Service Characteristics Flashcards
What are the characteristics of service
Intangibility
Inseparability
Variability
Perishability
What is intangibility
Services are intangible and cannot be seen, touched, or felt before they are purchased. For example, you cannot touch a haircut before receiving it.
What is inseparability
Services are often produced and consumed simultaneously. service provider and the customer are usually present during the service delivery process.
What is variability
Services depend on who provides them, when and where they are provided, and to whom they are provided.
What are the steps to reduce variability
Invest in good hiring and training procedures
Standardize the service performance process throughout the organisation
Monitor customer satisfaction
What is service profit chain
highlights the interconnectedness of employee satisfaction, customer loyalty, and financial performance in service-oriented businesses, emphasizing the importance of investing in employees to drive long-term success.
What are the key components of service profit chain
•Internal Service Quality: When employees feel supported, valued, and engaged, they are more likely to provide better service to customers.
•Employee Satisfaction and Retention: High levels of employee satisfaction can lead to lower turnover rates, reducing recruitment and training costs.
•Employee Productivity and Performance: Engaged employees tend to be more productive and perform better in their roles.
•Greater Service Value: When employees are satisfied and motivated, they are better able to deliver high-quality service that meets or exceeds customer expectations.
•Customer Satisfaction and Loyalty: Satisfied customers are more likely to remain loyal to the business, leading to repeat business and positive word-of-mouth recommendations.
•Revenue Growth and Profitability: businesses can achieve sustainable revenue growth and profitability through increased customer loyalty and positive business outcomes.
What is internal marketing
emphasizes the importance of employee satisfaction, training, communication, and recognition to ensure that employees are well-equipped to represent the brand and deliver high-quality service to customers.
What is interactive marketing
emphasizes the importance of customer engagement, feedback, and responsiveness to meet the evolving needs and preferences of customers in today’s digital age.
Points to consider in marketing strategies
Managing services differentiation
Managing service quality
Managing service productivity
Resolving customer complaints
Managing employees as part of the product
Managing perceived risk
Managing capacity and demand
Recommendations for improving service quality
Listening to customers
Reliability
Basic service provision
Service design
Recovery on service problems
Surprising customers
Fair play
Teamwork
Employee research
Servant leadership