Documentos de Académico
Documentos de Profesional
Documentos de Cultura
S. No Description Page No
1 INTRODUCTION 2
3 PRODUCT ANALYSIS 12
4 PRICING ANALYSIS 14
6 PROMOTION ANALYSIS 20
7 PEOPLE 25
8 PROCESS 30
9 PHYSICAL EVIDENCE 33
1
I. INTRODUCTION
i. INDUSTRY STRUCTURE
Service- Service is essentially intangible in nature which does not result in ownership.
Product
Goods Service
Tangible Intangible
Our service industry, i.e. Restaurant comes in parameter ` 3 ’ , i.e. Equal amount of Goods &
Service.
2
3. Variability
a. Standardization is difficult
Standardization accordingly to customer is difficult.
e.g. Customer ordered One (01) bowl of Dal for 2 persons & people are 4
dining. So accordingly requirement is for 4 people.
Standardization will vary due to this
McDonald s, KFC, Burger King- Don’t cooks Wednesday- 50% off-
Sometime 30% discount.
McDonalds cannot serve Punjabi thali-> won’t server.
4. Parish ability
a. Service cannot be stored.
Production & Consumption Simultaneously.
Food preparation and food consumption by customer goes simultaneously
Service rendered by waitress for 1 dining is over after dining finished
Human Resources & service given by waiters, bill desk.
People Possession
Tangible People Processing
Possession Processing
Actions Service
3
v. SERVICE CONTINUUM
For our case, i.e. Restaurant that is experience kind of service continuum.
Because:-
In restaurant person don’t own the place they rent for few hours while
dining.
They pay charges for environment
They pay charges skill labour- waiter in our case
They pay charge for ambiance
Pay charges for furniture
4
vii. 7 P’S OF SERVICE MARKETING
5
II. SERVICE QUALITY MODEL AND GAP ANALYSIS
Service Quality Criteria:-
i. SERVICE TRIANGLE
Profitabi
lty
Service Producti
Quality vity
1) Profitability
Favorable ambiance leads to repeat dine.
Positive Word of mouth.
Service variants- extra packs will lead to more profitability.
Hence, service from restaurant of high quality will lead to repay dine and hence
more profit.
2) Service quality
Quality of food
Hygiene
Preparation of food
Organic food
High quality ingredients
Highly mechanized cooking way
Cleanliness of utensils
Star ratings
These are all directly proportion to profitability as this will lead to repeat dine and
thence more generation of revenue.
3) Productivity
Customer walk-in
Variations
Advertisements
6
Discounts
Promotional offers
Theme or unique way of delivery food & service
Efficiency
Productivity
Effectiveness
o High efficiency - .i.e. customer service, waiters suggest food menu and
o Effectiveness of cook while food preparation.
o Efficiency of behind the stage personals
Expectation
Word of Personal
Activites
Mouth Experience
7
iii. GAP MODEL
e.g.
1) When a customer dine at Fast Food Centre, viz KFC, McDonalds, Dominos, Burger
King, Subway etc-> Company’s perception are that customer would gives
preferences to quality. On the other hand-> customer on fast food junction generally
gives preferences to quick delivery as well as quality
2) So to overcome this company should clearly define their mission statement to match
with the customer expectation.
Difference between management defining the service quality standard and management
perception of customer expectation.
8
1) Internal management should maintain the service quality standard to match with
customer expectation.
2) E.g. 3,4,5 Star restaurant maintains the service standard. They take complaint very
serious and put all efforts to overcome such faults.
3) So to overcome this company should clearly define their mission statement to match
with the customer expectation.
Difference between Service Delivery and management defining the service quality
standard.
1) Many times it happens that tough the management have made service quality as per
the customer expectation yet companies could not fill the customer expectation.
2) Examples, like Dominos defining standard for 30 min delivery but they could not
meet their service delivery during peak days and peak hours.
1) Define promote for better sales of their restaurant. Yet sometimes it happens that
claimed service could not be delivered to the customer.
2) False communication may lead to avoidation of that service.
3) To overcome this companies should address the Grievance, should have feedback
channels, etc.
9
iv. SERQUAL MODEL -SERVICE QUALITY MODEL
• Reliability
R • Providing Service consistently for a longer
period of Time
• Assurance
A • Deliver what is promised, coursty & knowledge
of people.
T • Tangibility
• Leads & Trust
• Empathy
E • Ability of employees to understand customer
problem & address then properly
R • Responsivness
• Providing service at the right time & right place.
In restaurant-
1. R
Longer period of time,
Club membership,
Discounts for repeat dining
Taj hotel reliable brand
Moti mahal reliable as per elders
2. A
Maintain food quality
Maintain service quality
Cleanliness
Ambiance
Hygiene
3. T
Tangible in restaurant is food
So quality of food should be maintained
Price should be fixed and not priced very high
10
Unique Dress code should be properly maintained
4. E
Waiters understand the customer concern of dinner and suggest them accordingly.
Problem in the sense- cold food.
Served hot food.
5. R
Time of delivery of food to be maintained
Backend to front end exchange zero error made
Order misplacement should not happen.
11
III. PRODUCT ANALYSIS
i. PROCESS PRESCRIPTIVE OF SERVICE
People Possession
Tangible People Processing
Possession Processing
Actions Service
Supplementary Service:
o Flower of Service
o Core Product + Facility
E.g. its Customers, Overall Value
Billing,
Cold Water
Ro Water
Delivery Process
o Deliver the Product & service
Deliver what the order is taken at on which table number
Delivered the quality of service promised by customer
12
iii. FLOWER OF PRODUCT
Faciliting Enhanching
Service Service
Smoothing the Differentiate
efficieny Service from others
Information Consultation
Order Taking Hospitality
Booking Safekeeping
Payment Expectation
13
IV. PRICING ANALYSIS
i. PRICE APPROACH
1. Cost Based Pricing:-
a. Manufacturing
b. No Competition
c. E.g. Commodity
2. Competitor Based Pricing
a. Oligopoly;
b. Few Competition
c. E.g. Automotive,
3. Value Bases Pricing
a. Benefits from
b. Value = Benefits / Cost
c. E.g. Instant Service
4. Perceived Value Based
a. From Customer side
b. E.g. Multiplex
5. Auction Based Pricing
a. Bid for that
b. E-Bay
Because:-
As the same product/food would be available in other restaurant also
with good ambiance other important feature of a recognised
Restaurant,
14
ii. METHOD OF PRICING STRATEGIES
15
Price Bundling Periodical Discounting
16
Second Market Discounting Geographic Pricing
17
iii. PRICING STRATEGIES:-
a) Value is Low-Price
Lowest Price
On Sale
Coupon
Highest discount
In restaurant the low pricing would occur sometime at peak period some special
days
b) Value is Everything
Quality of Service
Makes look good
E.g. luxurious room
In restaurant good quality of food Item, the ambience & the services give
additional supports for Values of Restaurant services
In restaurant Quality of Food with good quantity along with the right pricing add
values in Brand of the restaurant.
In restaurant segment the customer who feel delight with the services of the
restaurant staff, with the ambiance, with the environment, with the quality of
food & special discount…
18
V. PLACE / DISTRIBUTION ANALYSIS
i. O. A. D.
Examples of SSTs:-
Self cook restaurant, e.g. pizza in Bangalore where a person can indulge with Chief and cook their
own Pizza and dine afterwards.
Customer in AEIOU
Design Thinking-
Imagenative
Experience Knowledge
19
VI. PROMOTION ANALYSIS
i. ROLE OF COMMUNICATION IN SERVICE.
C
M
Integrated marketing communication plays a very important role in promotion of
restaurants.
E.g. Promotion of Havmore Ice-Cream after the advent of Summer season become high
almost at every road crossing, lets people more aware about Havmore. They provide
billboards to carve the customer to come & visit the nearest restaurant.
Sender
Feedback Message
Receiver
1) Sender, being the Restaurant provider, viz few restaurants in Ahmedabad- Taj
Ummed, McDonalds, Dominos, KFC, Zayka, Magic Chicken, Barbeque Nation, Mango,
Mirch Masala etc.
2) Message, as the promotional message being published at BillBoards either in print
media on newspaper etc. or at Radio or on electronic media on TV or on Social
Media network on Fb & Instagram.
3) Receiver, being the customers or the potential customer who are waiting to dine at
some place.
4) Feedback, is the response from the customer about the quality and service being
absorbed by the customer from the provider.
20
iii. SERVICE MARKETING TRIANGLE
Company
Customer Provider
v. GAP-4
Promotion helps to overcome GAP NO-4
i.e. GAP between Service Delivery and Service Communication.
e.g. Hidden Terms & Condition, Free Calling but for limited time & region.
21
Reason for GAP-4
1. Wrong Communication 5. Ineffective management of
2. Lack of Customer Understanding Customer Expectation
3. Lack of Information 6. Overpromising
4. Lack of Integrated Service 7. Inadequate Horizontal
marketing Communication Communication
8. Inadequate pricing
Manage Customer
Expectation
Goal= Service
Delivering Manage Internal
Address Service
greater or Marketing
Intangibility equal to Communication
promise
Company faces various challenges to market the restaurant and they must devise strategy
to overcome those challenges:-
i. Address Service Intangibility
a. Company should provide service and show the intangibility aspects of service
being provided to customer,
b. E.g Spa Resort, Village Resort
ii. Manage Service Promise
a. Company must stick to manage the customer promise.
b. The services being promised to the customer must be delivered to them in
terms of quality of food as well as in terms of service provided.
iii. Manage Customer Expectation
a. Restaurant must adher quality of food and service to match with customer
expectation.
iv. E.g. Pleasure Trove in Ahmedabad- an exquisite restaurant with delight of food and
amazing service.
v. Manage Customer Education
22
a. Restaurant owner must educate their customer in terms of variations in food
menu
vi. Manage Internal Marketing Communication
a. Restaurant should promote for better sales.
Below strategies can be adopted for addressing the service intangibility in Restaurant:
23
Brand
Brand Awarness
Equity Brand
Meaning
Restaurant can leverage the brand equity for better sales.
e.g. Taj groups of restaurants leverage the brand of Taj which is trustworthy and
reliable.
Barbeque Nation has strong brand equity due to their immense brand awareness
and its meaning of barbeque which is deeply associated for non-beg foodie.
24
VII. PEOPLE
i. FOUR (04 CHARACTERISTICS OF SERVICE)
Intangibility Inseparability
Parishability Variability
• Production & Consumption • Customization as per
SILMULTANEOUSLY customer requirement
• Customer Involment is
required
1) Intangibility-
a. Service being delivered at restaurant is most of the times intangible in
nature.
b. E.g. services provided by Waiters, cleaning staff, etc which cannot be
materialized.
2) Inseparability
a. Service provided and service taker cannot be separated.
b. Waiters provide service explicitly to the customer for serving them
better.
c. Waiter service is of no use without the presence of customer.
3) Parishability
a. Restaurant food cooking and restaurant dining goes simultaneously.
b. Services for one dine cannot be restored once again.
4) Variability
a. Customization is available on some categories of restaurant, not on all
types.
b. E.g. customization on McDonalds veg tikki is not available.
25
ii. CUSTOMER INVOLVEMENT TYPES:-
Moderate
Low High
Involment
Involment Involment
Required
Active
Services are Customer Customer
Standardized Inputs are Participation
requried
though service
Customer is
will be
Limited service required for
provided by
restraunt production and
Service
serviec delivery.
Provider.
e.g. McDonalds,
26
iii. FACTORS AFFECTING CUSTOMER PARTICIPATION:-
Willingness to Participate
• Create desire
• Create Want
Ability to Participate
Efficiency in Process
• Simplified in Service
• Bring efficiency
• Role of communication
Customer Award
• Intrinsic
• Extrensic
Customer willingness to go out for restaurant is the major factor for customer
participation at restaurant.
Customer should also have the financial and other abilities to match the requirement to
dine out. Viz time constraint, monetary problems, etc
Restaurant should be efficient enough to handle the demand of peak hours. They should
be everready all the time
Communication of promotional offers, etc should be communicated to potential
customer.
Customer should be awarded like coupons, discount on net visit etc to promote for
regular comers.
27
iv. CUSTOMER VALUE CO-CREATION IN SERVICE
G-D Logic
• Goods Dominent
S-D Logic
• Service Dominant
o G-D Logic
o Restaurant falls under both the categories.
o Few examples of Goods dominant restaurant are highway Dabas, fast food
centers, etc
o S-D Logic
o Restaurant service is mainly the service dominant.
o Because in a restaurant quality of food as important as providing the quality
food to the customer
o So service of cooking, billing, handling customer are also important for
making a complete success.
o Almost all restaurant e.g. all Start categories restaurant are mostly service
oriented.
o Dominos which differentiate from other on their quick service delivery.
28
v. CONCEPTUAL FRAMEWORK
29
VIII. PROCESS
i. SERVICE IS PROCESS.
Physical
Evidence
Support Customer
Actions Action
Components
of Service
Delivery
Backstage Customer
invisibile visibile
Contact Contact
Employee Employee
Action Action
a) Physical Evidence
b) Customer Action
30
- Customer plays a vital role in process fulfilment of restaurant service.
- Customer walk-in to the restaurant
- Customer ordering the food
- Customer enquiring about the best food menu
- Customer use of toilet or other amenities
- Customer writing feedback or appreciation
- Customer inputs on changing the dist
e) Support Process
31
ii. COMPONENTS
Action
Action Flow
Line of Interaction
Line of Visibility
Line of Internal Interactions
Communication Flow
Actor
Physical Evidence
32
IX. PHYSICAL EVIDENCE
i. INTANGIBILITY ASPECTS; CUSTOMER RELY ON TANGIBLE CUES.
Physical Evidence
33
ii. SERVICECAP
Perceived
Holistic Dimension Serviceacap
Socially
Physical Social Natural
Environmental Dimension Symbolic
Dimension Dimension Dimension
Dimension
Ambient Ethinic
Condition
Temperature, signal being
Employees,
Air, Noise, Ethinic away,
Environmental Stimuli Customer
Space object e.g. facinations,
Functions & Social of
Theme compatibili
Layout Music restraunt
of Restraunt
Restraunt; ty
etc Village etc
1. Servicecap of Restaurant
a. Exteriors of restaurant.
b. Parking place for vehicles.
c. Music inside the dining area.
d. Fragrance in the place.
e. Lighting in the restaurant.
f. Interior of the restaurant, e.g. theme based or unique lighting etc.
g. Signage for identification of the restaurant, e.g. Mirch Masala in Ahmedabad
has unique red chilly signage.
h. Landscape of dining area, Roof terrace dining, view from Patang hotel etc
i. Others
34
2. Other Intangibles in restaurant
a. Coupons of restaurants
b. Messages on mobile app for booking and availability
c. Like track of pricing for the buffet at barbeque nation.
d. Billing, e-payment
e. Employee dressing of waiters, chief, service man etc
f. Menu cards, etc
35
X. CONCLUSION & LEARNING
From the above learning below can be concluded in respect of Restaurant:-
[1] Restaurant in the type of service where goods and service plays
equal amount of importance.
[2] Service of waiters is intangible and there service cannot be separated
yet they are perishable.
[3] Raw materials, flavours and information of dish forms the process
perceptive matrix.
[4] Restaurant that is experience kind of service continuum as customer
Experience both tangible & intangible.
[5] In restaurant person don’t own the place they rent for few hours
while dining.
[6] Restaurant of high quality and service of high quality would lead to
more productivity of restaurant.
[7] High efficiency and effectiveness in restaurant will also lead to better
productivity.
[8] To over different GAP i.e., GAP 1-6 various strategies have to be
adopted by restaurant.
[9] RATER of serqual model has various attributes linked to restaurant.
[10] Restaurant service has core service accompanied by supplementary
service and delivery process.
[11] Flower of service in restaurant includes- Hospitality, Billing, Payment,
Order Taking, etc having both facilitating and enhancing service on it.
[12] In restaurant generally Competitor Based, Value Based Pricing,
Perceived value based pricing strategies are being adopted.
[13] Apart from above, various methodologies of pricing are also being
practised in restaurant of various kinds, viz Image Pricing, Random
Discounting, Premium Pricing, Periodical discounts, Skimming
pricing, Time pricing, Geographic pricing, etc.
[14] Customer is delighted for the value what he get.
[15] Distribution are also planned for proper delivery of service in
restaurant even Self service technology are also implemented in
restraint for cooking own food and dining at remote place.
36
[16] Restaurant promote their sales via print, electronic, social media to
increase their sales on various seasons.
[17] Promotions help restaurant to overcome the GAP-4.
[18] Various challenges are also being faced by the restaurant owners but
they overcome all to achieve Goal for service delivering of greater or
equal to customer expectation.
[19] Restaurant also leverage brand equity.
[20] Customer involment varies from low to moderate to high in
restaurant.
[21] Various factors also affect these involment of customers.
[22] Value co-creation is achieved by S-D logic as restaurant being the
service dominant.
[23] There are various processes being involved in the restaurant
integrating in the service blueprinting of restaurant. This process
includes Physical Evidence, Customer Action, Customer visible
Contact Employee Action, Backstage invisible Contact Employee
Action, and Support Actions.
[24] Restaurant has both Servicecap and other intangibles forming the
physical evidence, which mostly includes exterior, interiors, music,
menu, dressing of staff, billing etc.
37