Week 5 DB Service

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Chapter_12.pptx

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Chapter 12-‹#›

Customers’ Roles in Service Delivery

The Importance of Customers in Service Cocreation and Delivery

Customers’ Roles

Self-Service Technologies—The Ultimate in Customer Participation

Strategies for Enhancing Customer Participation

Chapter

12

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Chapter 12-‹#›

Objectives for Chapter 12: Customers’ Roles in Service Delivery

Illustrate the importance of customers in successful service delivery and cocreation of service experiences.

Discuss the variety of roles that service customers play: productive resources for the organization, contributors to and cocreators of value, and competitors.

Explain strategies for involving service customers effectively to increase satisfaction, quality, value, and productivity.

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Chapter 12-‹#›

How Customers Widen the Service Performance Gap

Lack of understanding of their roles

Not being willing or able to perform their roles

No rewards for “good performance”

Interference with or from other customers

Incompatible market segments

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Chapter 12-‹#›

Customer Participation across Different Services (Table 12.1)

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Chapter 12-‹#›

Importance of Fellow Customers in Service Delivery

Other customers can detract from satisfaction:

Disruptive behaviors

Overly demanding behaviors

Excessive crowding

Incompatible needs

Other customers can enhance satisfaction:

Mere presence

Socialization/friendships

Roles: assistants, teachers, supporters, mentors

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Chapter 12-‹#›

Customer Roles in Service Delivery

Productive Resources

Contributors to Quality, Satisfaction, and Value

Competitors

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Chapter 12-‹#›

Customers as Productive Resources

Customers can be thought of as “partial employees”

Contributing effort, time, or other resources to the production process

Customer inputs can affect organization’s productivity

Key issue:

Should customers’ roles be expanded? reduced?

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Chapter 12-‹#›

Customers as Contributors to Service Quality and Satisfaction

Customers can contribute to:

Their own satisfaction with the service

By performing their role effectively

By working with the service provider

The quality of the service they receive

By asking questions

By taking responsibility for their own satisfaction

By complaining when there is a service failure

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Chapter 12-‹#›

Customers as Competitors

Customers may “compete” with the service provider

“Internal exchange” vs. “external exchange”

Internal/external decision often based on:

Expertise capacity

Resource capacity

Time capacity

Economic rewards

Psychic rewards

Trust

Control

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Chapter 12-‹#›

A Proliferation of Self-Service Technologies

ATMs

Pay at the pump

Airline check-in

Hotel check-in, out

Automated car rental

Blood pressure machines

Tax prep software

Self-checkout

Online banking

Online vehicle registration

Online auctions

Home and car buying online

Package tracking

Internet shopping

IVR phone systems

Distance education

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Chapter 12-‹#›

Service Production Continuum (Figure 12.1)

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Chapter 12-‹#›

Strategies for Enhancing Customer Participation (Figure 12.2)

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Chapter 12-‹#›

Strategies for Enhancing Customer Participation

Define customers’ roles

Helping oneself

Helping others

Promoting the company

Recruit, educate, and reward customers

Recruit the right customers

Educate and train customers to perform effectively

Reward customers for their contributions

Avoid negative outcomes of inappropriate customer participation

Manage the customer mix

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Chapter 12-‹#›

Compatibility Management

“a process of first attracting homogeneous consumers to the service environment, then actively managing both the physical environment and customer-to-customer encounters in such a way as to enhance satisfying encounters and minimize dissatisfying encounters” (Martin and Pranter 1989)

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Chapter 12-‹#›

Characteristics of Service that Increase the Importance of Compatible Segments

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Chapter 12-‹#›