Question

SERVICE MARKETING SUBJECT

QUESTION 6

The service concept is denoted by a core product and its supplementary services. A popular notion in describing supplementary service elements is by using the Flower of Service framework. Based on your understanding of the Flower of Service framework, explain the EIGHT (8) petals denoting the supplementary aspects of the service provided by a restaurant of your choice. Use examples for each petal.

QUESTION 7

a) A service product comprises all elements of service performance, both tangible and intangible, that create value for customers. State the THREE (3) classifications of service products. Please provide examples for each classification.

b) Branding is a process that is important in creating a distinct name and image for a product in the consumers' mind, mainly through advertising campaigns with a consistent theme. Branding has a significant importance to both the buyer and seller of a service or physical good. State

FOUR (4) benefits of branding to the buyer and the seller of a service or physical good.

c) State any THREE (3) benefits of using social media to introduce a service product.

Answer 1

QUESTION 6

The service concept is denoted by a core product and its supplementary services. A popular notion in -describing supplementary service elements is by using the Flower of Service framework. Based on your understanding of the Flower of Service framework, explain the EIGHT (8) petals denoting the supplementary aspects of the service provided by a restaurant of your choice. Use examples for each petal.

Most of the core services have supplementary services in common which keep recurring. Almost all supplementary services can be either facilitating or enhancing supplementary services. Facilitating supplementary services aid in the use of the core product or are required for service delivery. Enhancing supplementary services may add extra value to customers. Supplementary services can be classified into one of the eight clusters that are information, consultation, order taking, hospitality, safekeeping, exceptions, billing, and payment. These eight clusters are displayed as petals surrounding the center of a flower or core service hence it is called the flower of service framework.

This flower of service framework is explained below using the example of a McDonald’s outlet.

Information – McDonald’s outlets have digital ordering machines at the outlets, brochures, menu cards, displays, and people at the counter to provide the necessary information about the item that an individual wants to buy. They also have the website to provide vast information on all their items and promotions.

Consultation – The outlets do provide support in case any customer has some concern or is in need of further support, or wants to provide feedback. The outlet manager is readily available and willingly addresses all the concerns of the customer.

Order taking – Once the customers are ready to buy the outlets have a very efficient and effective order taking and tracking methodology. The order number receipt is provided to customer and the order status that is in progress, ready to serve is displayed. The process of order taking is very polite, fast, and accurate and therefore does not waste the time of customers and does not cause mental or physical effort.

Billing – The billing process at McDonald’s is always efficient, complete, and accurate as it is computerized and therefore leads to satisfied customer experience.

Payment – This process is also very easy as both cash and card payments accepted at all the outlets. There are self-service card and order machines also provided in the outlets to facilitate and enhance the customer experience.

Hospitality – At McDonald’s hospitality is always amazing. Courtesy and consideration for customers' needs are always shown for both face-to-face encounters and telephone interactions. Customers new and old are always greeted very nicely. Based on the number of people visiting the right seating place is recommended. For take away category there is a different section and of course there is a drive-through section also for the convenience of customers.

Safekeeping – McDonald’s outlets have a very convenient and safe parking area. It is kid-friendly too as there are special kid’s zones that are smoke-free and have storage space for valuables. Also, there are provisions for washrooms and coatrooms.

Exceptions – Exceptions are very professionally handled at McDonald’s in case certain items are not available then immediate information is given, if there is a delay in delivery due to rain, accident then customer service call and inform. They openly accept any type of suggestion or complaint and act on it. Compensation in the form of refund or free-service is also provided in case the item purchased or service delivered is proven to be not satisfactory for the customer. This shows that they are always responsive to customer needs.

QUESTION 7

a) A service product comprises all elements of service performance, both tangible and intangible, that create value for customers. State the THREE (3) classifications of service products. Please provide examples for each classification.

Classification of service based on Tangible Action

Wherever people or products are involved directly, the service classification can be done based on tangibility.

1) Services for people: For example Health care, restaurants, and saloons, where the service is delivered by people to people.

2) Services for goods: For example transportation, repair, and maintenance, where services are given by people for objects or goods.

Classification of services based on Intangibility

1) Services directed at people’s minds - Services sold through influencing the creativity of humans are classified on the basis of intangibility.

2) Services directed at intangible assets: Banking, legal services, and insurance services are some of the services most difficult to price and quantify.

b) Branding is a process that is important in creating a distinct name and image for a product in the consumers' mind, mainly through advertising campaigns with a consistent theme. Branding has significant importance to both the buyer and seller of a service or physical good. State FOUR (4) benefits of branding to the buyer and the seller of a service or physical good.

Benefits of branding for Sellers –

- Product recognition and product differentiation thereby accentuating the value in comparison to the competition.

- Aligns the seller’s advertising and promotional activities which help to build an emotional relationships with consumers.

- Increases profitability as a well-known brand would bring more revenue to a seller.

- Helps in targeting and positioning of the product.

Benefits of branding for Buyers –

- Leads to enhanced credibility of the product and ease of purchase for the consumer.

- Branding saves decision-making time for the consumer.

- Adds value to the consumer in terms of quality, look, and feel.

- Calling the attention of buyers to a new product that might benefit them.

c) State any THREE (3) benefits of using social media to introduce a service product.

- The use of social networking sites allows businesses to reach a much wider group of customers than using traditional methods. Businesses save a lot of time and money.

- Increase the effectiveness of activities on various platforms and thereby have positive impact on the company’s image for convenience and social interaction. Also provides customers with the freedom to choose their preferred form of contact.

- Gives customers the ability to speak directly with brands via social media channels. This means that many customers feel closer to the service and therefore can emotionally connect and invest in it.