1. McGraw-Hill© 2000 The McGraw-Hill Companies 1 S M S M McGraw-Hill © 2000 The McGraw-Hill Companies Part 5 MANAGING SERVICE PROMISES

2. McGraw-Hill© 2000 The McGraw-Hill Companies 2 S M CUSTOMER COMPANY External Communications to Customers GAP 4 Service Delivery Provider GAP 4 Part 5 Opener

3. McGraw-Hill© 2000 The McGraw-Hill Companies 3 S M S M McGraw-Hill © 2000 The McGraw-Hill Companies Chapter 15 INTEGRATED MARKETING COMMUNICATION

4. McGraw-Hill© 2000 The McGraw-Hill Companies 4 S M Objectives for Chapter 15: Integrated Services Marketing Communications Introduce the concept of Integrated Services Marketing Communication Discuss the key reasons for service communication problems Present four key ways to integrate marketing communication in service organizations Present specific strategies for managing promises, managing customer expectations, educating customers, and managing internal communications Provide perspective on the popular service objective of exceeding customer expectations

5. McGraw-Hill© 2000 The McGraw-Hill Companies 5 S M Figure 15-1 Communications and the Services Marketing Triangle Internal Marketing Internal Marketing Vertical Communications Horizontal Communications Interactive Marketing Personal Selling Customer Service Center Service Encounters Servicescapes External Marketing Communication Advertising Sales Promotion Public Relations Direct Marketing Company Customers Employees Source: Parts of model adapted from work by Christian Gronroos and Phillip Kotler

6. McGraw-Hill© 2000 The McGraw-Hill Companies 6 S M Approaches for Integrating Services Marketing Communication Goal: Delivery greater than or equal to promises Improve Customer Education Manage Service Promises Manage Customer Expectations Manage Internal Marketing Communication Figure 15-3

7. McGraw-Hill© 2000 The McGraw-Hill Companies 7 S M Goal: Delivery greater than or equal to promises Offer Service Guarantees Create Effective Services Communications MANAGING SERVICE PROMISES Make Realistic Promises Coordinate External Communicatio n Figure 15-4 Approaches for Managing Service Promises

8. McGraw-Hill© 2000 The McGraw-Hill Companies 8 S M Communicate Criteria for Service Effectiveness Create Tiered-Value Offerings Figure 15-8 Approaches for Managing Customer Expectations Negotiate Unrealistic Expectations Goal: Delivery greater than or equal to promises Offer Choices

9. McGraw-Hill© 2000 The McGraw-Hill Companies 9 S M Goal: Delivery greater than or equal to promises Prepare Customers for the Service Process Clarify Expectations after the Sale Figure 15-9 Approaches for Improving Customer Education Teach Customers to Avoid Peak Demand Periods and Seek Slow Periods Confirm Performance to Standards

10. McGraw-Hill© 2000 The McGraw-Hill Companies 10 S M Goal: Delivery greater than or equal to promises Figure 15-10 Approaches for Managing Internal Marketing Communications Internal Marketing Communications Create Effective Vertical Communications Align Back Office Personnel w/ External Customers Create Effective Horizontal Communications Create Cross-Functional Teams