Service Marketing Research: Process, Relationships, and Recovery

Stages of the Service Marketing Research Process

Complaint Solicitation

A method of communication to improve services by gathering customer feedback.

Critical Incident Studies

Qualitative interviews where customers share stories of satisfying and dissatisfying service encounters.

Requirement Research

Identifying the expected benefits and attributes customers desire in a service.

Relationship and SERVQUAL Surveys

Questionnaires assessing the customer-company relationship to identify strengths and weaknesses.

Trailer Calls or Post-Transaction Surveys

Brief surveys conducted immediately after a transaction to capture key service encounter information.

Service Expectation Meetings and Reviews

Eliciting client expectations at a specific time and later assessing if they were met.

Process Checkpoint Evaluations

Evaluation of service processes at various stages.

Market-Oriented Ethnography

Observational research to understand customer behavior in real-world settings.

Mystery Shopping

Using anonymous evaluators to assess service quality.

Customer Panels

Groups of customers providing ongoing feedback and insights.

Lost Customer Research

Analyzing reasons why customers cease business with a company.

Future Expectations Research

Investigating anticipated customer needs and preferences.

Business-Customer Relationship Evolution

A strategic business philosophy focused on customer retention and improvement, assuming customers prefer ongoing relationships.

Customers as Strangers

Individuals unaware of or yet to transact with the firm. The primary goal is to initiate communication and attract business.

Customers as Acquaintances

Familiarity established after initial awareness and trial, creating a basic exchange relationship.

Customers as Friends

The firm gains specific customer knowledge, developing trust and tailored offerings. The primary goal is customer retention for sustainable competitive advantage.

• Primary goal is customer retention: firm potential to develop sustainable competitive advantage.

The Impact of Service Failure and Recovery

A service failure occurs when service performance falls below customer expectations, leading to dissatisfaction.

Service recovery refers to actions taken by an organization to address a service failure and improve the customer's situation.

Effective problem resolution significantly impacts customer satisfaction, loyalty, word-of-mouth communication, and financial performance. Satisfied customers after service recovery can be more loyal than those who never experienced issues.

How Customers Respond to Service Failures

Reasons for not complaining include perceived time and effort waste, lack of confidence in the complaint process, not knowing how to complain, or difficulty reporting.

Some customers are more likely to complain, expecting compensation for the service failure.