Definition of Service • Zeithmal & Bitner“ Deeds, processes & performances” – Deeds- actions of Service Providers – Processes- steps in providing services – Performance- customer's understanding of service delivery Kotler“A service is any act or performance that one party can offer to another that is essentially intangible & does not result in the ownership of anything. Its production may be or may not be tied to a physical product.” Types of Services 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. Communication Transportation Real Estate Services Entertainment Marketing Related Services Financial & Insurance Medical Government Public Utility Services- Water, Electricity & Gas Hospitality Trading Services- wholesale, retailing Other Professional Services Internet Based Services E-Commerce etc Why Services Marketing? • 1. Service Based Economy • 2. Service as a Business Imperative in Manufacturing & IT • 3. Professional Service Needs & De-regulation • 4. Services Marketing is Different from Manufacturing & Goods Mktg • 5. Service leads to Profit SERVICE BLUEPRINT • A service blueprint is a picture or map that accurately portrays the service system so that the different people involved in providing it can understand and deal with it objectively, regardless of their roles or their individual points of view. • 1. 2. 3. 4. A service blueprint visually displays the service through, Process of the service delivery The points of customer contact The roles of customers & employees & The visible elements of service PROCESS SERVICE BLUE PRINT Points of CONTACT EVIDENCE Service Mapping/Blueprinting • A tool for simultaneously depicting the service process, the points of customer contact, and the evidence of service from the customer’s point of view. Service Blueprint Components CUSTOMER ACTIONS line of interaction “ONSTAGE” CONTACT EMPLOYEE ACTIONS line of visibility “BACKSTAGE” CONTACT EMPLOYEE ACTIONS line of internal interaction SUPPORT PROCESSES Service Blueprint Components CONTACT PERSON CUSTOME PHYSICAL EVIDENCE (Back Stage) (On Stage) R Express Mail Delivery Service Truck Packaging Forms Hand-held Computer Uniform Customer Calls Customer Gives Package Receive Package Driver Picks Up Pkg. Deliver Package Customer Service Order Dispatch Driver SUPPORT PROCESS Truck Packaging Forms Hand-held Computer Uniform Airport Receives & Loads Fly to Sort Center Load on Airplane Sort Packages Fly to Destinatio n Unload & Sort Load On Truck CONTACT PERSON SUPPORT PROCESS(Back Stage) (On Stage) CUSTOMER PHYSICAL EVIDENCE Overnight Hotel Stay Hotel Exterior Parking Arrive at Hotel Cart for Bags Desk Elevators Cart for Registration Hallways Bags Papers Room Lobby Key Give Bags Check in to Bellperson Go to Room Greet and Process Take Registration Bags Receive Bags Room Menu Amenities Bath Sleep Shower Call Room Service Deliver Bags Take Bags to Room Registration System Delivery Food Tray Food Appearance Receive Food Deliver Food Eat Bill Desk Lobby Hotel Exterior Parking Check out and Leave Process Check Out Take Food Order Prepare Food Registration System Building a Service Blueprint Step 1 Step 2 Step 3 Step 4 Step 5 Step 6 Identify the process to be blueprinted. Identify the customer or customer segment. Map the process from the customer’s point of view. Map contact employee actions, onstage and backstage. Link customer and contact person activities to needed support functions. Add evidence of service at each customer action step. Example of Service Blueprinting Standard execution time 2 minutes Brush shoes 30 secs Total acceptable execution time 5 minutes Seen by customer Line of visibility Not seen by customer but necessary to performance Clean shoes 45 secs Apply polish 30 secs Fail point Buff Collect payment 45 secs 15 secs Wrong color wax Materials (e.g., polish, cloth) Select and purchase supplies Service Blueprinting Steps 1. Identify processes 2. Isolate fail points 3. Establish a time frame 4. Analyze profitability Application of Service Blueprints • New Service Development • concept development • market testing • Supporting a “Zero Defects” Culture • managing reliability • identifying empowerment issues • Service Recovery Strategies • identifying service problems • conducting root cause analysis • modifying processes Blueprints Can Be Used By: • Service Marketers – creating realistic customer expectations • service system design • promotion • Operations Management – rendering the service as promised • managing fail points • training systems • Human Resources – empowering the human element • job descriptions • selection criteria • appraisal systems • System Technology – providing necessary tools: • system specifications • personal preference databases