How to Build Brand Loyalty among Digital Generation Consumers?

The way of dividing the age by age has passed, now it’s the era of digital consumers. People share the same attitude in their daily lives through interaction with technology products. Such as; Finding parking spaces through apps Checking the latest headlines on mobile phones in real time Paying for online transactions, etc. The most …

11 must-know Amazon Customer Satisfaction Metrics

Amazon, an e-commerce platform, is known to be customer-oriented and put customers first. Making customer satisfied with your products and services is the most important factor in becoming a successful seller. Remember; Don’t make customers unhappy! Amazon has 11 quantitative customer satisfaction indicators that you must know. These indicators are also issuing that sellers on …

Five Modern E-commerce Trends | Optimizing Customer Experience

According to a survey conducted by Forrester, a well-known US market research firm, consumer spending on online shopping will reach US$527 billion (nearly NT$18 trillion) in upcoming year. However, e-commerce is constantly innovating. Therefore, how to keep up with the trends of e-commerce, open the future market, and create a path of your own under …

Seven Reasons behind Amazon entry in hand-made market

Why Amazon Enters the Hand-made Market to Grab Etsy’s Business? The aggressive giant Amazon stepped into Etsy’s hand-made niche market and launched Amazon Handmaid’s new service focusing on hand-designed products. But Amazon’s ambitions may be far more than that. Creating a market designed for crafts is just Amazon’s first step to attract more “in-house creators”. …

Lean Entrepreneurial Methods to Create Popular Products

Have you heard of Lean Startup? Nowadays, the entrepreneurial cycle is changing rapidly, and speed determines success or failure. In the past, Pakistan’s manufacturing industry’s high capital expenditures to build factories to reduce production capacity and cost has become narrower under the threat of the red supply chain. Therefore, it is necessary to use a …

Digital Indicators on Amazon to Determine Market Demand

In the previous article, we used keyword tools to test the potential of Amazon products. Here, we will teach you to observe the digital indicators on Amazon to determine whether your product has market demand? There are two numbers on Amazon that are very important, one is the number of comments, the other is Best …

7 Areas of Online Marketing Techniques You Must Learn

In the sea of ​​information explosion, how do you start your online profitable business through online marketing? What resources do you have available? What internet marketing techniques do you need to know? This article sorted out 7 areas of online marketing to help you quickly understand how to get from beginner to expert in the …

What is Interpersonal Communication and Interpersonal Conflict

Interpersonal Communication When two people communicate or engage in any way or to share functional messages as well is considered as interpersonal communication. Does that mean that all kinds of communication between two people is INTERPERSONAL? NO! Quality is what distinguishes interpersonal communication The opposite is impersonal communication We chat with shopkeepers We talk to …

Team Conflict Symptoms, Causes, Strategy & Conflict Resolution Process

Dealing with Conflict Successful managers can effectively manage conflict. This ability is considered a core competency and is required for managers who want to grow and advance. Unfortunately, it is also one of the most difficult skills a manager can develop. Activity Kindly list individually the symptoms of team conflict that you have ever experienced …

BBA Internship Report – Dream World Travel

Executive Summary While studying Management Sciences, I found my interest in Marketing and especially in Digital Marketing. It was a great opportunity for me to do a six-month internship in Dream World Travel. At the start of the internship I had set several learning goals regarding the improvement of knowledge and skills on managing office …

SOSTAC Framework – Development of E-Marketing Plan

This study target company CEOs, directors, presidents, managing directors and managers, especially business owners and business graduates as well. It’s the start of 2021, now the question is doing we completed the marketing planning process for our company this year or not? Doesn’t matter that we are a one-man company, either we have 2-10 employees …

Analyzing Expensive vs Cheap Salon & Spa Services

In this article we will see the comparison between quality of services provided by regular cheap salon and high-end expensive salon. Beauty salons have proven to be a recession-proof industry across Globe. The growth of this industry is increasing in Globe due to raised awareness. This awareness in both men and women of Globe is …

Deluxe Suite versus Executive Hotel Suites Services

The Ritz-Carlton hotel company is the first and only hotel organization to win the desirable Malcolm Baldridge National Quality Award and the only service organization to win the award two times. Ritz-Carlton hotel Servicescape It implements different procedures in comparison to its competitors to obtain the right people to establish the best service. Whole hotel …

Emirates Servicescape – Business Class vs Economy Class

Emirates is an airline based in Dubai, UAE. The airline is a subsidiary of the Emirates group, which is wholly owned by the government of Dubai’s investment corporation of UAE. The largest airline country is American Airlines Group. Seating on each airline is categorized into different categories. These categories are different for each company however …

3 Stages Project Success Criteria in Public Sector Projects

3 Stages Project Success Criteria in Public Sector Projects 3 Stages of Project Success Criteria Success of a Project is measurable at three Stages: Stage 1 (Output): Successful completion of Project in terms of Sextuple Constraints (Scope, Time, Cost, Quality, Resources, and Risk) Stage 2 (Outcome): Successful Project Outcomes using product the project has produced, …

7 Major Types of Project Charts & Project Diagrams

What is a Flow Chart? Flow Charts represent relationships among the Activities and Tasks that make up a project process.  Uses: Determine COQ Study the Steps of a Process leading to a Quality defect Make Changes to the Process with a Quality defect Consider flow diagram for a simple project of painting a house. Control …

Tools for Controlling Project Resources and Managing Project Procurement

Managing and Controlling Project Resources As the Project progresses, the Project Manager must acquire all the resources (human, machine and material), train and manage human resources, and control all the resources.  Specifically, Internal Resources are acquired from Functional or Resource managers, depending on the Org. External resources are acquired through the Procurement processes Acquired Resources …

Monitoring, Evaluating and Controlling Project Quality & Project Risks

Managing Project Quality Aka Quality Assurance is the process of implementing the Quality Plan and monitoring that the Quality Objectives are met and that ineffective processes and causes of Poor Quality are identified.  Specifically, The focus is on the processes used in the project Standards are followed and met to assure that the final product …

Monitoring Project Schedule and Project Cost

Monitoring Project Schedule As the Project progress, activities are started and completed as per the Schedule Baseline.  Any delays may have Cost implications or incur Penalties (Liquidated Damages) in accordance with the Contract.  Specifically: EVA KPIs indicate the Status of Project Schedule-wise. Relevant KPIs are SV tu, SPI tu, SV mu & SPI mu, SV% …

What is Project Execution, Evaluation & Control?

What is Project Execution, Evaluation & Control? What is Project Execution The Planned Project Activities are executed to complete the Project Deliverables and the Project Objectives. Project is led and managed by the Project Manager; he is responsible for ensuring successful completion of the Project. His team (called Project Team), comprises two sides: Project Staff …

Defining Quality Management Concepts, Quality Objectives & Standards

Defining Quality Management Concepts, Quality Objectives & Standards Quality Management System (QMS) The system of creating and following organizational Policies and Procedures and tailoring them to ensure the Project also meets the needs of the Customer Quality Assurance (QA) Part of the QMS that aims to provide confidence that Quality requirements are being fulfilled and …

What are project meetings, meeting rules and 7’Cs of Communication

What are project meetings? Project meetings are face-to-face or virtual meetings held to make decisions, respond to Stakeholder Requests, discuss Project matters of mutual interest with suppliers, vendors, and other project stakeholders.  Following meetings are held on a project: Procurement Meetings Like Pre-Bid Conference, Bid Opening, Contract Negotiations, Contract Review Meetings, Procurement Review Meetings, etc. …

16 Types of Project Communication Identified & Explained

16 Types of Project Communication Identified & Explained Project Communication is exchange of project information.  Purpose of project communication is to meet the communication needs of stakeholders; A project manager spends about 90% of his time communicating.  Project communication may be: Internal Communication with stakeholders within the project and within the organization External. Communication with external …

A 5 Step Risk Management Approach & Examples

A 5 Step Risk Management Approach & Examples The five step risk management approach involves; Risk Analysis –Planning Planning Risk Response –Planning Implementing Risk Response –Executing Monitoring Risks –Mostly Executing Step 1: Risk Identification Risk Identification involves identifying: Individual project risks Sources of overall project risk Risk identification can be done by a large number …

20 Basic Risk Management Concepts & Examples

Risk Management It is the process of Identifying Risks, evaluating them, Planning & Implementing Responses to Risks, and Monitoring all these processes Project Risk An uncertain incident that may occur or has already occurred during any stage of project work is known as a risk.  Also Knows ad an Unknown event which can have both …

Differentiate Fixed Price vs Cost Reimbursable Contract types & Examples

Contract Types are basically two: Fixed-Price and Cost-Reimbursable. There is a third hybrid type called the Time & Materials contract What is a Contract? A contract is a mutually binding agreement that obligates the Seller to provide the specified products, services, or results; and obligates the Buyer to pay the Seller for the said products, …

Understanding the Concepts of Project Procurement

Reasons for Project Procurement Scarcity/Unavailability of in-house Competence Cost constraints Less Requirement (Cost Effectiveness) Time constraints Brand preference Important Procurement Concepts Bidding It is the entire process from the time the Buyer/Seller advertises his intention to buy/sell goods or services to the signing of Agreement between the Buyer and Seller Bid An offer in response …

Conflict Resolution Techniques for planning and managing Project HR

Essential Interpersonal Skills for planning and managing HR: Influencing is being persuasive and being able to acquire the required resources for the Project; achieved through clear articulation of points, active listening, data collection, awareness of all points of view, etc. Motivation stimulating someone for an act or to behave in your desired way. Negotiation can …

Use of Tuckman’s Model in Development of Project Team

In Tuckman’s model a team goes through five stages of growth on their way to becoming a cohesive and productive team: Use of Tuckman’s Model in Development of Project Team Forming The Project Manager provides the team with guidance and structure. Storming If team members are not collaborative or open to differing ideas and perspectives, …

Elaborating the Concept of Earned Value Analysis (EVA)

Elaborating the Concept of Earned Value Analysis (EVA) When to perform earned value analysis? Any time At Actual completion of Activities, Work Packages or at Actual Milestones (best) Key Terms in earned value analysis: Current Schedule & Cost Performance Budget at Completion (BAC) Planned Value (PV) Earned Value (EV) Earned Schedule (ES) Actual Cost (AC) …

Precedence Diagramming Method Explained with Examples

Precedence Diagramming Method Explained with Examples Precedence Diagram A Diagram in which Activities are represented as Nodes, linked by Arrows which represent sequence in which activities stop or start is called precedence diagram. PDM includes four Dependencies (Precedencies) or Logical Relationships between Activities Finish-to-Start Start-to-Start Finish-to-Finish Start-to-Finish Predecessor Activity is the one that logically (chronologically) …

Resources Estimation Tools and Collecting Requirements

Resources Estimation Tools and Collecting Requirements Tools for Project Resources Estimation Rough Order of Magnitude (ROM) Estimation Analogous Estimation of resources Parametric Estimation of project resources Three-Point Estimation: Triangular Estimation (Simple Average) Beta Estimation (Weighted Average) Points to Note: Each method has strengths and weaknesses Estimation should be based on several methods, which should deliver …

Project Scope vs Product Scope & Scope Planning vs Scope Statement

Project Scope Project scope is the combination of both product and non-product scope. Product Scope + Non-Product Scope = Project Scope ‘Non-Product Scope’ (‘HOW’ of the Product) How to achieve the Product: Planning, Execution, Management, Logistics etc.) Product Scope (‘WHAT’ & ‘WHAT NOT’ of the Product) Note: Scope ‘Exclusions’ must be in context & realistic …

What is a Stakeholder, stakeholder types and engagement strategies?

The project manager should manage the various influences of a stakeholder in relation to the project requirements, through prudent engagement strategies to ensure a successful outcome. What is a Stakeholder? Anyone who affects or get affected in any way by an organization like organizational decisions, its products/services or its deliverables is considered as a stakeholder. …

Crashing, Fast Tracking, Scope Trimming & Factors influencing Projects

Schedule Compression Techniques Schedule compression techniques are used to bring project back on Planned Schedule (Schedule Baseline) by Fast Tracking or Crashing the Schedule for the Remaining Work Crashing If schedule compression is required, then critical path activities are adjusted by adding or removing some activities from it without changing the actual project scope. Trades …

Define Project Life Cycle, Operations, Programs & Portfolio

Project Life Cycle The sequence of stages a project undergoes from its start till completion is considered as project life cycle: Concept Development → Feasibility Study → Design → Prototype → Build →Test → Handover (Close) However, most literature depicts the Life Cycle in terms of the 5 overlapping Process Groups which represent activities performed …

What is a Project & Which Factors Initiate Projects?

A Project is a one-time venture undertaken to create a distinctive Product, Service or deliverable → Product, Service or Result as known as Deliverable Detailed Elaboration of Project definition Temporary  One-Time, with definitive Beginning & End A Project ends when the project’s objectives have been achieved. Projects are Temporary, but their Deliverables (particularly of social, …

The Art of Designing a Retail Store Positioning Strategy

Before designing a retail store, one must have a deep understanding of their target customer psychological mindset, their decision-making patterns & factors which are influencing their buying decisions now of purchase. Requirements for Positioning a Brand & Customizing a Retail Store A salesman must be smart and quick enough to figure out “Customer’s need, requirements, …

A 2 step strategy to Create Permanent Comment Backlinks

Creating comment backlinks is crucial for SEO and rankings of every website on internet. But most face a lot of difficulties in creating and making them permanent do-follow backlinks. There are two main kinds of comment backlinks; White hat comment backlinks Black hat comment backlinks White Hat Comment Backlinks Usually known as positive comments, because …

Strategy to Manage Purchasing Behavior of Opposite Gender Customers

There are many ways to manage opposite genders purchasing behavior. But the question is how and why opposite gender customers behave difficulty. Key learning points from this article. How opposite gender behave s as a customer Why opposite gender differently when shopping or continuously. What are the indicators of these different customer behaviors based on …

Daraz.pk vs Koovs.com – SWOT Analysis

DARAZ.PK SWOT Analysis Daraz is an online Pakistan based retail store which provides almost all kind of subsidiary products both for men and women.  (E.g. footwear, clothes, jewelry, stationary, electronics and supplementary household items). It was founded in 2012. Strengths Employee power (3626 employees) Market leader in online Pakistani market. Strong brand awareness and recognition …

Strategies to resolve customer’s false claims

Strategies to resolve customer’s false claims Types of customer’s false claims Price based claims Claims regarding product packaging (most customers return the products by excusing that an unpacked or previously used product was delivered) Claims based on compromised product/service quality Product features/specifications-based claims (e.g. product size, color, usage value wasn’t that good as described) Some …

Courier Hiring Issues in TCS Pakistan

Article Summary The overall study is on ‘retention rate and hiring issues in TCS’ which is led by many background variables and indicators. All these indicators and their data is given in the report. The methodology used in the report is 200 personnel profile data based and its analysis results shows the reasons behind the …

MARCA’17 BUIC: A Perfect Example of Social Media Marketing Strategy Implementation

MARCA’17 BUIC: A Perfect Example of Social Media Marketing Strategy Implementation Introduction to MARCA’17 Marca2k17 (MARCA’17) is an official #tag & brand name of e-commerce project which was held in Bahria University Islamabad on 9th-10th May 2017. There were three Mega events organized by the respective Marketing Clusters of Management Sciences.  Events include “Open House”, …

Blake Dawson Waldron: Unleashing the power of Internet Case Solution

Answers to the Case Questions What features do you think are important for BDW’s Web site? Blake Dawson Waldron deals primarily with high net worth consumers. BDW’s clients expect to see plush surrounds. BDW’s physical offices tend to reflect that wealth and success. Such visual cues are also expected on the Internet. A “top tier” …

An Incident in the Babies Room Case Study Solution

This case ‘an incident in the babies’ room’ covers many of the topics in Services Marketing.  Twinkle Toes is a typical long-day care Centre that has been recently taken over by Maria Sanchez.  To reduce costs, Maria hires inexperienced staff, but a complaining customer draws her attention to the ramifications of her decision and other …

Stockbroking in Cyberspace Case Study Solution

Summary Online stockbroking is a commonly used phenomenon in today’s era. In a technology market such as this, marketers should be encouraged to think laterally and be very creative.  The ‘obvious’ will emerge and be recorded, but researchers should be encouraged to go beyond this.  The market structure, in terms of key players, their relative …

Long-stay in Thailand: The Land of Smiles Case Solution

Q1. How should TLM position itself? TLM’s core product is hospitality but the international marketing of Thailand as a long stay tourist destination. It differentiates Thailand from its competitors is the responsibility of the government through the Tourism Authority of Thailand (TAT). TLM’s work should complement the work of TAT, by marketing Thailand specifically to …

Solution of Mention Bank Asia Case Study

Steps Mention Bank Asia has Taken to Develop a Customer Orientation Remodeling and renovation of branches (“friendly yet professional”) Teller stations redesigned to provide full/express service Touch-screen information terminals installed near entrance Introduction of advanced model ATMs with color screens Increased number of ATMs in branches Access to regional ATM system with numerous convenient locations …

Solution of The Race That Stops A Nation Case Study

The Melbourne Cup is Australia’s premier horse race (handicap over 3200 metres with over AUD$2 million prize money) and it has its own public holiday in metropolitan Melbourne. The TAB (used to stand for Totaliser Agency Board when government owned and run, but now a public company, Tabcorp Holdings) is the only, legal provider of …

HR Activities in an NGO: Example of Al-Shifa Trust Eye Hospital

Introduction Al-Shifa Trust Eye Hospital which is one of the most renowned eye Hospitals in Pakistan, its office is situated in Rawalpindi but operates all over the Country. Manager’s Intro The HR Manager of Al-Shifa is Mr. Mubashir Mehmood. He has an MBA in HRM and has a total experience of 9 Years. (6 Years …

Solution of Federal Express Case Study: FedEx Services

Solution of Federal Express Case Study: FedEx Services Distinguish between the core, supplementary and facilitating services provided by FedEx. FedEx Core Services Air & Road Freight: – International Priority (IP) International Priority Freight Service (IPFS) (Cargo, packages, letters & documents) FedEx Support Services FedEx Packaging EC-Inventory EC-Manufacturing EC-Return Management COSMOS EC-Warehouse Management FedEx Ship Manager …

List of 40 Activities for Network Diagram Project

Here is the list of 40 activities to make a network diagram and network table for your stats, operation research or project management assignments or final projects. Topic Name; A Trip to Neelam valley and Azad Kashmir The Trip has been arranged by Muhammad Taha. He is a head of Hill hawks adventure club. He …

Short History of India and Eurasia Collision

Introduction: Among the foremost dramatic and visual creations of plate-tectonic forces area unit the lofty the Himalaya, that stretch 2,900 kilometers on the border between India and Xizang. This huge range of mountains began to make between forty and fifty million years past once 2 giant bodies India and Eurasia, driven by plate movement, collided.  The pressure of the occurrence plates may solely be mitigated by jabbing skyward, contorting the collision zone, and forming the jagged chain of mountains peaks. Early history: About 225 million years past, India was an oversized island still settled off the Australian coast, and a huge ocean (called Tethys Sea) …

Classifying Services in International Markets

A useful typology of service firms in international markets is provided in Figure.  It distinguishes and gives examples of different types of service firms operating internationally with reference to two main qualifying dimensions: their respective degree of intangibility, and the respective degree of face-to-face client contact required or necessitated. Each of the four cells illustrated …

International Services Marketing Exercise Answers

Q:  What are the reasons for Servcorp’s success in international markets? To what extent has Servcorp been able (a) to standardize, and (b) to customize its service offering worldwide? A: In international markets Servcorp has obviously developed both a mix of standardization (office layouts, facilities available, the way each client is treated) and customization (local …

Methods of Services Expansion in International Markets

As with domestic market expansion, several options are available.  These include: Embedding services in some physical storage medium as a form of support which may be self-delivered (in the form of computer software, videos or international Satellite and telecommunications for example) or delivered in person by an on-site representative of the service organization. Using licensing …

Factors that Drive an Organization to Provide Its Services Internationally

Understanding the nature of international services first Services now account for approximately 30% of total trade world-wide. There is a few factors that drive an organization to serve in international markets.  While the mix and proportion of export services varies from one country to another. Service Categories The main categories include; Factors that Drive an …

Scuba Jamboree Case Study Solution

What might have been some of the implications for Scuba Jamboree of the fact that 70% of the local diving industry was controlled by foreign operators, and the challenge for Thai dive specialists to become more competitive? A: In the dive business, accreditation by a professional organization (like PADI) is essential.  This was lacking in …

Promoting Services Review Questions and Answers

Q:  In marketing communications it is often necessary to make a distinction between your own target market and other audiences.  Why?  Answer:  For the purposes of promoting services and to communicate a marketer must often make distinctions between audiences and different types of behavior.  For example, with target market customers distinctions can be made between …

The Marketing Communication Mix and its Role in Promoting Services

The Marketing Communication Mix and its Role in Promoting Services Service marketers usually have access to numerous forms of marketing communications. The challenge is to select the most appropriate (mix) and weave them together into a coherent, integrated program that is both effective and cost-efficient.  Elements of Marketing Communication Mix The main elements of the …

Services vs Goods: Implications for Marketing Communications Strategies

Services vs Goods: Implications for Marketing Communications Strategies Most of the factors which differentiate goods from services create distinctive marketing implications for service communication strategies. For example: The intangible nature of services means that Advertising is often necessary to communicate standing and reputation and, thereby, to build trust and confidence; to put a personal ‘face’ …

Define Emotional Labor, Role Conflict, and Role Ambiguity with Examples

Emotional Labor Emotional labor concerns the management of emotions by service personnel so that customers will only see desirable expressions.  An example would be a front desk manager of a hotel retaining a calm and professional appearance even when being abused by an irate guest. Role Conflict Role conflict is where service employees must manage …

Uses of Services Management Trinity in Service Industry

Uses of Services Management Trinity in Service Industry Defining Services Management Trinity Whilst the power of conceptualizing the management functions as a Service Management Trinity should be evident, achieving this integration in practice may still be problematic. Unlike manufacturing in which each management function can be considered as interlocking yet separate, a service organization can …

How various types of service encounters improve customer services?

How various types of service encounters improve customer services? For an organization that is considering how to improve its customer service function, whether to go ‘hi-tech’ or ‘hi-touch’, (or both) is a critically important question. Having a taxonomy of service encounters, and an understanding of what underlies differences between encounters, the service provider can maximize …

Case Solution: Providing Customer Service – The Medium is the Message

Synopsis of the Study This case illustrates the face-to-face nature of services along with its managerial implications.  Fly Away Travel is known for providing stimulating holidays, and also for their personal attention and care.  It is this high level of customer service that differentiates it from other travel providers.  To combat geography and to facilitate …

Defining and Designing an Effective Customer Service Organization

Defining Customer Service Customer service is now a function that is built into the very fabric of the total service delivery and designing system. Customer service involves task-oriented activities, other than proactive selling, that involve interactions with customers in person, by telecommunications or by mail. Two main criteria of designing and performing a function; Customer …

Solution of Qantas-A Customer’s Perception of Service Recovery Efforts Case Study

Synopsis of Qantas Case This Qantas case reports a series of dissatisfactory service encounters for a business passenger returning on a Qantas 16-hour flight from Los Angeles to Sydney.  The case centers around Qantas service recovery efforts (or lack of) and the relationship between customer satisfaction/dissatisfaction (CS/D) and service quality.  Further, it demonstrates how repeat …

Services Marketing Mini Case Study Solutions

Case 1: City Sightseeing Tours – A Communication Challenge Researchers are expected to discern that there is indeed a central role to be played by MC in this case situation – for the purposes of; (a) making people aware of the new service, and (b) differentiating the service from the competing alternative.  This should naturally …

Strategies for Managing Capacity and Demand

Definitions of managing capacity and managing demand Managing capacity refers to the way capacity is used and tailored to match variations in demand. Means for operationalising each include: Creating Flexible Capacity Provide for additional capacity Rent facilities Manage Capacity Create flexibility in what is offered Review the hours of business Cross-train employees Managing demand, however, …

Developing Pricing Strategy Questions & Answers

Q:  In what ways can price capture and communicate value in services? A:  Developing Price can capture and communicate value in a variety of ways by, for example: Making a desired service appear affordable Suggesting that what is offered is a special and limited offering with greater value than what is normally offered (Package deals …

Define Yield Management and Ways to maximize ARGE in Service Firms

Yield Management defined Managing yield is essentially concerned with obtaining the best possible yield or return from every available unit of capacity to be sold. And with ensuring that some return is obtained from perishable capacity units rather than nothing at all.  It is a means by which the downside of the perishability characteristic of …

Monetary versus Non-monetary Pricing Objectives

Monetary Pricing Objectives Above table illustrates and explains three basic categories of pricing objectives: Revenue-oriented Operations-oriented Patronage-oriented Revenue-oriented pricing objectives Revenue-oriented pricing objectives, which must be based on a clear understanding of fixed, variable and semi-variable costs, have the purpose of covering costs, increasing sales and revenue, and optimizing profit. Operations-oriented pricing objectives Operations-oriented pricing …

Understanding the Foundations of Pricing Strategy

As illustrated in Figure, a pricing strategy is formulated with reference to several considerations: Costs to the marketer Value to the customer Competitive prices Legal and ethical considerations Market acceptance Companies aiming to make a profit must recover the costs associated with producing and marketing their services, and also provide for a sufficient margin to …

Service Delivery Review Questions and Answers

What marketing and management challenges are raised using intermediaries in a service setting? Challenges arise from multi-site service delivery involving representatives who may not be employed directly by the originating service provider.  When the provision of services is delegated or sub-contracted to external agents or representatives, maintaining control over what is provided and how can …

The Process & Determinants of Effective Service Delivery

Below mentioned figure summarizes key decisions faced by management in planning and configuring the service delivery process. Essentially these may be summarized and discussed under six main headings: What is involved, step by step, in delivering the core and supplementary services. The extent of delegation or out-sourcing required in order to deliver supplementary services The location …

The Place of Service Delivery and Its Physical Evidence

Introducing Servicescape A service organization’s place of service delivery and the physical evidence that forms a part of this, i.e. the servicescape, refers to the setting, surroundings and facilities, inclusive of furniture and furnishings, décor and lighting, that collectively define and characterize the place of service provision. This servicescape also serves to set the tone …

The Impact of Information Technology on Services

Technology in service industry Technology is increasingly being used to facilitate service provision and, in so doing, to eliminate or diminish the role of customer service personnel in the service encounter.  The marketplace versus marketspace distinction drawn by Rayport and Sviokla provides a useful frame of reference to organise and facilitate this discussion.  The respective …

Developing and implementing a Service Product Strategy

A service is essentially the act of providing for a customer some function or task that they either can’t or don’t wish to perform themselves.  Understanding the concepts of Service Product Strategy Strategic Service Concept An organization’s strategic service concept defines the essential value proposition to potential customers.  A fast-food restaurant or hairdressing service, for …

Developing a Service Product Strategy Exercise Answers

Q: Explain the role and purposes of a business analysis in the process of new service product development. A: The essential role of a business analysis is to test the feasibility and viability of any proposed new service product development.  Its purposes include to estimate market potential, size and likely demand to estimate the costs …

Developing a Service Product Positioning Strategy

What is Positioning Positioning is the process of establishing and maintaining a distinctive place in a market for an organization and/or its service product offerings.  This process is facilitated by asking the following questions: What is our service concept? How does it differ from competitors’ offerings? How well does it meet the needs of customers …

Defining Target Market & Its Importance to Service Organizations

Defining Target Market Target markets are defined and profiled with reference to a mix of demographic, geographic, socio-economic, psychographic and behavioral data in service organizations.  Although the emphasis given to any one of these data sets may vary with circumstances, it is important to know how the nature of customers is shaped and influenced by …

Target Market and Positioning Exercise Answers

Q: How can the decision about whom to target provide a service organization with a competitive advantage? A: Competitive advantage can be grounded in, and gained because of the customers that a service organization chooses to target the market because of the opportunities; to define, profile, attract and appeal to customers either not served or …

Difference between Relationship Marketing & Relationship Management

Relationship marketing refers to using marketing tools to attract potential customers, establish communication, and create and develop relationships.  Relationship management moves the customers up the loyalty ladder by maintaining and enhancing relationships and retaining customers. Relationship Marketing Defined              ‘…the union of customer service, quality and marketing.’ (Bateson)              ‘…the dual focus of getting and …

Switching Barriers and Creating Value based Customer Relationships

The second strategy used for customer retention is to build switching barriers (or costs) into the service product. There are two types of switching barriers (costs): Economic Barriers – representing financial disincentives to defecting such as termination penalties and service contracts and Psychological Barriers – where valued personal relationships are broken with a change of …

6 Key Determinants of a Successful Customer Relationship

Recent research found in a study of hairdressers that customer loyalty was predominantly to the individual hairdresser rather than the firm.  The key determinants of a successful customer relationship are: Trust in Service Provider – The essential aspect for any organization is customer’s trust on its brand, it plays a vital role in building customer …

Case Study Solution: Fueling the Customer Relationship

Discuss the grounds for, and appropriateness of, a customer relationship marketing and management strategy in the context of Eric’s business. Eric’s case is an interesting one and is probably indicative of many in the same position as he.  His business and marketplace have some of the characteristics that make it suitable for relationship marketing, and …

Managing Customer Relationships Questions and Answers

Q: Explain why it is more profitable to retain existing customers than to continually try to attract new ones? Research has shown that one loyal customer tend to become more profitable over time.  Apart from not having to outlay the initial costs of attracting new customers, there are four factors that create incremental profits for …

Managing Customer Complaints and Service Recovery Question Answers

Q: Describe the differences in the behavior of typical consumers from South-East Asia and Western countries when it comes to (a) complaining; (b) evaluating service-recovery efforts of the firm. Answer: (A) Managing customer complaints – complaint behavior increases when the problem is perceived as being a matter under the control of the firm, and what …

Services Marketing Mini Case: The customer’s right? Solution

In this case, the options for an unsatisfied customer are: seek redress directly from firm take legal action complain to business, private or governmental agencies stop buying product or brand or boycott service provider warn friends What should also be noted here is that of all the responses an unsatisfied customer can take, option 1, …

10 Guidelines for Effective Complaint Resolution in Service Recovery

Defining Service Recovery Service recovery is the ability to put things right for a customer in a meaningful way when that customer perceives something has gone wrong.  It means having a plan for putting things right again when you (inadvertently) break your service promise to a customer.  Tools to monitor service quality and enable effective …

Improving Service Quality Standards via Customer Complaints

Purpose of Customer Complaints There are usually two main purposes of customer complaints.  These are: to recover some economic loss to rebuild self-esteem Service providers need to understand these motivations and need to be prepared to respond to each effectively.  It also needs to be remembered that it is not only what is said and …

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