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Marketing Management-II
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Tangibility Spectrum
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Inseparability
Services cannot
be seen, tasted,
felt, heard, or
smelled before
purchase
Services cannot
be separated
from their
providers
Services
Variability
Perishability
Quality of
services depends
on who provides
them and when,
where, and how
Services cannot
be stored for
later sale or use
Inseparability
Intangibility
Increase
productivity of
providers
Use cues to
make it tangible
Services
Variability
Perishability
Standardize service
production & delivery
Match supply
and demand
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Service Blueprinting
A tool for simultaneously depicting service process, customer
contact points, & evidence of service from customers point of
view.
Service Products
A service product comprises of all elements of service performance, both
tangible & intangible, that create value for customers.
Service products consist of:
Core Product central component that supplies principal, problemsolving benefits customers seek
Supplementary Services augments core product, facilitating its use
& enhancing its value & appeal
Delivery Processes used to deliver both the core product & each of
supplementary services
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Information
Payment
Billing
Consultation
Core
Exceptions
Order-Taking
Hospitality
Safekeeping
KEY:
Facilitating elements
Enhancing elements
Physical Evidence:
The environment in which the service is delivered and where the
firm and customer interact, and any tangible components that
facilitate performance or communication of the service.
Process:
The actual procedures, mechanisms, and flow of activities by which
the service is deliveredthe service delivery and operating
systems.
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Service
Quality/Satisfaction
Relationship
Marketing
Experience
Management
Reliability
Responsiveness
Assurance
Empathy
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Expected
Service
GAP
Perceived
Service
Provider Gap 1
CUSTOMER
Customer
expectations
Perceived
Service
COMPANY
Gap 1:
Listening Gap
Company
perceptions of
customer
expectations
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Provider Gap 2
CUSTOMER
COMPANY
Gap 2:
Service Design &
Standards Gap
Customer-driven
service designs &
standards
Company
perceptions of
customer
expectations
Provider Gap 3
CUSTOMER
COMPANY
Gap 3:
Service
Performance Gap
Service delivery
Customer-driven
service designs &
standards
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Provider Gap 4
CUSTOMER
COMPANY
G4
Communication
Inflated Expectation
Real Expectation
Service
Quality
Managements
Perceived
Customer
Expectation
G1
Marketing
G2
Design
G3
Conformance
Service
Design Spec.
Service
Delivered
Service Providers
Assessment
Service Received
Customers
Assessment
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Service-Quality Model
Satisfaction/Dissatisfaction Judgments
Satisfaction can be defined as an attitude-like judgment
following a service purchase (or series of service
interactions).
Disconfirmation Paradigm
Expectations: beliefs we have before usage
Performance: evaluation of what happened
Disconfirmation: occurs when these two are not equal
positive leads to satisfaction
negative leads to dissatisfaction
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HOWEVER,
Only a small percent of customers complain
Service recovery must be SUPERLATIVE
Service recovery is expensive
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Relationship Marketing
Relationship Marketing
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Relationship Marketing
Discrete transactions vs relational exchange
Attracting, maintaining & enhancing customer relationships
Goal is to earn the position of preferred supplier by
developing trust in key accounts over a period of time.
All marketing activities directed towards establishing,
developing & maintaining successful relational exchanges.
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CRM
Its about
engage
transact
fulfill
service
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Experience.
With ever greater commoditization of companys
offerings, the experience of customer with the firm
matters most.
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CRM vs CEM
CRM
CEM
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BusinessAnalysis
3CAnalysis
Product:
Objectives&Strategies
M
K
I
S
Price:
Objectives&Strategies
Place:
Objectives&Strategies
Promotion
(IntegratedMarketingCommunications):
Objectives&Strategies
IntegratedMarketingMix
THEINTEGRATEDMARKETINGPLAN
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