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The Art of Hospitality: Thoughts on Service, Customer Value and Experience Creation
Coaches:Robert J. Harrington, PhD, MBA
&Byron Marlowe, PhD Candidate, MBA
Hospitality and Wine Business ManagementCarson College of Business
Washington State University, Tri-Cities Campus
Agenda
• “Everything I learned about service is from children’s books”
• The Art of Hospitality defined• Session 1: The Art of Thinking Small
– Individualized, Co-created Services• Session 2: The Art of the Experience
– Experiential Value Opportunities• Session 3: ‘People are Messy’
– The Good, Bad and Ugly of Customer Service
Attitudes about Service
Attitudes about Service
“The Art of Hospitality”
“The Art of Hospitality”
+H
Tao is a Chinese concept signifying 'way', 'path', 'route', or sometimes
more loosely, 'doctrine' or 'principle'.
“The Art of Hospitality”
Why?What does it mean?
+H
• Trends• Change/Adaptation• Need for differentiation• Increased competition• Higher guest expectations
“The Art of Hospitality”
“The art of thinking
small”
“The Art of Hospitality”
“The art of thinking
small”
“The art of creativity & innovation”
“The Art of Hospitality”
“The art of thinking
small”
“The art of creativity & innovation” “The art
of tacit knowledge”
“The Art of Hospitality”
“The art of thinking
small”
“The art of creativity & innovation” “The art
of tacit knowledge”
“The art of the
experience”
“The Art of Hospitality”
“The art of thinking
small”
“The art of creativity & innovation” “The art
of tacit knowledge”
“The art of the
experience”
“The art of exceeding
expectations”
“The Art of Hospitality”
“The art of thinking
small”
“The art of creativity & innovation” “The art
of tacit knowledge”
“The art of the
experience”
“The art of exceeding
expectations”
“Instilling the hospitality
heart”
“The Art of Hospitality”
“The art of thinking
small”
“The art of creativity & innovation” “The art
of tacit knowledge”
“The art of the
experience”
“The art of exceeding
expectations”
“Instilling the hospitality
heart”
“The Art of Hospitality”
“The art of thinking
small”
“The Art (and Science) of
Hospitality”
“The art of thinking
small”Co-creation conceptKey aspects:- Not restricted to
the best available choice
- Communication and involvement differences
- Value-in-use vs. product/service value
“The Art (and Science) of
Hospitality”
“The art of thinking
small”Co-creation conceptKey aspects:- Not restricted to
the best available choice
- Communication and involvement differences
- Value-in-use vs. product/service value
The “Paradox of
Choice”
“The Art (and Science) of
Hospitality”
“The art of thinking
small”Co-creation conceptKey aspects:- Not restricted to
the best available choice
- Communication and involvement differences
- Value-in-use vs. product/service value
- Barriers and opportunities
- Continuum based on type of service, staff and customer
- Trust, technology, training, and cultural needs
“The Art (and Science) of
Hospitality”
“The art of thinking
small”Co-creation conceptKey aspects:- Not restricted to
the best available choice
- Communication and involvement differences
- Value-in-use vs. product/service value
- Barriers and opportunities
- Continuum based on type of service, staff and customer
- Trust, technology, training, and cultural needs
Challenges:• Customer
engagement needs
• Idiosyncratic needs
• Training and development
• Other barriers
Outcomes:• Differentiation• Experiential value• Loyalty• Delight• Vivid memories• Positive word of
mouth
“The Art (and Science) of
Hospitality”
“The art of thinking
small”Co-creation conceptKey aspects:- Not restricted to
the best available choice
- Communication and involvement differences
- Value-in-use vs. product/service value
Related research:- Barriers and
opportunities for hotels
- Contrasts to co-production
- The conceptualization in tourism and hospitality
Example
Co-Creation Discussion• Individually – write down 2-3 examples of services your
firm/you provide that might be considered as a form of co-creation
• Separate into groups of 3-4• Discuss as a group after sharing your examples:
– What types of products/services lend themselves to a co-created service approach?
– What product/service types might be offered in a more co-created format in the future?
– What are the barriers and opportunities?• Each group will share their favorite example(s) and a
recommended co-created service in that might be utilized
Key Points/Takeaways?
• The Journey Toward Uniqueness!• Innovate and Co-create!• Organizational, Situational and Personal
Factors– Impact co-creation levels
• Paradox: Choice vs. Personalized• Past, Present and Future!
– Success requires greater engagement by all actors
SESSION 2: THE ART OF THE EXPERIENCE
Break Time!
Next Up -
Otherness: A Cure for the Mundane
Otherness: A Cure for the Mundane
Otherness: A Cure for the Mundane
“The Art of Hospitality”
“The art of thinking
small”
“The art of creativity & innovation” “The art
of tacit knowledge”
“The art of the
experience”
Experience Economy
The 4 Realms of an Experience
“The art of the
experience”
Education:• Learning as a
consumer motivation in wine tourism continues regardless of demographics or life cycle stage.
• Is less important to repeat visitors then first time visitors.
“Enhanced knowledge or skills involving
products”
“The art of the
experience”
Entertainment:• “Edutainment” the
synthesis of the educational and entertainment experiences in the experience economy.
• Wine is positioned as a luxury item that includes a lifestyle inclusive to art and culture.
“Engaged by performers”
“The art of the
experience”
Esthetics:• The evaluation of
the consumption of wine, as it takes place in the tasting room, has much in common with consuming music and art.
• An immersion in a sensual environment.
“Enriched by unique environments”
“The art of the
experience”
Escapism:• An immersive activity
wherein consumers are engrossed in a different time or place.
• It is suggested that less then 25% of winery tasting room visitors have identified tasting and buying wine as their main purpose for visiting a winery.
“Engrossed as a participant in a different place”
The Fat Duck in London
Example: 21c Museum HotelYouTube of Concept
https://www.youtube.com/watch?v=pW0ofz7Lrgk
4E Inventory Audit Exercise
• 4E Audit: Chart included in your packet• In each “E”, identify activities, displays,
materials, customer interaction, that represent each of the 4Es.
• Some of these may be listed in two or more.– This is a “good” thing– Remember “Edutainment”
The 4Ps Educational Experience Esthetic Experience Entertainment Escapist Experience
Traditional Marketing
Components
Contributing to the consumer’s knowledge, skill or personal
development
Immersing the consumer in unique, harmonious, and
sensory appealing environment
Experience Absorbing the consumer
in a performance
Providing ways for consumers to actively participate in creating a different sense of place or time
Each element should add sensory pleasure, meaning (stories or insights), and personal relevance for the consumer.
Product:“The core and augmented experience”
B&B or winery has heritage rose garden labeled with varieties names and history.
Windows of store, shop, or winery frame an outdoor view, while the ceiling is painted with a celestial pattern.
Retail or restaurant has large fish in wall-sized tanks provide activity to watch
Bridal or florist shop windows resembling church stained-glass
Fishing guide tells stories during fishing excursion.
Price:“An experience has greater economic value”
A class on pairing cheese and wines includes take home materials.
Tasting menu includes gift of linens or pre- printed elegant note cards.
Private spaces used for folk dance performance or cabaret event.
Wines or jams are custom labeled with customers’ art work.
Place: Distribution “Sharing the experience”
Winery hosts special tastings for trade professionals, earning them “certification”.
Custom labels are created for products for sale at restaurants or special stores.
Watching videos of how products are made or how buyers select products while waiting.
Apple-scented business cards used by pick your-own apple farm.
Promotion: “Invitation to thememorable experience”
Brochure supplies historical fun facts followed by a quiz for children or adults. Send in quiz for a drawing to win a free gift.
Photo contest for visitors selects the best to be published in a glossy coffee table book.
Product catalog provides funny testimonials from customers.
Slide show played on property and web shows customers stomping grapes during harvest festival.
Wrap Up & Leveraging the 4Es
Incorporate all of the 4Es to maximize experiential value.
• Specialize in one or more of the 4Es.
• Use multiple strategies to highlight all the 4Es.
• Underscore the 4Es in all communications.
SESSION 3: PEOPLE ARE MESSY
Break Time!
Next Up -
“People are Messy” – The Good, Bad and Ugly
Augustus: Gluttony – excess in eating or drinking.
Mike Teavee: Obsession – a persistent preoccupation.
Veruca Salt: Greed – a selfish desire for something.
Violet Beauregarde: Addiction – a strong need to have or do
something.
Charlie Bucket: A sense of delight, engaged and enjoying
the experience.
“The Art (and Science) of
Hospitality”
“The art of thinking
small”
“The art of creativity & innovation” “The art
of tacit knowledge”
“The art of the
experience”
“The art of exceeding
expectations”
“Instilling the hospitality
heart”
The Capital Hotel, Little Rock"Southern Comfortable"
About Our Founder:• As a female pioneer in a male-dominated
industry, our founder, Ruth Fertel, recognized the value of each and every employee’s contribution to her success, regardless of race, gender, ethnicity, religion or creed. As an Equal Opportunity Employer, we continue to value the unique differences of each and every team member, guest, franchisee and vendor.
•We'd love to hear how you think you'd fit into our extraordinary culture.
• The legacy began when Ruth Fertel mortgaged her home for $22,000 to purchase "Chris Steak House," a 60-seat restaurant located in New Orleans, Louisiana in 1965.
• Their success continues to be driven by our adherence to Ruth's core values.
Our Mission:• We devote ourselves every day to
upholding the highest standards of quality, value and hospitality. Here, pride and integrity are a way of life, where going the extra mile isn't a chore but a part of our moral code.
Fairmont’s Canine Ambassadors Known for thoughtful and welcoming service, Fairmont Hotels & Resorts offers a distinctive service at select hotels with resident hotel dogs known as Canine Ambassadors. Travelers missing their own furry friend or looking for a companion while taking a walk can bring along the resident Fairmont dog for extra security and the comfort of home.
Customers: The Good, Bad & UglyBlondie: [spits] “God's not on our side because he hates idiots also.”
Individually, note an experience with a customer that you would define as:• The Good• The Bad• The Ugly
Customers: The Good, Bad & Ugly• Separate into groups of 3-4.• Discuss as a group after sharing your examples:
– What experiences were similar and different in each customer example? Good, Bad and Ugly
– What opportunities does this suggest for • Assessing customer types?• Assessing customer needs/moods?• Breaking down communication or other barriers in the
customer experience?
• Each group will share their favorite example in each category and a recommended approach to minimize the bad or move to the good
Takeaways? The Art of Hospitality
• How might we use the concept of co-creation in our service delivery?
• How do we add value for our customers? How best to communicate benefits that resonate?
• What elements of an experience are strengths or weaknesses in our service delivery (Education, Esthetics, Entertainment, and Escapism)?
• What techniques can I try to maximize “the good” customers or move “the bad” to “the good”?
The Art of Hospitality: Thoughts on Service
Key Points:• Attitudes matter – don’t allow yourself to feel like “just an
old stump”! Bring your “A” game – a caring attitude!• Co-created experiences demand:
– Organizational, situational and personal factors to line up• Create a rapport (Greeting within 10 seconds – then follow their lead on
volume, tempo, tonality; make eye contact)• Ask appropriate questions (how are you? Where have you been? Do you
drink wine often? Collect wine? Etc.)• Don’t dumb down too much or overwhelm with too much trivia• Avoid “but” - use “and” instead, • avoid “got to”, “must”, “have to” - use “might” or “could”• Selling is indirect and decision is theirs!
The Art of Hospitality: Customer Value
Key Points:• Being enthusiastic is easy - if you can define the value
and benefits you provide. • Depending on your primary, secondary and tertiary
customer segments this may vary.• The value may be based on a more holistic view of the
experience.• Value is not permanent – it changes over time for each
customer and in your competitive set.
The Art of Hospitality: Experience Creation
Key Points:• Experience defined by an interaction of four elements
– Educational: Contributing to the consumer’s knowledge, skill or personal development
– Esthetic: Immersing the consumer in unique, harmonious, and sensory appealing environment
– Entertainment: Experience Absorbing the consumer in a performance
– Escapist: Providing ways for consumers to actively participate in creating a different sense of place or time
Performing a 4E Internal Audit? Chart included in your packet