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Designing and Managing Services

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Presentation on theme: "Designing and Managing Services"— Presentation transcript:

1 Designing and Managing Services
13 Designing and Managing Services Marketing Management, 13th ed

2 Chapter Questions How do we define and classify services and how do they differ from goods? How do we market services? How can we improve service quality? How do services marketers create strong brands? How can goods marketers improve customer support services? Copyright © 2009 Pearson Education, Inc.  Publishing as Prentice Hall

3 Service Sectors Government Private nonprofit Business Retail
Manufacturing Copyright © 2009 Pearson Education, Inc.  Publishing as Prentice Hall

4 Categories of Service Mix
Pure tangible good Good w/ accompanying services Hybrid Service w/ accompanying goods Pure service Copyright © 2009 Pearson Education, Inc.  Publishing as Prentice Hall

5 Figure 13.2 Continuum of Evaluation for Different Types of Products
Copyright © 2009 Pearson Education, Inc.  Publishing as Prentice Hall

6 Distinctive Characteristics of Services
Intangibility Inseparability Variability Perishability Copyright © 2009 Pearson Education, Inc.  Publishing as Prentice Hall

7 Physical Evidence and Presentation
Place People Equipment Communication material Symbols Price Copyright © 2009 Pearson Education, Inc.  Publishing as Prentice Hall

8 How to Increase Quality Control
Invest in good hiring and training procedures Standardize the service-performance process Monitor customer satisfaction Copyright © 2009 Pearson Education, Inc.  Publishing as Prentice Hall

9 Matching Demand and Supply
Demand side Differential pricing Nonpeak demand Complementary services Reservation systems Supply side Part-time employees Peak-time efficiency Increased consumer participation Shared services Facilities for future expansion Copyright © 2009 Pearson Education, Inc.  Publishing as Prentice Hall

10 Figure 13.3 A Blueprint for Overnight Hotel Stay
Copyright © 2009 Pearson Education, Inc.  Publishing as Prentice Hall

11 Improving Service Quality
Listening Reliability Basic service Service design Recovery Surprising customers Fair play Teamwork Employee research Servant leadership Copyright © 2009 Pearson Education, Inc.  Publishing as Prentice Hall

12 Figure 13.4 Root Causes of Customer Failure
Copyright © 2009 Pearson Education, Inc.  Publishing as Prentice Hall

13 Solutions to Customer Failures
Redesign processes and redefine customer roles to simplify service encounters Incorporate the right technology to aid employees and customers Create high-performance customers by enhancing their role clarity, motivation, and ability Encourage customer citizenship where customers help customers Copyright © 2009 Pearson Education, Inc.  Publishing as Prentice Hall

14 Figure 13.5 Three Types of Marketing in Service Industries
Copyright © 2009 Pearson Education, Inc.  Publishing as Prentice Hall

15 Figure 13.6 Service-Quality Model
Copyright © 2009 Pearson Education, Inc.  Publishing as Prentice Hall

16 Gaps that Cause Unsuccessful Service Delivery
Gap between consumer expectation and management perception Gap between management perception and service-quality specifications Gap between service-quality specifications and service delivery Gap between service delivery and external communications Gap between perceived service and expected service Copyright © 2009 Pearson Education, Inc.  Publishing as Prentice Hall

17 Determinants of Service Quality
Reliability Responsiveness Assurance Empathy Tangibles Copyright © 2009 Pearson Education, Inc.  Publishing as Prentice Hall

18 Figure 13.7 Importance-Performance Analysis
Copyright © 2009 Pearson Education, Inc.  Publishing as Prentice Hall

19 Developing Brand Strategies for Services
Choosing Brand Elements Establishing Image Dimensions Devising Branding Strategy Copyright © 2009 Pearson Education, Inc.  Publishing as Prentice Hall

20 Customer Worries Failure frequency Downtime Out-of-pocket costs
Copyright © 2009 Pearson Education, Inc.  Publishing as Prentice Hall


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