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NEEDAROUSALCASE
Whenyouhaveanabnormallyhighbodytemperatureorwhenyourbodydoesnotfeelwell,youwouldprobablyfeeltheneedtoseea
doctortogettreated.Thisrealizationiscalledaneedarousal
Source:(1) https://assets.babycenter.com/ims/2014/11/494386309_wide.jpg?width=505(2) http://cdn.kevinmd.com/blog/wp-content/uploads/shutterstock_125888855.jpg
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(1) (2)
Picture(1)showsakidhavingfeverandfeelingtheneedto
gotothedoctor
Picture(2)showsakidbeingtreatedbydoctor
NEEDAROUSAL
Needarousal:customer’s awareness oftheirneed
Needarousalaretriggeredby:1. Unconsciousminds(e.g.,personalidentityandaspirations)2. Physicalconditions(e.g.,Someonethatfeelillwouldgomeetthedoctor)3. Externalsources(e.g.,aservicefirm’smarketingactivities)
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EXAMPLEOFNEEDAROUSALTRIGGEREDBYEXTERNALSOURCES
Picture(1)isanadvertisingbyamusementparkcalledDunia Fantasi whichpromotetheirnewattraction.Thismarketingactivitycouldgrowsneedarousal
Source:(1)http://infojakarta.net/wp-content/uploads/2014/06/dufan-ancol.png
(1)
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INFORMATIONSEARCH
Evokedset(considerationset):thesetofproducts orbrandsacustomermayconsider inthedecision-makingprocess.
Theevokedsetcanbederivedfrom1. Pastexperience2. Externalsources(suchasadvertising,retail
displays,newsstories,onlinesearches,andrecommendationsfromservicepersonnel,friends,andfamily)
Inordertosatisfytheneed,customersaremotivatedtosearchsolutionsfortheirproblem.
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Source:(1)http://6iee.com/data/uploads/23/533833.jpg
(1)
EVALUATINGALTERNATIVES-SERVICEATTRIBUTES
1) Searchattributes: customerscanevaluate aproductbeforepurchaseE.g.,facilities,location,typeofrestaurantandprice
Picture(1)showsawaterparkthatsuitableforrecreationandpicture(2)showsaswimmingpoolthatsuitable
forsports
(1)
(2)
Sources:(1)http://www.waterbom-jakarta.com/wp-content/uploads/2014/11/wahana_aquatube02.jpg(2)http://www.gsc.in/gsc_Facility/subfacility/Swimming03.JPG
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2) Experienceattributes:cannotbeevaluatedbeforepurchaseTheconsumerwillnotknowhowmuchs/hewillenjoythefood,theservice,andtheatmosphereuntiltheactualexperience
Picture(1)showsMasterchefstastingthedishandexperiencetheflavorof
thefood
(1)
Source:(1)http://community.ew.com/wp-content/uploads/2014/07/masterchef-chefs-taste-the-food.jpeg?w=300
EVALUATINGALTERNATIVES-SERVICEATTRIBUTES(2)
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3) Credenceattributes:customersfindimpossibletoevaluateconfidentlyevenafterpurchaseandconsumptionE.g.,hygieneandthehealthinessofthecookingingredients
Picture(1)showsasurgeryperformance.Patientswhohaveundergonesurgerycouldnotevaluatethequalityoftheir
treatment
(1)
Source:(1)http://i2.cdn.cnn.com/cnnnext/dam/assets/151021092349-cnnpartnerimages-healthgrades-surgery-exlarge-169.jpg
EVALUATINGALTERNATIVES-SERVICEATTRIBUTES(3)
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HOWPRODUCTCHARACTERISTICSAFFECTEASEOFEVALUATION
Source:(1):AdaptedfromValarieA.Zeithaml,“HowConsumerEvaluationProcessesDifferBetweenGoodsandServices,”inJ.H.DonnellyandW.R.George,MarketingofServices(Chicago:AmericanMarketingAssociation,1981).
(1)MostGoods
DifficultToevaluate
EasyToEvaluate
MostServices
ClothingSmartphonesCarsFoods
HighInSearch
Attributes
RestaurantMealsLawnFertilizerHaircutEntertainment
HighInExperienceAttributes
ComputerRepairEducationLegalServicesComplexSurgery
HighInCredenceAttributes
Service aretendtobemoredifficulttoevaluate andhighinexperienceandcredenceattributeswhilemostgoodsaremoreeasytoevaluateandhighinsearchattributes
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EVALUATINGALTERNATIVES-PERCEIVEDRISK
Categoriesofperceivedrisks:
• Functional – unsatisfactoryperformanceoutcomes
• Financial – monetarylossandunexpectedextracosts
• Temporal – wastedtimeanddelaysleadingtoproblems
• Physical – personalinjuryanddamagetopossessions
• Psychological – personalfearsandnegativeemotions
• Social – howothersthinkandreact• Sensory – unwantedimpactonanyoffivesenses
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Methodstohandleperceivedrisk1. Searchinginformationfromtrustedpersonalsources2. Comparingserviceofferingsandsearchingforreviewsandratings
viainternet3. Relyinginagoodreputationfirm4. Lookingforguaranteesandwarranties5. Tryingaspectsoftheservicebeforepurchasing6. Askingknowledgeableemployeesaboutcompetingservices.
HOWTOHANDLEPERCEIVEDRISK?
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SUITABLESTRATEGIESFORREDUCINGCUSTOMERRISKPERCEPTIONS
Freetrial(forserviceswithhighexperienceattributes)
Displaycredentials(forprofessionalfirmorperson)
Encouragevisittoservicefacilities
Useevidencemanagement(e.g.,furnishing,equipment
etc.)
Advertise(forhighcredencequalities&highcustomer
involvement)
Givecustomersonlineaccessaboutorderstatus
Institutevisiblesafetyprocedures
OfferguaranteesEncouragetopreviewtheservice
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EVALUATINGALTERNATIVES-SERVICEEXPECTATIONS
Expectationsareformedduringthesearchanddecision-makingprocess
Expectationscanbesituation-specific
Expectationschangeovertime
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SITUATION-SPECIFICEXAMPLE
Yourexpectations abouthowlongyourdriverwillarrivearedependsonyourtimesituation.Youwilldemandfasterperformancewhenyouarelateforworkthanwhenyouintendtogotothemall
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FACTORSINFLUENCINGCUSTOMEREXPECTATIONSOFSERVICE
Source:(1)AdaptedfromValarieA.Zeithaml,LeonardA.Berry,andA.Parasuraman,“TheNatureandDeterminantsofCustomerExpectationsofService,”JournaloftheAcademyofMarketingScience 21,no.1(1993):1-12
PersonalNeeds
BeliefaboutPossibleThing
DesiredService
PerceivedServiceAlterations
SituationalFactors
AdequateService PredictedService
Explicit&ImplicitServicePromisesWord-of-MouthPastExperience
ZoneofTolerance
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Figure(1)showsthefactorsthatinfluencethedifferentlevelsofcustomerexpectationsofservice
Expectationsembraceseveralelements,includingdesired,adequate,andpredictedservice,andazoneoftolerancethatfallsbetweenthedesiredandadequateservicelevels
(1)
COMPONENTSRELATEDTOCUSTOMEREXPECTATIONS
DesiredServiceLevel
AdequateServiceLevel
PredictedServiceLevel
ZoneofTolerance
Wished-forlevelofservicequalitythatcustomerbelievescanand
shouldbedelivered
Minimumlevelofservicethatcanbeacceptedwithoutbeingdissatisfied
Servicelevelthatcustomerbelieveswillbereceiving
fromfirms
Acceptablerangeofvariationsinservicedelivery
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1 2 3 4
Thecomponentsofcustomerexpectationsmaybevarydependingonfactorssuchascompetition,price,importanceofspecificserviceattributes,andcustomerexperiences
Picture(1)and(2)showsquirkyhairstylesofRihanna.Asapopsinger,actress,andfashionicon,Rihannamayhasahigherdesiredandadequateserviceforherhairstylistthanmostofus.
(1)
(2)
Source:(1)http://images.enstarz.com/data/images/full/168283/rihanna.jpg(2)https://media1.popsugar-assets.com/files/2010/11/47/1/498/4981324/b389d73dde78d588_Untitled-2.jpg
HOWEXPECTATIONSDIVERSE?
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PURCHASEDECISION
• Perceivedrisksarelow• Thealternativesareclear• Havebeenexperiencebefore
• Involvingtrade-offs• Involvingmultipleattributes
PurchaseDecision
Simple
Complex
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SIMPLEPURCHASEDECISION
Choosingmovietheaterisconsideredasasimplepurchasedecisionbecausetheperceivedrisksarelow
Picture(1)isaphotoofIndonesia’sfamouscinema,
CinemaXXI
(1)
Source:(1)http://www.bintarojayaxchange.com/portals/3/img/storefront/FIRSTFLOOR/CINEMA-XXI.jpg
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Todecideonairlinefortravelling,wewouldconsidermanyfactorssuchasconvenienceofschedules,reliability,seatcomfort,safety,attentivenessofcabincrew,andavailability.Therefore,purchasedecisionforairlineismorecomplex
COMPLEXPURCHASEDECISION
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SERVICEENCOUNTERSTAGE
Serviceencounterstage:aperiodoftime duringwhichacustomerinteractsdirectlywithaserviceprovider
BRIEFTIMEFRAME LONGTIMEFRAME
23Source:(1)https://uberflip.cdntwrk.com/files/aHViPTQ0ODg3JmNtZD1pdGVtZWRpdG9yaW1hZ2UmZmlsZW5hbWU9aXRlbWVkaXRvcmltYWdlXzU1MTUyMGZjOGRmMTEuanBnJnZlcnNpb249MDAwMCZzaWc9MGIyNjc5NGZlNjM0OTJlNGRmM2YyYzdhOWE0MjM0YzM%253D(2)http://www.tomatis-swidnica.pl/images/psycholog.jpg
Inbarbershop,customerand
serviceproviderhaslittletimetointeractbecausethebarberwouldmorefocustodo
hisjob
Whileincounseling,thecustomerandpsychologistneedalongertimetointeract
(1) (2)
MODELSANDFRAMEWORKINSERVICEENCOUNTEREXPERIENCE
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“MomentsofTruth”Importanceofmanaging
touchpoints
High/lowContactServiceModel
Extentandnatureofcontactpoints
Servuction ModelVariationsofinteractions
TheaterMetaphor
“Staging”serviceperformances
1.SERVICEENCOUNTERSARE“MOMENTSOFTRUTH”
“[W]ecouldsaythattheperceivedqualityisrealizedatthemomentoftruth,whentheserviceproviderandtheservicecustomerconfrontoneanotherinthearena.Atthatmomenttheyareverymuchontheirown....Itistheskill,themotivation,andthetoolsemployedbythefirm’srepresentativeandtheexpectationsandbehavioroftheclientwhichtogetherwillcreatetheservicedeliveryprocess.”
- RichardNormann,ManagementConsultant &founderofService
ManagementGroup
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“momentoftruth”showtheimportanceofcontactpointswithcustomers
Source:(1)https://www.gtc.ox.ac.uk/images/Normann.jpg
(1)
2.SERVICEENCOUNTERSRANGEFROMHIGHCONTAACTTOLOWCONTACT
HIGH-CONTACTSERVICES• Customerscontacttotheserviceprovidertakesonaphysicalandtangiblenature• Customersvisittheservicefacility
LOW-CONTACTSERVICES• Involvelittlephysicalcontactbetweencustomersandserviceproviders• Communicatesbymediumofelectronic orphysicaldistributionchannel• Becomingmoreself-service
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LevelsofCustomerContactwithServiceOrganizations
Source(1):fromChristopherLovelockandJochen Wirtz,“ServiceMarketingPeople,Technology,StrategySeventhEdition”
LEVELSOFCUSTOMERCONTACTWITHSERVICEORGANIZATIONS
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Customercontactwithserviceorganizationsvaryfromhigh,medium,tolow.Italsodividedbyemphasizesencounterswithphysicalserviceelementsandwithservicepersonnel
(1)
3.THESERVUCTIONSYSTEM
Servuction system:combinationofserviceandproductionwhichisdescribedasapartoftheserviceorganization’sphysicalenvironmentthatisvisibletoandexperiencedbycustomers.
TheServuction Model
TechnicalCore
BackStage(Invisible) FrontStage(Visible)
ContactPersonnel
InanimateEnvironment
CustomerA
CustomerB
ServiceOperationsSystem ServiceDeliverySystem
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Servuction modelcontains2system,serviceoperationsandservicedelivery
Theservuction systemconsistsof:
Technicalcorewhereinputsareprocessedandtheelementsofthe
serviceproductarecreated
Servicedeliverysystem“finalassembly”ofserviceelementstakesplaceand
serviceisdelivered(includingbuilding,equipment,and
personnel)
3.THESERVUCTIONSYSTEM
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TECHNICALCOREThekitcheninarestaurantisa
back-stagewheredishesaremade
andplatedSERVICEDELIVERYSYSTEMThefront-stageincludingequipment,personnel,andcustomer
(1)
Source:(1)http://www.eiforces.org/wp-content/uploads/2017/06/dazzling-restaurant-open-kitchen-design-open-kitchen-jpg-kitchen.jpg
THESERVUCTIONSYSTEMEXAMPLE
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4.THEATERASMETAPHORFORSERVICEDELIVERY
Servicefacilities(thestage): thesettingwheredramaplayoutandcanchangesfromoneacttoanother
Personnel:memberofcastinthefront-stageandproductionteamintheback-stage
Role:combinationsofsocialcuesthatguidebehaviorinaspecificsettingorcontext
Script:Specifiesthesequencesofbehaviorforcustomersandemployees
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Professor hasrolestodeliverawell-structuredlecture,giveassignmentrelatedtotopic,andengagingthestudentsindiscussion.
Students haverolestocometoclasspreparedandontime,listenattentively,participateindiscussions,andnotdisrupttheclass.
Thescriptforalecturedescribesspecificactionstobetakenbyprofessorandstudentsstartingwithstudentsarriveatclassuntiltheprofessorleavetheclass.
(1)
Source:(1)http://outest.clark.edu/_resources/images/Teach%20a%20class.jpg
ROLEANDSCRIPTTHEORYCOMPLEMENTEACHOTHER
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CUSTOMERSATISFACTIONWITHSERVICEEXPERIENCES
Satisfaction:anattitude-like judgment followingaservicepurchaseexperience.
Customersatisfactionjudgementislabeledas:• positivedisconfirmation- serviceperceived> serviceexpected• negativedisconfirmation- serviceperceived < serviceexpected• confirmation - serviceperceived = serviceexpected
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AREEXPECTATIONSALWAYSWORKSOUT?
Comparingserviceperceivedtoexpectationsworkswellinreasonablycompetitivemarketsinwhichcustomershaveadequateknowledgetochooseaservicethatmeetstheirneedsandwants.
However,thoseapproachcould bevagueinnoncompetitivemarketsorinsituationsinwhichcustomersdonothavefreechoice
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EXPECTATIONINNONCOMPETITIVEMARKETINDUSTRYEXAMPLE
Railwayindustryisanoncompetitivemarketindustry.Therefore,ifcustomerexpectationsarelowandactualservicedeliverymeetsthedismallevelthatwasexpected,customerswillhardlyfeeltheyarereceivinggoodservicequality.
(1)
Source(1)http://www.radarcirebon.com/wp-content/uploads/2016/11/kereta.jpg
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CUSTOMERDELIGHT
Customerdelightisafunctionofthreecomponents:
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Unexpectedlyhighlevelsofperformance
Arousal(e.g.,surprise,excitement)
Positiveimpact(e.g.,pleasure,joy,happiness)
1 2 3
LINKSBETWEENCUSTOMERSATISFACTIONANDCORPORATEPERFORMANCE
ResearchersfromtheUniversityofMichiganfoundthatonaverage,every1percentincreaseincustomersatisfactionisassociatedwitha2,37percentincrease
inafirm’sreturnoninvestment(ROI).
Inotherwords,bycreatingmorevalueforthecustomer,asmeasuredbyincreasedsatisfaction,thefirmcreatesmorevalueforitsowners.
1%Increasein
customersatisfaction
2,37%Increasein
FirmReturnonInvestment
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