1. Customer Analysis - II
Euro-Disney

2. Flowcharting, Process Mapping
The activity chain from the customer’s perspective of the complete series of actions and reactions
pre-purchase
purchase
post-purchase
Objectives:
identify actors (customer, employees), line of visibility
identify actions (by consumer, by firm, by others, joint)
P4 Sept/Oct -2003
Services Marketing – Professor V. Padmanabhan

3. Services Marketing – Professor V. Padmanabhan
Value to Consumer
Consumer value is
results (for consumer)
what (consumption utility)
process quality
how (transaction utility)
Total utility = U(product) +
U(people interaction) +
U(process interaction)+
U(physical context interaction) - price
P4 Sept/Oct -2003
Services Marketing – Professor V. Padmanabhan

4. Services Marketing – Professor V. Padmanabhan
The Challenge
Where is the value added?
Retain
Where is value subtracted
Drop or modify
Breakthrough = Where can I create value?
New Activities!
P4 Sept/Oct -2003
Services Marketing – Professor V. Padmanabhan

5. Services Marketing – Professor V. Padmanabhan
Flowcharting Retail Shopping - The Science of Shopping (Paco Underhill, 1999)
Information
75% customers read menu/info after they have placed order.
POS Data : what it doesn’t say
time in store: buyer versus non-buyer,
woman with
woman,
children,
alone, and,
man.
The Butt-Brush Phenomenon.
P4 Sept/Oct -2003
Services Marketing – Professor V. Padmanabhan

6. Services Marketing – Professor V. Padmanabhan
Another Illustration
Quicken: Personal Finance Software
Attributes
price
ease-of-use
speed
accuracy
other (planning, taxes, business use, etc.)
P4 Sept/Oct -2003
Services Marketing – Professor V. Padmanabhan

7. Shifting Up the Progression of Economic Value (Pine & Gilmore (1999)
Relevant to
Differentiated
Customization
Stage
Experiences
Customization
Deliver
Services
Competitive
Position
Needs of
Customers
Make
Goods
Commoditization
Extract
Commodities
Commoditization
Undifferentiated
Irrelevant to
Market
Premium
Pricing
P4 Sept/Oct -2003
Services Marketing – Professor V. Padmanabhan

8. The Blockbuster Application
P4 Sept/Oct -2003
Services Marketing – Professor V. Padmanabhan

9. The Blockbuster Application
P4 Sept/Oct -2003
Services Marketing – Professor V. Padmanabhan

10. The Blockbuster Application
P4 Sept/Oct -2003
Services Marketing – Professor V. Padmanabhan

11. The Blockbuster Application
P4 Sept/Oct -2003
Services Marketing – Professor V. Padmanabhan