30 Questions
In the context of services, what is the term used to describe the physical environment in which a service is delivered?
Servicescape
What is the primary goal of a company's process in terms of customer experience?
To provide functional and customer service expectations
What is the term used to describe the total product or service experience?
Customer journey
What is the main purpose of creating a customer journey map?
To improve the overall customer experience
What is the term used to describe the deliberate use of music, scent, and lighting to influence customers' perceptions?
Atmospherics
What is the primary benefit of digital technology in the service process?
To make the service process faster, cheaper, or more efficient
What is the term used to describe the individual interactions between a customer and a company or its staff?
Touch points
What is the primary characteristic that distinguishes a service from a good?
Intangibility
Which of the following is a characteristic of services that implies a shared responsibility between the customer and service provider?
Inseparability
What is a key aspect of service development in terms of the bundle of services offered?
Offering services as a standardized package
What is a common pricing strategy for services?
Pricing based on the level of demand
Why do service marketers face difficulties in balancing supply and demand?
Because services cannot be stored for future use
What can be used to reduce feelings of uncertainty among consumers when purchasing a service?
All of the above
What is a promotional tactic used to make services more tangible?
Visualisation
What is a key aspect of distribution channels for services?
Short and direct marketing channels
What is the result of the application of human and/or mechanical efforts to people or objects?
A service
What is the term for the level of interaction between the service provider and customer needed to deliver the service?
Customer contact
What is co-creation in the context of services?
When the customer takes an active role in the service experience
What is the term for the inability of unused service capacity to be stored for future use?
Perishability
What is the term for the 'human' aspect of products, services, or experiences?
Participants
What is the term for the tangible and intangible clues the customer may observe during a service experience?
Physical evidence
What is the primary goal of restricting demand as a pricing strategy?
To manage capacity
Which of the following is a key strategy to overcome heterogeneity in service delivery?
Investing heavily in staff training
What is the primary benefit of offering cheaper movie tickets on Tuesdays?
To attract a new customer segment
What is the primary challenge of maintaining a consistent quality of service delivery?
The nature of human behavior
Which of the following is a characteristic of equipment-based services?
Greater homogeneity
What is the primary goal of yield management in service development?
To optimize pricing
What is the primary benefit of implementing a reservation system?
To manage capacity
Which of the following is a key strategy to overcome heterogeneity in service delivery?
Developing a service delivery system or automating
What is the primary benefit of investing heavily in staff training?
To increase consistency and reliability
Study Notes
Servicescape
- Atmospherics: creating a compelling and engaging atmosphere to communicate a company's image using music, scent, and lighting to influence customer perception
- Important for validation of the quality of services or experiences and positioning
Processes
- Flow and progress of customers when engaging with a product or company should exceed expectations (functional and customer service)
- Queuing, impartial control of waiting times, sensitivity, privacy, and confidentiality of customer interactions are crucial
- Digital technology can enhance the service process, making it faster, cheaper, or more efficient
Customer Experience
- Customer journey: the total product/service experience, a visual tool to understand customer interactions
- Touch points: opportunities for customers to form opinions and attitudes about a company's products or services
- Managers plan the total customer experience around these touch points
Marketing Mix for Services
- Development: services are offered as a bundle (core and supplementary service), standardized package, or 'tangibilizing' tangible components
- Pricing: based on variables like performance, time, demand, and quality
- Distribution: short and direct marketing channels, changing high-contact services to low-contact ones
- Promotion: tangible cues, brand names, logos, visualizing, associating, physical representation, and documentation
Expanded Marketing Mix (8Ps)
- People: actors involved in the process, also known as participants (human aspect)
- Physical Evidence: tangible and intangible clues observed by customers (e.g., servicescape)
- Processes: flow and progress of customers when engaging with a product or company
- Partnerships: collaborations between companies to enhance the customer experience
Co-creation
- Occurs when customers take an active role in the experience, driving it according to their preferences or values
- No experience exists without customer participation in planned processes
Personnel
- Employees are the 'face of the company,' enhancing the customer's overall impression
- Staff training and customer interaction are crucial for customer satisfaction
- Aesthetic/emotional labor is important for customer experiences
Customer-to-Customer (C2C) Interaction
- Services are consumed in the presence of other customers, influencing the evaluation of the service
- Minimizing negative interactions is key, using positioning, layout, staff training, and establishing minimum standards
This quiz covers the importance of servicescape and atmospherics in services marketing, including the impact of physical environment and sensory aspects on customer perception.
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