Service Communication Strategies Based on the Customer Perceived Risks

The unique characteristics of service mean that service has higher inherent risks than tangible product for the prospects. On the basis of previous reviews of the perceived-risk concept, a descriptive model of risk perception and reduction activity before service purchase is formulated, and consumers´ risk-reduction activities are expatiated. Finally, the effective communication strategies for service providers to reduce customers´ risk perception are put forward as well, including mouth-to-mouth strategy, information simulating based on service experience in promoting and advertising, providing visible or interpretative cues, making intangible service tangible through effective advertising.