Marketing Exam #3 Ch. 13

Empowerment of employees helps to address the delivery gap because

employees directly involved with the customer can respond effectively at the moment the problem occurs.

Food preparation, lawn maintenance, and house cleaning services are all examples of

household maintenance activities that people increasingly pay others to perform.

Service providers often encounter rude and unreasonable consumers. Services marketing managers can reduce the delivery gap, even for these customers, by

providing support and incentives for their employees.

Medical services, assisted living care, and active senior travel are all examples of

services an aging population will increase their demand for.

Services marketing managers have learned that more employees will support a quality-oriented process if

they are involved in setting the goals.

When corporate headquarters announced new service quality standards for pizza franchise owners, Roland knew he would have trouble gaining employees' support because

they were not involved in setting the goals.

The building block of service quality called __________ refers to the ability of the firm's employees to convey trust and confidence.

Assurance

A service is any intangible offering that involves a deed, performance, or effort that

Cannot be physically possessed

Firms can close a __________ gap by being more realistic about the services they can provide and managing customer expectations.

Communication

If there is a difference between the actual service provided to customers and the service the firm has promoted, a __________ gap exists.

Communication

The __________ gap can be reduced by managing consumers' expectations.

Communication

When there is a significant difference between the service customers receive and the service the firm promotes, the firm has a

Communications gap

An excellent, inexpensive, and readily accessible method for assessing customers' service expectations is

Customer complaints

A __________ gap can be closed by getting employees to meet or exceed service standards.

Delivery

A __________ gap is the difference between the firm's service standards and the service it provides to customers.

Delivery

The customers at Marielle's coffee shop want to grab a quick cup of coffee before boarding the commuter train into the city. The sign in the window promises "Quick, In-and-Out Service," and usually Marielle's keeps that promise. But one morning, customers were frustrated when the staff behind the counter showed more interest in gossiping about their social lives than in waiting on customers. Marielle's shop is suffering from a

Delivery gap

Randall arrived at the hotel to find that, although he had a guaranteed reservation, the hotel had no rooms available. He became angry when the hotel made him a reservation at a more expensive hotel but refused to pay the difference in room rates. Randall was upset because, in his opinion, the hotel's solution did not incorporate

Distributive fairness

When travelers are bumped from overbooked flights, they are frequently offered vouchers good for future travel. The dollar value of the voucher is the airline's estimate of

Distributive fairness

Along the service-product continuum, which of the following would be considered the most service dominant?

Doctor's office

_________ means allowing employees to make decisions about how service is provided to customers.

Empowerment

When __________ are authorized to make decisions to help their customers, service quality generally improves.

Frontline employees

Along the service-product continuum, which of the following would be considered the most product dominant?

Grocery store

Empowerment becomes more important when the service is

Individualized

When marketers state that services are __________, they are referring to the fact that services are produced and consumed at the same time.

Inseparable

Barnes & Noble bookstores have computers available for associates to use to search for books requested by customers and to place special orders. These computers are an example of

Instrumental support

Because services are __________, it is often difficult for marketers to convey the benefits to consumers.

Intangible

Colin has been directed by his boss to determine if their company is meeting customers' service quality expectations. One of Colin's problems is that services are __________, making measurement of service quality difficult

Intangible

When marketers say that services are __________, they are referring to the fact that services cannot be touched, tasted, or seen, like a pure product can.

Intangible

If a firm promises more than it can deliver

It creates a communication gap

A __________ gap reflects the difference between customers' expectations and the firm's perception of those customer expectations.

Knowledge

For years, the Mogul Sheraton, a four-star hotel overlooking the Taj Mahal in India, offered free elephant and camel rides to hotel visitors. Few customers took advantage of this service. This is an example of a __________ gap in services marketing

Knowledge

Jackson manages an upscale French restaurant in the Washington, D. C., area. His restaurant offers a few specials each evening in addition to its regular menu. Jackson has trained his waiters and waitresses to report comments and requests for items that have previously only been offered as specials. Jackson uses this information to reduce the __________ gap in services marketing.

Knowledge

David's marketing research returned the finding that customers were staying away from his bookstore because of a lack of services like gift cards, return policies, and special orders. David was shocked. "Nobody ever asks about that stuff! If it were that important, people would ask about it." David is likely suffering from a(n)

Knowledge gap

Service employees at the airlines' flight cancellation desks frequently encounter travelers who get emotional about canceled or delayed flights. The first thing these employees should do is to

Listen to the customer

By changing a standard from "be nice to customers" to "greet every customer, and if possible by name," a services marketing manager has created a(n) __________ goal.

Measurable

Because services like airline flights and hotel beds are _________, many marketers attempt to match demand with supply using pricing strategies.

Perishable

When marketers state that services are __________, they are referring to the fact that services cannot be stored for use in the future.

Perishable

Yolanda manages a Best Sleep Inn along an interstate highway. She knows from experience that five to ten last-minute customers will call after 8 p.m. each evening looking for a room and asking the price. Yolanda has empowered her staff to offer discounts when the motel is largely vacant, and to quote the standard price when the motel is close to full. She knows her service is __________, meaning that if no one stays in the room, it generates no revenue that evening.

Perishable

__________ refers to the perceived fairness of the process with which a firm handles customer complaints.

Procedural fairness

The marketing of services differs from product marketing because services are all of these EXCEPT

Renewable

Training service providers to know exactly what a "good job" entails is setting service

Standards

Gerald's Tire Service provides each employee with a clean, sharp-looking uniform. They also instruct employees to put all tools back where they belong and keep the work area clean and uncluttered. Gerald's Tire Service emphasizes __________ in the five service quality dimensions.

Tangibles

Monique was looking for a venue for her wedding reception. When she visited one potential location, she noticed that the landscaping was not complete, and there was stained carpet in the lobby. Which of the service quality building blocks caused Monique to select an alternative venue?

Tangibles

The concept of __________ refers to the area between customers' expectations regarding desired service and their minimum levels of acceptable service.

The zone of tolerance

What is the problem associated with service quality standards such as "be nice" or "do what the customers want"?

They are not specific

One approach marketers are using to reduce service __________ is to replace people with machines whenever appropriate.

Variability

The old restaurant saying "You are only as good as the last meal served" reflects the fact that services are

Variable

When marketers state that services are ____________, they are referring to the fact that services are not always of the same quality from one time period to another or from one service provider to another.

Variable

Customers have a defined __________ when it comes to waiting in line at a retail checkout counter. The amount of time consumers are willing to wait varies with the type of store.

Zone of tolerance

Nicole knows her restaurant is understaffed today. She is hoping to get through the day without falling below her customers'__________, the difference between what her customers want and what they will accept before going elsewhere.

Zone of tolerance

When John checked into his Orlando hotel, the front desk clerk informed John that his room would not be ready for another twenty minutes. John decided he didn't mind waiting, because he had arrived well ahead of the standard check-in time. John didn't mind waiting twenty minutes because this wait fell within his __________, the area between his expectations regarding desired service and the minimum level of service he will accept.

Zone of tolerance

In countries like the United States, services

account for an increasing share of jobs.

One of the reasons service failures need to be addressed quickly is to

avoid negative word-of-mouth from upset customers.

When Dr. Horton checked in at the Ritz-Carlton, it was 3 a.m. He had been traveling for over twelve hours and was exhausted. His suit, which he needed for a speech that morning, looked like he had slept in it. Karen, the night clerk, offered to find a 24-hour dry cleaner and have the suit cleaned while Dr. Horton got a few hours of sleep. Karen's actions are an example of

empowering employees to meet customers' needs.

Although firms such as restaurants have difficulty controlling service quality from day to day, they do have control over

how they communicate the services they promise.

Sam was called in to meet with his boss, Tricia. He was afraid he was going to be fired for the mistake he had made dealing with an important customer of the store. Instead, Tricia explained that he had handled the situation well, listening to the customer and finding a fair solution. Tricia commented, "Even more importantly, working the way you did to correct the error could result in __________."

increased customer purchases and positive word of mouth

When confronted with an angry and emotional customer, the best first step toward service recovery is to

listen carefully and with empathy until the customer feels he or she has been heard.

Because services like cruises and car rentals are perishable, many marketers use

pricing strategies to match supply with demand.