designing & managing services · how do we define and classify services and how do they differ...
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Designing & Managing Services
W. Rofianto
How do we define and classify
services and how do they differ
from goods?
Service is any act of performance that one party
can offer another that is essentially intangible and
does not result in the ownership of anything; its
production may or may not be tied to a physical
product.
Product is a bundle of physical, service, and symbolic attributesdesigned to satisfy a customer’s wants and needs.
Service SectorsGovernment
Private
nonprofit
Business
Categories of Service Mix
Pure tangiblegood
Good w/ accompanying services
Hybrid
Service w/ accompanying goods
Pure service
Continuum of Evaluation for Different Types of Products
Distinctive Characteristics of Services
How do we market services?
Place
PeopleEquipment
Communication
material
Symbols
Price
Service quality through physical evidence
Matching Demand and Supply
Reservation systemsDifferential pricing
Complementary servicesNonpeak demand
Increased consumer participation
Part-time employees
Matching Demand and Supply
Shared servicesPeak-time efficiency
Service Guarantees through Increasing
Quality Control
Invest in good hiring and
training procedures
Standardize the
service-performance
process
Monitor
customer satisfaction
A Blueprint for Overnight Hotel Stay
How can we
improve service quality?
Service Marketing Triangle
Service-Quality Model
Parasuraman, Zeithaml & Berry, 1985
Customer-Failures Reduction
Redesign processes and redefine
customer roles to
simplify service encounters
Incorporate the right technology
to aid employees and customers
Create high-performance customers
by enhancing their role clarity,
motivation, and ability
Encourage customer citizenship
where “customers help customers”
Satisfying Customer Complaints
40 % of customers who suffer through a bad service
experience stop doing business with the company.
But if those customers are willing to complainfirst, they actually offer the company a gift if the
complaint is handled well.
How do service marketers create
strong brands?
Best Practices of Top Service Company
“Customer obsessed.” Strategic Concept
Top-Management Commitment
High Standards
Satisfying Customer Complaints
Satisfying Employees
Self-Service Technologies
Monitoring Systems
Is service marketing different fromproduct marketing?
A. Product and service marketing are fundamentally different.
VS
B. Product and service marketing are highly related.
Service is the fundamental basis of exchange
Goods are a distribution mechanism for service provision
The customer is always a co- creator of value
The enterprise cannot deliver value, but only offer value propositions
The New Paradigm: Service-dominant logic