This research investigates the question: Does the physical environment of s
ervice delivery settings influence customers' evaluations of the service ex
perience and subsequent behavioral intentions? Theoretical and empirical da
ta from environmental psychology suggests that customer reactions to the ta
ngible physical environment may be more emotional than cognitive, particula
rly when involving hedonic consumption. This article integrates environment
al psychology into SERVQUAL (a current measure of service quality) to enabl
e a fuller assessment of the role of the tangible aspects of service delive
ry. Based on consumer surveys in three leisure service settings, the findin
gs are that the tangible physical environment plays an important role in ge
nerating excitement in leisure settings; excitement, in turn, plays a signi
ficant role in determining customers repatronage intentions and willingness
to recommend. (C) 1999 John Wiley & Sons, Inc.