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THE IMPACT OF SERVICESCAPE ON CUSTOMER BEHAVIORAL OUTCOMES



                         Ambient Cues: Ambient conditions are          variables. Descriptive statistics were used to
                     those  characteristics  of  the  environment      describe  the  respondents’  profile.  The
                     pertaining to man’s five senses.                  analysis  was  done  by  Multiple  Regression.
                                                                       PROCESS  tool  which  was  developed  by
                         Social Cues: The social cues consist of       Andrew F. Hayes (http://www.afhayes.com)
                     the service of the employees of the facility      was used to analyze the moderating effect of
                     relevant to their courtesy, knowledge levels,     the variables.
                     and  the  quality  of  service  provided  to
                     customers.                                                   4 DATA ANALYSIS

                                                                             Customers  of    four  Sri    Lankan
                         Loyalty is the commitment of a current        commercial  banks  which  are  at  the  top  of
                     customer  in  respect  to  a  particular  store,   the  Fitch  Ratings  have  responded  to  the
                     brand  and  service  provider,  when there are    questionnaires.  Among  them  51.43%  were
                     other  alternatives  that  the  current  customer   female  customers  and  48.57%  were  male
                     can  choose  instead  (Shankar  Smith  &          customers. The majority was nearly 53% of
                     Rangaswamy, 2003).                                the  respondents  fall  under  the  category  of
                                                                       employee.
                         According to Brown (2005), and Babin
                     (2005)  word  of  mouth  refers  to  a  current         Table 1: Regression results for whole
                                                                                      banking sector
                     flow  of  information  about  products,
                     services, or companies from one customer to                                               2
                     another.                                                      Design   Ambient   Social    R

                         Sri  Lanka  is  a  country  which  has           Loyalty     -      + 0.049   + 0.730   0.049
                                                                          Word of
                     diversified ethnic composition. According to         mouth    + 0.133     -      + 0.677   0.373
                     each  ethnic  group’s  attitudes,  beliefs  and
                     cultural differences the relationship between           Table 2: Regression results for public
                     servicescape and  customer  behavior  can  be                    banking sector
                     different.  Therefore  ethnicity  has  included
                     as  a  moderating  variable  in  the  model                                                2
                     (Figure  1).  Badulla  has  been  selected  to               Design   Ambient   Social    R
                     conduct the study because of the diversified        Loyalty     -      - 0.179   + 0.839   0.465
                     ethnic composition in the area. The research        Word of     -        -      + 0.758   0.47
                     is focused on Sri Lankan public and private         Mouth
                     commercial  banks  and  the  selected  banks
                     are  at  the  top  of  the  Fitch  Ratings.  Cluster   Table 3: Regression results for private
                     sampling method has been used to select the                      banking sector
                     sample.  As  a  whole,  there  are  around                    Design   Ambient   Social    R
                                                                                                                2
                     110,000  account-holders  in  the  selected
                     private banks and around 200,000 account-           Loyalty     -        -      + 0.564   0.224
                     holders  in  the  selected  public  banks  in       Word of     -        -      + 0.590   0.333
                                                                         mouth
                     Badulla  area.  Out  of  this  population,  a
                     sample  has  been  selected  according  to  the
                     method  proposed  by  Krejcie  and  Morgan             Table 4: Moderator analysis results
                     (1970).  Each  sample  was  divided  into  two
                     parts as Tamil and Sinhala according to the                      Design     Ambient     Social
                     ethnicity  distribution  of  the  population  in
                     Previously tested questionnaire items (Celik,        Loyalty     0.7391     0.7819     0.7082
                     2015;  Shanka,  2012;  Reimer  &  Kuehn,             Word of     0.2220     0.4980     0.8026
                                                                          Mouth
                     2004;  Yapa  &  Hasara,  2013)  were  used  to
                     measure  both  dependent  and  independent



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