Service Management and Marketing: Managing the Service Profit Logic, 4th Edition

CHAPTER 7MANAGING THE AUGMENTED SERVICE OFFERING

“Customers deserve more than just a good service package. It has to be made into a functioning service process too.”

INTRODUCTION

Based on discussions of service quality in previous chapters, this chapter presents a conceptual model of how to develop service offerings that are geared to customers’ perception of the quality of services. The conceptual model is called the augmented service offering model. It takes into account the impact of the outcome of the service processes (the technical quality of the service) and the impact of how customers perceive the processes (the functional quality of the process). The effects of brand image and marketing communication on the service offering are also discussed. Then, service design and a model of designing for service are presented, and finally a model of service offering development in the marketspace called the NetOffer model is discussed. After having read this chapter the reader should understand the complexity and scope of service as an offering and know how to develop a service offering. The reader should also understand what such an offering includes in a marketspace context. Finally, the reader should understand what designing for service means and what such a process includes.

THE MISSING SERVICE PRODUCT: SERVICES AS A BUNDLE OF OUTCOME- AND PROCESS-RELATED FEATURES

One of the essential cornerstones in developing service management models is a thorough understanding of the phenomenon ...