“Service Marketing”, Valarie A. Zeithaml & Mary Jo Bitner.

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“Service Marketing”, Valarie A. Zeithaml & Mary Jo Bitner

Transcript of “Service Marketing”, Valarie A. Zeithaml & Mary Jo Bitner.

Page 1: “Service Marketing”, Valarie A. Zeithaml & Mary Jo Bitner.

“Service Marketing”, Valarie A. Zeithaml & Mary Jo Bitner

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The Difference between Customer Perceptions & Expectations

Customer Expectations

PerceivedService

“Service Marketing”, Valarie A. Zeithaml & Mary Jo Bitner

Customer GAP

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Not Knowing What Customers ExpectExpectedService

Company Perceptions of

Customer Expectations

CUSTOMER

COMPANY

GAP 1

“Service Marketing”, Valarie A. Zeithaml & Mary Jo Bitner

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Not Selecting the Right Service Designs & Standards

Customer-DrivenService Designs &

Standards

CUSTOMER

COMPANY

Company Perceptions of

Consumer Expectations

GAP 2

“Service Marketing”, Valarie A. Zeithaml & Mary Jo Bitner

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Not Delivering to Service Standards

GAP 3

Service Delivery

CUSTOMER

COMPANY

Customer-Driven Service Designs &

Standards

“Service Marketing”, Valarie A. Zeithaml & Mary Jo Bitner

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Not Matching Performance to Promises

GAP 4 External Communications

to CustomersService Delivery

CUSTOMER

COMPANY

“Service Marketing”, Valarie A. Zeithaml & Mary Jo Bitner

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External Communications

to Customers

Service DeliveryGAP 4

CUSTOMER

COMPANY

Expected Service

Customer-Driven Service Designs and

Standards

PerceivedService

Company Perceptions of Consumer Expectations

GAP 1

GAP 3

GAP 2

Customer GAP

“Service Marketing”, Valarie A. Zeithaml & Mary Jo Bitner

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CustomerGAP

Customer Perceptions

Customer Expectations

• Provider Gap 1: Not knowing what customers expect• Provider Gap 2: Not selecting the right service designs & standards• Provider Gap 3: Not delivering to service standards• Provider Gap 4: Not matching performance to promises

“Service Marketing”, Valarie A. Zeithaml & Mary Jo Bitner

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• Inadequate Marketing Research OrientationInsufficient marketing researchResearch not focused on service qualityInadequate use of market research

• Lack of Upward CommunicationLack of interaction between management & customersInsufficient communication between contact employees & managersToo many layers between contact personnel & top management

Company Perceptions of Customer Expectations

Customer Expectations

ProviderGAP 1

“Service Marketing”, Valarie A. Zeithaml & Mary Jo Bitner

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• Insufficient Relationship FocusLack of market segmentationFocus on transactions rather than relationshipsFocus on new customers rather than relationship customers

• Inadequate Service Recovery Lack of encouragement to listen to customer complains Failure to make amends when things go wrong No appropriate recovery mechanisms in place to service failures

Company Perceptions of Customer Expectations

Customer ExpectationsProviderGAP 1

“Service Marketing”, Valarie A. Zeithaml & Mary Jo Bitner

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• Poor Service DesignUnsystematic new-service development processVague, undefined service designsFailure to connect service design to service positioning

• Absence of Customer-Driven StandardsLack of customer-defined service standardsAbsence of process management to focus on customer requirementsAbsence of formal process for setting service quality goals

Management Perceptions of Customer Expectations

Customer-Driven Service Designs & StandardsProvider

GAP 2

“Service Marketing”, Valarie A. Zeithaml & Mary Jo Bitner

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• Inappropriate Physical Evidence & ServicescapeFailure to develop tangibles in line with customer expectations

Servicescape design that does not meet customer and employee needs Inadequate maintenance and updating of the servicescape

Management Perceptions of Customer Expectations

Customer-Driven Service Designs & StandardsProvider

GAP 2

“Service Marketing”, Valarie A. Zeithaml & Mary Jo Bitner

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• Deficiencies In Human Resource PoliciesIneffective recruitmentRole ambiguity and role conflictPoor employee-technology job fitInappropriate evaluation and compensation systemsLack of empowerment, perceived control and teamwork

• Customers Who Do Not Fulfill RolesCustomers lack knowledge of their roles and responsibilitiesCustomers negatively affect each other

Customer driven service designs and standards

ProviderGAP 3

Service delivery

“Service Marketing”, Valarie A. Zeithaml & Mary Jo Bitner

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•Problems with Service IntermediariesChannel conflict over objectives and performanceDifficulty controlling quality and consistencyTension between empowerment and control

•Failure to Match Supply & DemandFailure to smooth peaks and valleys of demandInappropriate customer mixOver-reliance on price to smooth demand

Service Delivery

ProviderGAP 3

Customer-Driven Service Designs & Standards

“Service Marketing”, Valarie A. Zeithaml & Mary Jo Bitner

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• Lack of Integrated Services Marketing CommunicationsTendency to view each external communication as independentAbsence of interactive marketing in communications planAbsence of strong internal marketing program

• Ineffective Management of Customer ExpectationsAbsence of customer expectation management through all forms of communicationLack of adequately education for customers

Service DeliveryProviderGAP 4

External Communications to Customers

“Service Marketing”, Valarie A. Zeithaml & Mary Jo Bitner

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• OverpromisingOverpromising in advertisingOverpromising in personal sellingOverpromising through physical evidence cues

• Inadequate Horizontal CommunicationsInsufficient communication between sales and operationsInsufficient communication between advertising and operationsDifferences in policies and procedures across branches or units

Service DeliveryProviderGAP 4

External Communications to Customers

“Service Marketing”, Valarie A. Zeithaml & Mary Jo Bitner