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Services Marketing

Adequate Service: a minimum level of service that a customer will accept without being dissatisfied. It represents the minimum tolerable expectation or the bottom level of performance acceptable to the customer. Boundary-spanning Positions: jobs that straddle the boundary between the external environment, where customers are encountered, and the internal operations of the organization. Boundary Spanners: the front stage employees who link an organization with its customers; they represent the service in the customers eyes. Classification of Services: health care such as hospital, medical practice, and dentistry; financial such as banking, insurance, investment advising, hospitality such as restaurant, hotel, motel, ski resort, rafting; professional such as accounting, legal, architectural; travel such as travel agencies, airlines, theme parks etc. Other services include hair styling, plumbing, lawn maintenance, and counseling Climate for Service: the shared perception of the service practices, procedures, and kind of behaviors that get reward. Complimentary Services: services provided for consumers to minimize their perceived waiting time, such as driving ranges at golf courses, arcades at movie theaters, or reading materials in doctors offices. Conquest Marketing: a marketing strategy for constantly seeking new customers by offering discounts and markdowns and developing promotions that encourage new business. Core Service Failure: failures in the core service offering of the firm including unavailable service, unreasonably slow service, and other core service failures. Critical Moments of Truth: a specific encounter between customer and service provider in which the outcome has proved especially satisfying or dissatisfying for one or both parties. Customer Delight: a customer reaction that occurs when customer expectations are significantly exceeded. Customer Contact Personnel: service employees who interact directly with individual customers, either in person or through mail and telecommunications.

Customer Satisfaction: a short-term emotional reaction to a specific service performance. Customer Service: all customer-provider interactions, other than proactive selling and the core product delivery, and supplementary elements which facilitate the organizations relationships with its customers. Desired Service: the level of service the customer hopes to receive the wished for level of performance. For example, consumers who sign up for a computer dating service expect to find compatible, attractive, interesting people to date and perhaps even someone to marry. Enhancing Supplementary Services: supplementary services that may add extra value for customers such as consultation, hospitality, safekeeping, exceptions. Facilitating Supplementary Services: supplementary services that aid in the use of the core product or are required for service delivery such as information, order-taking, billing and payment. Financial Outlays: all monetary expenditures incurred by customers in purchasing and consuming a service. Financial Services: are the economic services provided by the finance industry, which encompasses a broad range of organizations that manage money, including credit unions, banks, credit card companies, insurance companies, consumer finance companies, stock brokerages, investment funds and some government sponsored enterprises. Fishbone Diagram: a chart-based technique that relates specific service problems to different categories of underlying causes (also known as a cause-and-effect chart). Flower of Service: a visual framework for understanding the supplementary service (enhancing and facilitating) elements that surround and add value to the product core. Functional Quality: a subjective measure of how (process related) customers receive a service. Hetrogeneity: A distinguishing characteristic of services that reflects the variation in consistency form one service transaction to the next. High-contact services: services that involve significant interaction among customers, service personnel, and equipment and facilities. Implicit Service Promises: obligations to which the firm commits it via the tangibles surrounding service and the price of the service.

Information Processing: describes intangible actions directed at a customer's assets. Examples of information-processing services include insurance, banking, and consulting. Intangibility: A distinguishing characteristic of services that makes them unable to be touched or sensed in the same manner as physical goods. Intangibility: a distinguishing characteristic of services that reflects the interconnections among the service provider, the customer involved in receiving the service, and other customers sharing the service experience. Interpersonal Services: Service environments in which customers and providers interact. Jaycustomer: a customer who acts in a thoughtless or abusive way, causing problems for the firm, its employees, and other customers. Low-contact Services: services which require no or little physical contact with the service personnel. The contact made by customer is usually at arms length through electronic or physical distribution channels. Mental Stimulus Processing: refers to intangible actions directed at people's minds. Services in this category include entertainment, spectator sports, theater performances, and education. Moments of Truth: any contact point with a service organization that the customer uses to evaluate the service delivery. Partial Employees: the operations management approach to consumer performance is to view the consumer as an employee and to apply the same people logic to them as they would to an employee. People Processing: involves tangible actions to people's bodies. Examples of people-processing services include passenger transportation, haircutting, and dental work. Customers need to be physically present throughout service delivery to receive its desired benefits. Possession Processing: includes tangible actions to goods and other physical possessions belonging to the customer. Examples of possession processing include airfreight, lawn mowing, and cleaning services. Perishability: A distinguishing characteristic of services in that they cannot be saved, their unused capacity cannot be reserved and they cannot be inventoried.

Physical Evidence/ Tangibles Clues: the physical characteristics that surround a service to assist consumers in making service evaluations, such as the quality of furnishings, the appearance of personnel, or the quality of paper stock used to produce the firms brochure. Productivity: how efficiently service inputs are transformed into outputs that add value for customers. Predicted Service: the level of service quality a consumer believes is likely to occur. Remote Services: services in which employees are physically present while customer involvement in the service production process is at arms length. Service Capacity: the physical facility in which the service is performed or rendered; the personnel whose labors and skill level create the service; and the equipment that enables the service to occur. Service Encounter: the period of time during which the customer directly interacts with some aspect of the service organization, often in a marketer-controlled environment. Service Failure: a perception by customers that one or more specific aspects of service delivery have not met their expectation. Service Recovery: The effort an organization expends to win back customer goodwill once it has been lost due to service failure. Service Guarantee: a promise to compensate customers if the service delivery fails to meet established standards. Service Mix: the service marketing mix is also known as extended marketing mix consists of 8Ps which include product, price, promotion, place, process, people, physical environment and productivity. Services: any activity or benefit that is essentially intangible and does not result in ownership of anything. Its production may or may not be tied to a physical product. Customers are paying for expertise, experience, advice, skills, knowledge and the benefits they bring. The benefits may last but the service itself of limited duration. Service Blueprint: refers to the flow charting of a service operation. It is a visual map of the sequence of activities required for service delivery that specifies front-stage and backstage

elements and the linkages between them. It identifies the customers, the service personnel, the points of interaction between customers and workers, the contact points between workers and other workers, and the front-stage evidence and the backstage processes or activities. SERVQUAL: an instrument designed to measure service quality as perceived by the customer. The key dimensions for assessing service quality are tangibles, reliability, responsiveness, assurance, empathy. Service Quality: from the providers perspective, this is the degree to which the services features conform to the organizations specifications and requirements; form the customers perspective, this is how well the service meets or exceeds expectations. Service Recovery: the effort an organization expends to win back customer goodwill once it has been lost due to service failures. Service Script: a chronologically ordered representation of the steps that make up the service performance from the customers point of view. Servicescape: all aspects of the physical environment in which the service provider and customer interact, also called as Service Setting. Technical Quality: an objective measure of what (outcome related) customers receive in their interactions with a service organization. Traditional Restaurants: restaurants that offers menu sit down and dine service. Zone of Tolerance: level of quality ranging from high to low and reflecting the difference between desired service and adequate service; expands and contracts across customers and within the same customer, depending on the service and the conditions under which it is provided. Zero Defections: a model used by service providers that strives for no customer defections to competitors.