BUS2 137H Lecture Notes - Lecture 8: Service Design, Overnight Delivery, Online Banking
Document Summary
Key factors: poor service design, absence of customer driven standards, inappropriate physical evidence and servicescape. Goods are describable and easily understood amongst others. Oversimplification: words are inadequate to describe/communication service, based on simultaneous production and consumption, heterogeneity, cannot be stored for later consumption. Incompleteness: omit details or elements of the services they are not familiar with. Baised interpretation: no one will interpret abstract concepts the same, everything is perceived different by different people. Ranges from major to minor changes: 1. major or radical innovations, create something that did not exist before. E. g. fedex"s creation of nationwide, overnight delivery: 2. start-up business, consist of new services for market that is already served by existing products or services that meets the same generic needs. E. g. banks introducing online banking: 3. New services for the currently served market: attempts to offer existing customers of the organization or service that was not previously available from the company.
