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Service Marketing-New Service Design


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Service Marketing-New Service Design

  1. 1. SAFE HANDS ELDERS CARE CENTER1University of Sri JayewardenepuraFaculty of Management Studies & CommerceDepartment of Marketing ManagementService MarketingHIGH FLYERS
  2. 2. SAFE HANDS ELDERS CARE CENTER201. EXECUTIVE SUMMARYIn Sri Lankan context, we are in easy position to recognize elder homes, orphanages andday care centres for kids. But with new trends of real business world and the busy workschedule of the executives, the existence of care centres for adults are very crucial andsignificant.Further, the senior population has increased in the last twenty years and seniors are livinglonger than ever before.With the solution for the above mentioned issue, our team, High Flyers, strived toredesign the existing day care concept towards adult based upon our newly acquiredservices marketing expertise for giving voice to the needs of older people."Safe Hands Elder Care Centre" is a facility where frail seniors and disabledadults can arrive during the day if they cannot, or do not wish to, be home alone.We provide supervision, social and recreational activities, personal care, lunchand snacks, reading facilities, meditation facilities, leisure facilities, ayurvedictreatment and often medical care and health monitoring from a nurse on thepremises. Most adult people need some supervision or medical services and areable to travel to the center during the day. The center gives family members whocare for them a chance to continue working at their jobs or have some respiteduring the day.A trained group of employees of our centre serves people who need supervision andperforms activities to reduce social isolation along with providing nursing, personal careand other medical services.Our major centre is located in Colombo 7 to the high income level executives whodeal busy work schedules in their official life. In addition to that, a few of theproposed branches are being established around Colombo such as Nugegoda,Dehiwala and outside Colombo such as Kandy, Gampaha and Negombo. Differentpackage systems will be benefited to different kind of clients under the sametarget market.
  3. 3. SAFE HANDS ELDERS CARE CENTER3Not surprisingly, we believe a supportive community environment is essential for adultsin the society. We practice following core values;Adults are recognized as a valuable asset.Adults have the opportunity to contribute and expand their talents and knowledge.Adults strengthen our community and benefit personally by their involvement.Adults have access to a full spectrum of services, including social, emotional,educational and recreational opportunities appropriate to their unique needs andinterests.Adults are treated respectfully and with dignity.Adults of all economic circumstances are served.While this is an assignment for us, this would really be helpful to conduct this service foradults.
  4. 4. SAFE HANDS ELDERS CARE CENTER402. SegmentationMarket segmentation is a marketing strategy that involves dividing a broad target marketinto subsets of consumers who have common needs (and/or common desires) as well ascommon applications for the relevant goods and services. Depending on the specificcharacteristics of the product, these subsets may be divided by criteria such as age andgender, or other distinctions, such as location or income. Marketing campaigns can thenbe designed and implemented to target these specific customer segments, addressingneeds or desires that are believed to be common in this segment, using media that is usedby the market segment.Geographic segmentationThe market is segmented according to geographic criteria—nations, states, regions,countries, cities, neighborhoods, or zip codes. Geo-cluster approach combinesdemographic data with geographic data to create a more accurate profile.With respect to region in our case, in urban regions like Colombo, Majority ofpeople work at executive levels while their work places are located in urban areaswith comparison to the rural people. Therefore it is easier to establish a place toprotect elders and make many profits with providing more facilities.Psychographic segmentationPsychographics is the science of using psychology and demographics to better understandconsumers. Psychographic segmentation: consumers are divided according to theirlifestyle, personality, values and social class. Consumers within the same demographicgroup can exhibit very different psychographic profiles. Consumers who belong to theupper crust of the society prefer products that spell luxury and which upholds their class,status, social standing etc.With respect to our case, upper class executives would not prefer to keep theirparents in elder’s homes or orphanages at law circumstances. They believe that ifit is that, it would be a damage or badly effect to their social class, life style,personality and status. As a result of it, they bother to keep their parents withhigher facilities and safety under any kind of amount.
  5. 5. SAFE HANDS ELDERS CARE CENTER5Behavioral segmentationIn behavioral segmentation, consumers are divided into groups according to theirknowledge of, attitude towards, use of or response to a product. It is actually based on thebehavior of the consumer.With respect to our case, different level of executive people possess differentattitudes, thought and knowledge towards elder care services. We provide themrelatively different customized services for them in accordance with the behaviorof consumer.OccasionsSegmentation according to occasions is based on the arising of special need and desires inconsumers at various occasions. For example, for products that will be used in relationwith a certain holiday. Products such as Christmas decorations or Diwali lamps aremarketed almost exclusively in the time leading up to the related event, and will notgenerally be available all year round. Another type of occasional market segments arepeople preparing for their wedding or a funeral, occasions that only occurs a few times ina person’s lifetime but happens so often in a large population that it can be considered amarket segment.In our service we, Safe Hands Elder Care Centre, identify different occasionsparticipated by executives such as business seminars, training programmes, annualtrips, official tours etc.
  6. 6. SAFE HANDS ELDERS CARE CENTER603. Target MarketingTargeting is the second stage of the Segment, Target, and Position (STP) process. Afterthe market has been separated into its segments, the marketer will select a segment orseries of segments and target it/them. Resources and effort will be targeted at thesegment.The first is the single segment with a single product. In other word, the marketer targets asingle product offering at a single segment in a market with many segments.Secondly the marketer could ignore the differences in the segments, and choose to aim asingle product at all segments i.e. the whole market. This is typical in mass marketing orwhere differentiation is less important than cost.Finally there is a multi-segment approach. Here a marketer will target a variety ofdifferent segments with a series of differentiated products.
  7. 7. SAFE HANDS ELDERS CARE CENTER7Upper classMiddle ClassLower classIn our safe hands elder care service, we have targeted upper level executives segment toprovide our service. We have decided to one product one segment strategy to cater forupper class people needs.We care elders providing different services such as supervision, social and recreationalactivities, personal care, lunch and snacks, reading facilities, meditation facilities, leisurefacilities, Ayurvedic treatment and often medical care and health monitoring from a nurseon the premises.As we provide above mentioned essential services for elders, we are in position to grabupper class executives in formidable fashion.
  8. 8. SAFE HANDS ELDERS CARE CENTER804. PositioningIn marketing, positioning is the process by which marketers try to create an image oridentity in the minds of their target market for its product, brand, or organization.A company, a product or a brand must have positioning concept in order to survive in thecompetitive marketplace. Many individuals confuse a core idea concept with apositioning concept. A Core Idea Concept simply describes the product or service. Itspurpose is merely to determine whether the idea has any interest to the end buyer. Incontrast, a Positioning Concept attempts to sell the benefits of the product or service to apotential buyer.For Safe hands elder care service, we have decided to position our service basedon high security and high comfort towards adults. We have targeted the upperclass people in the society. Most of the persons who are in the upper class they areexpecting the secure and comfortable service. Upper class executives are alwayswilling to pay much amount for attaining high security and high comfort service.Therefore we, Safe hands elder care centre, have to deeply position a sound imagein consumer mind that they always accomplish high security and high comfortunder the amount they are ready to pay for.The positioning concepts focus on the rational or emotional benefits that buyer willreceive or feel by using the product/service.The following benefits can be attracted to buyers under the concept of positioning.Communicates consumer wants or satisfaction.Communication of characteristic/benefit helps create separation.Building trustworthiness towards safe hands.
  9. 9. SAFE HANDS ELDERS CARE CENTER9The following benefits can be achieved to Safe hands elder care under the concept ofpositioning.Communication of characteristic/benefit helps create separations from otherservices such as elder homes, orphanages etc.Appeals directly to a fundamental, broad-based consumer want – saving money.Strong association with individual or group.Creates immediate distinction and uniqueness.Association with positive attributes or feelings.Generate robust, strong awareness.A successful positioning concept must be developed and qualified before a "positioningstatement" can be created. The positioning concept is shared with the target audience forfeedback and optimization; the Positioning Statement (as defined below) is a businesspersons articulation of the target audience qualified idea that would be used to develop acreative brief for an agency to develop advertising or a communications strategy.DifferentiationDifferentiation in the context of business is what a company can hang its hat on that noother business can. For example, for some companies this is being the least expensive.Other companies credit themselves with being the first or the fastest. Whatever it is abusiness can use to stand out from the rest is called differentiation. Differentiation intoday’s over-crowded marketplace is a business imperative, not only in terms of acompany’s success, but also for its continuing survival.In Sri Lankan context, we are in easy position to recognize elder homes,orphanages and day care centers for kids. But for the service, we provide is notavailable in Sri Lanka. Therefore no competitors for us in the market. It easilyhelps us to differentiate our service from the existed related services.
  10. 10. SAFE HANDS ELDERS CARE CENTER10How does Safe Hands Elder Care Centre differentiate from the related services providedby others? Services are provided for short time periods in accordance with customized way. Unique and high quality facilities such as; Newly designed buildings with modern technology. Comfortable rooms with A/C and Non A/C. Customized healthy foods and beverages. Ayurvedic treatment. Calm environment and religious activities. Leisure activities. (Gymnasium, swimming pool etc.) Meditation facilities. Safety, personal care and close supervision. Affordable prices for high level executives.
  11. 11. SAFE HANDS ELDERS CARE CENTER1105. Marketing Mix Strategies of Safe HandsMarketing strategy is a process that can allow an organization to concentrate its resourceson the optimal opportunities with the goals of increasing sales and achieving a sustainablecompetitive advantage. Marketing strategy includes all basic and long-term activities inthe field of marketing that deal with the analysis of the strategic initial situation of acompany and the formulation, evaluation and selection of market-oriented strategies andtherefore contribute to the goals of the company and its marketing objectives.In order to success elder care service in our target market, we have decided followingstrategies based on the 8Ps of service.ProductProduct strategy identifies, in broad terms, how you plan to sell your products to yourmarket place. It documents how the people in our market place. It documents how yourbusiness positions its products and services and it contains your strategies for selling.So we have decided to include some specific features to our elder care service as aproduct strategy. So, with the elder care service there are different packages with theneeds of different customers, different kind of facilities are offered to our target market.We provide supervision, social and recreational activities, personal care, lunch andsnacks, reading facilities, meditation facilities, leisure facilities, ayurvedic treatment andoften medical care and health monitoring from a nurse on the premises.PricePricing is the process of determining what a company will receive in exchange for itsproducts. Pricing factors are manufacturing cost, market place, competition, marketcondition, and quality of productWe have decided a high pricing strategy to capture the upper class market segment.because it is required to give a high quality feeling with the high price of elder careservice. Further high income earning executives are in a position to pay high amount asthey highly concern on their social class and status. As a new product which is going tobe introduced, we are trying to use market skimming pricing strategy.
  12. 12. SAFE HANDS ELDERS CARE CENTER12We offer promotional pricing strategy such as special prices and discounts to our targetcustomers. So, we have decided following prices for different elder care packages Registration fee = Rs.3000 One day package =Rs.3000 Two day package =Rs.5000 Three or more day package =Rs.5000 + (2500* No of days) Specially created services such as Ayurvedic service, gymnasium service, A/Crooms are added additional 1000 rupees per day.PlaceWhere business sells its products or services and how it gets those products or services toour customers.Our major centre is located in Colombo 7 to the high income level executives whodeal busy work schedules in their official life. In addition to that, a few of theproposed branches are being established around Colombo such as Nugegoda,Dehiwala and outside Colombo such as Kandy, Gampaha and Negombo.The main reason to locate our business places in these areas, because most of the upperclass people are living in these areas and also most of the work places are located in suchareas. So, our strategy is to improve the accessibility of our target customers & improvethe availability of other services which are relevant to elder care center such as hospitalfacilities.PromotionThe specific blend of advertising sales promotion, public relations, personal selling anddirect marketing tools that the company uses to persuasively communicate customervalue and build customer relationship. It is simply the specification of five promotionalmix or promotional plan. A promotional mix specifies how much attention to pay to eachof the five subcategories, and how much money to budget for each.
  13. 13. SAFE HANDS ELDERS CARE CENTER13A promotional plan can have a wide range of objectives, including sales increases, newproduct acceptance, creation of brand equity, positioning, competitive retaliations, orcreation of a corporate image. Fundamentally, however there are three basic objectives ofpromotion. These are1. To present information to consumers as well as others.2. To increase demand.3. To differentiate a product.For the purpose of promoting the safe hands care service we are going to use advertising& direct marketing. As advertising strategies, we have decided to use TV advertisements (Hiru TV,Sirasa TV& MTV) while news bulletin is telecast. Also we have decided to putadvertisements in the business magazines such as Aratuwa, Mirror, LMD, andBusiness Today. As direct marketing strategies, we have decided to use online advertisementssuch as web sites (www.safehands .com), social networks (Twitter, my space).ProcessSequence of interdependent and linked procedures which, at every stage, consume one ormore resources (employee time, energy, machines, money) to convert inputs (data,material, parts, etc.) into outputs. These outputs then serve as inputs for the next stageuntil a known goal or end result is reached.When considering about safe hand alder care service, we have decided to provideefficient quality service for our customers as our processing strategy. Becausemost of the upper level persons are very busy persons. So they will not be able towaste long time period to drop their elders in to the elder care center. So, with thisstrategy, we hope to capture majority of demand from our target segment of upperclass people.
  14. 14. SAFE HANDS ELDERS CARE CENTER14PeoplePeople are the most important element of any service or experience. Services tend to beproduced and consumed at the same moment, and aspects of the customer experience arealtered to meet the individual needs of the person consuming it. Most of us can think of asituation where the personal service offered by individuals has made or tainted a tour,vacation or restaurant meal. Remember, people buy from people that they like, so theattitude, skills and appearance of all staff need to be first class. People have an importantrole in service delivery, they are relied upon to deliver and maintain transactionalmarketing and people play an important part in the customer relationship.So, as a marketing strategy for our Safe hands elder care service we decided torecruit most suitable and qualified persons for our organization. So, we allocatedlots of funds to recruit most suitable persons from the labour market. Also ourplan is to develop a good training program to improve the performance of theemployees which we are going to recruit. Because our customers will expect calmand peaceful service from our employees. So, with the proper training program forour employees it will help to provide better service and ultimately it will result toincrease the satisfaction and loyalty of our customers.Physical EvidenceServices as we know are largely intangible when marketing. However customers tend torely on physical cues to help them evaluate the product before they buy it. Thereforemarketers develop what we call physical evidence to replace these physical cues in aservice. The role of the marketer is to design and implement such tangible evidence.Physical evidence is the material part of a service. In our redesigned service, thefollowing physical evidences can be identified; In the case of developing strategy on physical evidences we decided to build anattractive building for our Safe hands elder care center. Also we have proposed todevelop the calm and peaceful environment within our safe hands care center.
  15. 15. SAFE HANDS ELDERS CARE CENTER15 The design of the building itself, signage around the building, and parking at thebuilding, how the building is landscaped and the environment that surrounds thebuilding. The interior of the service environment which how well it is equipped, internalsignage, how well the internal environment is laid out, and aspects such astemperature and air conditioning. Packaging. Internet/web pages. Paperwork. Brochures. Furnishings. Uniforms and employee dress. Loyalty card.ProductivityIn what is your offering a good deal for the customer? This is less about you as a businessimproving your own productivity for cost management, and more about how yourcompany passes this onto its customers. Remember that this always needs to be tied withquality; you supply the best, and use the best products, procured fairly at the lowest cost.In our service, we offer our customers high quality service without being wastingtime. Here especially we would make sure that the sons and daughters of theadults are delivered a productive service.
  16. 16. SAFE HANDS ELDERS CARE CENTER1606. Nature of service environmentThe nature of the service environment is highly affect to success of service sectorbusiness .The physical service environment that customers experience is the end point ofthe service delivery system captured in the place and time elements of the 8Ps. In highcontact services, it will result to improve the customer satisfaction with the good serviceenvironment of the business. So, service environment communicate and determine thepositioning of the service, shape employees as well as customer productivity, guidecustomer through the delivery system and may represent a core components of a firm’ssearch for competitive advantage.The Russell model of affectAs shown above emotional responses to environments can be described along two maindimensions Pleasure and Arousal. Pleasure is direct, subjective response to theenvironment, depending on how much the individual likes or dislikes it. Arousal refers tohow stimulated the individual feels, ranging from deep sleep to the highest level ofadrenaline in the blood stream.
  17. 17. SAFE HANDS ELDERS CARE CENTER17In the case of Safe hands elder care service we decided to build contentment (relaxing)environment within the organization. So it will help to attract and increase the satisfactionof our customers with the pleasant environment. Because consumers of our safe hand carecenter are in the elder hood. So they are expecting peaceful environment also the sons ordaughters of the elders are willing to stay their parents in a secure environment. So, it isessential to develop calm and peaceful environment in the environment.TheimpactofambientconditionsAmbient conditions are those characteristics of the environment pertaining to our finesenses. Even when not consciously noted, they may still effect people’s emotional wellbeing, perception and even attitudes and behaviors. SayMusicPeople tend to adjust their pace, either voluntarily or involuntarily to match the music. Asurvey conducted in a restaurant reveals higher sale while playing music in slow beat,than fast beat.So, we have organized some special music arrangements for our customers such asclassical music within the organization. It helps them to have sound mentality anddevelop the elders’ physical health as well.ScentAn ambient smell is one that pervades an environment may or may not be consciouslyperceived and is not related to any particular product. In aroma therapy it is generallyaccepted that scent have distinct characteristics and solicit certain emotional,psychological and behavioral responses. Research has shown that scents can havesignificant impact on customers’ response.In the case of our organization we have planned to recruit separate group of employeeswith the responsibility to clean the environment of the organization. It will result todevelop clear environment with the environment with good smells. So ultimately ourcustomer’s impression can be increased with the proper conditions in the organization.
  18. 18. SAFE HANDS ELDERS CARE CENTER18ColourColour is stimulating, calming, expressive, disturbing, impression, cultural, exuberant,and symbolic. It pervades every aspect of our lives, shines the ordinary and gives beauty,drama to everyday objects. Research in service environment has shown despite differingcolour preferences, people generally drawn to warm colour environment. Red thoughbelongs to warm category is perceived to be negative.So, we have planned to develop a big building for our organization, in order togive a cool feeling for the persons who are looking the organization we planned topaint our building with cool colours such as Blue, violet and Green.Signs, Symbols, and ArtifactsMany things in the service environment act as explicit or implicit signals to communicatethe firm’s image, help customers to find their way, and convey rules of behavior. Inparticular the first time customers will automatically try to draw meaning from the signsand artifacts and will try to draw clues to help them form expectations about the level andtype of service that is being offered.The challenge for services cape designers is to use signs, symbols, and artifacts toguide customers clearly through the process of service delivery.For our organization we planned to build attractive logo for our organization. Itwill help to give a good feeling about safe hands care service to our customersIn order to develop Safe hands care environment we have planned to develop followingthings.Newly developed attractive buildingDifferent religious places for different religious customersproposed Eco friendly environment in calm and peaceful mannerMedical centers for all the customers to provide treatments in special situations.Facilities to enjoy the life of elders such as places to play (carom) & swimmingpoolsSpecial body therapy treatments for elders.Our strategy is to develop our organizational environment as a strategy to attract huge noof customers for our Safe Hands Elders Care Center.
  19. 19. SAFE HANDS ELDERS CARE CENTER1907. Customer InvolvementAlthough the industries within each category may appear at sight to be very different,analysis will show that they do, in fact, share important process related characteristics. Asa result, managers from different industries may obtain valued insight by studying anotherindustry within the same category and then create useful innovations for their ownorganization. Four different types of processes often have distinctive implementations formarketing, operations, and human resource strategies. Therefore understanding differentmethods of customer involvement is real crucial and significant.Four types of customer involvement People processing Possession processing Mental stimulus processing Information processingAs we, Safe Hand Elder Care, is offering service for elders, our customer involvementas a process, lays under People processingThis is a service which directed at people’ bodies. Acquiring this service, a customer mustphysically enter the service system. Because they are an integral part of the process andcannot obtain the desired benefits by dealing at arm’s length with services suppliers.If elder as a customer wants the benefits the people processing services have to offer hemust be prepared to cooperate actively with the service operation. Also non-financialcosts play a key role because services provider has to sacrifice a lot of time periodbecause elders are huge responsibility for the entity. Further employees of this entity haveto bear great mental and physical effort. In addition to that, customer should consume theservice when services provider produce it. Under these circumstances, employee shoulddeliver the service by thinking about adult’s characterized needs and convenience.
  20. 20. SAFE HANDS ELDERS CARE CENTER20It is more significant to offer kind hospitality and safe keeping for the adults in our firmwhich lays under the theory of flower of services. Flower of services of Safe Hand ElderCare Centre has been further analyzed later part of the report.Behavior of other customers’ response affect to customer decision making process. Soemployees have to provide a good service for building strong relationship with existingcustomers and to acquire more potential customers.Service EncounterService encounter is the period of time during which customer interacts directly with theservice organization. It is dyadic interaction between a customer and service provider.Service encounter is crucial, because this is a service, spending with people. As a highcontact services, customer visits the service facilities in person and is actively involvedwith the service organizations and its personal throughout service delivery. Henceconsumer satisfaction does not depend on what they provide, but how it is provided.Quality customers receive in the service can be identified under two different way. Theyare; Technical Quality-It is what customers receive during service, or what remainswhen a service is over.In our case, customer has a great and enjoyable time with proper health andpersonal care with the service we provide. Functional Quality- How process is performed and its influence on overallimpression of quality.We deliver various facilities of service to adults under well trained service staff sothat their impressions may lead toward the firm.Functional quality is more important and predominant to Safe Hands Elder Care Centrethan that of technical quality.
  21. 21. SAFE HANDS ELDERS CARE CENTER21People ProcessingPark the CarExplain the requirementsneeded for the certain timePeriodRegistration and partpaymentCheck-inComfortable accommodationwith special care and relatedactivities for short timeperiodSettle the billTake the elder from thecenterExplain the different packagesprovidedCustomer information entered indatabase and medical inquiry.Carrying the elders withluggageCalm environment, Comfortableroom, Religious activities, Healthyfood & beverages, Leisureactivities, Medical test, AyurvedicserviceBilling center /post paymentGreetings
  22. 22. SAFE HANDS ELDERS CARE CENTER2208. Flower of serviceInformationCustomers often requires information about how to obtain and use a product or service. Inthe case of our business we developed the following methods as our information servicesto obtain service.Web siteWe have proposed to develop a web site with the name of email address is Our customers can request the proceduresthat they can use to get the service from us via email.
  23. 23. SAFE HANDS ELDERS CARE CENTER23Business magazinesWe proposed to put advertisement in the prestige business news papers such as LMD,Vogue, Business today.TV advertisementsOur target market is upper class customers so, they are very busy throughout the daytherefore we have planned to put our advertisements at the time of news is beingtelecasted. (7.00 p.m -10.00p.m)Order takingCustomers need to know what is available and may want to secure commitment todelivery. The process should be fast smooth, polite and accurate.In the case of our elder care service we proposed to use online reservation, checkin, Telephone reservation. In addition to above methods we are using manualfilling applications.BillingBills should be clear accurate and intelligible.We have developed a specific form bills which can be printed by using machines.So we have proposed to develop software with the purpose of printing bills.PaymentsCustomers may pay faster and more cheerfully, if you makes transactions simple andconvenient for them.In order to provide quick transaction facilities we proposed to use onlinepayments, credit card payments and direct payments. t will help to improve thecustomer satisfaction with quick billing facilities. our customers (persons who arecaring elders in their house) do not like to waste time because of their busy life.
  24. 24. SAFE HANDS ELDERS CARE CENTER24ConsultationValue can be added to goods and services by offering advice and consultation tailored toeach customer’s needs and situation.So we have planned to use psychological counseling, meditation and developed mentality.HospitalityCustomers who invest time and effort in visiting a business and using its services deserveto be treated as welcome guests.We planned to make customized healthy foods and beverages because some customersmay have some diseases. So with that we have to prepare some tailored foods to fulfillneeds of our each customer. Also we planned to prepare toilets with the differentrequirements of our customers and maintain them in clear manner. Again we proposed tosupply personalized security service for our customers. because most of our customers areexpecting a service as in their houses. Also when entering new customers and existingcustomers we planned to implement warmly welcome service for them. So it will help togive first screen idea about service of our organization.SafekeepingCustomers prefer not to worry about looking after the personal possessions that they bringwith them to a service site.In order to develop good safe keeping service within our elder care serviceorganization, we proposed to recruit separate security persons for ourorganization. Also we planned to give proper training program for the employeeswho are caring elders in the organization with the purpose of improving theservice for elders in a secure manner.ExceptionsCustomers appreciate some flexibility when they make special requests and resolveproblems.In order to develop good safe keeping service within our elder care serviceorganization, we are in position to offer advanced treatments through directcontact with the help of banks and consultants. And further we provide specializedservices for adults and solve the issues they are encountered in being within thepremises.
  25. 25. SAFE HANDS ELDERS CARE CENTER2509. Service Recovery System+ =Why does customer complain?When customer feels discrimination between expected and actual service they haveexperienced. In our organization, we need complaints to increase the service quality byovercoming failures.Do the jobright the firsttimeEffective complainthandlingIncreased satisfaction &loyaltyIdentify servicecomplaintsResolve complaintseffectivelyLearn from the recoveryexperience-Monitor complaints-Maintain complain &suggestion boxOnline feedback – e-mail,skype, twitter-Evaluation forms-Telephone hot line-Develop effectiverecovery system-Training employees tohandle complaintseffectively-Conduct root causeanalysis-Parato analysis
  26. 26. SAFE HANDS ELDERS CARE CENTER26We are having several methods to identify and handle the customer complaints. They are; Customer hotline Feedback forms Suggestion box Online complaints (Web site and E-mail)Service recoveryThe existence of proper recovery system in the organization is really vital to encountercustomer complaints. It helps the firm to accomplish and build strong customer loyaltyand retention.Here, one member has to be appointed to collect and sort client complaint whichnavigates the administration to make possible actions to solve the particular customerinconvenience.We can categorize complaints as follows; Service quality improvements Pseudo complaints Unfair complaintsThen the firm is possible to call back the identified consumers to express thanks andgratitude so that the administration is in a position to provide service quality in anadvanced way.
  27. 27. SAFE HANDS ELDERS CARE CENTER2710. Factors Influencing Customer Expectations of ServiceThe zone of tolerance is usually defined as the range of customer perceptions of a servicebetween desired and minimum acceptable standards. In essence it is the range of serviceperformance that a customer considers satisfactory. Performance below the zone is seenas dissatisfying and performance above the zone is seen as delighting. The importance ofthis zone of tolerance is that customers may accept variation within a range ofperformance, and any increase or decrease in performance within this area will only havea marginal effect on perceptions.These are the examples under the adequate service level. Cool & calm environment Security place Accommodation & Healthy FoodsThese are the service that comes under desired level. Ayuruvedic Spa Advance counseling Swimming pool & GymnasiumPersonalNeedsBeliefs aboutwhat ispossiblePerceivedServiceAlterationsSituationalFactorsDesired ServiceAdequate serviceExplicit &Implicit servicepromisesWord of MouthPast experiencePredictedservices
  28. 28. SAFE HANDS ELDERS CARE CENTER2811. Relationship marketingIt was first defined as a form of marketing developed from direct response marketingcampaigns which emphasizes customer retention and satisfaction, rather than a dominantfocus on sales transactions.There are 4 main aspects that can be seen under relationship marketing. Such as,,• Understanding customer expectations.• Building service partnerships.• Empowering employees.• Total quality management.Understanding customer expectationsCompanies must be able to identify what the customer want and market a product to themthat exceeds their expectation.In our case, the safe hand elder care centre identified the hidden social problem in urbansociety. And the customer preference towards this issue. Then create the new serviceaccording to their perceptions also more than they expected (delightful).
  29. 29. SAFE HANDS ELDERS CARE CENTER29Building service partnershipsCompanies must work closely with their customers to add information andservices beyond their traditional products to increase the value of their offerings tocustomers.Basically this is not an traditional business. Also this is a kind of social service in oneaspect. Therefore our positioning strategies are differing from traditional business. Wemust deal with our customers very friendly and trustfully and also highly respect for theirideas and critics to enhance our service and to add more value to our customers.Empowering employeesCompanies must encourage and reward their salespeople for taking initiative andusing creativity in helping solve customer problems.Normally, we trained and hired skill full labours and we must aware about their specificqualities and abilities. Because of we deal with elders or old peoples. Thereforeemployees must need some specific interpersonal skills rather than other businesses.Total quality managementThis is the process by which the company strives to improve customer satisfactionthrough the continuous improvement of all its operation.To do this safe hand elder care centre maintain good overall operational and planningsystem. In additionally, company maintain effective recovery system, skill full employeesand special kind of managerial tools like ROOT CAUSE ANALYSIS, PARETOANALYSIS.
  30. 30. SAFE HANDS ELDERS CARE CENTER30ELEMENTS OF RELATIONSHIP MARKETINGComparison between traditional marketing and relationship marketingTRADITIONAL MARKETING1. Transactional based2. Aim to seek new customers3. Focus on single save4. Discontinuous customer contact5. Importance of product benefits6. Short time scale7. Less emphasize on service8. Quality is concern of production9. Persuasive communicationRELATIONSHIP MARKETING1. Focus on customer relations2. Continuous customer contact3. Important of customer benefits4. Longer time scale5. High customer service6. Quality is concern of all7. Regular communicationRELATIONSHIPMARKETINGQUALITYCUSTOMERSERVICEMARKETING