service marketing report.docx

8/17/2019 SERVICE MARKETING Report.docx

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01.How service quality can be define and improve?

Service quality is a term which describes a comparison of expectations with performance.[1]

A business with high service quality will meet customer needs whilst remaining economically competitive.[2] Improved service

quality may increase economic competitiveness.

his aim may be achieved by understanding and improving operational processes! identifying problems quic"ly and

systematically! establishing valid and reliable service performance measures and measuring customer satisfaction and other

performance outcomes.[#]

Dimensions of service quality

A customer$s expectation of a particular service is determined by factors such as recommendations% personal needs and past

experiences. he expected service and the perceived service sometimes may not be equal% thus leaving a gap.

en determinants which may influence the appearance of a gap were described by &arasuraman% 'eithaml and (erry.[)]

Competence is the possession of the required s"ills and "nowledge to perform the service. *or example% there may becompetence in the "nowledge and s"ill of contact personnel% "nowledge and s"ill of operational support personnel and research

capabilities of the organi+ation.

Courtesy refers to factors such as politeness% respect% consideration and friendliness of the contact personnel! consideration forthe customer$s property and a clean and neat appearance of contact personnel.

Credibility refers to factors such as trustworthiness% belief and honesty. It involves having the customer$s best interests at prime

position. It may be influenced by company name% company reputation and the personal characteristics of the contact personnel.

Security represents the customer being free from danger% ris" or doubt including physical safety% financial security and

confidentiality.

Access refers to approachability and ease of contact. *or example% convenient office operation hours and locations.

Communication means both informing customers in a language they are able to understand and also listening to customers. Acompany may need to ad,ust its language for the varying needs of its customers. Information might include for example%

explanation of the service and its cost% the relationship between services and costs and assurances as to the way any problems are

effectively managed.

Knowing the customer means ma"ing an effort to understand the customer$s individual needs% providing individuali+ed

attention% recogni+ing the customer when they arrive and so on. his in turn helps in delighting the customers i.e. rising above the

expectations of the customer.

Tangibles are the physical evidence of the service% for instance% the appearance of the physical facilities% tools and equipmentused to provide the service! the appearance of personnel and communication materials and the presence of other customers in the

service facility.

Reliability is the ability to perform the promised service in a dependable and accurate manner. he service is performed correctlyon the first occasion% the accounting is correct% records are up to date and schedules are "ept.

Responsiveness refers to the readiness and willingness of employees to help customers in providing prompt timely services% for

example% mailing a transaction slip immediately or setting up appointments quic"ly.

http://en.wikipedia.org/wiki/Service_quality#cite_note-0http://en.wikipedia.org/wiki/Service_quality#cite_note-1http://en.wikipedia.org/wiki/Service_quality#cite_note-2http://en.wikipedia.org/wiki/Service_quality#cite_note-2http://en.wikipedia.org/wiki/Service_quality#cite_note-5http://en.wikipedia.org/wiki/Competence_(human_resources)http://en.wikipedia.org/wiki/Competence_(human_resources)http://en.wikipedia.org/wiki/Service_quality#cite_note-1http://en.wikipedia.org/wiki/Service_quality#cite_note-2http://en.wikipedia.org/wiki/Service_quality#cite_note-5http://en.wikipedia.org/wiki/Competence_(human_resources)http://en.wikipedia.org/wiki/Service_quality#cite_note-0


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8 steps to Improve.

1. Learn to listen to your customers frst. Really listen to them - ask what you can do to help them.

This is the most important step in preventing problems and the only way you can solve complaints i

they come up.

2. Look at all complaints about your service as an opportunity to improve. im to resolve any

complaint !uickly and e"ciently.

#. $stablish an environment where great service is recogni%ed and rewarded and poor service is

challenged and rectifed.

&. 'ave weekly un sta( meetings where good service elements are discussed.

). $nsure that your sta( eels they are an important part o your success.

*. Lead by e+ample. ,how respect or every person at every level in your company.

. o things regularly to improve the workplace. This does not have to be an e+pensive e+ercise. /or

instance0 i you have a small group0 order pi%%as one day or lunch or no particular reason0 put a

candy ar on the reception desk or anyone to access0 put a new co(ee pot in the sta( room or buysome gourmet co(ee. Little things get noticed and mean a lot. 'appy sta( happy customers.

3. 4ive your sta( a reason to come to work with a big smile on their ace and a great attitude.

5aying them competitive wages so they can live comortably in the area is a good start. The customer

service industry is rampant with poor pay and the obs are pretty di"cult at times. 6e sure you show

your employees you care by giving them a decent wage.

02. How service be designed and test efectively?

Service design is the activity o planning and organi%ing people0 inrastructure0 communication and

material components o a service in order to improve its !uality and the interaction between service

provider and customers. The purpose o service design methodologies is to design according to the

needs o customers or participants0 so that the service is user-riendly0 competitive and relevant to thecustomers. The backbone o this process is to understand the behavior o the customers0 their needs

and motivations. ,ervice designers draw on the methodologies o felds such as ethnography and

ournalism to gather customer insights through interviews and by shadowing service users. 7any

observations are synthesi%ed to generate concepts and ideas that are typically portrayed visually0 or

e+ample in sketches or service prototypes. ,ervice design may inorm changes to an e+isting service

or creation o new services.

Ideal Service design methodology

ogether with the most traditional methods used for product design% service design requires methods and tools to control newelements of the design process% such as the time and the interaction between actors. An overview of the methodologies for

designing services is proposed by -orelli 2//)0% who proposes three main directions

Identification of the actors involved in the definition of the service% using appropriate analytical tools

3efinition of possible service scenarios% verifying use cases% sequences of actions and actors4 role% in order to define therequirements for the service and its logical and organi+ational structure

5epresentation of the service% using techniques that illustrate all the components of the service% including physical elements%

interactions% logical lin"s and temporal sequences

http://www.wikihow.com/Listenhttp://www.wikihow.com/Give-Credit-to-Staffhttp://www.wikihow.com/Be-a-Leaderhttp://www.wikihow.com/Smilehttp://www.wikihow.com/Smilehttp://www.wikihow.com/Listenhttp://www.wikihow.com/Give-Credit-to-Staffhttp://www.wikihow.com/Be-a-Leaderhttp://www.wikihow.com/Smile


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Analytical tools refer to anthropology% social studies% ethnography and social construction of technology. Appropriateelaborations of those tools have been proposed with video6ethnography -(uur% (inder et al. 2///! (uur and 7oendergaard 2///0%

and different observation techniques to gather data about users4 behaviour -8umar 2//90 . :ther methods% such as cultural

probes% have been developed in the design discipline% which aim at capturing information on customers in their context of use-;aver% 3unne et al. 1

service. 3esign tools include service scenarios -which describe the interaction0 and use cases -which illustrate the detail of timesequences in a service encounter0. (oth techniques are already used in software and systems engineering to capture the functional

requirements of a system. >owever% when used in service design% they have been adequately adapted% in order to include more

information% concerning material and immaterial component of a service% time sequences and physical flows -orelli 2//)0.:ther techniques% such as I3?*/% ,ust in time and otal quality management are used to produce functional models of the service

system and to control its processes. 7uch tools% though% may prove too rigid to describe services in which customers are supposed

to have an active role% because of the high level of uncertainty related to the customer4s behaviour.

5epresentation techniques are critical in service design% because of the need to communicate the inner mechanisms of services to

actors% such as final users% which are not supposed to be familiar with any technical language or representation technique. *or this

reason storyboards are often used to illustrate the interaction on the front office.[1] :ther representation techniques have been usedto illustrate the system of interactions or a @platform in a service -an+ini% Bollina et al. 2//90. 5ecently% video s"etching and

video prototypes have also been used to produce quic" and effective tools to stimulate customers4 participation in the

development of the service and their involvement in the value production process.

Comment Card !uest Satisfaction Surveys

"ow satisfied are your customers# $ill they return# If so% why# If not% do you &now why not# Are you 'wowing( them on

a consistent basis to increase brand loyalty#

In today4s consumer driven mar"ets you must meet or exceed guest expectations if you want to stay in business for the long term

and gain loyalty and repeat business. Bustomer satisfaction should be the primary goal of your continuous quality improvement

program. ;uests provide selected feedbac" about their stay% and we collect the information with sophisticated data entry software.:nce the information is collected% it is assimilated into report form for trac"ing and analysis. his is a useful tool for providing

valuable insight into guests4 experiences over a specific period of time.

(oth narrative and chec" box scoring responses can be used for trac"ing comparisons and monitoring performance amongmultiple properties. )erify International conducts satisfaction surveys designed to identify and analy*e &ey performancecriteria within your organi*ation.

+ur surveys will help you,

• ?liminate the time consuming tas" of managing information.

• 3etermine satisfaction levels with products and services.

• Identify opportunities for improvements.

• Ac"nowledge top employees for recognition and incentive programs.

• onitor the impact and trends of improvements or changes within the organi+ation.

http://en.wikipedia.org/wiki/Anthropologyhttp://en.wikipedia.org/wiki/Social_studieshttp://en.wikipedia.org/wiki/Social_studieshttp://en.wikipedia.org/wiki/Ethnographyhttp://en.wikipedia.org/wiki/Ethnographyhttp://en.wikipedia.org/wiki/Ethnographyhttp://en.wikipedia.org/wiki/Social_construction_of_technologyhttp://en.wikipedia.org/wiki/Social_construction_of_technologyhttp://en.wikipedia.org/wiki/Blueprinthttp://en.wikipedia.org/wiki/Blueprinthttp://en.wikipedia.org/wiki/Softwarehttp://en.wikipedia.org/wiki/Softwarehttp://en.wikipedia.org/wiki/Systems_engineeringhttp://en.wikipedia.org/wiki/Functional_requirementshttp://en.wikipedia.org/wiki/Functional_requirementshttp://en.wikipedia.org/wiki/Functional_requirementshttp://en.wikipedia.org/wiki/IDEF0http://en.wikipedia.org/wiki/IDEF0http://en.wikipedia.org/wiki/IDEF0http://en.wikipedia.org/wiki/Just_in_time_(business)http://en.wikipedia.org/wiki/Just_in_time_(business)http://en.wikipedia.org/wiki/Just_in_time_(business)http://en.wikipedia.org/wiki/Total_quality_managementhttp://en.wikipedia.org/wiki/Total_quality_managementhttp://en.wikipedia.org/wiki/Storyboardshttp://en.wikipedia.org/wiki/Front_officehttp://en.wikipedia.org/wiki/Service_design#cite_note-0http://en.wikipedia.org/wiki/Service_design#cite_note-0http://en.wikipedia.org/wiki/Anthropologyhttp://en.wikipedia.org/wiki/Social_studieshttp://en.wikipedia.org/wiki/Ethnographyhttp://en.wikipedia.org/wiki/Social_construction_of_technologyhttp://en.wikipedia.org/wiki/Blueprinthttp://en.wikipedia.org/wiki/Softwarehttp://en.wikipedia.org/wiki/Systems_engineeringhttp://en.wikipedia.org/wiki/Functional_requirementshttp://en.wikipedia.org/wiki/Functional_requirementshttp://en.wikipedia.org/wiki/IDEF0http://en.wikipedia.org/wiki/Just_in_time_(business)http://en.wikipedia.org/wiki/Total_quality_managementhttp://en.wikipedia.org/wiki/Storyboardshttp://en.wikipedia.org/wiki/Front_officehttp://en.wikipedia.org/wiki/Service_design#cite_note-0


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10.How to communicate value to customers

*estive season retail sales bring to mind the question of customer value.

he perception of value is one of the most important elements of pricing. If customers don4t thin" they are getting value for

money% you have no pricing power C you can4t lift prices to maintain profitability without losing many customers. >owever% if

customers believe they are getting value for money% they will remain loyal despite price increases.

Dalue is not ,ust a single element -price0! it encompasses a range of attributes of your goods and services for which customers are

willing to pay. Dalue is provided by a good4s or service4s low cost% by its highly differentiated features or by a combination of low

cost and high differentiation% compared with competitors4 goods or services.

Dalue can be separated into seven components

6 service

6 response

6 variety6 "nowledge

6 quality6 guarantee

6 price

7ince price is only one component of value% experienced mar"eters see" to maintain perceived value by ensuring the attributes of

the other variables are emphasi+ed to offset price rises C mainly using mar"eting communication% advertising and promotion.

7easoned mar"eters resist giving price discounts and reductions because these inevitably cause price wars that no6one wins%

except% perhaps% the customer in the short term.

In the search for competitive advantage% one of the most important steps to carry out is a customer value analysis. hisdetermines the benefits that customers in a mar"et segment want and how they perceive the relative value of competing offers%

including yours. As a &5 practitioner% once you "now the "ey points of differentiation% you can base the main themes of your

mar"eting communication on those points. he main steps in customer value analysis are

•

Identify the ma,or attributes that customers value. As" customers what main functions and performance levels theyloo" for in choosing the respective product and% if relevant% the retail outlets where the product is sold. 3ifferentcustomers will nominate different features and benefits.

• Assess the quantitative importance of the different attributes. As" customers to rate or ran" the importance of the

different attributes. If the ratings diverge greatly% they should be clustered into different customer segments.

• Assess the performance of your organi+ation and competitors on the different customer values against their rated

importance. As" customers where they see the performance of your organi+ation and each competitor on each attribute.

Ideally% your organi+ation4s performance should be rated high on the attributes that customers value most and low onthe attributes they value least.

• ?xamine how customers in a specific segment rate your organi+ation4s performance against a specific ma,or competitor

on an attribute6by6attribute basis.

• onitor customer values over time. Although customer values are fairly stable in the short term% they are li"ely to

change as technologies and features change and as economic environments change. he research on customer values

and competitors4 standings needs to be conducted periodically to ensure the findings are up6to6date. 1

11."ow to Achieve Consistent -uality and Service Delivery at .very /evel of 0our +rgani*ation

7uccessful companies "now how to get their employees to do the right things right for the right reasons at the right time% each andevery time.


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>ere$s the good news Eour customers want to do business with you. If they didn$t% they$d probably go somewhere else. he badnews is your customers will go somewhere else if you fail to consistently deliver on your quality and service promises.

Fhen a customer patroni+es your business for the first time he ta"es a ris". >e doesn$t "now if your products will be good. >e

hopes your service delivery will be pleasant% but he hasn$t no assurance that he will have a quality experience with your company.

hat first experience C and every subsequent experience thereafter C determines whether the customer will be loyal to your business. If the customer$s requirements are met satisfactorily on the first visit% most li"ely he will patroni+e your business again.

(ut% if his needs are not met% many customers won$t give you a second chance.

/1.Bonsistent 7ervice is 8ey to Bustomer =oyalty

he "ey to repeat business is consistency in both what you offer and how you deliver it. Bustomers will be loyal and return again

and again when they have confidence in your products and services. hey will come bac" when they trust they will have a

consistent experience each and every time they patroni+e your business. he strength of customer loyalty is in direct proportionto the confidence they feel regarding how well you will consistently deliver on your service promise.

/2.3etermining Fhat Eour Bustomers Fant

Bonsistency starts with "nowing why your company% or department% or ,ob classification exists. It begins with pinpointing the

GproductsG or GservicesG your customers actually want to buy and the intrinsic reason-s0 why they buy them. Bonsistent servicedelivery entails having a clear view of your products and services from your customers$ perspective. It involves "nowing the true

needs% wants% expectations and requirements of your target customers.

herefore% the first step in the Bonsistent 7ervice odel is the development of a &roduct 3escription.

A product description describes what GproductsG your customers want. It states why your business GexistsG from the customers$ point of view. he clear articulation of your product description helps you deliver your products and services according to the

customers$ requirements as they perceive those requirements% not to some standard or specification that you or your companymay arbitrarily establish.

he "ey to success in business is giving your customers what they want as they want it. If your company fails to deliver your

products or services according to your customers$ expectations% you could find your enterprise going out of existence as your

customers defect to competitors who are giving them what they want.

/#.Implied &romises

A product description very succinctly defines the Implied &romises inherent in your products and services. Implied promises are

assurances already inherent in your products and services

*or example% customers who patroni+e a fast food restaurant want fast food. hey want their fast food to be hot and fresh. heyalso expect their order to be filled accurately. *ast food restaurants who deliver a quality food product fast% hot% fresh and

accurately will have a significant competitive advantage over restaurants who don$t meet these customer requirements.

7imilarly% a person who buys a power tool wants it to wor" 66 they want it to be reliable. hey also expect it to wor" for a longtime C they want the tool to be durable. hey want the tool to be easy to use and to perform the functions it is designed to perform

at the level promised. *inally% since it is a power tool% they expect the tool to be safe.

/9.8now Fhat Eou$re 7elling

he best product descriptions are those that clearly identify what a company is selling. his is not as obvious as it may seem.any hotel owners% for example% thin" they are selling rooms. Bonsequently% they build as many rooms as they can as cheaply as

they can by having thinner walls between the rooms. hey then try to create a high profit margin by filling their thin6walled

rooms with a high volume of guests.


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he best hotels C the ones that create the greatest customer loyalty C are the hotels who reali+e the product they are actuallyselling is sleep. >otel patrons go to a hotel to sleep. >otels who sell sleep design their facility to ensure nothing disrupts their

customers$ sleep. hin walls mean noise% and noise means sleepless nights. >otel guests who can$t sleep usually do not repeat the

experience. hey go to a hotel where they "now they can get a good night$s sleep. >otels who sell sleep consistently outperformthose who ,ust sell rooms.

/H.=et me give you some examples.

A potwasher in a restaurant sells clean% sterile pots that are free of crusty food% grease and grime. he chefs and coo"s C the potwasher$s customers C either GbuyG the pots from the potwasher or they don$t. Any pots not cleaned to the chef$s satisfaction are

returned to the potwasher until they meet the chef$s requirements. Additionally% the potwasher must place the pots where the chef

wants them% not wherever the potwasher wishes. he potwasher must cheerfully wash the pots no matter how many times thecoo" gets them dirty. If the potwasher continues to fail to clean the pots to the chef$s satisfaction in the manner the chef requires%

the potwasher may soon find he or she is no longer employed as a potwasher.

/).3elivering Fhat Eour Bustomers Fant

:nce you "now what your customers really want and must have to be fully satisfied with your products and services% the nextstep is to GguaranteeG you will deliver that each and every time.

he second step in the Bonsistent 7ervice odel is defining your 7ervice ;uarantees. 7ervice guarantees are clearly articulatedinternal measurements you must achieve to consistently meet your customers$ expectations. 7ervice guarantees quantify your

product description. If you fail to deliver at any time on your Implied &romises customers will lose trust and confidence in your

delivery and will go somewhere else. Again% trust and confidence create loyal customers. herefore% you must ensure% or

guarantee% that proper delivery on the core requirements happens each and every time by each and every employee.

7ervice guarantees typically are determined from your product description. hey are the critical quality and service standards you

must consistently achi6eve in order to fulfill your product descripttion.

*or example% the service guarantees that hotel customers want are relatively clear. >otel patrons want a clean% safe% quiet%

comfortable% and fully6functional room. hey want it every time. If the room is not clean even once% or the room is robbed once%or the lights don$t wor" one time! the customers will lose confidence in the hotel. hey will see" competitors who they feel better

GguaranteeG the cleanliness% safety% quietness% comfort% and functionality they require in a hotel room.

7ervice guarantees are the measurable standards you set to ensure your employees deliver a consistent product. hey are thecritical indicators of whether your employees are winning or losing. 7ervice guarantees are the scorecard and measurement of

your success.

/.?nsuring Bonsistency in 3ay6to63ay :perations

he only way you can GguaranteeG your products and service delivery will be the same each time is by ensuring all of youremployees maintain the same 7tandards% abide by the same &olicies and &rocedures% and use the same &rocesses% &ractices and

7ystems to perform their ,obs at the desired level. If one house"eeper uses one procedure or process to clean a hotel room% andanother has a different procedure or process% the room may be cleaned inconsistently. 7tandards% policies% procedures% processes%

practices and systems are put in place as a means to replicate the specific performance and experience expected by your

customers. If employees fail to follow those guidelines% it$s impossible to guarantee the results will be consistent. Bonsistentenforcement of the defined procedures and processes is the "ey to consistent service. Eour employees need to reali+e the

importance of performing their wor" and following the policies% procedures% processes and practices exactly as designed. And

they must commit to do so each and every time.

:nce you "now the standards% policies% procedures% processes% practices and systems necessary to deliver on the implied

promises% the next step is to train your staff to faithfully abide by them. he most effective raining% therefore% is training that is

targeted specifically to instruct employees on the standards% policies% procedures% processes% practices and systems necessary toguarantee their existence. he only training that has real% lasting value is that which is lin"ed to the employees$ product

description% service guarantees% and the tas"s they must carry out to meet the customers$ specific requirements.


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