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12 Cards in this Set
- Front
- Back
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Define service. |
Any act of performance that one party gives to another that isn't tangible and doesn't result in ownership of anything (may or may not be tied to an actual product) |
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What are the 5 categories of a service mix? |
Pure tangible good (soap/toothpaste. no extra services)
Pure service (babysitting or massage)
Hybrid (restaurant, equal parts good & service)
Tangible good with accompanying service (car ,computer)
Major service with accompanying minor goods/services (air travel with a meal) |
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What are the 5 distinctions of services? |
Equipment based (car wash) or people based (accounting firm)
Service processes (fast food, candlelight, buffet)
Client's presence required (brain surgery) or no (car repair)
Personal needs or business needs
Objective (profit or non profit) and ownership (public or private)
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What are the 4 distinctive characteristics of services? |
Intangibility Inseparability Variability Perishability |
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Intangibility |
Services cannot be seen, felt, taste, or heard, or smelled before they are bought (cosmetic surgery)
When the product is intangible, the company tries to demonstrate quality through physical evidence and presentation. |
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Physical evidence and presentation components: |
Place People Equipment Price Symbols Communication material
Used to demonstrate quality in an intangible service. |
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Inseperability |
Services are produced and consumed simultaneously.
Provider is part of the service and provider-customer interaction is key. |
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Variability
How do you ensure quality control? |
Services are highly variable because it depends on who provides them and to whom.
Quality control in variable services is achieved through:
Investing in good hiring/training procedures Standardize service/performance process throughout the organization Monitor customer satisfaction |
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Perishability |
Services cannot be stored so perishability can be a problem when demand fluctuates (ie. flights during the off season) |
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How do you match demand and supply for perishable services? |
On the demand side: Differential pricing (matinee movies) Create non peak demand (McD's pushes breakfast service) Complementary services (ATM's in banks) Reservation systems (to manage demand levels, at hotels)
On the supply side: Part time employees (extra clerks during holidays) Peak time efficiency (perform only essential tasks during high demand) Increased consumer participation (bag your own groceries so clerk can serve others) Shared services (hospitals sharing expensive equipment) Facilities for future expansion (amusement park buys surrounding land) |
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What are the 5 gaps that cause unsuccessful service delivery? |
Consumer expectation vs. management perception (manager doesn't accurately know what consumers want)
Management perception vs. service quality specifications (knows what customers want but doesn't give specific goals)
Service quality specifications vs. service delivery (employees not trained well enough or conflicted between listening to customers but being quick)
Service delivery and external communications (customer expects something based on company's ad but doesn't get it)
Perceived service vs. expected service (doctor visits patient lots to show care but patient interprets it as something being very wrong) |
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What are the 5 determinants of service quality? |
Reliability (dependable? accurate?) Responsiveness (of employees is prompt) Assurance (trust and confidence) Empathy (individual attention & understanding) Tangibles (Clean, good decor) |
