5questions about Strategic Services Marketing
Autumn 2020
Associate Professor Francois Carrillat
Marketing Discipline Group
UTS Business School
24706 Strategic Services Marketing
A Customer Experience Perspective
Lecture 9: Integrated Marketing Communication (Ch. 14)
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(see ‘Program’ in the 24706 Subject Outline)
Weeks 1-5
Chapter 1: Introduction to services
Chapter 2: The Gaps model of service quality
Chapter 8: Service innovation and design (blueprinting)
Chapter 9: Customer-defined service standards
Chapter 3: Customer expectations of services
Chapter 4: Customer perceptions of service
Chapter 10: Physical evidence and the servicescape
Chapter 6: Building customer relationships
Chapter 7: Service recovery
Chapter 11: Employees’ roles in service delivery
Chapter 12: Customers’ roles in service delivery
Chapter 13: Managing demand and capacity
Chapter 15: Pricing of services Chapter 14: Integrated marketing communications
FE
NOTE: Chapters 5 and 16 are not explicitly discussed in lectures
Subject Overview: Textbook Readings & Exams
Sessions 3,4 and 5
Title: Services Marketing, Integrating Customer Focus Across the Firm
Authors: Valerie Zeithaml, Mary Jo Bitner, Dwayne Gremler
Textbook: show and tell US view but will complement with examples international and australian.
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The Role of Marketing Communications in Services
Position and differentiate service
Help customer evaluate offerings and highlight differences that matter
Promote contribution of personnel and backstage operations
Add value through communication content
Facilitate customer involvement in production
Stimulate or dampen demand to match capacity
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Service Strategies to Minimize the Communication Gap
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Advertising Strategies for Overcoming Nonsearchability
CSIS relies on endorsement from higher authority to overcome intangibility.
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Addressing Service Intangibility: Word-of-Mouth
Marketing techniques linked to Word-of-Mouth
Superior employees-customer relationships
Strong customer relationship (customers as partners)
Employees as brand ambassador
Viral marketing
‘Going viral’ is a great strategy…but how does something become viral?
Blogs
Communications about customer experiences influence opinions of brands and products
Some firm have started to monitor blogs as form of market research and feedback
Becoming increasingly popular — fastest-growing social networking service
Media Coverage
Compares, contrasts service offerings from competing organisations
Advice on ‘best buys
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Viral Marketing: Berger and Milkman (2011)
Berger, Jonah, and Katherine L. Milkman. "What makes online content viral?." Journal of Marketing Research 49.2 (2012): 192-205.
Posiitvbe and negative emotions that genrate arousal push to actionl; emotion transmission theory we want others to feel like we do.
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Addressing Service Intangibility: Event sponsorship
DHL sponsorship of Formula 1
Demonstration of capacity: ‘proof marketing’
Targeting key decision makers in business logistics
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Service Strategies to Minimize the Communication Gap
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Dorada Tennis Club case study
How is the resort promoted?
How does that contribute to the overall service gap?
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The Gap Model
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Manage Customer Expectations Through Communications
Make realistic promises
Offer service guarantee
Offer choice
Tiered-value offering
Negotiate unrealistic expectations
Tiered value: menu gourmet; full luxury trip, etc. helath insurance cover, etc.
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Service Strategies to Minimize the Communication Gap
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Manage Customer Education
High customer participation services
Transformational services
Credence services: inform about performance
Communication is necessary to balance supply and demand e.g., staggered release of festival tickets
Informe about performance: teaching!
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Manage Internal Marketing Communication
Clear understanding of innovations
Blueprinting
Demonstrate to employees they represent the service
High contact services
Communicate same values about the firm to employees that customers will expect
No double standards
Informe about performance: teaching!
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Addressing Service Intangibility: Advertising Strategies
To overcome intangibility
Use tangible cues in advertising
Use metaphors to communicate benefits of service offerings
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Advertising Strategies for Overcoming Incorporeal Existence
Solution: Show physical components of service that are unique
Caveat: avoid conceptual metaphors
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Advertising Strategies for Overcoming Abstractness
Solution: capture and display typical customers benefiting from the service
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Advertising Strategies for Overcoming Generality
Solution: Document fact and statistics about the service delivery system
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Advertising Strategies for Overcoming Mental Impalpability
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Integrated Service Marketing Communication
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Criteria For IMC Program
program evaluations of marketing communications on all of the preceding criteria must be weighed against their cost.
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Coverage
Contribution
Commonality
Complementarity
Cost
Comformability
Mastercard Priceless Campaign
Integrated Service Marketing Communication
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HSBC Global Campaigns
Integrated Service Marketing Communication
https://www.youtube.com/watch?v=GOHvMz7dl2A&list=PLqpBJ9DtSj_4hLeSB8ws0SOD16v8GldUO&index=99
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Autumn 2020
Associate Professor Francois Carrillat
Marketing Discipline Group
UTS Business School
24706 Strategic Services Marketing
A Customer Experience Perspective
Next: presentation in from of the Swans on Zoom for top 4 teams (every team invited)
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