Essays on Service Failure Experience at Gloria Jeans Coffee House Case Study

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The paper "Service Failure Experience at Gloria Jean’ s Coffee House" is a wonderful example of a Marketing Case Study. This report examines a negative service encounter that I had at one of Gloria Jean’ s Coffee houses in Newcastle. The negative service encounter was basically as a result of service delays. From the extended service encounters I have had with this coffee house, I noted that although it offers high quality and unique coffee products, the coffee house has a flawed service blueprint. Some of the key weaknesses of Gloria Jean’ s service blueprint are that it lacks a convenient physical service environment that can effectively meet the needs of its consumers.

The coffee house also lacks an effective approach to managing service employees and technological platforms or systems that can help speed-up its operations. In order to address these issues, this report recommends that the company should focus on expanding its space and instituting training programs that will equip their service employees with relevant skills and knowledge that will enable them to serve customers efficiently. In addition to this, the company should invest in procuring advanced and updated technological platforms or systems. A service encounter can be considered as a period that a customer interacts with visible elements of the service provider such as service employees, automated systems, machines, and physical facilities.

A customer’ s interaction with a service provider may be brief or extended. A considerable number of research studies show that the quality or nature of a customer’ s service encounter with a particular service provider determines customer perception or loyalty towards a service provider (Jayawardhena, Souchon, Farrell & Glanville, 2007; Noone, & Matilla, 2009).

Therefore, service failures can have a negative impact on the customer’ s behavioral response or perception towards a service provider (Tax & Brown 2000). Nevertheless, Mattila (2001) and (Vargo and Lusch (2004) observe that service failures are inevitable due to various factors that affect the course of service co-creation. This report will examine a negative service encounter that I had at Gloria Jean’ s Coffee House in Newcastle. Foremost, this report will present a brief background describing Gloria Jean’ s Coffee house, its services and the nature and scope of its operations.

Furthermore, this report will present a service blueprint of customer experience detailing possible areas of failure. The subsequent section of the report will describe the negative service encounter that I had at Gloria Jean’ s Coffee House. In addition, this report will provide a set of recommendations that the company can implement in order to provide its customers with quality service encounters. Gloria Jean’ s Coffee is an Australian based multinational coffee company operating in over 39 countries with over 1,000 coffee houses. The company operates in the coffee industry and its business model is based on a franchising system where franchise owners are responsible for managing the operations of the coffee house based on the guidelines set out by the company.

In Australia, there are over 460 Gloria Jean’ s coffee franchises in various regions (Gloria Jean’ s Coffees 2012b). The focus of this report will be on Gloria Jean’ s Coffee house next to Callaghan Campus, Newcastle. This coffee house serves a wide range of high-quality coffee, tea and chocolate drinks ranging from Caffé Latte, Cappuccino, Caffé Americano, Espresso, Macchiato, Vanilla Latte, and Mocha among many others.

In addition to this, the coffee house sells coffee accessories, cold drinks, and pastries (Gloria Jean’ s Coffees 2012).

References

Gloria Jean’s Coffees (2012). Our Products. Retrieved on September 13 2012 from

Gloria Jean’s Coffees (2012b). Our Story. Retrieved on September 13 2012 from

Hoffman, K.D. Bateson, J.G, Elliot, G & Birch, D.P (2010). Services marketing: concepts,

strategies & cases. New York :Cengage Learning.

Jayawardhena, C. Souchon, A. Farrell, A. & Glanville, K. (2007). “Outcomes of service encounter quality in a business-to-business context”. Industrial Marketing Management 36, 575–588.

Mattila, A. (2001). ‘The Impact of Relationship Type on Customer Loyalty in a Context of Service Failures.’ Journal of Service Research 4(2):91-101

Noone, B.M. & Matilla, A. (2009). “Consumer reaction to crowding for extended service encounters.”Managing Service Quality, 19 (1), 31 – 41.

Tax, S. & Brown, S. (2000). “Service Recovery: Research Insights and Practices, ” In Handbook of Services Marketing and Management. Swartz and D. Iacobucci, eds. Thousand Oaks, CA: Sage, 271-86.

Vargo, S. L. & Lusch, R. F. (2004), “Evolving to a New Dominant Logic for Marketing”

Journal of Marketing 68 (1), 1-17.

Wall, E.A. & Berry, L.L. (2007). “The combined effects of the physical environment and

employee behavior on customer perception of restaurant service quality.”Cornell Hotel

and Restaurant Administration Quarterly, 48 (1), 59-69.

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