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OUTLINE

      Introduction
        Service’s marketing
        Companies’ description
        Marketing’ 7Ps
      1. Customer’s role
          Customer’s level of participation
      2. Service encounter
          Expectations
      3. Service scape
      Limitations
      Conclusion
Airline     Price

Ryanair     £20.00

Easyjet     £112.98
Lufthansa   £271.86
SERVICES MARKETING
   MODERN MARKETING MIX - 7 P’s
   1. People
   2. Procedures
   3. Physical Environment

   We are going to relate the modern marketing mix to the following aspects:
        Customer roles

        Service Encounter

        Service scape
EXPECTATIONS                     Airline       Expectation
 Overall satisfaction is
  highly influenced by prior     Ryanair       2
  expectations (Solomon et
  al., 2009)                     Easyjet       5
 Expectancy

  disconfirmation model
                                 Lufthansa     6




                  1 - extremely dissatisfied
                   7 - extremely satisfied
DIMENSIONS OF SERVICE QUALITY

 Reliability
 Assurance

 Tangibles

 Empathy

 Responsiveness
DIMENSIONS OF SERVICE QUALITY

 Reliability
 Assurance

 Tangibles
                   Judgement of Quality
 Empathy

 Responsiveness
1. CUSTOMER ROLES
   The customer participates in the co-creation of the overall service outcome


   Customers as contributors to quality, satisfaction and value
              Role learned though previous experience
              Information provided by each airline
              Other Customers (acquaintances/
               strangers) - influential
               in the overall experience
              Social learning theory - observation
               imitation (Bandura)
              Not understanding your customer role
               correctly
1. CUSTOMER ROLES
   The customer participates in the co-creation of the overall service outcome


   Customers as contributors to quality, satisfaction and value
1. CUSTOMER ROLES
   The customer participates in the co-creation of the overall service outcome


   Customers as contributors to quality, satisfaction and value
LEVEL OF PARTICIPATION
       According to Bitner, Faranda, Hubbert and Zeithaml, the level of
        participation is low


                     “Service is provided regardless any individual purchase “




        due to new technologies
                                                 level of participation increases
        decreasing price
LEVEL OF PARTICIPATION
   According to Bitner, Faranda, Hubbert and Zeithaml, the level of
    participation is low


                 “Service is provided regardless any individual purchase “
2. SERVICE ENCOUNTER

   “Period of time during which a customer
    directly interacts with service”
    multiple points of contact:
     booking
     check-in
     baggage drop off
     security - cannot be influenced by the service
      provider - however important factor
     boarding
     flight
MAJOR EMPLOYEE BEHAVIOURS
   Accounting for satisfactory / dissatisfactory
    incidents
   Employee response to service
    delivery system failure
   Employee response to customer
    needs and requests
   Unprompted employee actions
                                    Bitner et al.
3. THE SERVICESCAPE
     Ambiant conditions
     Spacial and functional
     Signs, symbols and artefacts

                             Bitner et al.
CONCLUSION

Airline     Satisfaction

Ryanair     5

Easyjet     2

Lufhtansa   6
CONCLUSION

Airline     Satisfaction   Airline     Expectation

Ryanair     5              Ryanair     2
Easyjet     2              Easyjet     5
Lufhtansa   6              Lufthansa   6
LIMITATIONS
 Travel to 3 different destinations
 Time on travel – weekdays therefore affects
  the number of people on the plane
 We did not have bags to register –
  did not do the entire process
 Different times of booking
References
Baron, S. and Harris, K. (2003) Services Marketing: Text and Cases, 2nd Edition, Chapter 4, 6 and 8,
Palgrave: Basingtoke.

Bitner, M. J., Faranda, W. T., Hubbert, A. R. and Zeithaml, V. A. (1997) ‘Customer contributions and
roles in services delivery’, International Journal of Service Industry Management, 8(3): 193-205.

Bitner, M. J., Booms, B. M, and Tetreault, M. S. (1990) ‘The service encounter: diagnosing favorable and
unfavorable incidents’, Journal of Marketing, 54(January): 71–84.

Bitner, M. J. (1992) ‘Servicescapes: the impact of physical surroundings on customers and employees’,
Journal of Marketing, 56(April): 57-71.

Solomon, M.R, Bambossy, G., Askegaard, S., and Hogg, M.K. (2009) Consumer Behaviour, a European
Perspective, 4th Edition, Chapter 3, Financial Times Prentice Hall: Harlow

Svensson, G. (2006) ‘New aspects of research into service encounters and service quality’, International
Journal of Service Industry Management, 17(3): 245-257.

Swartz, T. A., Iacobucci, D., (2000) ‘Handbook of services marketing & management’, Sage Publications,
Inc: London
THANK YOU FOR YOUR ATTENTION

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Presentation final

  • 1.
  • 2. OUTLINE  Introduction  Service’s marketing  Companies’ description  Marketing’ 7Ps  1. Customer’s role  Customer’s level of participation  2. Service encounter  Expectations  3. Service scape  Limitations  Conclusion
  • 3. Airline Price Ryanair £20.00 Easyjet £112.98 Lufthansa £271.86
  • 4. SERVICES MARKETING  MODERN MARKETING MIX - 7 P’s  1. People  2. Procedures  3. Physical Environment  We are going to relate the modern marketing mix to the following aspects:  Customer roles  Service Encounter  Service scape
  • 5. EXPECTATIONS Airline Expectation  Overall satisfaction is highly influenced by prior Ryanair 2 expectations (Solomon et al., 2009) Easyjet 5  Expectancy disconfirmation model Lufthansa 6 1 - extremely dissatisfied 7 - extremely satisfied
  • 6. DIMENSIONS OF SERVICE QUALITY  Reliability  Assurance  Tangibles  Empathy  Responsiveness
  • 7. DIMENSIONS OF SERVICE QUALITY  Reliability  Assurance  Tangibles Judgement of Quality  Empathy  Responsiveness
  • 8. 1. CUSTOMER ROLES  The customer participates in the co-creation of the overall service outcome  Customers as contributors to quality, satisfaction and value  Role learned though previous experience  Information provided by each airline  Other Customers (acquaintances/ strangers) - influential in the overall experience  Social learning theory - observation imitation (Bandura)  Not understanding your customer role correctly
  • 9. 1. CUSTOMER ROLES  The customer participates in the co-creation of the overall service outcome  Customers as contributors to quality, satisfaction and value
  • 10. 1. CUSTOMER ROLES  The customer participates in the co-creation of the overall service outcome  Customers as contributors to quality, satisfaction and value
  • 11. LEVEL OF PARTICIPATION  According to Bitner, Faranda, Hubbert and Zeithaml, the level of participation is low “Service is provided regardless any individual purchase “  due to new technologies level of participation increases  decreasing price
  • 12. LEVEL OF PARTICIPATION  According to Bitner, Faranda, Hubbert and Zeithaml, the level of participation is low “Service is provided regardless any individual purchase “
  • 13. 2. SERVICE ENCOUNTER  “Period of time during which a customer directly interacts with service”  multiple points of contact:  booking  check-in  baggage drop off  security - cannot be influenced by the service provider - however important factor  boarding  flight
  • 14. MAJOR EMPLOYEE BEHAVIOURS  Accounting for satisfactory / dissatisfactory incidents  Employee response to service delivery system failure  Employee response to customer needs and requests  Unprompted employee actions Bitner et al.
  • 15. 3. THE SERVICESCAPE  Ambiant conditions  Spacial and functional  Signs, symbols and artefacts Bitner et al.
  • 16.
  • 17.
  • 18.
  • 19.
  • 20.
  • 21.
  • 22.
  • 23.
  • 24.
  • 25.
  • 26.
  • 27.
  • 28.
  • 29.
  • 30. CONCLUSION Airline Satisfaction Ryanair 5 Easyjet 2 Lufhtansa 6
  • 31. CONCLUSION Airline Satisfaction Airline Expectation Ryanair 5 Ryanair 2 Easyjet 2 Easyjet 5 Lufhtansa 6 Lufthansa 6
  • 32. LIMITATIONS  Travel to 3 different destinations  Time on travel – weekdays therefore affects the number of people on the plane  We did not have bags to register – did not do the entire process  Different times of booking
  • 33. References Baron, S. and Harris, K. (2003) Services Marketing: Text and Cases, 2nd Edition, Chapter 4, 6 and 8, Palgrave: Basingtoke. Bitner, M. J., Faranda, W. T., Hubbert, A. R. and Zeithaml, V. A. (1997) ‘Customer contributions and roles in services delivery’, International Journal of Service Industry Management, 8(3): 193-205. Bitner, M. J., Booms, B. M, and Tetreault, M. S. (1990) ‘The service encounter: diagnosing favorable and unfavorable incidents’, Journal of Marketing, 54(January): 71–84. Bitner, M. J. (1992) ‘Servicescapes: the impact of physical surroundings on customers and employees’, Journal of Marketing, 56(April): 57-71. Solomon, M.R, Bambossy, G., Askegaard, S., and Hogg, M.K. (2009) Consumer Behaviour, a European Perspective, 4th Edition, Chapter 3, Financial Times Prentice Hall: Harlow Svensson, G. (2006) ‘New aspects of research into service encounters and service quality’, International Journal of Service Industry Management, 17(3): 245-257. Swartz, T. A., Iacobucci, D., (2000) ‘Handbook of services marketing & management’, Sage Publications, Inc: London
  • 34. THANK YOU FOR YOUR ATTENTION

Editor's Notes

  1. \n
  2. \n
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  5. Ryanair - cheap, during previous experience it was dirty aircraft, rude staff, overcrowded \nEasyjet - good service for the money, previously positive feedback by W o M\nLufthansa - expected standard good service in pleasant environment \n
  6. reliability - dependability of service provider and accuracy of performance (on time) \nAssurance - knowledge and courtesy of employees (are employees in a good mood, e.g. smiles, safety demonstrations)\nTangibles - physical components (atmosphere, ambiance) --> Servicescape\nEmpathy - caring, individualised attention (asking if I need anything)\nResponsiveness - Promptness and helpfulness (extra questions, e.g. picture taking) \n
  7. reliability - dependability of service provider and accuracy of performance (on time) \nAssurance - knowledge and courtesy of employees (are employees in a good mood, e.g. smiles, safety demonstrations)\nTangibles - physical components (atmosphere, ambiance) --> Servicescape\nEmpathy - caring, individualised attention (asking if I need anything)\nResponsiveness - Promptness and helpfulness (extra questions, e.g. picture taking) \n
  8. Not understanding your customer role correctly - eg. Kelly leaving water bottle in her bag\nCustomers- contributor because must participate in service delivery, care only about whether their needs are fulfilled, contribute to their own satisfaction (eg. Buying airline tickets online)\n- Productive resources because ????\nRyanair - very few people on board, no queuing - positive \nEasyjet - full aircraft - negative \nLufthansa - full aircraft - however good organisation - positive overall experience \nhttp://teachnet.edb.utexas.edu/~Lynda_Abbott/Social.html\n
  9. Not understanding your customer role correctly - eg. Kelly leaving water bottle in her bag\nCustomers- contributor because must participate in service delivery, care only about whether their needs are fulfilled, contribute to their own satisfaction (eg. Buying airline tickets online)\n- Productive resources because ????\nRyanair - very few people on board, no queuing - positive \nEasyjet - full aircraft - negative \nLufthansa - full aircraft - however good organisation - positive overall experience \nhttp://teachnet.edb.utexas.edu/~Lynda_Abbott/Social.html\n
  10. Not understanding your customer role correctly - eg. Kelly leaving water bottle in her bag\nCustomers- contributor because must participate in service delivery, care only about whether their needs are fulfilled, contribute to their own satisfaction (eg. Buying airline tickets online)\n- Productive resources because ????\nRyanair - very few people on board, no queuing - positive \nEasyjet - full aircraft - negative \nLufthansa - full aircraft - however good organisation - positive overall experience \nhttp://teachnet.edb.utexas.edu/~Lynda_Abbott/Social.html\n
  11. Not understanding your customer role correctly - eg. Kelly leaving water bottle in her bag\nCustomers- contributor because must participate in service delivery, care only about whether their needs are fulfilled, contribute to their own satisfaction (eg. Buying airline tickets online)\n- Productive resources because ????\nRyanair - very few people on board, no queuing - positive \nEasyjet - full aircraft - negative \nLufthansa - full aircraft - however good organisation - positive overall experience \nhttp://teachnet.edb.utexas.edu/~Lynda_Abbott/Social.html\n
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  22. Group 2 - response to customer preferences - eg. asking for magazine, change seat during the flight, asking to see the cockpit \nGroup 3 - Extra stuff... e.g. another round of drinks, scratch-cards, cigarettes, keeping the magazine (bending the rules) \n\n
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  46. With the additional costs of Easyjet flight, it is not as much much cheaper as one may expect in comparison to Lufthansa \nExpectations of Ryanair was highly exceeded\nwith low-cost airlines experience more likely to vary. With Lufthansa --> much more constant service\n
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