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Designing and
managing services
Based on the book, marketing management by Kotler et. Al.
How can we improve service
quality ?
• Service quality of a
firm tested at each
service encounter.
• Here we explore ways
to manage & improve
quality of service
offered.
• Basix delivers
financial services
effectively, basing
Factors Leading to Customer
Switching Behavior
1. pricing
• High price.
• Price increases.
• Unfair pricing.
• Deceptive pricing.
2. inconvenience
• Location/hours.
• Wait for appointment.
• Wait for service.
3. Core service failure
• Service mistakes.
• Billing errors.
• Service catastrophe.
4. Service encounter failures
• Uncaring.
• Impolite.
• Unresponsive.
• Unknowledgable.
5. Response to service failure
• Negative response.
• No response.
• Reluctant response.
6. competition
• Found better service.
7. Ethical problems
• Cheat.
• Hard sell.
• Unsafe.
• Conflict of interest.
8. Involuntary switching
• Customer moved.
• Provider closed.
Managing customer expectations
1. Service quality model1. Gap b/w consumer
expectation and
management
perception.
2. Gap b/w management
perception and
service-quality
specification.
3. Gap b/w service
quality specification
and service delivery.
4. Gap b/w service
delivery and external
2. Determinants of service
quality
1. Reliability.
2. Responsiveness.
3. Assurance.
4. Empathy.
5. Tangibles.
Incorporating self service
technologies (sst’s)
Credits & References
• Flickr.com
• Images.google.com
• En.Wikipedia.org
Created by Dhananjay Goel, IIT Delhi, During
an Internship by Prof. Sameer Mathur, IIM
Lucknow. www.IIMInternship.com
PROF. SAMEER MATHUR
IIM LUCKNOW
DHANANJAY GOEL
IIT DELHI

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How can we improve service quality ?