Services Marketing Final – Flashcards
Unlock all answers in this set
Unlock answersquestion
People Processing Service
answer
services that involve tangible actions to people's bodies
question
Possession Processing Service
answer
tangible actions to goods and other physical possessions belonging to customers
question
Mental Stimulus Processing Service
answer
intangible actions directed at people's minds
question
Information Processing Service
answer
intangible actions directed at customers' assets
question
Evoked Set (also called consideration set)
answer
the set of products or brands a customer may consider in the decision-making process
question
Search Attributes
answer
product characteristics that consumers can readily evaluate prior to purchase
question
Experience Attributes
answer
product performance features that customers can evaluate only during service delivery
question
Credence Attributes
answer
product characteristics that customers may not be able to evaluate even after purchase and consumption
question
Moments of Truth
answer
a point in service delivery where customers interact with service employees or self-service equipment and the outcome may affect perceptions of service quality
question
High Contact Service
answer
services that involve significant interaction among customers, service personnel, and equipment and facilities
question
Low Contact Service
answer
services that require minimal or no direct contact between customers and the service organization
question
Servuction System (combining the terms service and production)
answer
to describe the part of the service organization's physical environment that is visible to and experienced by customers
question
Theater Metaphor
answer
good metaphor as service delivery is a series of events that customers experience as a performance
question
Zone of Tolerance
answer
the range within which customers are willing to accept variations in service delivery
question
Focus
answer
the provision of a relatively narrow product mix for a particular market segment
question
Service Focused Strategy
answer
the extent to which a firm offers a narrow range of services to a fairly broad market
question
Unfocused Strategy
answer
serves broad markets and provides a wide range of services
question
Fully Focused Strategy
answer
a firm provides a limited range of services to a narrow and specific market segment
question
Market Segment
answer
group of buyers who share common characteristics, needs, purchasing behavior, or consumption patterns
question
Target Segment
answer
one that a firm has selected from among those in the broader market and may be defined on the basis of several variables
question
Positioning
answer
establishing a distinctive place in the minds of customers relative to competing products
question
Market Analysis
answer
addresses such factors as the overall level and trend of demand and the geographic location of this demand
question
Positioning Map
answer
great tool to visualize competitive positioning and map developments of time and; Useful way to represent consumer perceptions of alternative products graphically
question
Core Service
answer
Central component that supplies the principal, problem-solving benefits customers seek
question
Supplementary Service
answer
augment the core product, facilitating it use and enhancing its value and appeal
question
Flower of Service
answer
a visual framework for understanding the supplementary service elements that surround and add value to the product core
question
Facilitating Service
answer
Supplementary services that aid in the use of the core product or are required for service delivery
question
Enhancing Service
answer
Supplementary services that may add extra value for customers
question
Product Line
answer
each service product has a different combination of service attributes and their respective performance levels
question
Branded House
answer
company applies its brand name to multiple, often unrelated services
question
House of Brands
answer
individual services are promoted under their own brand name without the corporate brand
question
Franchising
answer
a popular way to expand delivery of an effective service concept, embracing all of the seven Ps, to multiple sites, without the level of investment capital that would be needed for rapid expansion of company-owned and managed sites
question
Export
answer
acting alone or in partnership with local suppliers, the firm establishes a service factory in another country
question
Import
answer
customers from other countries are invited to come to a service factory with distinctive appeal or competencies in the firm's home country
question
Transport
answer
crew and equipment can be flown to customer's site, or the customer's possessions can be transported to the provider's location
question
Pricing Tripod
answer
the foundations underlying pricing strategy with costs to the provider, competitors' pricing, and value to customer as the 3 legs
question
Cost-Based Pricing
answer
the practice of relating the price charged to the cost associated with producing, delivering, and marketing a product
question
Value-Based Pricing
answer
the practice of setting prices based on what customers are willing to pay for the value they believe they will receive
question
Competition-Based Pricing
answer
the practice of setting prices relative to those charged by competitors
question
Dynamic Pricing
answer
is also known as customized or personalized pricing; charging different customers different prices for the same product
question
Revenue Management
answer
price customization that charges different value segments different prices for same product based on price sensitivity
question
Price Elasticity
answer
refers to the amount of impact price has on sales
question
Tangible Metaphors
answer
helps communicate the benefits of their service offerings and to emphasize key points of difference relative to competing alternatives
question
Click-Throughs
answer
the process of clicking through an online advertisement to the advertiser's destination
question
Word-of-Mouth
answer
positive or negative comments about a service made by one individual (usually a current or former customer) to another
question
Flowcharting
answer
technique for displaying the nature and sequence of the different steps in delivery service to customers
question
Blueprinting
answer
is a more sophisticated version of flowcharting
question
Line of Visibility
answer
between front stage (what customers experience) and back stage (the activities of the employees and support processes where customers can't see them)
question
Service Process Redesign
answer
encompasses reconstitution, rearrangement, or substitution of service processes
question
Self-Service Technologies
answer
the ultimate form of customer involvement where customers undertake specific activities using facilities or systems provided by service supplier
question
Productive Capacity
answer
the extent of the facilities, equipment, labor, infrastructure, and other assets available to a firm to create output for its customers
question
Queuing Systems
answer
examines components such as waiting in line to be served, including the arrival process, service process, number of servers, number of system places and the number of customers
question
Waiting Lines
answer
known as "queues" occur whenever the number of arrivals at a facility exceeds the capacity of the system to process them; a line of people, vehicles, other physical objects, or intangible items waiting their turn to be served or processed
question
Reservations System
answer
in addition to waiting lines, they can be used to inventory demand
question
Stimulus-Response Model
answer
the conscious and unconscious perception and interpretation of the environment influences how people feel. People's feelings in turn drive their responses to that environment
question
Ambient Conditions
answer
characteristics of environment pertaining to our five senses
question
Emotional Labor
answer
the act of expressing socially appropriate (but sometimes false) emotions toward customers during service transactions
question
Cycle of Success
answer
longer-term view of financial performance, seeking to prosper by investing in their people
question
Empowerment
answer
authorizing employees to find solutions to service problems and make appropriate decisions about responding to customer concerns without having to ask a supervisor's approval
question
Customer Loyalty
answer
customer's willingness to continue patronizing a firm over the long term, preferably exclusively, and recommending the firm's products to others
question
Customer Lifetime Value (CLV)
answer
the net present value of the stream of future contributions or profits expected over each customer's purchases during his or her anticipated lifetime as a customer of the organization
question
Wheel of Loyalty
answer
a systematic and integrated approach to targeting, acquiring, developing, and retaining a valuable customer base
question
Social Bond
answer
based on personal relationships between providers and customers
question
Customization Bond
answer
built when the service provider succeeds in providing customized service to its loyal customers
question
Structural Bond
answer
frequently seen in B2B settings and aim to stimulate loyalty through structural relationships between the provider and the customer
question
Switching Costs
answer
can be natural or created by instituting contractual penalties for switching
question
Service Recovery Paradox
answer
customers who experience a service failure that is satisfactorily resolved may be more likely to make future purchases than customers without problems
question
Service Guarantee
answer
a promise that if service delivery fails to meet predefined standards, the customer is entitled to one or more forms of compensation
question
Jaycustomer
answer
a customer who acts in a thoughtless or abusive way, causing problems from the firm, its employees, and other customers
question
Productivity
answer
how efficiently service inputs are transformed into outputs that add value for customers
question
Service Quality
answer
customer's long-term, cognitive evaluations of a firm's service delivery
