services marketing chapter 2

the customer gap
the difference between customer expectations and perceptions

-Used by organizations to analyze certain processes of any division of their organization

customer expectations
are standards or reference points that customers bring into the service experience
-what a customer believes should happen or will happen
customer perceptions
subjective assessments of actual service experiences
provider gaps
gap 1: the listening gap
gap 2: the service designs and standards gap
gap 3: the service performance gap
gap 4: the communications gap
provider gap 1: the listening gap
-the difference between customer expectations of service and company understanding of those expectations
-not knowing what customers expect

-inadequate marketing research orientation
-lack of upward communication
-insufficient relationship focus
-inadequate service recovery

inadequate marketing research orientation
-insufficient marketing research
-research not focused on service quality
-inadequate use of market research
lack of upward communication
-lack on interaction between management and customers
-insufficient communication between management and customers
-too many layers between contact personnel and top management
insufficient relationship focus
-lack of market segmentation
-focus on transactions rather than relationships
-focus on new customers rather than relationship customers
inadequate service recovery
-lack on encouragement to listen to customer complaints
-failure to make amends when things go wrong
-no appropriate recovery mechanisms in place for service failures
provide gap 2: the service designs and standards gap
-poor service design
-absence of customer drive standards
-inappropriate physical evidence and servicescape
poor service design
-unsystematic new service development process
-vague, undefined service designs
-failure to connect service design to service positioning
absence of customer drive standards
-lack of customer driven service standards
-absence of process management to focus on customer requirements
-absence of formal process for setting service quality goals
inappropriate physical evidence and servicescape
-failure to develop tangibles in line with customer expectations
-servicescape design that does not meet customer and employee needs
-inadequate maintenance and updating of the servicescape
provider gap 3: the service performance gap
-deficiencies in human resource policies
-failure to match supply and demand
-customers not fulfilling roles
-problems with service intermediaries
deficiencies in human resource policies
-ineffective recruitment
-role ambiguity and role conflict
-poor employee-technology job fit
-inappropriate evaluation and compensation systems
-lack of empowerment, perceived control, and teamwork
failure to match supply and demand
-failure to smooth peaks and valleys of demand
-inappropriate customer mix
-over reliance on price to smooth demand
customers not fulfilling roles
-channel conflict over objectives and performance
-channel conflict over costs and rewards
-difficulty controlling quality and consistency
-tension between empowerment and control
provider gap 4: the communications gap
-lack of integrated service marketing communications
-ineffective management of customer expectations
-over promising
-inadequate horizontal communications
-inappropriate pricing
lack of integrated service marketing communications
-tendency to view each external communication as independent
-not including interactive marketing in communications plan
-absence of strong internal marketing program
ineffective management of customer expectations
-not managing customer expectation through all forms of communication
-not adequately educating customers
over promising
-over promising in advertising
-over promising in personal selling
-over promising through physical evidence cues
inadequate horizontal communications
-insufficient communication between sales and operations
-insufficient communication between advertising and operations
-differences in policies and procedures across branches or units
inappropriate pricing
-high prices that raise customers expectations
-prices that are not tied to customer perceptions of value