The impact of technology on customer service Chapter 9 © Hudson & Hudson. Customer Service for Hospitality & Tourism

Topics Covered o Technological developments and communication o Technology and the consumer decision journey o Online tourism marketing o Service and the consumer decision journey o Advantages and disadvantages of electronic distribution of services

‘At Your Service’ Spotlight: Virgin Atlantic Airways Virgin Atlantic is about fun, energy, pioneering, and a love of flying. We try to live our brand when communicating with customers o Social media enhances engagement with consumers Brand reinforcement tool Customer relationship management Develop trust, loyalty and preference o Advertising conversation-centric not campaign-centric o VAA social media Resolve customer issue Dependable service delivery, via instant updates Changing needs and service improvements o Customer led conversations Information, stories, advice, insights Market relevancy

The impact of technological developments on communication o Rapidly changing communications environment Dominated by digital technology Social networks supplanting brand networks Ethical considerations o Consumers increasingly in control More access to information More ‘promiscuous’ in brand relationships How and when advertising is received o Post-purchase consumers behavior Customer review o Tourism marketers Internet growth in populous, developing nations Annual online sales increasing Touch points have changed

The traditional purchase funnel Table 9.1

The consumer decision journey today Figure 9.2 (Source: Adapted from Court et al. 2009)

The consumer decision journey o ‘Zero Moment of Truth’ (ZMOT) o Consideration stage Social media campaigns to drive traffic to websites o Evaluation stage Product-comparison sites increasing influential Digital ambassadors Incentives e.g. free vacations Virtual tours and virtual worlds o Buy stage Point of purchase o Enjoy, advocate, and bond After purchase brand connection Crowd sourcing and brand innovation Consumer complaints

Service Snapshot: Barbados leveraging social media Healthy Mind, Body, Program o Augmented reality and interactive TV o Active social media strategy BFC Facebook page patient community o Fertility application for iPhone and iPad Information video with interactive buttons Ovulation calendar Medication alerts, push notifications, lifestyle tips, Medical glossary o Palm tree ‘QR code’ Relaxing, health lifestyle, location o Flat graph of success rates o ‘Pay per click’ sponsored words

Online tourism marketing o Success factors Attracting users Engaging users’ interest and participation Retaining and repeat users Learning about user preferences Customized interactions

e-Servicescape, website trust and purchase intentions Figure 9.3 (Source: Adapted from Harris and Goode, 2010)

Advantages and disadvantages of electronic distribution of services Table 9.1 (Source: Adapted from Harris and Goode, 2010)

Case Study: Vail Resorts apps and customer experience o Smart card technology Ski lift pass doubles as resort credit cards Multiple ski hills, resorts o EpicMix ski app Log runs, lifts taken Vertical mileage Pins for achievements o EpicMix account Personal and professional photos Trail map GPS hook up with friends and family o Social media Encourages story sharing Capturing memories on mountain and being able to share with friends and family is particularly important on a ski vacation.