research berry
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Building a Strong
Services Brand
Leonard Berry
Mays Business SchoolTexas A&M University
2005 AMA SERVSIG Doctoral Consortium
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Question
What do Mayo Clinic
and Starbucks
have in common?
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A Service Branding Model
Organizations
Presented Brand Brand Awareness
External Brand
Communications
Customer Experience
with Organization
Brand Equity
Brand Meaning
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Goods Versus Service Brands
Labor-Intensive Goods Brands
(Judith Leiber Handbags)
Equipment-Intensive Goods Brands
(Crest Toothpaste)
Labor-Intensive Service Brands
(Ritz Carlton Hotels)
Equipment-Intensive Service Brands(AT&T)
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Equipment-Intensive Labor-Intensive
Goods Brand Service Brand
Focal Brand Product Company or Person
Primary Sources Product People, Facilities,
of Benefit and Equipment
Quality Level Uniform Variable
Experience Relatively Few Numerous
Touchpoints
Production Site Not experienced Usually experienced
by customers by customers
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The more consequential,complex, and variable the
service, the more customersneed brand reassurance.
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A strong brand is a safe
place for customers.
Stan Richards, FounderThe Richards Group
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For labor-intensive services,
the most important marketers
are the employees who
perform the service.
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Principles of Branding
Labor-Intensive Services
Orchestrate the Clues
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Customers always have an
experience when they interact
with an organization.
They cannot avoid one.
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Customers consciously and
unconsciously filter a barrage
of clues and organize theminto a set of impressions --
some rational, some emotional.
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Each clue carries a message
and the composite of cluescreates the total experience.
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Functional Clues
Clues emitted by the functionality
of the good or service.
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Mechanics Clues
Clues emitted by stimuli
associated with things --sights, smells, sounds, textures.
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Humanics Clues
Clues emitted by stimuli associated
with people -- choice of words, toneof voice, level of enthusiasm,
appearance, body language.
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Clue Categories
Functional
Mechanics
Humanics
Rational perceptions ofbenefits/burdens
Emotional perceptions of
benefits/burdens
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A Lesson to Remember
Excellent mechanics clues
cannot overcome
poor humanics clues
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Services branding requires
orchestrating clues to tellthe services story.
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Principles of Branding
Labor-Intensive Services
Orchestrate the Clues
Connect Emotionally
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The truth is, what makes a
brand powerful is the
emotional involvement ofcustomers.
Charlotte Beers
Retired Advertising Executive
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Emotional connection
requires values
alignment between
brand and customers.
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Authenticity
Generosity
Kindness
Honesty
Personal Relationships
Innovations
Emotional Connectors
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Services with Most or All of these
Characteristics Offer the Best Opportunityto Create an Emotionally-Rich Brand
periodically deliveredperiodically delivered personally importantpersonally important
interactiveinteractive
intimateintimate
complexcomplex
variablevariable
familyfamily--orientedoriented
P i i l f B di
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Principles of Branding
Labor-Intensive Services
Orchestrate the Clues
Connect Emotionally
Internalize the Brand
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Internal branding means
teaching, selling, and
reinforcing the desired
brand to employees.
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External brand
development requires
internal brand
development.
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Branding Labor-Intensive Services
Orchestrate the Clues
Connect Emotionally
Internalize the Brand