100% Physical Good 100% Service Good
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J C T E O D H
Easy to Assess Quality Difficult to Assess Quality
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J D H C O E T
In general, it is easier to assess service; you can often see the immediate result of a service, such as a hair cut or dry cleaning. However, some services are harder to assess, such as an oil change. The effect of an improper oil change may not immediately be apparent or traceable. The same can be said for products. You can immediately see the quality of designer jeans, but a problem with a new car may not present itself for a long time after the actual purchase.
Monday, April 14, 2008
Week 6 – Chapter 11 Review & Applications: 1.1, 2.1, 3.1
1.1) www.bls.gov/bdm/home.html
2.1) This question makes me wish I had been in class this night so that I could ask questions about service intangibles. The main one that I see in banking is the attitude and demeanor of the tellers or phone representatives. Sometimes people just rub you the wrong way and it is impossible to define. A perceived good experience would improve customer’s view of the bank and a perceived bad experience would detract from the opinion of the bank.
3.1) I love this question!!!!! I recently went to a Subway sandwich shop for dinner. The only positive thing I can say about the experience is that the store appeared to be clean and that it looked just like all other subways. The rest of my experience was a nightmare. I expected the purchase of a sandwich to take relatively little time – its fast food, and when I entered, I was the only customer in line and there were two workers behind the counter. As I ordered my sandwich, I noticed a sign that offered a reduced price on a bowl of soup with the purchase of a 6 inch sub or a value meal; I ordered the soup. One employee proceeded to slowly make my sandwich. After I paid I realized that I had not been given the reduced price on my soup. It was just over a dollar difference but I would not had ordered the soup if it had not been offered at a discount, so I ask for a refund. The kid working proceeded to “flip out” and start screaming at the other kid that the soup was only for a value meal. I pointed to the sign and told him “No, the other kid is right. The sign clearly states a 6 inch sub OR a value meal”. That’s when the swearing started – I was completely shocked. Never in a million years would I have guessed that a kid at Subway would think it appropriate to say “sh*t, fu*k, and mother f*ck” in front of a customer. At that point I told the kid that I no longer wanted the soup and just to give me my money back. This started a whole new run of cursing because neither of the kids knew how to make a refund on the cash register. While one struggled to work the cash register, the other one continued to argue with me about the soup and “threatened” to call his manager. I of course laughed out loud and told him he should call his manager as I intended to as soon as I left the shop. He calls his manager who promptly tells him that I am right and to give me my money back for the discounted soup. The manager hung up on him which left us with the same problem of making a refund. Finally, I figured it out for him and received my refund. The actual sandwich and soup were good but the service quality missed on all 5 fronts.
2.1) This question makes me wish I had been in class this night so that I could ask questions about service intangibles. The main one that I see in banking is the attitude and demeanor of the tellers or phone representatives. Sometimes people just rub you the wrong way and it is impossible to define. A perceived good experience would improve customer’s view of the bank and a perceived bad experience would detract from the opinion of the bank.
3.1) I love this question!!!!! I recently went to a Subway sandwich shop for dinner. The only positive thing I can say about the experience is that the store appeared to be clean and that it looked just like all other subways. The rest of my experience was a nightmare. I expected the purchase of a sandwich to take relatively little time – its fast food, and when I entered, I was the only customer in line and there were two workers behind the counter. As I ordered my sandwich, I noticed a sign that offered a reduced price on a bowl of soup with the purchase of a 6 inch sub or a value meal; I ordered the soup. One employee proceeded to slowly make my sandwich. After I paid I realized that I had not been given the reduced price on my soup. It was just over a dollar difference but I would not had ordered the soup if it had not been offered at a discount, so I ask for a refund. The kid working proceeded to “flip out” and start screaming at the other kid that the soup was only for a value meal. I pointed to the sign and told him “No, the other kid is right. The sign clearly states a 6 inch sub OR a value meal”. That’s when the swearing started – I was completely shocked. Never in a million years would I have guessed that a kid at Subway would think it appropriate to say “sh*t, fu*k, and mother f*ck” in front of a customer. At that point I told the kid that I no longer wanted the soup and just to give me my money back. This started a whole new run of cursing because neither of the kids knew how to make a refund on the cash register. While one struggled to work the cash register, the other one continued to argue with me about the soup and “threatened” to call his manager. I of course laughed out loud and told him he should call his manager as I intended to as soon as I left the shop. He calls his manager who promptly tells him that I am right and to give me my money back for the discounted soup. The manager hung up on him which left us with the same problem of making a refund. Finally, I figured it out for him and received my refund. The actual sandwich and soup were good but the service quality missed on all 5 fronts.
Week 6 – Chapter 10 Review & Applications: 5.1, 5.2, 6.1
5.1) Trialability is most effective with convenience products such as toothpaste, shampoo and deodorant. These products are relatively inexpensive and usually consumer choices are based on brand loyalty. Since they are low in cost, consumers are more willing to try a different brand because it is easy and cheap to go back to their original brand if the new product is not preferred. However, more expensive products can also use Trialability. Often times car dealers will allow a potential buyer to try out a car for a few days prior to making a purchase.
5.2) I use all types of adoptive behavior depending on what the product or service is that I want to purchase. However, most often I use compatibility. I think this is because I am old enough that there are very few products or services that I haven’t previously purchased so I have already determined a preferred brand or features that are most important to me. So, I tend to look at how a different brand or alternate product compares to products I have previously purchased.
6.1) I think the main way that Cheerios is trying to promote their mature product is by advertising the health benefits of the product. They put a lot of effort into not just gearing the cereal towards kids but to their parents and grandparents. They have gone to whole grain and promote the product as a cholesterol reducer. This is important to an aging population.
5.2) I use all types of adoptive behavior depending on what the product or service is that I want to purchase. However, most often I use compatibility. I think this is because I am old enough that there are very few products or services that I haven’t previously purchased so I have already determined a preferred brand or features that are most important to me. So, I tend to look at how a different brand or alternate product compares to products I have previously purchased.
6.1) I think the main way that Cheerios is trying to promote their mature product is by advertising the health benefits of the product. They put a lot of effort into not just gearing the cereal towards kids but to their parents and grandparents. They have gone to whole grain and promote the product as a cholesterol reducer. This is important to an aging population.
Week 5 – Clarita Target Market
Claritas Target Market Research site offers free resources. From a marketing stand point, the five best features are: 1.) segmentation look-up, 2.) product trials, 3.) demographic data, 4.) lifestyle “index” and 5.) the propensity of customers to purchase.
Week 5 - Chapter 9 Review and Application: 2.1, 4.2, 5.1, 6.1
2.1) Group project.
4.2) http://www.hormel.com/ and www.spam.com
5.1) Angel Soft toilet paper has distinctive packaging. It is contained in a standard material of plastic (wrap) which is effective in containing the rolls and protective the paper from damage. It does a good job of promoting the product by having a cute baby on the front of the packaging. They are trying to tell the customer that the paper is soft enough for a baby OR that it is as soft as a baby’s skin, so that it is soft enough for your rear end. Storage and use is facilitated by the 12 rolls being stacked 3 wide by 4 high and then tightly sealed in the plastic wrap. I can easily open the top of the wrap and pull out the number of rolls I need and then fold the wrap back over and easily store the remaining rolls in my linen closet or under the sink. The packaging has one noticeable item related to “green”. It has a “blurb” on the front and the back of the packaging that indicates that it is “Septic Safe”, meaning that it is safe for septic tanks and sewer systems.
6.1) www.levi.com
4.2) http://www.hormel.com/ and www.spam.com
5.1) Angel Soft toilet paper has distinctive packaging. It is contained in a standard material of plastic (wrap) which is effective in containing the rolls and protective the paper from damage. It does a good job of promoting the product by having a cute baby on the front of the packaging. They are trying to tell the customer that the paper is soft enough for a baby OR that it is as soft as a baby’s skin, so that it is soft enough for your rear end. Storage and use is facilitated by the 12 rolls being stacked 3 wide by 4 high and then tightly sealed in the plastic wrap. I can easily open the top of the wrap and pull out the number of rolls I need and then fold the wrap back over and easily store the remaining rolls in my linen closet or under the sink. The packaging has one noticeable item related to “green”. It has a “blurb” on the front and the back of the packaging that indicates that it is “Septic Safe”, meaning that it is safe for septic tanks and sewer systems.
6.1) www.levi.com
Week 5 – Chapter 7 Review and Application: 4.3, 7.2, 9.1
4.3) Fitness water…Whole Foods store: people that are active and value health and nutrition. Proactiv Solution…infomercial exercise equipment: people that are interested in improving their appearance and shop on the TV. Alienware…a guitar shop: dorky boys who think they are “Badass” as Alien’s site says. Specialty luggage tags…airport car rental: for people that travel regularly.
7.2) jcpenny.com and target.com
9.1) Talk Shows: Regis & Kelly, Oprah, Maury. Regis & Kelly’s positioning strategy is geared towards woman with children that do not work outside of the home and “empty nest” woman. It is marketed as an upbeat, friendly, and light show. This is demonstrated by their format, time slot, guests/topics and commercial advertisements. The show always starts off with banter between the two hosts. One host is an older man that has been married for 40+ years and the other is a late 30’s female with 3 small children. The show is on in the morning, usually from 8 to 9am. This is after the kids are off to school but before most stores are open (drug store, dry cleaners, Target, etc.). Topics and guests center on popular culture and the entertainment industry. Commercial advertisements center on daily home products, children and the health of an aging population (laundry detergent, diapers and snack foods, vitamin supplements). Oprah’s positioning strategy is geared toward woman, self-improvement and social causes. This is demonstrated by the format and guests/topics. The show has a single host that relays personal stories and experiences and a very probing interview style. Generally the topics center on improving the situation of the guest or illustrate how the guest overcame some kind of traumatic experience. Each show usually is some kind of journey and is the basis of some kind of life lesson for the audience to draw upon to improve their life or their community. Maury’s positioning strategy started off similar to that of Oprah’s strategy. Apparently that was not that effective. There was a brief time that Maury was off the air. When the show returned, it worked to reposition itself. It is now geared towards the more voyeuristic audience that is looking to “peek” into other people’s lives at their worst moments or during a traumatic event. My friends and I jokingly call it the “Who’s your daddy?” show.
7.2) jcpenny.com and target.com
9.1) Talk Shows: Regis & Kelly, Oprah, Maury. Regis & Kelly’s positioning strategy is geared towards woman with children that do not work outside of the home and “empty nest” woman. It is marketed as an upbeat, friendly, and light show. This is demonstrated by their format, time slot, guests/topics and commercial advertisements. The show always starts off with banter between the two hosts. One host is an older man that has been married for 40+ years and the other is a late 30’s female with 3 small children. The show is on in the morning, usually from 8 to 9am. This is after the kids are off to school but before most stores are open (drug store, dry cleaners, Target, etc.). Topics and guests center on popular culture and the entertainment industry. Commercial advertisements center on daily home products, children and the health of an aging population (laundry detergent, diapers and snack foods, vitamin supplements). Oprah’s positioning strategy is geared toward woman, self-improvement and social causes. This is demonstrated by the format and guests/topics. The show has a single host that relays personal stories and experiences and a very probing interview style. Generally the topics center on improving the situation of the guest or illustrate how the guest overcame some kind of traumatic experience. Each show usually is some kind of journey and is the basis of some kind of life lesson for the audience to draw upon to improve their life or their community. Maury’s positioning strategy started off similar to that of Oprah’s strategy. Apparently that was not that effective. There was a brief time that Maury was off the air. When the show returned, it worked to reposition itself. It is now geared towards the more voyeuristic audience that is looking to “peek” into other people’s lives at their worst moments or during a traumatic event. My friends and I jokingly call it the “Who’s your daddy?” show.
Monday, April 7, 2008
Week 5 - SRIC-BI VALS Survey
I'm fascinated by the VALS survey - it's almost creepy how accurate it can be. SCANS helps companies to recognize emerging markets, recognize and understand changes in existing markets by analyzing the areas of education, health, retail and IT. They have a global reach and can help researchers to understand consumer motivators and buying habits.
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