and are more likely to be satisfied after completing and experiencing the services. The following quotes
came from participants:
…I can organize and customize my account… The stocks stored in the (stock) watch-list are what I would like
to pick up to trade later. You can delete it as well…. I like to navigate my account to see my trade history. I
feel good about it. (Participant I)

I feel good about controlling the order replacement process…. There were a series of steps…. You will get
used to it. If you really need someone to help you along with the process, you can make a call or write an
email. Of causer, making a call would be better for you since you can just click the Send button. (Participant
B)

Therefore, we can argue that if an online retail stock investor is pleased with performance of self-service with SSTs,
then he/she is likely to be satisfied with the experience. This suggests the following Proposition 1 in the conceptual
model:
P1: Performance of self-service with SSTs attributes will have an effect on customer satisfaction.

Therefore, it is likely that if an online retail stock investor is pleased with the performance of the personal service
provided by the live agent from Web-enabled call center, he/she will also be pleased with the service experience.
Three quotes from the in-depth interviews are:
I did not know much about screaming data at that time. I activated Chat Text and passed my question to the
operator (call center operator) for help…. (Participant N )

The agent understood what I meant right the way. He redirected me to another page to pick up a stock symbol
and helped me to key in the symbol in order to get to stock quotes screen. It sounded hard. However, once you
got used to it, you got along with it. (Participant A)

The user interfaces are customizable. You needed to learn before you could design one representing your
personality…. It is the way you look and feel once you log into your account.... You can always ask them (call
center operators) how to fix it if you massed up things. (Participant J)

Therefore, we propose the following relationship, Proposition 2:

P2: Performance of self-service service with personal service attributes will have an effect on customer satisfaction.

Moderating Impacts

From the quotes we learned from the in-depth interviews, during the service encounter, online retail stock investors
learn by selves. This indicates a “learning curve” associated with increased usage. Online retail stock investors
need to engage and learn. Two moderating impacts are also proposed. In other words, the number of times online
retail stock investors use the service delivery mode should have impact on the relationship between attributes and
customer satisfaction. Increased usage has been shown to benefit the use of self-service technology [24]. Although
there is no research of learning evidence shown on the use of self-service service with personal service, we expect
that there will be a learning curve to this service delivery mode. More quotes relate to this moderating impact:
I did not know how to transfer money after I bought. The agent helped me to open the proper interface with

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 blanks to be filled in. Actually, it was not that hard since a pull down list could be seen before selecting a
currency type…. Now, …I was quite confident even after the (trading) platform was updated…. (Participant
O)

I was so amused by the Chat Text. I liked to surf the Net while I was at home. I liked to chat with my friends
and colleagues. However, I have never chatted with a live agent. The first time I activated the Chat function, a
box popped up in front of me. I felt strange since I was going to talk with someone I have never seen and I
was going to ask he or she…. Anyway, I got used to this feeling and learned it quickly.… (Participant L)

Given these discussions it can be expected that the number of times of use of either service delivery mode will
have impact on the relationship between the performance of the attributes and customer satisfaction. Therefore, we
propose Proposition 3 and Proposition 4:
P3: Number of times of usage of self-service with SSTs will have impact on the relationship between the
performance of the self-service with SSTs attributes and customer satisfaction.

P4: Number of times of usage of self-service with personal service will have impact on the relationship between
the performance of the self-service with personal service attributes and customer satisfaction.

METHODOLOGY

The present research is to find customer's satisfaction on the use of two service delivery modes, and we find an in-
depth interview is useful in conducting consumer research [15]. Previous research in self-service technology and
call center has used in-depth interviews (for example, [2] [13] [11]). The context of the interviews was online stock
trading that was suitable as self-service technology and Web-enabled technology are frequently introduced in
online trading environment. Fifteen participants were recruited through personal contacts and referrals. At the time
of the interviews in 2007, participants typically had somewhere between 1.5 to 3 years of online stock trading
experience. Interviews took place in front of a wireless Internet connected laptop and a cell phone in a coffee shop
and lasted between 60 to 90 minutes. Table 1 shows the characteristics of this sample set. The sample size was not
large since the purpose of the research was not to generalize the result to a large population but rather to explore
and understand the notion of self-service delivery modes and to illustrate the model.

TABLE 1
Description of Participants

Nicked Gender Age Occupation Nicked Gender Age Occupation

Name Name
A F 30-35 Business professional I F 41-45 Housewife
B F 30-35 Technical professional J M 36-40 Business professional
C F 36-40 Technical professional K M 31-35 Business professional
D F 31-35 Housewife L M 41-45 Business professional
E M 31-35 Housewife M M 31-35 Business professional
F M 36-40 Business professional N M 36-40 Part-time employee
G M 36-40 Educator O M 31-35 Business professional
H F 31-35 Educator

Interviews begin with a grand-tour question [21] to elucidate participants' background and the circumstances that
led to their involvement in online stock trading. Then the conversations were turned to specific questions about
their experience of online investing – questions such as:
-- “What do you see when you log into your trading account? “
-- “What is/are the impact(s) of online stock trading on you at domestic life, at work, and at recreation time?”
--”Under what circumstance you will ask for a callback/email? How do you feel about it?” In the end of interview,
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participant would be assured that no personal information would be released without consulting the participant.

Lincoln and Guba's [18] model of categorizing was followed in analyzing the interview data. All interviews were
recorded and were transcribed by a professional typist. After the interview transcripts were checked against the
recorded audiotapes and authors' notes for accuracy, the transcripts were broken down into units of similar
characteristics with key terms highlighted [15]. Each participant’s thoughts and ideas were identified during the
process of selecting the key terms. The following section of this research outlines the relationships developed in the
conceptual model.

IMPLICATIONS AND FUTURE RESEARCH

We have found that although the use of self-service with SSTs and self-service with personal service provides
online retail stock investors an efficient, exciting, friendly, interesting, and interactive environment, it adds extra
difficulties in understanding customer's assessment on satisfaction. We believe that to study the impact of these
two modes of service delivery on customer satisfaction will contribute to the understanding of the area of self-
service delivery usage. Quantitative research is now needed to further validate and generalize the relationship
proposed in this research. To investigate the present framework, a survey of customers may be adopted for the
quantitative research since survey of customer has been used in self-service technology research [9] [10] [23]
Current method used to evaluate the online customer service is to ask customer marking “box” after receiving the
service; this method cannot accurately represent what customer thinks of the service delivered. Survey of customer
or experiential research can get more in-depth information. This research focuses on the context of the online stock
trading and possible research setting may include the retailing industry as it has implemented these two service
delivery modes.

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