Use of three dimensions of Tierney Model The Price, Arnould and Tierney model for classifying and managing service encounters is a useful example. It uses three dimensions to describe the encounter: Encounter duration Affective content Spatial proximity For an organization that is considering how to improve its customer service function, whether to go ‘hi-tech’ or… Continue reading
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 service function.… Continue reading
Q: Explain why it is more profitable to retain existing customer relationships than to continually try to attract new ones. Research has shown that one loyal customer tends 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… Continue reading
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 relations… Continue reading
What is Satisfaction “Satisfaction is an affective or emotional state following an evaluation of the consumption experience”. Dictionary definitions describe satisfaction as ‘fulfilment’ or to ‘be content or pleased’. Achieving mere satisfaction is not enough, the aim is to delight a customer if loyalty is to be achieved Satisfaction and loyalty Figure 4.3 depicts the… Continue reading
Researchers have found there is a relationship between the degree of satisfaction achieved, and the level of customer retention or loyalty. Merely achieving customer satisfaction, however, is not enough. Benefits of satisfying customers There are many other benefits of satisfying or delighting customers. Among them are: Encourages repeat patronage and loyalty Enhances/promotes positive word of… Continue reading
Service managers must also understand that their consumer behavior also is likely to be influenced by the degree of responsibility and autonomy invested in them, and by their own sense of control over the service encounter and delivery process. Below Figure provides a model of the consumer decision-making, purchase, consumption and evaluation process. You should… Continue reading
Synopsis of Austrade Case Study This case traces the events of Australia’s Trade Commission post (Austrade) in Bangkok, Thailand from a post that had the worst customer service record in the SE Asian region to becoming among the top five posts in the world, all in the space of a few years. It touches on… Continue reading
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… Continue reading
