Starbucks: Delivering Customer

Service
-A Case Study
Possible Levels of Customer Expectations
Factors That Influence Desired and Predicted
Service
 Issues Involving Customers’ Service
Expectations
• What does a service marketer do if customer
expectations are “unrealistic”?
• Should a company try to delight the customer?
• How does a company exceed customers’ service
expectations?
• How does a service company stay ahead of
competition in meeting customer expectations?
What does a service marketer do if customer
expectations are “unrealistic”?

• Service providers must provide service as

promised.
 Should a Company Try to Delight
the Customer?
• Delight: a
profoundly positive
emotional state that
results from having
one’s expectations
exceeded to a
surprising degree. Desired Service ← Delights

• Companies must
Zone of ← Desirables
define standards Tolerance
and act accordingly.
Adequate Service ← Musts
How Does a Company Exceed Customer Service
Expectations?
• Bottom line: exceeding expectations on the
basics is nearly impossible
– Honor promises
– Do what you are supposed to do
– Develop customer relationships
– Provide personalized attention
– Underpromise?
– Be unique
 Staying Ahead of the Competition in Meeting
Customer Expectations
• Adequate expectations will rise when competitors promise
and deliver a higher level of service.
• Challenge is to consistently exceed the adequate service level
and also reach the desired service level.
– Must build customer loyalty

• Consider how promises are presented to customers relative to

the competition.
– Be honest when refuting competitors’ “inflated” offerings; provide
facts.
– Follow up the sale with a “reality check” about the level of service
received relative to industry average
 Customer Perception
• Perceptions are always considered relative to
expectations
• Service quality and satisfaction are based on
customers’ perceptions of the service
Customer Perceptions of Quality and Customer
Satisfaction
 Satisfaction
• “The customer’s fulfillment response. It is a
judgment that a product or service feature, or the
product or service itself, provides a pleasurable level
of consumption-related fulfillment” (Oliver 1997).
 Factors Influencing Customer Satisfaction
• Product and service features
• Perceptions of product and service quality
• Price
• Customer emotions
• Attributions for service success or failure
• Perceptions of equity or fairness
• Other customers, family members, and coworkers