Problem Augmentation in Services: Consumer Gratitude or Frustration? An Extended Abstract

Abstract

Consider scenario 1: a customer delivers his car to a garage before work to have a standard 50,000 km service. The car mechanic rings the customer and suggests that in addition to the service, there are a number of other components that should be replaced to improve the car’s performance. Scenario 2: a customer agrees to a bathroom renovation budgeted at $15,000. During the renovation the builder suggests that the house should be re-stumped at an additional cost of $10,000. These scenarios represent examples of problem augmentation, whereby a service provider expands the scope of the customer’s presented problem or need. We ask: What does the customer feel in these scenarios? Who doe..