Tour Operations Management Delivering Customer Service What is service quality? How is it achieved?

What is Quality Fitness for purpose, conforming to specification (Oxford Dictionary) Who sets the specification for quality? The ability to satisfy stated or implied needs (ISO) The fit between consumer expectations and perceptions (Zeithaml, Parasuraman, Berry 1990) see handout

What do customers expect? Technical efficiency ‘Functional quality’ -how the service is delivered (Gronroos 1984) The SERVQUAL model (Zeithaml et al 1990) –reliability –responsiveness –assurance –empathy –tangibles

The problem of service quality Expectations Quality Consistency reliability a memorable experience Nature of services Intangible inseparable variable perishable (Cowell 1986) The tangibles - signs, brochures, uniforms, equipment etc - reinforce the brand image and establish the professionalism of the organisation (Morgan 1996)

How to deliver the promise Technically Research and monitor customer satisfaction Set standards Specify procedures - blueprints, manuals Monitor performance Dangers: de-skilling employees Efficiency v responsiveness

Improving functional quality Involve staff in the process Awareness training –the SAS Human Factor approach Ownership of the problem –eg quality circles Empowerment –responsibility and authority to deal with problems

Other approaches Zeithaml’s 5 gaps in service quality Adapted by Jensen (in B&L 2002) to take account of the co-production of tourism products Total Quality Management –pro-active approach by the whole organisation to eliminate the costs of unsatisfactory service

Club Med case study The philosophy –a radically different environment –no barriers rules or restraints –sincere human contact Rituals –casual dress, sarongs –beads instead of money –Gentils Organisateurs (GO) not staff –Gentils Membres (GM) not guests –regarded as equals, no tipping

Club Med resorts Self-contained villages on isolated sites – ( beds) inclusive packages including food, drink and sporting activities French owned, originally French speaking now 77 villages in 24 countries Mediterranean origins, now worldwide Visitors 47% French, 18% N.American, 27% European

Club Med marketing Traditionally word-of-mouth and brochures –70% repeat business worldwide US market 20-40, upscale, urban Prices comparable to other package holidays In US sold through travel agents on commission 50 page agents’ guide to the product PR campaign plus magazine advertising

Problems and Solutions From this 1970s survey, what did the American customers complain about? identify the underlying causes of these problems –Use Jensen’s gap model to identify where misunderstandings occurred –technical v functional service delivery –deeper cultural differences in attitudes? How should Club Med solve these problems –in the short term? –through its long-term strategy for the US market?