Transcript Nature of Services

Chapter 2
Hospitality Services
Definition of Service

A service is an activity or series of
activities of more or less intangible
nature that normally, but not necessarily,
take place in interactions between the
customer and service employees and/or
physical resources or goods and/or
systems of the service provider, which
are provided as solutions to customer
problems
Nature of Services





Intangibility
People as part of the product
Demand patterns
Perishability
Channel of distribution
Hospitality Service Marketing System
SERVICE DELIVERY SYSTEM
HOSPITALITY OPERATING SYSTEM
Back of the House
Front of the House
Facilities
Facilities
Service Staff
Guest Contact
Personnel
Not
Generally
Visible
to Customer
COMMUNICATIONS
SYSTEM
Marketing Communications
Advertising
Sales Calls
Public Relations
Word-of-Mouth
Casual Contact
Operational Communications
Billing and Credit
Reservations
Other Correspondence and
Phone Contact
Visible to Customer
Directed at Customer
Service Quality Dimension


Technical
Interpersonal
Service Quality Assessment Criteria

Tangibles
– The appearance of physical facilities,
equipment, personnel, and communication
materials

Reliability
– The ability to perform the promised service
dependably and accurately

Responsiveness
– The willingness to help customers and to
provide prompt service
Service Quality Assessment Criteria




Tangibles
Reliability
Responsiveness
Assurance
– The knowledge and courtesy of employees
and their ability to convey trust and
confidence

Empathy
– The provision of caring, individualized
attention to customers
Service Quality Gaps
Word of Mouth
Communications
Personal Needs
Past Experience
Expected Service
Expectations
Consumer
Marketer
Perceived Service
Performance
Misunderstanding
External
Communications
Overpromising
to Consumers
Service Delivery
Service Quality Specs
Communication
Mgmt. Perceptions of Consumer Expectations
The Cost of Quality




Good cost: prevention
Bad cost: inspection and correction
Ugly cost: defects and unsatisfied
guests
1-10-100 rule
Guarantee Programs





Unconditional
Easy to understand
Meaningful
Easy to invoke
Easy to collect
Principles of Waiting






Unoccupied waits seems longer than
occupied waits
Anxiety makes the wait seem longer
Waits of uncertain duration seem longer than
those of known length
Unexplained waits seem longer than
explained waits
Unfair waits seem longer than equitable waits
A solo wait seems longest of all
Hospitality Marketing Cycle
Promotional Activities
Lost Customers
Lost Customers
+
+
Consumption of
Service, Interaction
with Service Employees
Interest in Company,
Inquiries
+
Lost Customers
+
Buyer-Seller Interaction
During Purchase
Lost Customers
Internal Marketing


Service culture
Corporate culture
The Service Profit Chain
Service Quality Orientation
of Management
Employee Satisfaction
Employee Retention
Delivery of Service Quality
Customer Satisfaction
Customer Retention
Profit