FINAL Flashcards

Chapters 11-15 (57 cards)

1
Q

employees’ role in service

A

refers to the service performance gap (3)

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2
Q

reasons gap 3 increases

A
  • deficiencies in HR policies
  • failure to match supply and demand
  • customers not fulfilling roles
  • problems with service intermediaries
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3
Q

What are the employees?

A

“Employees are the service and the brand”

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4
Q

service culture

A

a culture where an appreciation for good service exists, and where giving good service exists, and where giving good services to internal as well as external customers is considered a natural way of life and one of the most important norms by everyone

  • essentially where a good culture is appreciated and provided to internal and external customers as a norm
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5
Q

Employees are:

A

“walking billboards”
- the service
- the organization in the customers eyes
- the brand
- the marketers

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6
Q

the service triangle

A
  • external marketing = making the promise
  • interactive marketing = delivering the market
  • internal marketing = enabling the promise
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7
Q

External marketing = making the promise

A
  • understanding customer needs
  • managing expectations - “under promise, over deliver”
  • sales and promotion
  • advertising
    -internet and website communication
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8
Q

Interactive marketing = keeping promises

A
  • service delivery
    -face-to-face, telephone, and online interactions
  • customer interactions with sib-contractors or business partners
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9
Q

Internal marketing = enabling the promise

A
  • hiring the right people
  • training and developing people to deliver service
  • appropriate technology and equipment
  • rewards and incentives
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10
Q

the effect of employee behaviors on service quality dimensions

A

SERVQUAL - RATER

reliability, assurance tangibles, empathy, and responsiveness

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11
Q

boundary-spanning roles

A

usually relates to emotional labor, which is the labor that goes beyond the physical and mental skills needed to deliver quality services

  • creates potential conflict
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12
Q

customer oriented service delivery

A
  1. hire the right people
  2. develop people to deliver service quality
  3. provide needed support systems
  4. retain the best employees/people
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13
Q

pros of employee empowerment

A
  • quicker responses to customer needs during service delivery
  • quicker response to dissatisfied customers
  • employees during their jobs feel better about it and themselves
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14
Q

cons of employee empowerment

A
  • potentially greater dollar investment in selection and training
  • higher labor costs
  • potentially slower or inconsistent service deliver
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15
Q

strategies for delivering service quality though people: hiring the right people

A
  • compete for the best people
  • hire for services commences and service inclinator
  • be the preferred employer
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16
Q

strategies for delivering service quality though people: developing people to deliver service quality

A
  • train for technical and interactive skills
  • empower employees
  • promote teamwork
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17
Q

strategies for delivering service quality though people: providing needed support and systems

A
  • measure internal service quality
  • provide supportive technology and equipment
  • develop service-oriented internal process
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18
Q

strategies for delivering service quality though people: Retaining the best employees/people

A
  • include employees in the company’s vision
  • treat employees as customers
  • measure and reward strong service performance
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19
Q

how customers are when the service performance gap exists

A
  • lack of understanding of their roles
  • not being willing or able to perform their roles
  • no rewards for “good performance”
  • interference with or from other customers
  • incompatible market segment
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20
Q

customers must participate TOO??

A
  • low level = presence required
  • moderate level = inputs required
  • high level = cocreation
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21
Q
A

” other customers can ENHANCE or DETRACT from customer satisfaction and perceptions of quality

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22
Q

customer roles in service delivery

A
  • productive resources = “partial employees”
  • contributors to quality, satisfactions, and value
  • competitors
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23
Q

customers as productive resources

A

customers can be seen as “partial employee” therefor they contribute effort, time, or other resources to the production process

24
Q

customers as competitors

A

internal/external decisions are often based on:
- expertise ca[acity
- resource capacity
- time capacity
- economic rewards (save money)
- psychic rewards (satisfaction, enjoyment, gratification)
- trust
- control

25
SST - self-service technology
- ATMS - kiosks - online check-in - self-checkout - distance education
26
servie production continuum
1-2 Customer production 3-4 joint production 5-6 Firm production
27
something to consider before implementing SSTs
-what is your strategy? - what do we hope to achieve through the SSTs? - how can customers be motivated to try the SST? - are some segments of customers more ready to use the tech than others?
28
strategies for enhancing customer participation
- define customer roles - recruit, educate, and reward customers - managing the customer mix
29
variations in demand relative to capacity (Figure 13.1)
1. demand exceed capacity (business is lost) 2. demand exceeds optimal capacity (quality declines) 3. ideal use 4. excess capacity (wasted resources)
30
capacity constraints
- time - labor - equipment - facilities
31
demand patterns
- charting demand patters - predictable cycles -random demand fluctuations - demand patterns by market segments
32
shifting demand to match capacity: demand too HIGH
- reduce demand during peak times - communicate busy says and times to customers - modify timing and locations of service delivery - offer incentives for non-peak usage - set priorities by taking care of loyal or high need customers first - charge full price for the service
33
shifting demand to match capacity: demand too LOW
- increase demand to match capacity - educate customers about peak times and benefits of non-peak use - vary hoe the facility is used - vary the service offering - differentiate on price
34
adjusting capacity to match demand: demand too HIGH
- increase capacity temporarily - stretch people, facilities, and equipment temporarily - use-part time employees - cross train employees -out source activities -rent or share facilities and equipment
35
adjusting capacity to match demand: demand to LOW
- adjust use of resources - schedule downtime during periods of low demand - perform maintenance and renovations -schedule vacations and employee training - modify or move facilities an equipment
36
waiting line configuration
- multiple que - single que - take a number
37
waiting line strategies
1. differentiate waiting customers - importance of the customer - urgency if the job - duration of the service transaction - payment of premium price 2. establish a reservation process 3. make waiting more pleasurable - provide entertainment - offer personal services to make waiting more comfortable - communicate with waiting customers to minimize frustrations - create a pleasant atmosphere for waiting customers (music, wifi, comfy seating)
38
issues to consider in making waiting more pleasurable
- anxiety makes waits seem linger - uncertain waits seem longer than unknown, finite waits - unexplained waits seem longer than explained - the more valuable the service, the longer the customer will wait
39
three key differenced between customer evaluation pf pricing services and goods:
1. customers often have inaccurate or limited reference prices for services 2. monetary price is not the only price relevant to service customers 3. price is a key signal to quality in services PRICE = VALUE
40
customer knowledge of service prices
customers often lack reference prices for services - service variability limits knowledge - providers are unwilling to estimate prices - individual customer needs vary - collecting of price information for services is difficult - prices are not visible
41
the role of monetary costs
- time cost - search costs - convenience costs - psychological costs
42
three basic marketing structures and challenged for services
- cost-based - competition-based - demand-based
43
demand oriented pricing
- skimming pricing - penetration pricing - prestige pricing - odd-even pricing - bundle pricing
44
skimming pricing
charging the highest price customers are willing to pay (iPhones)
45
penetration pricing
entering the market at the lowest price possible (netlfix)
46
prestige-pricing = premium pricing
luxury customers, more money = better service
47
odd-even pricing
pricing a few cents below the even dollar amount
48
bindle pricing
bundling services into one price
49
cost-oriented pricing
when component cost are calculated and a markup is added
50
competition-based pricing
- price signaling - going-rate pricing
51
price signaling
any price offered by one will be matched by competitors (re-active)
52
going-rate pricing
charging them out prevalent price in the market
53
four customer definitions of VALUE
- value is a low price - value is everything I want in a service - value is the quality I get for the price I pay - value is all that I get for all that I give
54
value is a low price
- discounting (coupons) - odd pricing (odd-even pricing) - synch-prining - penetration pricing
55
value of everything I want I na service
- prestige pricing - skimming pricing
56
value of the quality I get for the price I pay
- value pricing - market segmentation pricing (what you pay is what your get) - price discrimination (charging different prices for different age demographics)
57
value is all that I get for all that I give
- price framing - price bundling - complementary pricing - result-based pricing (injury attorneys)