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Service Marketing Encounters

Submitted by nicspic on January 23, 2006

Category: Business
Words: 4340 | Pages: 18
Views: 374
Popularity Rank: 27,173
Average Member Grade: N/A (Add a Comment / Grade this Paper)

SERVICES MARKETING
SERVICE ENCOUNTER REPORT

I have evaluated six encounters with a variety of industries; they are all from the service sector. A service sector business is one in which the perceived value of the offering to the buyer is determined more by the service rendered than the product offered.

The services I encountered have various levels of intangibility. For example, my service encounter at Odeon cinemas included physical aspects such as the theatre, popcorn, and tickets. However, with the telephone banking service encounter there is almost no tangible aspect.
The services I encountered also varied in the separability of the buyer and provider. For services such as going to the hairdressers, it is essential for the buyer and seller to be at the same place at the same time. However, when using self-service technologies such as ‘Amazon' there is no interpersonal aspect. For self-service technologies, customers play a role in creating quality service for themselves through their own behaviour during the interaction (Mary Jo Bitner, 2003).
Services are characterised by the lack of inventory. For example, hairdressers' cannot store appointment slots from one day to the next.
Services are very sensitive to time because they cannot be back ordered. For example, fast-food restaurants such as KFC cannot tell customers to come back tomorrow when the food is ready.
The intangibility of services leads to difficulty in measuring and controlling quality. For example, with a telephone-banking encounter, a new call staff member will offer a different level of service than a long-term staff member who feels comfortable in their job. However, self-service technologies such as ATM's operate uniformly and are therefore easier to control quality.
The difficulty in measuring quality means that services are risky. It is difficult to trial a service. For example, it is impossible to...

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