Book Review assignment

Service Marketing

Integrating Customer Focus Across The Firm

Presented by

Ehab Kosber

Service Marketing Integrating Customer Focus Across The Firm

Valarie A. Zeithaml

Mary Jo Bitner

Dwayne D. Gremler

Brief Contents • Part One Foundation for Service Marketing .• Part Two Focus on the customer .• Part Three Understanding Customer Requirements .• Part Four Aligning service design and standards .• Part Five Delivering and performing service .• Part SIX Managing Service Promises .• Part Seven Service and bottom line .

Service Marketing Integrating Customer Focus Across The Firm

Service Marketing Integrating Customer Focus Across The Firm

• What is services ? All economic activities whose output is not a physical product or

construction , is generally consumed at the time it is produced , And provides added values in forms such as ( convenience , amusement , timeliness , comfort , or health ) that are essentially intangible concerns of its first purchaser .As Cravens (1986 , p.77) has stated :

Understanding the strategic situation confronting an organization is an essential starting point in developing a market strategy

Managing Service Promises

Integrated Service Marketing Communications . This sector objectives are :• Discuss the key reason of service communication

challenges .• Introduce the concept of integrated service marketing

communication .• Present four ways to integrate marketing communications

in service organizations .• Present specific strategies for managing promises ,

managing customer expectations , educating customers , and managing internal communications .

Managing Service Promises

• Because company communications about services promise what people do and because people’s behavior cannot be standardized like physical goods produced by machines , the potential for mismatch between what is communicated and perceptions of actual service delivery is high , By coordinating communications within and outside the organization , companies can minimize the size of this gap .

Managing Service Promises

Managing Service Promises

An example from my experience of what happens when service marketing communication are not integrated

• Bank advertising was changed frequently and quickly to meet competitive offerings but the bank tellers ‘s training in the new offering did not keep pace with the changes in advertising . As a result , customers came in expecting new accounts , services and rates to be available , and employees were embarrassed because they had not been informed .

Managing Service Promises

• Integrated marketing communication build a strong brand identity in the marketplace by tying together and reinforcing all your images and messages . IMC means all your corporate messages , positioning , images and identity are coordinated across all venues , it means that your supply chain processing say the same things as your direct mail campaign , and your advertising message has to deliver the meaning of your service features .

Key reasons for service communication challenges

• Discrepancies between service delivery and external communication , in the form of exaggerated promises and/or the absence of information about service delivery aspects intended to serve customers well , can powerfully affect consumer perception of service quality .The factors that contribute to these communication problems are .

1- Inadequate Management Of Services Promises ;

2- Inadequate Management Of Customer Expectation :

3- Inadequate Customer Education

4- Inadequate Internal Marketing Communications

Four Categories Of Strategies To Match Service Promises With Delivery

All to reach the goal of , delivery is grater than or equal to promises

In manufacturing physical goods , the dept that make promises

and those that deliver them can operate independently . Goods can be fully designed and produced and then turned over to marketing for promotion and sale . In services , however , the sales and marketing make promises about what other employees in the organization will fulfill . Become what employees do cannot be standardized like physical goods purchased mechanically , greater coordination and management of promises are required .Successful service advertising and personal selling become the responsibility of both marketing and operation .

1st Strategy : Manage Service Promises

Offer service

guarantee

Make realistic

promises

Coordinate external

communication

Create effective service

ads

Developed guidelines for effective service

advertisement • Use narratives to demonstrate the service experience :

Research has conducted , that customers with relatively low familiarity with a service category prefer appeals based on stories to appeals or evidence based on service attributes .

• Present vivid information : using vivid information cues is particularly describe when services are highly intangible and complex ( I Am An American ) campaign after 9/11 .

• Use interactive imagery : this type can enhance recall of names or facts about service ( Ads of Toyota Motors ) .

• Focus on the tangible : The great benefits of a bank credit cards for instant , Or the outstanding coverage of an insurance company on the assets

Developed guidelines for effective service advertisement

• Feature service employees : customer contact personnel are the second most important audience for the service advertising , by using the actual employees while performing their same jobs in advertising make a great message for the both sides of audience which are the primary audience – customer – and the secondary – employees – that has a positive effect on the employees too as they feel as an important part of the organization .

• Promise what is possible : when the actual service does not live up to the promise in ads , It become disappointment to the customers , All service communication should promise only what is possible .

Developed guidelines for effective service advertisement

• Encourage word of mouse communication : Because of service is high in experience , most of people tend to ask each others about their own experience of using the service rather than traditional marketing communications .

• Feature service customers : One way to generate word of mouse is to feature satisfied customers in the communications , Ads testimonial featuring actual customer simulate person communication between people and are creditble way to communicate the benefits of service .

2nd Strategy : Manage Customer

Expectations

Negotiate Un-

realistic Expecta-

tion

Comm. The Criteria& Level Of Service

Effectiveness

Create Tired-Value Service

Offerings

Offer choices

• Summary

• Discrepancies between service delivery and external communications have a strong effect on customer perception of service quality . That justifies the importance of integrated service marketing communications to minimize these discrepancies .Also internal , interactive and external marketing communication by using the service triangle are needed to be coordinated to meet customers expectations .