There is considerable evidence that environmental variables can substantially influence consumer behavior in service settings (cf. Turley and Milliman, 2000). However, research to date has focused on the effects of the physical elements (‘atmospherics’), with the social aspects (customers and service providers) of the environment largely ignored. First, we provide a review of the extant literature drawing on four major streams of research from (1) previous marketing (servicescapes); (2) environmental psychology (approach–avoidance theory, behavior setting theory); (3) social psychology (social facilitation theory); and (4) organizational behavior (affective events theory). Second, we present a new conceptual model, the ‘Social-servicescape’. In this paper we argue that the social environment and purchase occasion dictates the desired social density which influences customers’ affective and cognitive responses, including repurchase intentions. Furthermore, we argue that customers play a key role in influencing the emotions of others either positively or negatively, and this largely determines whether they intend to return to the service setting. Implications of this conceptual model for theory and practice are discussed.

Drawing on Social Facilitation theory and Affiliative Conflict theory, this three study paper investigates the social and spatial influence customers have on other customers present in a social servicescape–cafes. Unobtrusive, naturalistic observation is used to identify, categorise and evaluate the behaviour of customers on other customers across two empirical studies. In total 242 episodes were observed and analysed from 40 separate observation sessions, ranging from 60 to 150 min across three settings. A third study, comprised of four focus groups explores the why of the observed behaviours of Studies 1 and 2, and supports their key findings. Our findings show not only that the presence of customers influences the duration of the stay (social influence) of other customers, but also that customers influence other customers spatially (spatial influence). Specifically, individual customers and couples chose to be spatially close to other customers present for non-business meetings. Conversely, for business meetings customers tend to choose to be spatially apart from other customers. Managers and service personnel need to understand that customers influence other customers present even when there is no direct contact. First, service providers should recognise the occasion (business/social) and nature of the party (single/couples/group). Second, customers like to be spatially near other customers when they are on their own or as a couple and when they are there for a social, rather than business, occasion. Third, the duration of stay can be influenced either positively or negatively by other customers.

Purpose The purpose of this paper is to explore the role of context in service innovation by developing a conceptual framework that illuminates the key elements and trends in context change. Design/methodology/approach The paper adopts a service ecosystem lens for understanding how elements and trends in context foster service innovation. A conceptual framework identifying the role of context change in fostering service innovation is developed and justified through illustrations across industry settings of health, retailing, banking and education. Findings Context change is conceptualized by three trends – speed, granularity and liquification – that provide an analytical foundation for understanding how changes in the elements of context – space, resources and institutional arrangements – can foster service innovation. The analysis indicates emerging patterns across industries that allow exploring scenarios, grounded in emerging trends and developments in service innovation toward 2050. Practical implications Managers are offered a framework to guide service innovation and help them prepare for the future. The paper also suggests areas for further research. Originality/value The paper contributes with a new conceptualization of context change to identify and explain service innovation opportunities. Managers are offered a framework to guide service innovation and help them prepare for 2050. The paper also suggests areas for further service innovation research, zooming in on contextual changes to prepare for 2050.

Purpose -The primary objective of this article is to investigate customer reactions to service employees with accents that differ from a non-native accent taking into account customer emotions. Design/methodology/approach -This article reports on a study with a 2 (accent of service employee: Australian or Indian) ϫ 2 (service employee's competency: competent or incompetent) ϫ 2 (customer's affective state: positive or negative) between-subject experimental design to uncover the effects of service employees' accent on customers' reactions. Findings -The findings revealed that hearing a service employee with a foreign accent was not enough on its own to influence customer responses. However, when the service employee is incompetent or the customer was in a negative affective state, a foreign accent appeared to exacerbate the situation. Research limitations/implications -While the findings indicate that accents are used a cue for customers to evaluate service employees, further research should also take service types, service outcomes, customer-service employee relationships, customers' ethnic affiliation and ethnocentrism into consideration when examining the effect of accents. Practical implications -Service managers need to be aware that accents will exacerbate perceptions of already difficult service situations. Providing competent service will help breakdown stereotypes and improve the acceptance of diversity at the customer-employee interface. Originality/value -This article contributes to the service literature about service attributes and is particularly relevant to economies such as the USA, Canada, the UK, New Zealand and Australia where immigrants are a large part of the service work force.

In this article the effect of the displayed emotions of third party customers and purchase occasion on customers are examined, even when there is no direct interaction between customers. Three independent studies, including two experiments are employed. The first experiment examines the effects of both positive and negative displayed emotions of third party customers and purchase occasion on customer emotions and repurchase intentions, when there is no direct interaction between customers. The second experiment captures changes in the customers' affective state on a moment-by-moment basis enabling differentiation between the effects of the service environment and the intervention of exposure to the displayed emotions of third party customers. Results show that customers are "infected" by the displayed emotions of third party customers even when there is no direct interaction between the customers. It is also demonstrated that the purchase occasion affects the type and intensity of emotions customers experience and the likelihood of repurchase. Implications for scholarly research and retailers are discussed. C 2013 Wiley Periodicals, Inc.