MKT 442 Exam 3 Study Guide PDF

Chapter 10: Physical Evidence & Servicescape Relevance of Physical Evidence - Physical evidence: The environment in which service is delivered & where the firm and customer interact, and any tangible commodities that facilitate or communication of the service - Facility exte...

Chapter 10: Physical Evidence & Servicescape Relevance of Physical Evidence - Physical evidence: The environment in which service is delivered & where the firm and customer interact, and any tangible commodities that facilitate or communication of the service - Facility exterior: e.g., exterior design, signage, parking, landscape, surrounding environment - Facility interior: e.g., interior design, equipment, signage, layout, air quality/temperature - Other tangibles: e.g., business cards, stationary, billing statements, reports, employee dress, uniforms, brochures, virtual servicescapes Roles of Servicescape - Package: Convey image to consumers what is “inside” = visual metaphor for intangible service > manage expectations (e.g., Chinese restaurant decor) - Facilitator: Aiding the performance/service delivery (e.g., airport directional signs, waiting areas) - Socializer: Convey expectations (communicate expected roles to both customers & employees = socialization) (e.g., trash cans in fast food restaurants) - Differentiator: Differentiate between competitors & customers = reflect/signal target market (e.g., Motel 6 vs. Ritz Carlton hotel rooms) Bitner’s Servicescape Framework for Understanding Environment-User Relationships in Service Organizations Chapter 11: Employees’ Roles in Service Delivery Boundary-Spanners - Employees that interact directly with customers, bridging the gap between an organization and its external environment - Conflict? - Person/role (e.g., “Customer is always right”) - Inter-client - Organization/client (two-bosses dilemma) - Quality/productivity trade offs - Emotional labor: Labor beyond physical or mental skills needed to deliver quality service; occurs when there is a gap between the way frontline staff feel inside & the emotions that management requires them to display to customers - Genuine emotion - Surface acting: Modify behavior but not internal feelings (can lead to burnout!); suppress felt emotions, fake unfelt emotions - Deep acting: Modify internal feelings to modify behavior; attempt to experience real feelings Human Resource Strategies for Closing Gap 3 - Hire the right people - Competence for the best people - Service Competencies + Service Inclination = Right People - Service competencies: Skills & knowledge necessary for job - Service inclination: Interest in doing service-work (attitudes/values) - Right people: Disposition, Extra, Affinity, Communication, Individual Consideration, Competence - *What makes outstanding service performers cannot necessarily be taught; it is the qualities that are part of person’s personality! - Tools: - Multiple, structured interviews - Observe behavior - Personality tests - Realistic previews of the job - Be the preferred employer - Beyond money, strategies include extensive training, career and advancement opportunities, excellent internal support, incentives, quality goods/services - Develop people to deliver service quality - Train for technical and interactive skills - Promote teamwork: Enhances ability and inclination to provide great service - Empower employees: Giving employees the desire, skills, tools, and authority to serve customer  - Develop people to deliver service quality - Measure internal support systems - Develop service-oriented internal processes - Provide supportive technology and equipment - Retain the best people - Include employees in company vision - Treat employees as customers - “feel valued and meet needs” - Measure and reward strong service performers Chapter 12: Customers’ Roles in Service Delivery Co-Production - = Customer participation - Consumer participates in the performance of the various activities performed in one or more of the stages of service provision Customer Roles in Service Delivery Process - Productive resources - Customers enact the role of “partial employees”; contribute time, effort, & other resources to production process - Inputs can affect org. productivity (+/-) - Contributes to quality and (their own) satisfaction - Quality of service they receive - Taking responsibility for own satisfaction - Asking questions; complaining when service failure happens - Customers’ contribution quality - Outcome quality (= what they did) - Interaction quality (= how they did it) - Own satisfaction with service - Performing role effectively - Working with service provider - Competitors - Customers may “compete” with service provider - Internal exchange vs. external exchange Three Determinants That Impact Customer’s Effectiveness in Performing Role - Ability: - Do I have what it takes to perform role expected of me? - Do I think I could learn? - Motivation: - What’s in it for me performing as expected? - Do I value these rewards? - Rewards allocated fairly? - Role clarity:  - What exactly am I supposed to do? - Do I need to do things precisely, or can I exercise my own discretion? - When, in what sequence, are behaviors supposed to be enacted? Strategies for Enhancing Customer Participation Chapter 13: Managing Demand & Capacity Factors That Contribute to Capacity Constraints - Time, labor, equipment, facilities - Optimal vs. maximum capacity Demand Strategies (Shifting Demand to Match Capacity) Capacity Strategies (Shifting Capacity to Match Demand) Factors That Impact Perceptions of Waiting Times - More strongly influenced by subjective component than objective component - Cognitive: Evaluation of waiting time - Affective: Reaction - stress, boredom Strategies to Manage Waiting - Employ operational logic - Reflect modifying operations - Adjust queuing system (multiple, single, take a #) - Establish reservation process - Differentiate waiting customers - Importance of customer - Urgency of job (ER, air conditioning) - Duration of transaction - Payment of premium price - Make waiting fun, or tolerable Psychology of Waiting - Unoccupied time feels longer than occupied time - In-process waits feel longer than pre-/post-process waits - Anxiety makes waits feel longer (forgotten?) - Uncertain waits feel longer than known, finite waits - Unexplained waiting times are longer than explained waiting times - Unequitable waits are longer than equitable waits - Familiar waits are shorter than unfamiliar waits - The more important, the longer customer waits - Individual waits feel longer than group waits Chapter 14: Integrated Services Marketing Communication Integrated Services Marketing Communications (ISMC) - Strategy that carefully integrates all external and internal communication channels to present a consistent message to customers Approaches for Managing Service Promises - Strong service brands (brands are heuristics = shortcuts) - Enable customers to visualize and understand intangible products - Reduce perceived monetary, social, safety risks when buying services - Become surrogate for firm Approaches for Managing Customer Expectations - Make realistic promises - Offer service guarantee - Offer choices - Create tier-value service offerings - Communicate (teach) criteria and levels of service effectiveness Approaches for Managing Customer Education - Prepare customers for service process - Confirm performance to standards and expectations - Clarify expectations after sale - Teach customers to avoid peak demand periods and seek slow periods Approaches for Managing Internal Marketing Communication - Create effective vertical communications - Sell the brand inside the company - Create effective upward and horizontal communication - Align back-office/support staff with external customers through interaction + measurement - Create cross-functional teams of sales/service/OR people when developing new services or engaging in service improvements - Maintain a customer focus throughout all functions