HTH 102 Lecture Notes - Lecture 8: Pizza Pizza, Toyota Highlander, 40 Minutes

• School: Ryerson University
• Department: Hospitality and Tourism Management
• Course: HTH 102
• Professor: Christopher Gibbs

Document Summary

It is 6-7 times more costly to attract new customer than it is to retain an existing customer. 89% of consumers stopped doing business with a company after experiencing poor customer service. 33% of consumers would recommend a brand that provides a quick but ineffective response. It takes 12 positive customer experiences to make up for one negative experience. Lexus rc350 complimentary car washes, airport pick up, 24 hr drive care protection and free loaner cars. Example: bug"s burger bug killers in the u. s. If there is any bug problems, company will pay for the service bill. If they do not deliver within 40 minutes, you get your pizza for free. When excuses are given, the customer feels cheated. Auto-alignment organization to be focused on the customer. Why are complaints and recovery important: moment of truth, empowered employees make a difference, service failure reduces churn, service recovery paradox.