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Chapter 5 Services Marketing for UG - Copy

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6 views

Chapter 5 Services Marketing for UG - Copy

Uploaded by

Alemineh Melaku
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd
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Services Marketing for 3rd Year

Marketing Management UG
Students

CHAPTER V

Customer Perceptions of Service


Chapter Content
Customer Perceptions of Service
5.1 Customer Perceptions

5.2 Concept of customer satisfaction & service quality

5.3 Service Encounters or Moments of truth

5.4 Strategies for influencing customer perceptions


Introduction
Consumer perception of service

• What exactly does your customer think about your brand, products,
services, quality is consumer perception.

• In other words, the customer's viewpoint about your business, his


feelings about your brand, one's direct/indirect experiences etc

• By observing & examing the result of your customer opinions, you can
detect current customer pain points and enhance the consumer
experience.
5.1 Customer Perceptions
Customer Perceptions
• Customer perceptions refer to how customers view and interpret a
company’s service based on their experiences, expectations, and
interactions.

• These perceptions are influenced by various factors, including past


experiences, marketing communications, word-of-mouth
recommendations, and personal needs.
• Customers evaluate service based on three primary dimensions:
 Search Qualities: Tangible attributes that a customer can evaluate
before purchase, such as price and physical appearance.
 Experience Qualities: Attributes evaluated during or after the
service, such as friendliness of staff or effectiveness of treatment.
 Credence Qualities: Attributes difficult to evaluate even after
service consumption, such as medical diagnoses or financial advice.
5.2 Concept of Customer
Satisfaction & Service
Quality
Concept of Customer Satisfaction &
Service Quality
• Service quality is defined as a comparison of customer expectations
with service performance.

• Good service quality leads into customer satisfaction and, therefore,


makes the firms more competitive in the market.
Customer Satisfaction

• Customer satisfaction is a measure of how well a company’s services


meet or exceed customer expectations. It is influenced by:
Concept of Customer Satisfaction & Service Quality

Expectations: Formed from past experiences, advertisements, and


personal beliefs.

• Perceived Performance: The customer’s evaluation of the actual service


received.

• Disconfirmation: The gap between expectations and perceived


performance, which can be positive (exceeding expectations), negative
(falling short), or neutral (meeting expectations).
Service Quality
• Service quality refers to the overall assessment of a service based on
five key dimensions (SERVQUAL model):
• Reliability: Ability to deliver promised service dependably and
accurately.
• Assurance: Employee competence and ability to inspire trust.
• Tangibles: Physical facilities, equipment, and appearance of personnel.
• Empathy: Providing caring, personalized service to customers.
• Responsiveness: Willingness to help customers and provide prompt
service.
5.3 Service Encounters or
Moments of Truth
Service Encounters or Moments of Truth

• "Service encounters" refers to any interaction a customer has with a


service provider, while "moments of truth" are specific, critical points
within those interactions where a customer forms a significant
impression about the company or service, essentially deciding whether
their experience will be positive or negative; meaning, a "moment of
truth" is a key part of a "service encounter.".
Service Encounters or Moments of
Truth
• A service encounter is any interaction between a customer and a
service provider. These moments of truth shape the overall perception
of service quality and can occur in various forms:
• Remote encounters: Service accessed via technology (e.g., online banking,
customer support chatbots).
• Phone encounters: Customer interactions through calls, often assessing
responsiveness and empathy.
• Face-to-face encounters: Direct interactions, where verbal and non-verbal
cues play a significant role.

Key aspects influencing service encounters include:


• Employee attitudes and behaviors.
• The customer’s role and expectations.
• The service environment.
• The effectiveness of problem resolution.
5.4 Strategies for
Influencing Customer
Perceptions
Strategies for Influencing Customer Perceptions

• To influence customer perceptions, key strategies include: gathering


customer feedback, prioritizing customer experience, consistently
communicating brand values, actively managing social media presence,
building trust through personal connections, leveraging content
marketing, creating an emotional connection with customers, and
differentiating your brand through unique positioning; all while closely
monitoring customer sentiment and adapting based on their feedback.
• To positively shape customer perceptions, companies can adopt the
following strategies:
• Manage Expectations: Set realistic expectations through transparent marketing,
clear communication, and well-defined service promises.
• Deliver Consistent Service: Ensure reliability and dependability by training
employees and implementing standard operating procedures.
• Enhance Service Encounters: Improve customer interactions by focusing on
employee training, using technology to streamline processes, and maintaining a
customer-centric approach.
• Encourage Customer Feedback: Actively seek feedback through surveys,
reviews, and complaints management to understand customer needs and
improve service.
• Personalize Service: Tailor services to individual customer preferences and
needs, demonstrating empathy and understanding.
• Leverage Technology: Utilize AI chatbots, self-service kiosks, and mobile apps to
improve convenience and accessibility.
• Create Positive Emotional Connections: Foster relationships through courteous
service, personalized attention, and problem resolution.
• By effectively managing these strategies, businesses can improve
customer satisfaction, build brand loyalty, and enhance overall service
quality.

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