Wiley Global Education UK

Services Marketing Management: A Strategic Perspective

Hans Kasper; Piet van Helsdingen; Mark Gabbott

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Table of contents

Front Matterxii
Prefacexii
Objectives and Target Audiencexiii
New to the Second Editionxiii
Structure of the Bookxiv
The Pedagogical Structure and Layoutxv
Figure P.1 Contents of Part 1 related to the other parts of the bookxvi
Acknowledgementsxvii
Part 1 Understanding Value Creation in Services2
Figure P.1 Contents of Part 1 related to the other parts of the book3
Chapter 1 The World of Services4
Learning objectives4
1.1 Introduction5
SERVICE PRACTICE 1.1 : Scanning the Future15
Figure 1.1 Chapter outline: the world of services7
1.2 The World of Services: A General Overview7
The Services Sector in Any Country7
Figure 1.2 A general overview8
Differences in Economic Development8
Table 1.1 Figures on services worldwide9
1.3 The Macro Environment: Factors that Cannot be Influenced10
Figure 1.3 The macro environment10
Demographic Factors (Drets)11
SERVICE PRACTICE 1.2 : Ageing Chances for Service Providers911
Regulatory Factors (dRets)12
Political and legal factors12
SERVICE PRACTICE 1.3 : EU Fnes Telecom-Rule Offenders1012
Economic Factors (drEts)13
SERVICE PRACTICE 1.4 : Not All Baby Boomers Are the Same1213
Technological Factors (dreTs)14
SERVICE PRACTICE 1.5 : Information Technology Impacts on Business and Society1315
Social Factors (dretS)15
SERVICE PRACTICE 1.6 : Different Kinds of Convenience Wanted17
1.4 The Service Sector Environment: Marketing-Related Service Trends18
Figure 1.4 The service sector: marketing-related trends19
Internationalization19
The Increase of Commercial Principles20
Shareholder Value and Sustainability20
Gaining Self-Sufficiency20
Privatization20
Unbundling Services for Competition21
Focussing on Core Business21
Outsourcing and Offshoring21
SERVICE PRACTICE 1.7 : Trends in outsourcing2823
Up-scaling in Core Activities23
Co-operation23
Franchising24
Diminishing Differences24
Diminishing Borders between Services and Goods24
Growth in Leasing, Rentals and Collective Property25
Changes in Delivery Mode and Asset Structure25
Changes in Delivery Mode26
Self-Service26
Changing Asset Structures27
1.5 The Impact Assessment of Service Industries27
Figure 1.5 The service sector: marketing-related trends27
Financial Services28
Retail Banking28
Corporate Banking30
Securities30
Insurance31
Business Services in General31
Distribution33
Transportation34
Road Transport34
Rail Transport35
Shipping35
Air Transport36
Entertainment36
Hospitality and Tourism37
Health Services38
Infrastructure Services39
1.6 Trends and Market Research40
Figure 1.6 Trends and market research41
1.7 The Impact Map42
Table 1.2 Impact map of an insurance company in the Netherlands43
Summary45
Questions46
Assignments46
Endnotes47
Chapter 2 Fundamentals of Services Marketing Management52
Learning objectives52
2.1 Introduction53
SERVICE PRACTICE 2.1 : One Day We’ll Fly Away?53
SERVICE PRACTICE 2.2 : A Great Many High Quality Service Offerings54
2.2 What are Services?55
Figure 2.1 Chapter outline: the relations between the building blocks56
SERVICE PRACTICE 2.3 : Ladies and Gentlemen of the Ritz Carlton56
Defining Services57
The Basic Characteristics of Services57
Intangibility: The Degree of (In)Tangibility58
Inseparability: The Degree of Simultaneous Production and Consumption58
Figure 2.2 Degree of intangibility: service–goods continuum59
Inconsistency: The Degree of Heterogeneity59
Inventory: The Degree of Perishability60
SERVICE PRACTICE 2.4 : Demand and Supply for Electrifny60
Inability to Own: The Degree of (Lack of) Ownership61
Some Nuances of the Five I’s61
What Does the Inability to Own a Service Mean?61
Are Services Really Intangible?62
What is a Bundle of Benefits?62
What Does the Experience Mean?63
What Does the Interaction Mean?63
Figure 2.3 The servuction process64
Classifying Services65
Figure 2.4 The taxonomy of service68
2.3 Managing Services68
Strategic Management68
Market Strategies69
Figure 2.5 Our way of looking at the strategic pathway70
Managing Relationships71
Assets and Capabilities72
Matching Demand and Supply73
Value to the Stakeholders74
2.4 Marketing Services75
The Image of Marketing76
Market Orientation77
Figure 2.6 Market orientation: more value79
Customer Expectations and Quality Perceptions79
Organizing the Marketing Effort and Employees80
Market Oriented Cultures in Service Organizations80
2.5 Market Oriented Services Management: Our Perspective81
Summary83
Questions84
Assignments85
Endnotes85
Chapter 3 Buyer Behaviour and Segmentation90
Learning objectives90
3.1 Introduction91
SERVICE PRACTICE 3.1 : Are All People Created Equal?91
Figure 3.1 Characteristics deemed to infuence consumer behaviour92
Figure 3.2 Chapter outline92
3.2 National Cultures92
The Impact of National Culture93
Figure 3.3 Definitions of the cultural dimension developed by Geert Hofstede94
National Culture and Services95
Table 3.1 Scores of 64 countries on five dimensions reflecting their national culture as computed by Hofstede (1991, 2001)496
Figure 3.4 Cultural map of the countries of the world97
SERVICE PRACTICE 3.2 : Business Travellers’ Cultural Background and Actual Behaviour1298
3.3 Perceived Risk98
Different Types of Perceived Risk99
Table 3.2 Risk factors in services99
How Can Customers Reduce Perceived Risk?100
SERVICE PRACTICE 3.3 : Is it Simply a Matter of Increasing Tangibility to Reduce Perceived Risk?20101
3.4 Buying Situations and Buying Processes102
Buying Situations102
Buying Bundles of Benefits102
From Five Stages to Three Stages102
Figure 3.5 The five stage model of buyer behaviour103
Figure 3.6 The three stages in the buying process of services103
Pre-Purchase Stage103
Consumption Stage104
Post-Purchase Stage104
Satisfaction27105
Figure 3.7 Satisfaction and loyalty: two different processes107
Business-to-Business Services108
Figure 3.8 Decision Making Unit and Problem Solving Unit109
Figure 3.9 Four types of service providers and their value to the customer110
Figure 3.10 The Kraljic matrix for services111
3.5 Relationships and Life Cycles112
Relationships Between Service Providers and Customers112
SERVICE PRACTICE 3.4 : What Kind of Relationship Do You Want?113
Life Cycles of Organizations and Relationships114
Still Staying?115
3.6 Consumer Decision Making Styles115
Consumer Decision Making Styles115
Table 3.3 Decision making styles116
SERVICE PRACTICE 3.5 : Decision-making Styles and Buying Financial Services117
Time118
Emotions and Mood119
Acceptance of New Technologies120
Table 3.4 Dimension of technology readiness120
Table 3.5 Technology readiness segment profiles in the UK121
Self-Service Technologies121
Dysfunctional Behaviour123
3.7 Market Segmentation and Positioning123
Segmentation123
Segmenting Customer Markets124
Segmenting Business-to-Business Markets126
Positioning126
SERVICE PRACTICE 3.6 : Peru’s Identity and Image96127
Targeting128
Country of Origin128
Ethnocentrism129
Summary129
Questions130
Assignments131
Endnotes132
Part 2 Creating Value in Services138
Figure P.2 Contents of Part 2 related to the other parts of the book139
Chapter 4 Service Relationships and Brands140
Learning objectives140
4.1 Introduction141
SERVICE PRACTICE 4.1 : Hanging Out Online1141
Figure 4.1 Chapter outline: the nature of service interactions143
4.2 The Nature of Service Interactions143
Customer-to-Service Provider Interaction144
Customer-to-Customer Interaction144
Customer and Service Environment Interaction145
Service Process Interaction145
4.3 From Interactions to Relationships146
Figure 4.2 Interactions with the customer147
Principles of Relationships148
Understanding149
Trust149
Collaboration149
Commitment150
Adaptation150
4.4 Understanding Different Relationship Forms151
Individual Versus Collective151
Obligated Versus Non Obligated152
4.5 Implimenting Relationships in Services152
Figure 4.3 Loyalty levels154
Customer Relationship Management154
SERVICE PRACTICE 4.2155
Identify156
Select156
SERVICE PRACTICE 4.3157
SERVICE PRACTICE 4.4158
Figure 4.4 The relation perception and loyalty matrix159
SERVICE PRACTICE 4.5160
Develop161
Retain162
SERVICE PRACTICE 4.6 : 02 Churn Drive24163
4.6 The Service Brand163
Characteristics of Brands164
Brands as a Sign of Ownership164
Brands as a Differentiating Device164
Brands as Functional Devices165
Brands as Symbolic Devices165
Brands as Risk Reducer165
Brands as a Shorthand Device165
Brands as a Legal Device166
Brands as a Strategic Device166
Brand Building167
Identity168
Meaning168
Response169
Relationship169
Problem with Service Brands169
Summary171
Questions171
Assignments172
Endnotes172
Chapter 5 Service Quality174
Learning objectives174
5.1 Introduction175
SERVICE PRACTICE 5.1 : Excellent Quality: Mission Impossible?175
5.2 What is Quality?176
Figure 5.1 Chapter outline: service quality177
Transcendent-Based Quality177
Attribute-Based Quality178
User-Based Quality178
Manufacturing-Based Quality179
Value-Based Approach179
Service Quality and the Five Characteristics of Services180
Service Quality and the Inability to Own180
Service Quality and Intangibility180
Service Quality and Inseparability180
Service Quality and Heterogeneity180
Service Quality and Perishability181
5.3 Service Quality or Satisfaction?181
5.4 Models of Service Quality183
The Disconfirmation Model of Service Quality183
Expectations (E)183
Individual Sources184
Environmental Sources184
Figure 5.2 Determinants of the zone of tolerance185
Performance (P)185
The Nordic Service Quality Model187
Figure 5.3 Perceived service quality187
Figure 5.4 Assymetrics188
The SERVQUAL Model of Service Quality188
Service Quality Dimensions189
Figure 5.5 The SERVQUAL model190
Figure 5.6 22 items of the SERVQUAL questionnaire191
Internal Gaps in the SERVQUAL Gaps Model192
Figure 5.7 The SERVQUAL model193
Using Gaps to Identify Causes of Poor Service Quality193
SERVICE PRACTICE 5.2193
SERVICE PRACTICE 5.3196
Some Criticisms of SERVQUAL196
The SixSigma Model of Service Quality197
SERVICE PRACTICE 5.4198
SERVICE PRACTICE 5.5 : Example (DMAIC) for a House Cleaning Service198
5.5 Managerial Issues Associated with Service quality199
Collecting customer data199
SERVICE PRACTICE 5.6 22200
Comparative Service Quality200
Satisfaction201
Perception201
Culture201
Mid Points201
Return on Quality201
Quality is an Investment202
Quality Efforts Must be Financially Accountable202
It is Possible to Spend Too Much on Quality202
Not All Quality Expenditures Are Equally Valid202
5.6 Strategic Issues in Managing Service Quality203
Market Segmentation203
Competitor Intelligence204
Resources204
SERVICE PRACTICE 5.7 23: SDL205
5.7 Service Failure and Recovery205
Failures in the Delivery System206
Failures in Response to Customer Requests206
Failure through Employee Actions206
Attribution206
Assessment207
Action207
Execute Recovery Appropriately207
Treat Recovery as a Process207
5.8 Service Guarantees208
Implicit Guarantees208
Outcome Guarantees208
Unconditional Guarantees209
SERVICE PRACTICE 5.8 30: South Trust Satisfaction Guaranteed209
Summary210
Questions210
Assignments211
Endnotes211
Chapter 6 Market Strategies for Service Organizations214
Learning Objectives214
6.1 Introduction215
SERVICE PRACTICE 6.1 : Turbulence in a Relaxing Industry1215
6.2 Creating value in market oriented service organizations2216
SERVICE PRACTICE 6.2 : Key Success Factors in Services216
Figure 6.1 Chapter outline217
Figure 6.2 Market orientation and performance218
SERVICE PRACTICE 6.3 : Successful Service Start-Ups20221
6.3 Our Strategic Pathway223
Figure 6.3 Our strategic pathway223
6.4 Competitive Advantage and Competitive Position225
Figure 6.4 From market orientation to performance226
6.5 Assets and Capabilities227
Table 6.1 Assets and capabilities of service firms, BtC and B2B in 12 countries228
6.6 Generic strategies to Go to Market231
Belief in Own Strengths and Capabilities: The Perspective from Within231
Figure 6.5 Internal strengths and external opportunities231
The Market and Competitors: The External Perspective232
SERVICE PRACTICE 6.4 : The Mobile Telephone Market35232
SERVICE PRACTICE 6.5 : Analysing Competitors in the Airline Industry233
Focus Strategy234
SERVICE PRACTICE 6.6 : GSPs and LSPs235
The Heskett Typology of Generic Strategies for Service Firms235
Figure 6.6 Alternative competitive strategies in the service sector236
Figure 6.7 Generic strategies: putting it all together237
The Ansoff Matrix for Service Firms’ Growth and Development238
Figure 6.8 Services/market combinations in the Ansoff matrix238
SERVICE PRACTICE 6.7 : Barclays to Expand Asian Trading42239
SERVICE PRACTICE 6.8 : Much Needs to Be Done to Survive47240
The Wheel of Servicing241
Figure 6.9 The wheel of servicing241
Variety Strategies and Loyalty Strategies241
6.7 Marketing Strategies to Go to Market242
Market Positions, Assets, Capabilities and Strategies242
Relationship Marketing and the Portfolio of Relationships245
SERVICE PRACTICE 6.9 : The Personal Touch in the Relationship247
Four Types of Customers and Four Types of Service Providers in the B2B Sector248
6.8 The Service Profit Chain248
Table 6.2 Customer needs and service provider's strategy in the B2B sector249
Figure 6.10 The service profit chain250
6.9 Strategies, Performance and Our Balanced Score Card251
Figure 6.11 Our balanced score card252
Summary252
Questions254
Assignments255
Endnotes255
Chapter 7 Internationalizing Services260
Learning objectives260
7.1 Introduction261
SERVICE PRACTICE 7.1 : Market Opportunities in India. Here’s how to Grab Your Share1261
7.2 The Global Services Environment262
Figure 7.1 Chapter outline263
Table 7.1 Services exports and imports in OECD countries in 2002264
Table 7.2 Breakdown of total exports and imports of services in OECD countries, 2002264
SERVICE PRACTICE 7.2 : Storm over Globalization9265
7.3 Managing the Basic Characteristics of Services Internationally267
Intangibility268
SERVICE PRACTICE 7.3 : Citigroup Moves Quickly268
Inseparability269
Inconsistencies of Service Delivery270
Table 7.3 Obstacles to standardization in international marketing strategies272
Inventories of Services: Stock Keeping in an International Context273
Figure 7.2 Towards a new internationalization mode.274
Inability to Own and Internationalizing Services274
7.4 Assets and Capabilities of Market Oriented International Service Providers275
Figure 7.3 A typology of service firms in international markets277
7.5 Internationalization: Reasons and Theories277
Internationalization Versus Other Growth Strategies278
Table 7.4 Motives to internationalize279
Reasons to Internationalize279
Table 7.5 Reasons to internationalize for service firms280
SERVICE PRACTICE 7.4 : The Brabant Sensation in Hungary35281
Internationalization Theories281
Table 7.6 Six theories on internalization282
7.6 Barriers to Entry and Selecting the Entry Mode284
Barriers to Entry284
Table 7.7 Barriers to entry285
Selecting an Entry Mode285
SERVICE PRACTICE 7.5 : Trying to Get the Right Balance51286
7.7 Internationalization strategies288
The Decision to Select the Internationalization Strategy289
Table 7.8 Selecting a country to enter290
Figure 7.4 Characteristics of services globalization and internationalization291
Internationalization and Franchising292
Internationalization and Retailing293
7.8 Final Considerations294
Table 7.9 A basis for a bank branch development checklist in a foreign market*295
Summary296
Questions298
Assignments298
Endnotes299
Part 3 Delivering Value through the Actual Service Experience304
Figure P.3 Contents of Part 3 related to the other parts of the book305
Chapter 8 Services and E-Services Co-authored by Allard van Riel306
Learning objectives306
8.1 Introduction307
SERVICE PRACTICE 8.1 : 1 Traditional and Electronic Services by Accor1307
Figure 8.1 Chapter outline308
SERVICE PRACTICE 8.2 : Perceived Security and the Use of Electronic Payments310
8.2 Service Models310
The Coherence between Planning, Creating, Delivering and Evaluating Services310
Figure 8.2 To plan, create, deliver and evaluate services311
The Hierarchy of Services312
Life Cycle of Services312
SERVICE PRACTICE 8.3 : The Hierarchy of Life Insurances313
8.3 The Service Concept314
The Strategic Service Concept314
Figure 8.3 Services at a strategic and tactical level315
User Benefits315
The Tactical Service Concept316
Table 8.1 Distinction between features of a credit card and its possible benefits to credit card users317
Brands317
Assortment318
The Actual Service Offer319
8.4 After Sales Services320
Many Kinds of After Sales Services321
Investigating After Sales Services322
SERVICE PRACTICE 8.4 : An Example of E-Loyalty323
8.5 E-Services323
SERVICE PRACTICE 8.5 : Tension Between Quality and Commercial Interests323
The Emergence and Increasing Importance of Electronic Services324
Electronic Services and the Creation of Competitive Advantage324
Electronic Services and the Customer Experience325
SERVICE PRACTICE 8.6 : Personalization and Privacy325
Different Types of Electronic Services326
Distinguishing Electronic and Traditional Services326
Table 8.2 A typology of electronic services327
Table 8.3 Causes of heterogeneity in e-service performance328
Figure 8.4 E-services and their origin329
Different Functions of Electronic Services329
Web Portals329
Domains of Electronic Service330
The Demand Side332
The Supply Side332
E-Service Evaluation and Control332
The Role of B2B Electronic Services334
8.6 Final Remarks334
Summary335
Questions336
Assignments336
Endnotes337
Chapter 9 Service Innovation340
Learning objectives340
9.1 Introduction341
SERVICE PRACTICE 9.1 : Innovations in the Air1341
Figure 9.1 Chapter outline343
9.2 Service Innovation as an Economic Phenomenon343
Figure 9.2 Relationship between service demand and manufacturing supply344
Measurement344
Heterogeneity345
Figure 9.3 Alternate innovation paths346
Competitive Environment346
SERVICE PRACTICE 9.2 : Copy Cat Can’t be Stopped9347
Figure 9.4 From innovation to national statistics347
9.3 Developing New Services347
Totally New? New? or Just Never Seen Before?348
Breakthrough Services348
Table 9.1 Classifications of new services product innovativeness349
New to the World350
New to the Market350
New to the Organization351
9.4 The Process of Developing New Services351
Sequence Models351
Figure 9.5 Example of sequential approach: stage-gate352
Organizational Environment Models352
Figure 9.6 Alternative organization factors model of innovation353
Strategic Intent353
Figure 9.7 Generic new service product development process354
Idea Generation354
Figure 9.8 Sources of ideas for new service innovation355
SERVICE PRACTICE 9.3 : Incentivizing Innovation21355
Concept Testing356
Business Analysis357
SERVICE PRACTICE 9.4 : iFly23357
Market Testing358
SERVICE PRACTICE 9.5 : Patient Experience Improved via Web-enabled TV359
Launch and Assessment359
9.5 Some Factors to Enhance the Innovation Process360
Innovation Culture361
SERVICE PRACTICE 9.6 : CCD Industrial Cleaning – Culture Clash362
Cross-Functional Teams363
Figure 9.9 Cross-functional teams363
Customer Innovation Adoption364
SERVICE PRACTICE 9.7 : ITC and e-Choupal33365
9.6 Success and Failure in New B2B Service Development366
Summary367
Questions368
Assignments368
Endnotes368
Chapter 10 People, Process and Physical Evidence370
Learning objectives370
10.1 Introduction371
SERVICE PRACTICE 10.1 : Slowing Down Domino’s Pizza’s Turnover1371
Figure 10.1 Chapter outline373
10.2 People in the Service Delivery Process373
Employee Roles and Emotional Labour374
Role Conflict374
SERVICE PRACTICE 10.2 : Determinants of Lateness3375
Role Ambiguity375
Role Overload375
Emotional Labour376
Generalized Service Employee Management Issues376
Figure 10.2 Generalized staff management framework377
Selection377
Training377
SERVICE PRACTICE 10.3 : Hyundai8378
Performance378
Reward378
Customer Participation379
SERVICE PRACTICE 10.4 : Participation Software10379
10.3 The Service Process380
Figure 10.3 Core and integrated service systems381
SERVICE PRACTICE 10.5 : Daimler Chrysler11381
Figure 10.4 Issues associated with service design382
Issues in Service Process Design382
The Degree of Technology Utilized382
The Degree of Visibility383
Degree of Customization383
Degree of Accessibility383
Degree of Interaction384
Issues in Service Process Delivery385
Duration385
Figure 10.5 Simple telephone triage for customer service calls386
Efforts of Employees387
Reliability387
Understanding the Service Process through Blueprinting388
Figure 10.6 Service blueprint for X-ray department388
Table 10.1 The four key steps in preparing a service blueprint389
10.4 The Physical Service Environment389
Features of the Service Environment391
Atmospherics391
SERVICE PRACTICE 10.6 : Hotel Indigo30392
Spatial Layout392
Tangible Service Evidence392
Marketspace393
Summary394
Questions394
Assignments395
Endnotes395
Chapter 11 Place, Promotion and Price398
Learning objectives398
11.1 Introduction399
SERVICE PRACTICE 11.1 : The ‘Wow’ Effect: How One Restaurateur Continues to Delight Customers1399
11.2 Organizing the Distribution400
Figure 11.1 Chapter outline401
Distribution and the Characteristics of Services401
SERVICE PRACTICE 11.2 : Bulgaria: Worldwide Investing at the Touch of a Button401
Distribution Channels and Supply Chains403
Figure 11.2 Typical distribution channels405
Figure 11.3 Compound channels405
Distribution Strategies405
Hybrid Strategies406
Networks406
Table 11.1 Three basic distribution strategies407
Figure 11.4 Multisite multiservice408
Figure 11.5 Distribution strategy408
Choice of the Location409
11.3 Communication of Services409
SERVICE PRACTICE 11.3 : Be Different and Stand out from the Competition410
Communication and the Characteristics of Services and Service Quality410
Table 11.2 Reasons and solutions to overcome communication problems in services411
Guidelines for Effective Services Communication412
Figure 11.6 Guidelines for effective communication and service quality dimensions413
Some Basics413
Communicating Services Online414
SERVICE PRACTICE 11.4 : The Online ad Attack17414
Stages in the Buying Process415
Figure 11.7 Sub-goals of communication per phase of the buying phase18415
The Communications Mix416
Figure 11.8 Steps in developing a communication plan: from target audience to determination of the communication mix416
11.4 Pricing for Value417
Pricing and the Characteristics of Services418
SERVICE PRACTICE 11.5 : Charges of Auditors418
Foundations of Pricing419
Figure 11.9 Key factors influencing price decisions420
Value-Based Pricing420
Value: Quality, Cost and Price421
Table 11.3 Pricing strategies for capturing and communicating the value of a service: satisfaction-based, relationship, and efficiency pricing.422
Customers’ Demand423
Table 11.4 Effective segmented pricing tactics426
Figure 11.10 Three ways to calculate ARGE429
Cost of Service Providers429
Customers’ Costs430
Competition and Substitution431
Combined Pricing Strategies for Creating Value during a Service’s Life Cycle432
Table 11.5 Three pricing practices to set the boundaries of prices432
Final Remarks on the Cs of Pricing433
Summary434
Table 11.6 Assets and capabilities of market oriented service organizations435
Questions437
Assignments437
Table 11.7 Segmentation438
Endnotes438
Chapter 12 Implementation, Performance and Control442
Learning objectives442
12.1 Introduction443
SERVICE PRACTICE 12.1 : Quality over Quantity1443
Figure 12.1 Chapter outline445
12.2 Managing Capacity and Demand and the Characteristics of Services445
Figure 12.2 Conditions encouraging chase-demand and level-capacity strategies and characteristics of some operating responses448
SERVICE PRACTICE 12.2 : Starbucks: ‘To Keep up the Growth, it Must Go Global Quickly’448
12.3 Four Types of Services449
Standard Core Services450
Customized Core Services450
Standard Augmented Services450
Customized Augmented Services451
12.4 The Marketing Plan451
Management Summary452
Figure 12.3 The contents of the marketing plan: linking guiding principles, chapters and sections of the marketing plan453
The Service Marketing Audit455
Figure 12.4 The service marketing audit456
Figure 12.5 The basics of marketing planning458
Market Segmentation458
Strategic Analysis, Choice and Market Position459
Table 12.1 The process to develop market strategies460
The Services’ Marketing Mix465
Internal Marketing469
Finance and Accounting470
Table 12.2 The internal marketing planning process471
Activity Planning472
Table 12.3 Activity planning472
Business Cases472
12.5 Implementation: Problems and Solutions473
SERVICE PRACTICE 12.3 : Different Causes and Different Situations!: Different Strategies in a Changing Corporate Environment32474
SERVICE PRACTICE 12.4 : Different Causes and Different Situations!: Different Strategies in Service Start-Ups andTurbulent Markets474
Figure 12.6 Three triads facilitating the implementations of a market-oriented marketing strategy in a service organization476
Table 12.4 Barriers and remedies to marketing planning in services477
12.6 Marketing Performance and Control478
Measuring Marketing Performance479
SERVICE PRACTICE 12.5 : Performance Measurement at ABN Amro Bank479
Marketing Control481
Summary482
Questions484
Assignments484
Endnotes485
Chapter 13 Case Studies488
Case Study 1489
Risk Has No Religion1489
Case Questions491
Endnote491
Case Study 2492
Scanning Blogs for Brand Insights492
Case Questions493
Case Study 3494
Linking Core Competencies to Customer Needs: Strategic Marketing of Health Care Services1494
ADK Research Corp. and Clinical Trial Services494
Research Design494
Results495
Table CS3.1 Attributes used to select CTRS495
Table CS3.2 Benefits sought from CTRS by industry sector496
Table CS3.3 Satisfaction with CTRS service dimensions496
Table CS3.4 Relationship between CTRS service satisfaction dimensions497
Case Questions497
Endnote497
Case Study 4498
Driving Online Legal Services at Minters1498
From Bricks to Clicks498
Demand Drivers behind Online Legal Services498
Minter Ellison’s online legal product and service portfolio499
Moving forward499
Three key questions500
Case Questions500
Endnote501
Case Study 5502
Low Cost, No Frills Airlines1502
Pricing502
Table CS5.1 Cost advantages of low cost carriers on short haul routes503
Table CS5.2 Characteristics of low cost airlines504
Sustainable Competitive Advantage505
Figure CS5.1 A contingency model of sustainable competitive advantage in service industries505
Case Questions506
Endnotes506
Case Study 6507
Starbucks1507
Introduction507
Background507
The history of the coffee industry in the USA507
The Starbucks Model508
Starbucks Distribution508
The Starbucks Experience509
Starbucks Globalization509
Case Questions510
Endnotes510
Back Matter511
References511

Book details

Vendor Wiley Global Education UK
SKU 0470063386R150
ISBN-13 9780470063385
Author Hans Kasper; Piet van Helsdingen; Mark Gabbott
Edition 2nd
Category Business & Economics
Subject General

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Ask an expert!

In order to deliver excellent service quality, it is critical to understand, create and deliver real value to all stakeholders. The second edition of Services Marketing Management has been thoroughly revised and restructured to provide the students with an overview of services marketing from this clear strategic orientation. It includes:

A linking of five core guiding principles: market orientation, assets and capabilities, characteristics of services, internationalization and the value concept
New coverage of electronic services
Many 'Service Practice' boxes, featuring examples from all of the world
End of chapter review questions and practical assignments
Full length cases at the end of the book with accompanying exercises

"This is a welcome second edition, firmly establishing it as a leading international text on strategic services marketing. Though completely revised, it retains the unique focus of the original on care for the individual and the understanding, creation and delivery of value to customers, with the authors bringing their topic vividly to life through numerous international examples. Clearly written and logically structured, it will be an invaluable resource for services marketing and management courses at all levels."
—Professor Graham Hooley, Aston Business School

"An up-to-date, comprehensive and truly global treatment of services marketing management with new insights for every reader."
—Leonard L. Berry, Distinguished Professor of Marketing, Mays Business School and author of Discovering the Soul of Service

"This book is a very valuable addition to the services marketing literature. Its logical structure and clarity of expression will make it extremely appealing to students and lecturers."
—Steve Oakes, University of Liverpool

"This is a must for students, teachers and practitioners in services marketing."
—Kjell Grønhaug, Norwegian School of Economics and Business Administration

"This is an academically rigorous text with a strong European focus – excellent."
—Jill Brown, Portsmouth Business School

"Services Marketing Management: a comprehensive and completely up-to-date book based on an excellent combination of modern theory and actual practice."
—Peter Leeflang, Frank M. Bass Professor of Marketing, University of Groningen and Professor at Johann Wolfgang Goethe University at Frankfurt am Main

"This excellent textbook has got what it strongly deserved: a second edition. I particularly appreciate:

the consequent focus on market and customer orientation
the integration of business-to-business services
the overarching HRM perspective and
the refined didactic approach not self-evident in other service management textbooks

What a service for the reader!"
—Bernd Günter, Heinrich-Heine Universität, Düsseldorf

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