CUSTOMERS’ ROLES IN SERVICE
Presented By : Umut Korkuter & Nazim Belge
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
effectively to increase both quality and productivity.
THE IMPORTANCE OF CUSTOMERS IN
Customer Receiving The Service
Table 13.1 Levels of Customer Participation
across Different Services
Contributors to Service
Quality and Satisfaction
Customers As Productive Resources
Customer inputs can affect the organization’s productivity
through both the quality of what they contribute and the
resulting quality and quantity of output generated.
Customers As Contributors To Service Quality
Effectivecustomer participation can increase the likelihood
that needs are met and that the benefits the customer
seeks are actually attained.
Customers As Competitors
Internal Exchange vs. External Exchange
SELF-SERVICE TECHNOLOGIES – THE ULTIMATE
IN CUSTOMER PARTICIPATION
Services produced entirely by the customer without any
direct involvement or interaction with the firm’s employees.
Pay at the pump
Figure 13.2 Services Production Continuum
1 2 3 4 5 6
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
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
Figure 13.3 Strategies for Enhancing Customer Participation
Define Customers’ Jobs
Promoting The Company
Individual Differences: Not Everyone Wants To Participate
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
Manage The Customer Mix
Table 13.2 Characteristics of Service that Increase the Importance of Compatible Segments
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.