CUSTOMERS’ ROLE IN SERVICE DELIVERY-
Service cannot be created apart from the customers purchase and active participation
Customer inputs, choice and actions co create the outcome Provision of service requires customer purchase
Its about creating value together.
Customers as Productive Resources
Ø customers can be thought of as “partial employees”
Ø contributing effort, time, or other resources to the production
process
Ø customer inputs can affect organization’s productivity
CUSTOMERS’ ROLE IN SERVICE DELIVERY-
Service delivery is all about customer driven approach, unlike the
4P’s approach which is product driven focusing on 4A’s :
Awareness,Availability, Accessibility, Affordability
• Customers play a very vital role in successful delivery of
service as customers are often present in the place where service is produced
(Delivered)
• Customers alone can influence whether the delivered service is as
per customer defined specifications.
• Other customers who are present in the Service scape can also
influence the Service positively or negatively.
LOW-
Consumer Presence Required during Service Delivery Products are
standardized Service is provided regardless of any individual purchase Payment
may be the Only required customer Input. End Consumer Examples Airline travel
Motel stay Fast-food restaurant Business–to Business Customer Examples Uniform
cleaning service Pest control Interior greenery maintenance service
Moderate:
Consumer Input Required for Service Creation Client inputs customize a standard service Provision of service requires customer Purchase Customer inputs ( information materials) Are necessary for an adequate outcome, but the service firm provides the service Haircut Annual Physical exam Full-service restaurant Agency created advertising Campaigning Payroll service Freight transportation
High:
Customer Co creates the Service Product Active client participation
guides the customized service.
Service cannot be created apart from the customer’s purchase and
active participation.
Customer inputs are mandatory And cocreate the outcome.
Marriage Counseling Personal training Weight reduction program
Major illness or surgery Management consulting Executive Management seminar
Installation of computer network.
Level of Customer Participation:
LEVEL OF CUSTOMER PARTICIPATION •
The level of participation
of customers varies from Service to Service.
• In “High level of participation.” Eg. B to B projects like
providing software solutions & consultancies.
• In “Moderate level of participation” customers inputs are
necessary to facilitate effective delivery of service.
LEVEL OF CUSTOMER PARTICIPATION
• In entertainment service very “low level of participation” is
required. Service provider provides the Service & only the customer’s
presence is required to avail the service
• In many Service deliveries other customers also affect the
service delivery in a positive or negative way.
This can influence the customer’s perceptions of Service quality
and affect customer satisfaction.
HOW CUSTOMERS WIDEN GAP-
• Lack of understanding of their roles
• Not being willing or able to perform their roles
• No rewards for “good performance”
• Interfering with other
customers
• Incompatible market segments
STRATEGIES FOR ENHANCING CUSTOMER PARTICIPATION
Define customers’ job
1. Helping oneself: through active participation, customers may
become productive resources.
2. Helping others: mentoring programs in university.
3. Promoting the company: recommendation
4. Individual differences: not every one want to participate
STRATEGIES FOR ENHANCING CUSTOMER PARTICIPATION
Recruit, educate and reward customers
1. Recruit the right customers who are comfortable with roles and
communicate responsibilities.
2. Educate and train customers through socializing org. values,
abilities and skills, customer orientation (universities), customer education
(hospitals) and customer information (McDonald's)
3. Reward customers for their contributions
4. Avoid negative outcomes of inappropriate customer participation
STRATEGIES FOR ENHANCING CUSTOMER PARTICIPATION
Manage the customer mix Compatibility management: a process of
first attracting homogeneous consumers to the service environment, then
actively managing both the physical environment and customer to customer
encounters in such a way as to enhance satisfying encounters and minimizing
dissatisfying customers.
Strategies:
1. Homogeneous customers
2. Locational proximity
3. Codes of conduct ( dresses and smoking attitudes)
CUSTOMERS’ ROLES IN SERVICE DELIVERY
Importance of customers in service co-creation & delivery
Customer roles
Strategies for enhancing customer participation
The Importance of customers in service co- creation and delivery
Customer participation in some levels is inevitable in all service situations. Services are actions or performances, typically produced and consumed simultaneously.
Because the customers participate in the delivery process, he or she can contribute to narrowing or widening gap 3 through behaviors that are appropriate or in appropriate, effective or ineffective, productive or unproductive.
Levels of customer satisfaction across different services:-
Fellow customers “Fellow customers” are present in service environment and can affect the nature of the service outcome or process.
Fellow customers can enhance or detract from customer satisfaction and quality.
Customers’ Roles There are three major roles played by the customers in service co-creation and delivery.
Customers as productive resource Customers as contributors to service quality & satisfaction Customers as competitors
Strategies for enhancing customer participation
Define customer’s job This include developing strategies for customer involvement in service co-creation & delivery.
The organization first determine what type of participation is desired from customer (low, moderate or high).
Once the desired level of participation is clear, the organization can define more specifically what customer’s role and task entail or result.
The range of possible roles and tasks are:- Helping oneself Helping others Promoting the company
Recruit, Educate & Reward customers In a sense, customer becomes a partial employee of the organization.
The customer participation in service production and delivery will be facilitated when, Customers understand their roles and how they expected to perform Customers are able to perform as expected Customers receives valued rewards for performing as expected
Manage the customer mix The process of managing multiple and sometimes conflicting segments is known as compatibility management
For example, A restaurant servicing incompatible segments- college students celebrating birthday eve & family customers
Strategies for Enhancing Customer Participation
Define customers’ jobs
helping oneself
helping others
promoting the company
Recruit, educate, and reward customers
recruit the right customers
educate and train customers to perform effectively
reward customers for their contributions
avoid negative outcomes of inappropriate customer participation
Manage the customer mix
Importance of Customers in Service Delivery
Ø Other customers can detract from satisfaction:
Ø disruptive behaviors
Ø overly demanding behaviors
Ø excessive crowding
Ø incompatible needs
Ø Other customers can enhance satisfaction:
Ø mere presence
Ø socialization/friendships
Ø roles: assistants, teachers, supporters, mentors
Customer Roles in Service Delivery
Ø Productive Resources
Ø Contributors to Service Quality and Satisfaction
Ø Competitors
Customers can contribute to:
Ø their own satisfaction with the service
Ø by performing their role effectively
Ø by working with the service provider
Ø the quality of the service they receive
Ø by asking questions
Ø by taking responsibility for their own satisfaction
Ø by complaining when there is a service failure
How Customers Widen the Service Performance Gap
Ø Lack of understanding of their roles
Ø Not being willing or able to perform their roles
Ø No rewards for “good performance”
Ø Interfering with other customers
Ø Incompatible market segments
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