The paper "Implementing the Service Concepts and Service Management" is a good example of management coursework. Most of the developed countries such as the USA, European countries, and Scandinavian countries are experiencing a change in their economic activities. According to Tjiptono, (2012), what is experienced is a reorganization of the existing services. A service can be defined as a valuable, action, or a deed that is performed to satisfy a need. Service concept can be defined as the description of customer needs that need to be satisfied, how they are satisfied, what is to be done to the customer, and how it will be achieved (Tucker, 2013).
The elements of service concept can be identified by answering the how and what of the customers’ needs. The service concept is useful for filling the gap between the customer’ s expectation and the service delivered. Service management is based on three important concepts; customers, employees, and operations. The aim of every business is to create a customer, therefore, defining values, needs, and expectations of the customers are important (Gemmel, 2013). The purpose of this essay is to describe the implementation of service concept and service management. Normally, customers describe service delivered using abstract terms such as competence, courtesy, etc.
Customers must pass through the delivery system so that they give those characteristics. Therefore the service provided must link with the experience of the customers. In Singapore Airlines, their service concept encompasses quality, investments, productivity, skilled human resources, and profit. Quality is a necessity in the airline industry. Attracting skilled employees is important for the organisation so that they can offer quality services to the customers. Quality services contribute to customer value which leads to satisfaction.
Profit maximization ensures the management of service for both the customer and the organization (Tjiptono, 2012). Irrespective of how a service organization defines their services, and how the customers perceive the service, a delivered service should be perceived correctly by customers. Service concept plays a significant role in service design and development (Tucker, 2013). Service concept does not only identifies the what and how of service design, but also shows the integration between the two. For an organization to implement service concept, there is need to identify the target market, the customer, selecting an effective service model delivery, supporting the service provision model, and continuously monitoring the implementation progress.
Having a clear understanding of the nature of services to be provided will make the implementation of the service concept successful. Market segmentation is required for designing appropriate service portfolio. One of the common characteristics of market segmentation and target market is that they are measurable. This means that target markets are quantifiable in terms of population, the age of the people, and income.
Another characteristic is that market segment should be accessible so that goods and services are accessed and marketing strategies are applied. Marketing strategy varies for a different business. The market segment should be profitable. This is determined by the amount of disposable income that the target market is willing to spend in purchasing the goods and services to enable the business to earn a profit (Gemmel, 2013). A market can be segmented based on the following dimensions: demographic dimension includes age, income, the level of education, social status, geographic location, and occupation.
Psychographic dimension includes price sensitivity, brand preference, price, environmental sensitivity. Behavioral dimension involves observing purchasing trends, purchasing methods, and purchasing power.
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