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Services Marketing

Service Marketing

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Page 1: Service Marketing

Services Marketing

Page 2: Service Marketing

Themes Of My Presentation

The Servuction Model Art of BluePrinting Steps in Designing a BluePrint Fail Points

Page 3: Service Marketing

The Servuction Model( the service experience)

Model used to illustrate factors that influence service experience, including those that are visible and invisible to consumer.

Invisible component consists of invisible organizations and systems.

Page 4: Service Marketing

The Servuction Model( the service experience)

Visible part consists of 3 parts: inanimate environment, contact personnel/service providers, and other consumers.

Inanimate environment: All nonliving features present during service encounter.

Contact personnel: :Employees other than primary providers that interact with consumer.

Page 5: Service Marketing

The Servuction Model( the service experience)

Service Provider: Primary provider of core service, such as dentist, physician or instructor.

Other Customers• Customer A : Recipient of bundle of

benefits created through service experience.

• Customer B : Other customers who are part of Customers A’s experience.

Page 6: Service Marketing

Customer Involvement in Production Process

Servuction model demonstrates consumers are an integral part of service process.

Participation may be active or passive, but always there.

Managers must understand interactive nature of services and customer involvement in production process.

Page 7: Service Marketing

Art of Blueprinting

Blueprinting is flowcharting of a service operation.

Enables marketing managers to understand the parts of operating system visible to consumer, hence part of servuction system.

Identifying components of an individual firm’s servuction system is difficult.

Page 8: Service Marketing

Art of Blueprinting

Many firms underestimate points of contact.

Service flowcharts allow managers to better understand servuction process.

Designing the process is key to product design.

Visible part of operations must be supported by invisible process.

Page 9: Service Marketing

Art of Blueprinting

Blueprint provides communications between operations and marketing on paper before they occur in real time.

Page 10: Service Marketing

Steps in Designing a Blueprint

Identify the process to blueprinted Map process from the customer’s

point of view Draw line of interaction Draw line of visibility Map process from customer contact

person’s view distinguishing visible activities form invisible

Page 11: Service Marketing

Steps in Designing a Blueprint

Draw line of internal interaction Link customer and contact person

activities to needed support functions

Page 12: Service Marketing

The Evidence of Service

(from the customer’s point of view)

People

Process PhysicalEvidence

Contact EmployeesOther Customers

TangibleCommunication

PriceServicescapeGuarantees

Operational Flowof Activities

Steps in the Process Flexibility

Page 13: Service Marketing

Service Blueprint Components

Line of Interaction

Line of Visibility

Line of Internal Interaction

INVISIBLE SUPPORT ACTION

“BACKSTAGE” CONTACT ACTIONS

“ONSTAGE” CONTACT EMPLOYEE ACTIONS

CUSTOMER ACTIONS

Page 14: Service Marketing

Service Blueprint Component

Line of Interaction

Line of Visibility

Line of Internal Interaction

INVISIBLE SUPPORT ACTION

“BACKSTAGE” CONTACT ACTIONS

“ONSTAGE” CONTACT EMPLOYEE ACTIONS

CUSTOMER ACTIONS

Page 15: Service Marketing

Overnight Hotel StayP

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Con

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usto

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Invi

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(Back Stage)

(On Stage)

Arrive

HotelExteriorParking

Cartsfor

Bags

Give Bags

GreetTakeBags

DeskLobbyKey

CheckIn

ProcessPapers

PaperSystem

Take bagsto room

DeliveryBags

ReceiveBags

Cartfor

Bags

Go to Room

ElevatorsHallways

Room

Page 16: Service Marketing

Overnight Hotel StayP

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Con

tact

P

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Invi

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(Back Stage)

(On Stage)

Menu

Call Room Service

Take FoodOrder

PrepareFood

DeliverFood

ReceiveFood

DeliveryTray Food

Appearance

Food

EatCheck Out& Leave

ProcessCheck Out

Paper System

BillDesk

LobbyHotel

Parking

Page 17: Service Marketing

Art of Blueprinting

Provides a check on logical flow of whole process

Bottlenecks represent points in system where consumer waits longest.

Balanced Production Line: Process times and inventories of all steps are same or consumer never waits for next process.

Page 18: Service Marketing

Art of Blueprinting

Managers should recognize benefits of changing system to process consumers more effectively.

Target times should initially be set by marketing and based on consumers expected level of service.

Page 19: Service Marketing

Fail Points

Three Characteristics:• Potential for operations malfunction is

high.• Results of the malfunction visible to

consumers.• System malfunction is regarded by

consumers as particularly significant.

Page 20: Service Marketing

Operations Blueprint

Alternative way to develop blueprint would be to start from consumer scripts.

Consumers would describe their process they follow in using a service.

Page 21: Service Marketing

USAir Blueprint

Consumers asked about a USAir flight might start with the travel agent.

Then they might describe the airport, parking, and terminal.

Page 22: Service Marketing

Constructing Blueprint

1st step: elicit scripts from both employees and consumers.

One-sided blueprint: Unbalanced blueprint based on management’s perception of how sequence events should occur.

Page 23: Service Marketing

USAir Blueprint

Employee scripts are equally important in identifying parts not observable to consumer.

Page 24: Service Marketing

Constructing Blueprint

Consumers posses purchasing scripts that guide their thinking and behavior during service encounters.

Page 25: Service Marketing

Convergent/Divergent Scripts

Convergent scripts: Employee/consumer scripts that are mutually agreeable and enhance consumer satisfaction.

Divergent scripts: Scripts that mismatch and point to areas in which expectations are not met.

Page 26: Service Marketing

Constructing Blueprint

Two-Sided blueprint: Considers both employee and customer perceptions of how events occur.

Consumers are asked to pay special attention to contact activities of service encounters.

Page 27: Service Marketing

Script Norms

Script Norms: Proposed scripts that group events and orders events in sequence of occurrence.

Page 28: Service Marketing

Constructing Blueprint

Blueprint development process identifies steps where system can go awry.

Process involves specifying timeframe of service execution.