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SM3 Service Encounters (1) : Background and Key Issues

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0% found this document useful (0 votes)
870 views

SM3 Service Encounters (1) : Background and Key Issues

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Uploaded by

purple0123
Copyright
© Attribution Non-Commercial (BY-NC)
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as PPT, PDF, TXT or read online on Scribd
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SM3 Service Encounters (1)

Background and Key Issues


Service Encounters has been identified by Martin (1999) as a key component of the current agenda for service marketers Much has been, and still is being written about Service Encounters hence covered in two sessions.
Web support material for Services Marketing, Second Edition Steve Baron and Kim Harris 2003, published by Palgrave Macmillan

Critical Incidents
Think of a time when, as a customer, you had a particularly satisfying or dissatisfying service encounter at a hotel or restaurant.

When did it happen?


What circumstances led up to it? What exactly happened? What made you particularly satisfied/dissatisfied?
Web support material for Services Marketing, Second Edition Steve Baron and Kim Harris 2003, published by Palgrave Macmillan

Definition of Service Encounter


Will use the following definition of service encounter:

That period of time during which a customer directly interacts with a service
From Shostack (1985)

Web support material for Services Marketing, Second Edition Steve Baron and Kim Harris 2003, published by Palgrave Macmillan

Scope of Service Encounters


Can be seen from the Service Marketing System that a customer interacts with the service in any, or all, of the following ways:
customer interacts with service employee(s) customer interacts with other customer(s) customer interacts with the physical surroundings customer interacts with the technology/equipment
Web support material for Services Marketing, Second Edition Steve Baron and Kim Harris 2003, published by Palgrave Macmillan

Significance of Service Encounters


Service encounters influence service quality perceptions There are often many service encounters during the time a customer interacts with the service Some service encounters are more critical than others
Web support material for Services Marketing, Second Edition Steve Baron and Kim Harris 2003, published by Palgrave Macmillan

Customer interacts with service employee(s):


Some managerial issues
How do we train employees to increase customers levels of satisfaction and perceived quality of the service? To what extent, and in what circumstances, should employees be empowered?
Web support material for Services Marketing, Second Edition Steve Baron and Kim Harris 2003, published by Palgrave Macmillan

Customer interacts with other customer(s):


Some managerial issues
How can we manage customer compatibility?

To what extent do customer interactions determine the service experience?


To what extent can (should) we encourage/discourage customer interactions?

Web support material for Services Marketing, Second Edition Steve Baron and Kim Harris 2003, published by Palgrave Macmillan

Customer interacts with the physical surroundings:


Some managerial issues
How do we design the physical setting of a service to encourage approach rather than avoidance behaviours of customers? Can servicescape design ideas be transferable across different types of service?
See Bitner (1992)
Web support material for Services Marketing, Second Edition Steve Baron and Kim Harris 2003, published by Palgrave Macmillan

Customer interacts with technology/equipment:


Some managerial issues
What are the gains and losses involved in replacing interpersonal service with selfservice?

Customer attitudes and behaviour with regard to technology-based services (especially the Internet).
See Meuter et. al. (2000)
Web support material for Services Marketing, Second Edition Steve Baron and Kim Harris 2003, published by Palgrave Macmillan

The Approach
Will concentrate first on Interpersonal Encounters (customeremployee and customercustomer interactions) Will deal with customer interactions with the physical surroundings in session on Service Design Will deal with customer interactions with the Internet in Service Encounters (2)
Web support material for Services Marketing, Second Edition Steve Baron and Kim Harris 2003, published by Palgrave Macmillan

The Approach
The approach (treating each type of customer interaction separately) is helpful to obtain some depth of study However, it must be remembered that customers holistic evaluations of interactions with a service are not necessarily based on separate evaluations of the component parts
Web support material for Services Marketing, Second Edition Steve Baron and Kim Harris 2003, published by Palgrave Macmillan

Service Encounters
Interpersonal Encounters
Bitner et al. (1990) refers to interpersonal encounters as That vital interpersonal element of service firm performance We examine:
CustomerEmployee Encounters CustomerCustomer Encounters
Web support material for Services Marketing, Second Edition Steve Baron and Kim Harris 2003, published by Palgrave Macmillan

CustomerEmployee Encounters
Characteristics Sources of satisfaction and dissatisfaction

Managerial implications
Web support material for Services Marketing, Second Edition Steve Baron and Kim Harris 2003, published by Palgrave Macmillan

Characteristics
purposeful not generally altruistic prior acquaintance not required task-related information dominates limited in scope both parties have clear understanding of roles
Web support material for Services Marketing, Second Edition Steve Baron and Kim Harris 2003, published by Palgrave Macmillan

From Czepiel et. al. (1985)

Sources of satisfaction and dissatisfaction


Recovery Adaptation Spontaneity (Coping)
From Bitner et. al. (1990, 1994)
Web support material for Services Marketing, Second Edition Steve Baron and Kim Harris 2003, published by Palgrave Macmillan

Managerial Implications

Web support material for Services Marketing, Second Edition Steve Baron and Kim Harris 2003, published by Palgrave Macmillan

Customer-to-Customer Encounters
Research findings to-date Managerial implications

Web support material for Services Marketing, Second Edition Steve Baron and Kim Harris 2003, published by Palgrave Macmillan

Research findings to-date


Various forms of interaction Occurs more frequently than anticipated Stimulated by a variety of factors Range of customer involvement

Web support material for Services Marketing, Second Edition Steve Baron and Kim Harris 2003, published by Palgrave Macmillan

Managerial implications
View customer as a human resource Plan to facilitate interactions Accept social responsibility

See Harris et. al. (2000); Pranter and Martin (1991)


Web support material for Services Marketing, Second Edition Steve Baron and Kim Harris 2003, published by Palgrave Macmillan

Service Encounters
Summary
All forms of service encounter can affect perceptions of service quality Technology is changing the manner in which customers interact with some services, BUT Interpersonal interactions are still clearly important even with the Internet, and in predominantly self-service environments
Web support material for Services Marketing, Second Edition Steve Baron and Kim Harris 2003, published by Palgrave Macmillan

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