Study Unit 5 Flashcards
What is the 5 service quality dimensions
- Assurance
- Empathy
- Reliability
- Responsiveness
- Tangibles
What is the different levels of service contact
- High-contact-level services
- Medium-contact-level services
- Low-contact-level services
Explain high-contact-level services and give an example
-Customer is required to be physically present to interact with the service provider & its employee
- is expected to play an active role in the entire service delivery process
* healthcare, hairdressing, counselling
Explain Medium-contact-level services and give an example
-customers presence is not required for the entire duration of the service delivery process
* customer who has to take car to dealership to be serviced
(Customer only has to be present when collecting the car)
Explain low-contact-level services and give an example
-characterised by little to no physical contact between the customer & service provider
*bank offers Internet banking services as alternatives to visiting at their branch offices
Name the service delivery contact types
- The customer visits the service provider
- The service provider visits the customer
- Delivering services at an arm’s length
Explain how the customer visits the service provider and give an example of this type of service delivery contact type
-site location is important when customers are required to visit the service provider
-location determines success or failure
*Restaurants,hair and beauty salons and movie houses
Explain how the service provider visits its customers and give an example of this type of service delivery contact type
-site location is less important
-visiting customer is often unavoidable
-some services could be provided at a third party’s location
*legal representation at court & emergency services( medical or breakdown)
Explain delivering services at an arm’s length and give an example of this type of service delivery contact type
-services that are delivered by telecommunications and other forms of technology
-minimises the need to meet face-to-face to deliver service
*outsurance,banking apps
Name the timing related aspects to consider of service delivery
- The length of service delivery
- The permanence of service availability
- Payment considerations
Explain the length of service delivery as an timing related aspect to consider and give an example
-length to time of service delivery differs significantly between different type of services-even within same industry
-time length associated with the service delivery can be determined by the actual service delivery process
What are the different ways that the time required to deliver a service can influence a service provider’s decisions? With an example of each
- On their operational resources
* local airline wishes to expand its service offering to include international flights would probably need,among other resources,new,bigger aircraft capable of flying longer distances,pilots trained to fly the new aircraft and additional cabin and ground crew
duration of service delivery will have direct impact on other marketing decisions,such as the quality of the service and the pricing of service - Pricing
*service quality that customers expect for a 10-minute taxi ride and a 12-hour international flight would differ - Profitability
*dentist considering working solely on specialised dentistry will have to calculate the impact on cash flow and profitability will be when higher fees need to be charged with fewer procedures done per day
Explain the permanence of service availability as an timing related aspect to consider and give an example
-refers to the times that the service will be available to customers and is typically determined by operating hours of service provider
* hours that a psychologist or fast-food outlets offers their service to customers
Explain payment considerations as an timing related aspect to consider and give an example
- payment for service rendered can take a number of forms by being part of preceding or following the service delivery process
—when and where payment will be made and who should collect payment
What are the 3 payment options in respect of when payment should be received?with examples
- Payment before service delivery
* airline services,music concerts and postage stamps - Payment after service delivery
* used by medical healtg practitioners - Payment prior to and following service delivery
* cellphone providers charge monthly fees in advance for contract bundles but other services used outside the contract bundles are charged at the end of the month
What is the different customer channel preferences and give an example
- Customers typically rely more on personal channels when buying complex services(personal channel)
*customer would use a banks app service to pay accounts but would prefer face-to-face when applying for a mortgage - Customers who are more knowledgeable about service will be more confident using self-service & electronic channels(self service channel)
* A patient who has used an online healthcare portal before—knowing how to schedule appointments, view test results, or message their doctor—will be more confident in using these electronic channels for their next visit, rather than calling the office to book an appointment or ask questions.
3.Customers with strong social needs may prefer personal contact(personal channel)
*pensioner living alone may insits on visiting local travel agent rather than using travek gents service online
- Customer with a strong need for convenience prefer self-service & electronic service delivery channels(self service channel)
*cellphone service chosen in preference to a landline telephone service or internet based service instead of fax service
Explain the service delivery channel options
Supporting devices:
Service organisation
Electronic channels
Franchise
Agents and brokers
Core services:
Service organisations
Franchise
Entire service delivery from customer’s perspective:
Supporting services
Core services
Service delivery channels options
-core service is usually provided by the service provider itself or by franchises
-support services can be delivered by the service provider itself,electronic channels owned by the service provider,franchises or agents & brokers
-how many locations? = intensity of distribution
Different approaches- intensity of distribution
- Exclusive distribution
-using limited number of intermediaries to offer one branded service only
-used when service provider wishes to maintain a high level of control over the functions performed by the intermediaries - Selective distribution
-service provider makes use of only a limited number of intermediaries to provide services to its customers
-intermediaries offer more than one branded service - With intensive distribution
-make servuces available as widely as possible
Primary types of intermediaries used in the service delivery process
- Franchising
- Agents
- Brokers
- Electronic channels
Franchising
Making their services available through franchises, service providers offer intermediaries the opportunity to use their brand name, business processes, service or reputation to provide services to customers in exchanged for an agreed fee or roalty
- franchising of services from the franchisor’s perspective ( service provider)
Advantages that franchisor can expect to gain from franchising its service concept:
-expanded operations and increased revenue
-shared risk
-knowledge of local markets
Disadvantages that franchisor can expect from franchising its service concept:
-quality inconsistencies
-loss of control
-relationships with customers
-legal disputes
Advantages of franchising service from the franchisee’s perspective ( intermediaries)
-national marketing
-running an established business
-reduced risk
Disadvantages of franchising service from the franchisee’s perspective ( intermediaries)
-encroachment
-lower profits and revenue
-high fees and royalties
Agents and brokers
- Purchasing agents
-assits customers in evaluating and making pusrchases - Selling agents
-work with service provider & have contractual authority to sell its offering
Brokers
-intermediaries who bring selles & buyers together
Advantages with using agents and brokers
-reduced costs
-wide representation
- local market knowledge
-customer preference
-special skills and knowledge
Disadvantages with using agents and brokers
-reduced control & the fact that they market multiple services that may include those of competitors
- earn a commission & not a salary & consequently are bot bound to the service provider as an employee/ branch office would be
Different Electronic channels
- Service machines
- Cellphone & telephone service delivery
- The internet
- Mobile channels
Advantages associated with electronic service channels
-lower costs
-wider distribution
-consistent delivery of standard services
-customer convenience
Disadvantages associated with electronic service channels
-trailing electronic services
-security & privacy concerns
-possible price competition
-increased competition
-inability to customise service offerings
