Professional Documents
Culture Documents
Chapter 8 - 1
Chapter 8 - 2
Developing a Blueprint
1. Identify key activities in creating and delivering service
2. Define big picture before drilling down to obtain a higher level of detail
3. Distinguish between front stage and backstage 4. Clarify interactions between customers and staff, and support by backstage activities and systems 5. Identify potential fail points; take preventive measures; prepare contingency
6. Develop standards for execution of each activity times for task completion, maximum wait times, and scripts to guide interactions between employees and customers
Slide 2007 by Christopher Lovelock and Jochen Wirtz Services Marketing 6/E Chapter 8 - 3
2. Specify physical evidence 3. Identify principal customer actions 4. Line of interaction (customers and front-stage personnel) 5. Front-stage actions by customer-contact personnel 6. Line of visibility (between front stage and backstage) 7. Backstage actions by customer contact personnel 8. Support processes involving other service personnel 9. Support processes involving IT
- Set service standards and do failure-proofing* -Identify fail points and risks of excessive waits*
Slide 2007 by Christopher Lovelock and Jochen Wirtz Services Marketing 6/E Chapter 8 - 4
Stage
Line of interaction
Front -
Accept reservation
Greet, take coat, coat checks Hang coat with visible check numbers
Contact person (visible actions) Line of visibility Contact person (invisible actions) Line of internal physical interaction
- Stage
Back
Support Processes
Chapter 8 - 6
Chapter 8 - 8
Chapter 8 - 9
Institutions are like steel beamsthey tend to rust. What was once smooth and shiny and nice tends to become rusty.
Chapter 8 - 10
Natural deterioration of internal processes; creeping bureaucracy; evolution of spurious, unofficial standards Symptoms:
Extensive information exchange Data redundancy High ratio of checking or control activities to value-adding activities, increased exception processing Customer complaints about inconvenient and unnecessary procedures
Services Marketing 6/E Chapter 8 - 11
Bundling services Involves grouping multiple services into one offer, focusing on a well-defined customer group Often has a better fit to the needs of target segment Increase productivity Add value for customers through lower transaction costs Customize service Increase per capita service use
Slide 2007 by Christopher Lovelock and Jochen Wirtz Services Marketing 6/E Chapter 8 - 13
Chapter 8 - 14
Chapter 8 - 15
- Provide needed information and instructions - Make some personal effort; share physical possessions
HighCustomer works actively with provider to co-produce the service - Service cannot be created without customers active participation - Customer can jeopardize quality of service outcome (e.g., weight loss, marriage counseling)
Slide 2007 by Christopher Lovelock and Jochen Wirtz Services Marketing 6/E Chapter 8 - 16
Economic trade-off between declining cost of these self-service systems and rising cost of labor Challenge: Getting customers to try this technology
Chapter 8 - 17
Lower prices, reflecting lower costs, induce customer to use SSTs Critical to understand how consumers decide between using an SST option and relying on a human provider SSTs present both advantages and disadvantages
Benefits: Time and cost savings, flexibility, convenience of location, greater control over service delivery, and a higher perceived level of customization Disadvantages: Anxiety and stress experienced by customers who are uncomfortable with using them
Slide 2007 by Christopher Lovelock and Jochen Wirtz Services Marketing 6/E Chapter 8 - 18
Chapter 8 - 20
Chapter 8 - 21
Chapter 8 - 24
May be better to make a public stand on behalf of employees than conceal for fear of bad publicity
Confrontations between Customers and Service Employees Can Easily Escalate Slide 2007 by Christopher Lovelock and Jochen Wirtz Services Marketing 6/E Chapter 8 - 25
The Vandal:
Service vandalism includes pouring soft drinks into bank cash machines; slashing bus seats, breaking hotel furniture Bored and drunk young people are a common source of vandalism Unhappy customers who feel mistreated by service providers take revenge Prevention is the best cure
Slide 2007 by Christopher Lovelock and Jochen Wirtz Services Marketing 6/E Chapter 8 - 26