5questions about Strategic Services Marketing

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StrategicServicesCommunication_Lecture_9_NoVoice.pptx

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

4

Advertising Strategies for Overcoming Nonsearchability

CSIS relies on endorsement from higher authority to overcome intangibility.

5

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

Twitter

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

8

Service Strategies to Minimize the Communication Gap

10

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

12

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

14

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!

15

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!

16

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

18

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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