MANAGING THE SERVICE PROMISES

CHAPTER 16

IMC of Services Marketing

CUSTOMER

COMPANYExternal

Communications to CustomersThe

Communication Gap

Provider Gap 4

Service Delivery

Part 6 Opener

Communications and the Services Marketing Triangle

Internal Marketing Vertical communications

Horizontal communications

Interactive Marketing Personal selling

Customer service center Service encounters

Servicescapes

External Marketing

Communication Advertising

Sales promotion Public relations

Direct marketing Sponsorship Marketing

Database Marketing

Company

CustomersEmployees

Source: Kotler, Philip, Marketing Management: Analysis, Planning, Implementation, and Control, 9th Edition, © 1997.

Figure 16.1

Why are services more difficult to promote than physical products?

Key Reasons for Service Communication Challenges

Inadequate management of service promises Usually and issue internally between departments or

employees.Inadequate management of customer expectations

Can be a result of external marketing providing unrealistic expectations.

Inadequate customer education This often exists with high involvement services – i.e.,

certain medical services, certain financial services, etc.Inadequate internal marketing communications

Both horizontal and vertical communication is important – i.e., between service employees and between management and employees

Approaches for Integrating Services Marketing Communication

Improvecustomereducation

Manageservice

promises

Managecustomer

expectations

Manageinternal

marketingcommunication

Goal:Delivery is

greater than or equal to promises

Figure 16.2

Goal:Delivery is

greater than or equal to promises

Offerserviceguarantees

Create effectiveservices communications

MANAGING SERVICE PROMISES

Makerealisticpromises

Coordinate externalcommunication

Approaches for ManagingService PromisesFigure

16.3

Create Effective Services Advertising

Use narratives to demonstrate the service experience

Present vivid informationUse interactive imageryFocus on the tangibleFeature service employees in communicationPromise what is possibleEncourage word-of-mouth communicationFeature service customersUse transformational advertising

Coordinate External Communication

Advertising

Websites

Sales promotion

Public relations

Personal selling

Communicate criteria for service effectiveness

Create tiered-valueofferings

Communicate unrealistic

expectations

Goal:Delivery is

greater than or equal to promises

Offer choices

Approaches for Managing Customer Expectations

Figure 16.11

Goal:Delivery is

greater than or equal to promises

Prepare customers for the service process

Clarify Expectations before/after the sale

Teach customers to avoid peak demand periods and seek slow periods

Confirm performanceto standards

Approaches for Improving Customer Education

Figure 16.12

Goal:Delivery is

greater than or equal to promises

Createeffective verticalcommunications

Align back-office personnel with

external customers

Createeffective horizontal

communications

Createcross-functional

teams

Approaches for Managing Internal Marketing CommunicationsFigure

16.13

Which of these gaps are the easiest, hardest to close?

Mini Case – Vancouver Aquarium Tours – page 536

Key Factors Leading to the Customer Gap

Provider Gap 1: Not knowing what customers expect

Provider Gap 2: Not selecting the right service designs and standards

Provider Gap 3: Not delivering to service standards

Provider Gap 4: Not matching performance to promises

Customer Expectations

Customer Perceptions

CustomerGap

Key Factors Leading to Gap 4

Lack of integrated services marketing communications

Over promising Ineffective management of customer

expectations Inadequate horizontal communications