Leveraging High-Frequency Service Data: The Interplay of Objective Performance, Perceived Quality and Purchase

49 Pages Posted: 16 Jul 2015 Last revised: 20 Nov 2019

See all articles by Jihoon Cho

Jihoon Cho

Kansas State University - College of Business Administration

Anocha Aribarg

University of Michigan at Ann Arbor - Stephen M. Ross School of Business

Puneet Manchanda

University of Michigan, Stephen M. Ross School of Business

Date Written: November 1, 2019

Abstract

The advent of digitization has allowed firms to collect high-frequency data - subjective and objective - to monitor their service quality and performance. This paper proposes a comprehensive empirical framework to help firms understand the value of collecting these data. This framework is applied to novel high-frequency, individual-level, cross-sectional and time-series quality survey data (both subjective and objective) from the quick service restaurant industry. The results allow for the quantification of statistical and economic significance of subjective quality data, within- and across-customer selection in survey response and the tradeoff between service quality and service consistency. These results advance the literature on measurement and management of service quality and provide insights to managers for forecasting and resource allocation.

Keywords: Service Quality, Performance Inconsistency, Quick Service Restaurants Industry, Selection Bias, Machine Learning

JEL Classification: L1, L8, M3

Suggested Citation

Cho, Jihoon and Aribarg, Anocha and Manchanda, Puneet, Leveraging High-Frequency Service Data: The Interplay of Objective Performance, Perceived Quality and Purchase (November 1, 2019). Ross School of Business Paper No. 1283, Available at SSRN: https://ssrn.com/abstract=2630898 or http://dx.doi.org/10.2139/ssrn.2630898

Jihoon Cho (Contact Author)

Kansas State University - College of Business Administration ( email )

Manhattan, KS 66506
United States

Anocha Aribarg

University of Michigan at Ann Arbor - Stephen M. Ross School of Business ( email )

701 Tappan Street
Ann Arbor, MI MI 48109
United States

Puneet Manchanda

University of Michigan, Stephen M. Ross School of Business ( email )

701 Tappan Street
Ann Arbor, MI MI 48109
United States
734-936-2445 (Phone)
734-936-8716 (Fax)

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