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• LO 1 Understand what constitutes a service product.

• LO 2 Be familiar with the Flower of Service model.

• LO 3 Know how facilitating supplementary services relate to

the core produce.

• LO 4 Know how enhancing supplementary services relate to

the core product.

• LO 5 Understand branding at the corporate and individual

service product level.

• LO 6 Examine how service firms use different branding strategies.

Developing Service Products and Brands

Culture is the habit of being pleased with the best and knowing why.

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• LO 7 Understand how branding can be used to ties service products.

• LO 8 Discuss how firms can build brand equity.

• LO 9 Understand what is required to deliver a brand service

experience.

• LO 10 List the categories of new service development, ranging

from simple style changes to major innovations.

• LO 11 Describe how firms can achieve success in new service

development.

Developing Service Products and Brands


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What are the Components of a Service Product

The value proposition must address and integrate three

components:

(1) Core product

It is what the customer is fundamentally buying

(2) Supplementary services

They augment the core product: Facilitating its use, enhancing its

value

(3) Delivery processes

Design a service concept of processes to deliver both the core

product and each of the supplementary services

LO 1 Understand what constitutes a service product


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Delivery Processes for Supplementary Services

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LO 2 Be familiar with the Flower of Service model

Figure 4.4 The Flower of Service: Core product surrounded by cluster of supplementary services

The Flower of Service

LO 3 Know how facilitating supplementary services relate to the core product

Facilitating Supplementary Services - -

Facilitating the Use of the Core Product


• Information: To obtain full value from any good or services, customers need relevant information.

• Order-Taking: Once customers are ready to buy, a key supplementary element comes into order-taking.

• Billing: Billing is common to almost all services. Billing should be accurate, timely, fast payment for people.

• Payment: In most cases, a bill requires the customers to take action on payment. Self-service, direct to payee, automatic deduction from financial deposits

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LO 4 Know how enhancing supplementary services relate to the core product

Enhancing Supplementary Services - -

Enhancing the Value of the Core Product


• Consultation

• Counseling

• Hospitality

• Safekeeping

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Enhancing Supplementary Services


Consultation: To obtain full value from any good or services, customers need relevant information.

Figure 4.11 An auditor provides a human touch during the process of consultation

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Counseling: Represents a more subtle approach to consultation to help customers better understand their situations and solutions.

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Hospitality: Hospitality-related services should ideally reflect pleasure at meeting new customers and greeting old ones when they return. Example: Junior coffee at SOGO

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Safekeeping: When customers are visiting a service site, they often want assistance with their personal possessions. Example: A hair salon, or barber shop

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LO 5 Understand branding at the corporate and individual service product level

Branding Service Firms, Products, and Experiences

• Branding plays an important role in services.

• Strong brands enable customers to better visualize and understand intangible products.

• They reduce customers’ perceived monetary, social, or safety risk in busying services, which are difficult to evaluate prior to purchase.

• Strong brands are surrogates when the company offers no fabric to touch, no trousers to try on, no watermelons or apples to scrutinize, no automobile to test drive.

13Culture is the habit of being pleased with the best and knowing why.

LO 5 Understand branding at the corporate and individual service product level

• Branding can be employed at both the corporate and product levels.

• The corporate brand is not only easily recognized but also has meaning for customers.

• Branding individual service products helps to differentiate one bundle of output from another.

• For example: Banyan Tree Hotels & Resorts carefully crafted specified products for its various target segments branded as

“Heavenly Honeymoon”

“Spa Indulgence”

“Intimate Moments”


LO 6 Examine how service firms use different branding strategies


Branding Strategies for Services


• Brand House: Virgin Group brand name applied to multiple offerings

• Sub-brands: Master brand is the main reference point. E.g., Singapore Airlines Raffles Class, Singapore Airlines SuitsFedEx: “the FedEx family of companies”, FedEx Ground - - Same Logo, different colorFedEx Express, FedEx Home Delivery.



• Endorsed Brands: The product brand dominates, but the corporate brand still featured.Like Intercontinental Hotel Group: Intercontinental Hotels & Resorts, Crowne Plaza Hotels & Resorts, Hotel Indigo, Holiday Inn, Holiday Inn Club Vacations, Holiday Inn Resort. Parent brand & Son brand

• House of Brands: Yum! Brands, Inc. - - - KFC, Pizza, Hut and Taco Bell. Over 6 new restaurants per day opened



House of Brands: Yum! Brands, Inc. - - - KFC, Pizza, Hut and Taco Bell. Over 6 new restaurants per day opened


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LO 7 Understand how branding can be used to ties service products

Tiering Service Products with Branding

Service Tiering:

• Branding is not only used to differentiate core services, but also to clearly differentiate service levels.

• Decide what levels of performance should be included with each class of service.

• It is common in industries such as hotels, airlines, car rentals, and computer hardware and software support.


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LO 7 Understand how branding can be used to ties service products


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LO 8 Discuss how firms can build brand equity

Building Brand Equity


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LO 9 Understand what is required to deliver a brand service experience

Delivering Branded Service Experiences


• The brand promise or value proposition is the heart and soul of the brand

• Shaping every aspect of the customer’s experience by relating the notion of a branded service experience to the “Flower of Service”

• That is a metaphor by emphasizing the need for consistence in the color and the texture of each petal

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LO 9 Understand what is required to deliver a brand service experience


How to deliver branded service experience?

• Aligning the service product and brand with its delivery process, servicescape, people with the brand proposition

• Creating the emotional experience through the servicescape

• Crafting the emotional experience, building of interpersonal relationships, where the trust is established between the customers and firm’s employees

• Investing our employees for those can deliver the brand experience that creates customer royalty


New Service Development

• Intense competition and rising consumer expectationsAre having an impact on nearly all service industries.

• Great brands not only provide existing services well,But also continuously improve through innovation and By creating new approaches to service.

LO 10 List the categories of new service development, ranging from

simple style changes to major innovations


A hierarchy of new service categories

• Intense competition and rising consumer expectationsAre having an impact on nearly all service industries.

• Great brands not only provide existing services well,But also continuously improve through innovation and By creating new approaches to service.




A hierarchy of new service categories

1. Style changes

2. Service improvements

3. Supplementary service innovations

4. Process line extensions

5. Product line extensions



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6. Major process innovations

7. Major service innovations



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LO 11 Describe how firms can achieve success in new service development


Achieving Success in New Service Development

1. Market synergy

2. Organizational factors

3. Market research factors

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CONCLUSION


Service ProductCreate value for

The customerService

Performance

SupplementaryServices

Delivery Processes

Elements of the Service Performance

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CONCLUSION


Core ServicesBecome

Commoditized

Create New Supplementary

Services

Improve the performance on existing products

Competitive Advantage

The Search for Competitive Advantage

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CONCLUSION


Service Product Differentiate from another service

provider

The way of the service processes is

achieved

Service Delivery Processes

Differentiator

An Important Differentiator

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CONCLUSION

Core ServicesHow to Combine, Sequence, Deliver,

and Brand

Create a value proposition

Supplementary Services

Meet the needs of target market

segments

Designing a Service Product is a Complex Task

Branding Strategies

New Service Development

How to Increase Your Word Power



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fa ci li ta te看字讀音記注釋



37

en han ce看字讀音記注釋



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en han ceen‧hance /ɪnˈhɑːns /verb [transitive]improve something增進 + …. 。

Know how enhancing supplementary services relate to the

core product.

fa ci li ta tefa‧cil‧i‧tate /fəˈsɪlɪteɪt/ verb [transitive] make it easier for a process or activity to happen使得 + … + 變容易。

Know how facilitating supplementary services relate to

the core produce.

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matter2

S1 W3 verb [intransitive not in progressive]to be important, especially to be important to you, or to have an effect on what happens

The patent matters.

Will it matter if I’m a little late?

主詞 + 動詞。



https://www.ldoceonline.com/dictionary/effect

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Assignments

How to distinguish Brand, Branding and Branded inthis presentation?



Eleg

Create an Established and

Elegant Writing Style

Genre and Style



服務行銷專題Services Marketing – People Technology Strategy

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