GL BAJAJ INSTITUTE OF MANAGEMENT AND

RESEARCH

Services Marketing
ASSIGNMENT
BATCH: 2018-20

Submitted To: Submitted By:

Dr.Atul Arora Anant Mishra
Roll No. GM18034
 Q1) Describe GAP model covering all the GAPS by taking an example of your
experience at your bank or at a public office like Municipality etc.
Ans The below Diagram illustrates the Gap Model.

The gap model (also known as the "5 gaps model") of service quality is an important
customer-satisfaction framework.

The five gaps that organizations should measure, manage and minimize:

 Gap 1 is the distance between what customers expect and what managers think
they expect - Clearly survey research is a key way to narrow this gap.
  Gap 2 is between management perception and the actual specification of
the customer experience - Managers need to make sure the organization is
defining the level of service they believe is needed.

 Gap 3 is from the experience specification to the delivery of the experience -

Managers need to audit the customer experience that their organization currently
delivers in order to make sure it lives up to the spec.

 Gap 4 is the gap between the delivery of the customer experience and what is
communicated to customers - All too often organizations exaggerate what will be
provided to customers, or discuss the best case rather than the likely case, raising
customer expectations and harming customer perceptions.

 Finally, Gap 5 is the gap between a customer's perception of the experience and
the customer's expectation of the service - Customers' expectations have been
shaped by word of mouth, their personal needs and their own past experiences.
Routine transactional surveys after delivering the customer experience are
important for an organization to measure customer perceptions of service.

EXAMPLE:
The Analysis of Banking Sector using the Gap model shows that the service quality gap
analysis is having more gaps between customer expectation and perception of service
quality in the banks. The bank has to reduce this gap giving individual personal attention
to understand the customer specific needs and more gap is there for Responsiveness. To
manage growth and continuity in business, human resources play an important role.
Remarks on service responsiveness and empathy should be continuously obtained from
customers. The below mentioned problems are generally obsereved which have created
Gaps in the service quality in banking sector.

First of all, the model clearly determines two different types of gaps in service marketing,
namely the customer gap and the provider gap. Later is considered as internal gaps within
a service firm. This model really views the service as a structured, integrated model
which connects external customers to internal services between the different functions in
service organizations. Compared the level of expectations and perceptions of borrowers
from bankers’ point of view on five dimension i.e. product features, office services, pre
sale services, post sale services and behavioral responses. It has been concluded that
customers’ expectations are reaching very high and bankers’ are unable to predict their
level of expectations. Therefore, bankers must fix service standards and try to build
customer relationships to reduce these service quality gaps. It was further revealed that all
the service quality dimensions are interrelated with each other’s. Office services are
found highly correlated with other service quality dimensions.
It is found that the gap in post sale services is highest followed by office services and in
pre sale service the gap is minimum. Respondents (borrowers) discussed during the
survey that bank staff always do various promises during pre sale service for convincing
them for taking loan from their banks but after taking loan they do not even receive their
phone calls.

Banks should reduce the service quality gaps and enhance service quality during granting
loans and other services to customers.

Q2) Visit a coffee shop in your city like Café Coffee Day, Barista, Starbucks.
Prepare the service blueprint for coffee shop.

Ans. The Service Blueprinting procedure is appropriate for existing services. By

illustrating and analyzing the current status of the service process, it is possible to see
areas of improvement within the service sequence. Creating visual representations aid
process improvement by showing the flow and highlighting potential points for
incremental adjustment.

Components of Service Blueprint are:

1. Physical Evidence
The restaurant has a good view and a good location as it is in the center of the
mall. They have also decorated the restaurant in a good manner that attracts the
customers and makes them feel better when they are eating. customers can choose
food items from the written menu board placed beside the cash counter, and can
look to the food preparation and the foods available at the counter what we can
call visual menus. Cash and cards both are accepted for payment. Music and
lighting add some extra values to the environment the customer experience while
eating. The seating space enough to well enough has tables for their customers to
sit.

2. Customer part of the blueprint describes the activities of the customer. The
customer comes into the restaurant and places an order. When a customer comes
to the counter to place an order, the person on the cash counter greets him/her and
receives the order and makes two bills—one for the customer and the other for the
delivery counter. The customer then pays the bill, and meanwhile, the delivery
person arranges the food to serve. Within this period, the customer stands in a
queue at the delivery counter and waits for his/her turn as it is a self-service
restaurant. After receiving the food the customer goes to a table and eats the food
and after eating he/she cleans the table and takes the trash to the trash counter.
 3. Contact part presents the contact points between the customer and the service
employees. It can be divided into two stages-The front part and the back part.
When a customer places an order at the cash counter, the cashier makes two
copies of the bill; one for the customer and the other for the delivery counter. As
they always sell some coffee, the coffee is always ready and stocked at the
delivery counter. The cash counter and the delivery counter always stays in
contact with the kitchen assistants to ensure proper supply of foods in the
“delivery” or “serving” counter. Whenever the coffee preparation is about to
finish the serving assistants are informed.

4. Support Services is the forth and the last part of the blueprint. The possession of the
space is rented from the shopping mall authority. It’s the first supporting element of
the service process. Next, to it, we presented maintenance of the restaurant and its
equipment i.e., machinery, ovens, dishes, other kitchen items, material for the food etc.
There are specified suppliers for different raw materials who help to run the supply
chain smoothly by delivering on time. The back part of the restaurant contains a
storage space to keep the raw materials and other elements for cooking.

Q3) Customer is not always the King in the Service Marketing. Elucidate the
same with examples

The concept of the customer as king is a norm that has been held for a long time."But
in the service sector, this is not always the case.  Everywhere, people rely on the
guidance of service personnel, such as security screeners at the airport, fitness
trainers, or hotel staff. If a customer disturbs others by being too loud in the hotel, for
example, the staff must intervene. Only in this way can a company guarantee a
smooth service process in the long term. Take travel companies for example, there
are a number of startups that keep coming up every year without any innovation.

On the other hand, travel startups like Trivago thrive on uniqueness. Instead of
chasing what is already hot in the market, they innovate and sell new ideas. They
create demand out of nothing and market and promote their idea until customers
gradually realize that this is something they need to have.

Q4) How can marketers attract consumers in each stage of the process of service
purchase? Explain with example of MakeMy Trip or Yatra or Airbnb.
Ans.

First Stage – Problem or Need Recognition.

As the name suggest it is the problem and the need recognition for the consumers in order
to identify how to solve the particular problem or need. This is where they will be
looking for a services or product that can solve their problem easily. The consumers will
be facing problems such as the price is very high. The price of the MakeMyTrip is
cheaper compared to Malaysian Airlines and Airbnb airlines. Another problem that most
consumers will face is the facilities that they can enjoy. Seem to be that the price is low
for MakeMyTrip bookings.

Second Stage – Information Search

It is the stage where the consumer will do his research about the product or services that
can help to solve problem or the need of the consumer. A very good information research
will lead the consumer to several alternatives of products or services. For an example,
consumers can get more information about MakeMyTrip through newspapers that have
the advertisements of MakeMyTrip. Besides that, consumers can find the information
that they need through the website & Application of MakeMyTrip. Another form of
information research that will be effective is through the Opinion Leaders where most
consumers claimed to buy the MakeMyTrip services after hearing the experience of other
consumers consuming the product or service.

Third Stage – Evaluation of Alternatives

The consumer will be evaluating all the possible alternatives or the services available
through comparison method of price, quality and the services being offered in a way that
can solve the need or problem of the consumer. There are many alternatives for
consumers in the market such as Airbnb almost all parts of the world whereby the
consumers who wants to travel to United States will not be able to enjoy the service
through MakeMyTrip because MakeMyTrip is not much expanded in that region. This
will make the consumers to find an alternative such as Airbnb.

Fourth Stage – Purchase Decision

This is where the consumer takes the decision to buy the services from a certain company
after a deep evaluation and comparison. The consumers can buy the services of
MakeMyTrip in a few methods such as through online purchase where the consumers can
purchase the services on their preference and need.

Fifth Stage – Purchase

This stage will be the part where the consumer buys the service or the product. The
money is given for the service or the product that the consumer is going to consume. The
consumers can buy the services of MakeMyTrip by using their credit card where most
consumers prefers online booking that allows them to choose the date with their own
pace. The consumers do the bookings ahead of the date that can be done at the ticketing r
online that is available in most parts throughout the country.

Final Stage – Post Purchase Evaluation.

The post purchase evaluation is done to know whether it is a satisfaction or
dissatisfaction for the consumer. Consumers can even choose the meals that they prefer to
have during their stay. This enables the consumers to make their stay with MakeMyTrip a
satisfactory journey that gives comfort and pleasure by MakeMyTrip. The post purchase
evaluation is done, by taking feedbacks, and by taking online review of the services.

Q5) Describe any five limitations in marketing of services? Suggest suitable

marketing strategy against each limitation.

1. Intangibles: Unlike products, services are intangible. This means that there is
nothing to demonstrate or display for prospective buyers. For example, service
salespeople can put their services in packages, offering more features for higher
pay. Salons may offer a spa package that includes a shampoo and scalp massage
and a lunch hour package, which is just quick trim -- no frills. Being creative
enough to turn a service into a product can be challenging, and the ways in which
you productize must be continually re-evaluated as competitors catch on.

2. Individuality: Many services are completed to meet the needs of one individual or
firm. Unlike products, there is little mass production.

3. Time: Services take time to perform and time to sell. Unlike products, you can't
just set services on a shelf in a convenience store and wait for an impulse buyer.
To sell a service, you must often spend time convincing a person that she or her
firm needs the service. Generally, this requires extensive research and data, as
well as a positive personality. If you spend a great deal of time building a personal
relationship with a client and the client goes with a competitor, you have lost
money because you could have been spending that time performing a service or
pursuing a different client.

4. Mistrust: In many cases, potential clients are more likely to mistrust service
providers than products. If a client purchases a product that he is not happy with,
in most cases, he can simply return it. But in the case of services, the damage is
already done. In addition to contracts making it harder to get money back for a
service poorly performed, most services, such as a bad hair cut or a poorly
executed advertising campaign, cannot be easily undone.
Marketing strategy against each limitation:
 Referrals: One of the best ways to market an intangible is through word of mouth.
A happy customer will not wait to be asked about a service from friends and will
often want to share her experience and tell people why she likes the service. Some
service providers use referral programs as an integral part of their marketing. 
 Education: Another way to market a service is to provide customer education.
You can do this by offering free seminars, lunch-and-learns or other educational
meetings. You can write articles for magazines and newspapers and give talks at
trade shows and conferences. 
 Social Media: Social media are hard to escape, with millions of people sending
texts and emails to friends when they see interesting items they want to share.
They can also be an inexpensive way for smaller businesses with few advertising
dollars to make an impact. A social media marketing strategy lets service
providers take advantage of free tools such as Facebook and Twitter to educate
consumers and get them to spread the word to their network of contacts. 
 Demonstrations: Customers might be gun shy about trying a service if they aren’t
sure what they are getting. Offering free demonstrations helps ease their concerns
and can result in immediate sales.