Magister Management Universitas Indonesia Service Marketing

CUSTOMERS ROLES IN SERVICE DELIVERY

presented by : Ferry, Frisca, Gita, Dwi

Contents
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Import Service Marketing Triangle Employee Satisfaction + Customer Satisfaction = Profit Boundary Spanning Roles and Source of Conflict Strategy Delivery Qualified Service through People

PARTICIPANT OF A CENTRAL LEARNING

STRATEGIES FOR DELIVERING SERVICE QUALITY THROUGH PEOPLE

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1#

STRATEGIES FOR DELIVERING SERVICE QUALITY THROUGH PEOPLE

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2#

STRATEGIES FOR DELIVERING SERVICE QUALITY THROUGH PEOPLE

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3#

STRATEGIES FOR DELIVERING SERVICE QUALITY THROUGH PEOPLE

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4#

Chapters Objectives
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To

illustrate the importance of customers in successful service delivery and cocreation of service experiences. To discuss the variety of roles that service customers play: productive resources for the organization; contributors to quality and satisfaction; competitors. To explain the strategies for involving service

CUSTOMERS IN SERVICE DELIVERY

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Customer

Receiving The Service Fellow Customers

Table 13.1 Levels of Customer Participation across Different Services

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CUSTOMERS ROLES
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Productive Resources

Contributors to Service Quality and Satisfaction

Competitors

Customers As Productive Resources

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Customer

inputs can affect the organizations productivity through both the quality of what they contribute and the resulting quality and quantity of output generated.

Customers As Contributors To Service Quality and Satisfaction

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Effective

customer participation can increase the likelihood that needs are met and that the benefits the customer seeks are actually attained.

Customers As Competitors
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Internal Exchange vs. External Exchange

Expertise Capacity Resource Capacity Time Capacity Economic Rewards Psychic Rewards Trust Control

SELF-SERVICE TECHNOLOGIES THE ULTIMATE IN CUSTOMER PARTICIPATION

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Services

produced entirely by the customer without any direct involvement or interaction with the firms employees.
ATMs Pay

at the pump Internet banking Internet shopping Distance education

Figure 13.2 Services Production Continuum

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Gas Station Illustration 1. Customer pumps gas and pays at the pump with automation 2. Customer pumps gas and goes inside to pay attendant 3. Customer pumps gas and attendant takes payment at the pump 4. Attendant pumps gas and customer pays at the pump with automation 5. Attendant pumps gas and customer goes inside to pay attendant 6. Attendant pumps gas and attendant takes payment at the pump

Key Questions While Moving Into SST

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What is our strategy? What do we hope to achieve through the SST(cost saving, revenue growth, competitive advantage)? What are the benefits to customers of producing the service on their own through the SST? Do they know and understand these benefits? How can customers be motivated to try the SST? Do they understand their role? Do they have the capability to perform this role? How technology ready are our customers? Are some segments of customers more ready to use the technology than others? How can customers be involved in the design of the service technology system and processes so that they will be more likely to adopt and use the SST? What forms of customer education will be needed to encourage adoption? Will other incentives be needed? How will inevitable SST failures be handled to regain customer confidence?

STRATEGIES FOR ENHANCING CUSTOMER PARTICIPATION

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Figure

13.3 Strategies for Enhancing Customer Participation

Define Customers Jobs

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Helping

Oneself Helping Others Promoting The Company Individual Differences: Not Everyone Wants To Participate

Recruit, Educate, and Reward Customers

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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

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Table 13.2 Characteristics of Service that Increase the Importance of Compatible Segments

Conclusion
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Through understanding the importance of customers in service delivery and identifying the roles played by the customer in a particular context, managers can develop strategies to enhance customer participation. By implementing these strategies, organization should see a reduction in gap 3 due to effective, efficient customer contributions to service delivery.

Case Study
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Mobile operators are trying to use its prepaid balance (pulsa) as a media for micro payment in retail. Do you think it will work?

How do you think they should launch it to change customers habit from paying cash to paying using pulsa. Please use credit card industry experience as a reference. Also use Strategies for enhancing customer participation (figure 12.2) to help the operators achieving their dream.

Mobile Money
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Mobile money as a valuable tool for extending financial services to unbanked and under-banked segments of the Indonesian market and achieving broader financial inclusion objectives.

Fact..
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BANK

DIFFERENCES

TELCO PROVIDER

64 million
The Bank People are only 40% of Indonesian Population

The Customers

230 million
Simcard penetration almost 96% of Indonesian population

Biro Riset Infobank (2012) Infobanknews.com 8 Oct 2013

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E-Money Participants
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Bank
BTPN Niaga Pulsa BNI
BCA BRI Mandiri eMoney

Telco Provider
Telkomsel : TCash Indosat : Dompetku XL Axiata : XL Tunai

: BTPN Wow : Rekening : Doku Wallet

: Flazz Card : BRIZZY : e-Toll card,

Mobile Money
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The Services
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MICROPAYMENT TRANSACTION

< Rp. 5.000.000,00

CASH MONEY

TRANSFER

Benefits & Obstacles

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Benefits

Obstacles

Reached more customer. More easy to attract. Minimum Risk

BI Rules Conventional Habbit Transaction People not really trust

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ENHANCING CUSTOMER PARTICIPATION of E-MONEY on MicroPayment Transaction

DEFINE CUSTOMERS ROLES

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CLARIFY LEVEL

Define the specific micropayment transaction as a way to specify the service. *Our suggestion Digital Payment Prior the market segment. Reduce the level of customer participation from middle to low level. Build and develop the efficiency transaction. Nurture the customer about a self

Digital Payment Transaction. Ex:

of PARTICIPATI ON

Application Store (on Android, IOS, RIM, etc)

Online Shopping

DEFINE CUSTOMERS ROLES

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Helping Others

Design a campaign (charity program)

Customer donation for some specific transaction

IDENTITY SPECIFIC JOBS and

Promoting the Company

Build a referall program Offer some discount or bonus for the referall

TASK

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RECRUIT, EDUCATE and REWARDS CUSTOMER

Define the specific micropayment transaction as a way to specify the service.

*Our suggestion Digital Payment

RECRUIT

THE RIGHT CUSTOMER

Appliction Store Ebook Store Online Shopping TechnoSavvy E-Commerce Shoppers

Prior the market segment.

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RECRUIT, EDUCATE and REWARDS CUSTOMER

EDUCATE And TRAIN CUSTOMER S

Promotion and Advertising Build a website Build a community Blast Email and SMS

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RECRUIT, EDUCATE and REWARDS CUSTOMER

REWARD CUSTOMER

Give Bonus Redeem Point Offering Discount

MANAGE THE CUSTOMER MIX

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Bank Indonesia Rules Co-creation with Government to educate the customer due to cash less society

MANAGE THE CUSTOMER MIX

Provide the availibility system in each merchant.

Promotion through Ads and Internet.

Build a community to gather customer loyalty.

Conclusion
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E-Money is a niche market product. It has a lot of subtitute product. Need more education to push customers awareness.

Recommendation
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Co-Creation
Bank Provider

Merchant

Provider

Merchant

THE BENEFITS
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GOVERNMENT PROVIDER Generate more profits. Retain the simcard usage. BANK Enhance the time value of money. MERCHANT No need to provide cash money. Faster in serving its customer

REACH MORE CUSTOMER and THEIR SATISFACTION