Service Marketing 2009

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SERVICE MARKETING 2013 Course Code Period Credits Language of instruction Level Prerequisites Signing up procedure Amount of work required
Examinator Contact information
& Office Hours
Course Homepage:
Link to other courses

1 (02.09.2013 – 18.10.2013)
Intermediate (Bachelor’s) level
Basic knowledge of marketing, corresponding to an introductory course, is recommended. The course can be chosen by second year and more advanced students.
Sign up for the course in Web Oodi, at the latest on 30.8.2012. Sign up for the assignments in Web Oodi during 2.9-6.9.2012.
Appr. 30 hours in class (classroom sessions and guest lectures) and 170h individual work on assignments, readings, examination. The major part of this work will be done during the 7 weeks of the course, so take this into account when planning extracurricular activities.
Assignments 70%, Examination 30%. Both need to be passed to get a course grade and credits for the course.
The grade from the assignments is valid only through the three examination dates set for the course. If failing to pass the assignments or the exam, the whole course needs to be retaken.
Ph.D. Catharina von Koskull Department of Marketing/CERS, 2nd Floor, Runeberginkatu wing
Questions about practicalities can be directed to the department helpdesk at marketinghelpdesk(at)
Phone: 040-35 21 549 e-mail: [email protected]
Office hour: Thursday 10 a.m. – 11 a.m.
Alternatively, go to, click on Courses and Study Plans, click on the subject Marketing, and click on Service Marketing. The password is announced at the introductory lecture (online course material is intended for the use of course participants only).
In this course you will learn the central concepts of service marketing and management and their application in business. The course supports and complements the content of the other bachelor courses in marketing, and touches upon issues discussed in human resource management and leadership courses.



Aim: To understand the unique challenges involved in marketing and management of service, and its implications for business. Students learn to analyse problems and make decisions within the field of service marketing and management.

Learning Objectives: To learn central concepts and models in service marketing (both externally and internally) in customer and market oriented companies. To learn about key characteristics of service and service processes, customer service experiences, the role of internal stakeholders in service delivery, and organisational challenges of managing service. Additionally, the course is designed to improve students’ verbal, written, and analytical skills in preparing them for positions in the business world.

Methods: A combination of lectures, assignments, interactive class discussions, and in-class activities. There are two weekly 90 minute sessions introducing the main concepts, theories and models associated with service marketing. These lectures are supplemented with team and individual exercises with analysis of service marketing topics. Students are expected actively to participate in class activities. Two exercises are prepared in teams, and good team work and early preparation are essential. Team presentations and discussions are vital to the success of the course. Read the assigned literature before coming to the lectures.

Attendance and activity: It is not compulsory to attend all the lectures but assignment sessions and guest lectures are compulsory (check time table at the end of this syllabus). Individual attendance is mandatory (i.e. it is not sufficient that one of your team members attends). You are obliged to know what has been discussed at lectures; exam questions are based on topics covered in all sessions as well as literature.

If you cannot attend class because of illness, having another compulsory lesson/exam, or because of some other acceptable reason, please inform the instructor beforehand. Except for medical emergencies that require proper documentation, all other absences must be approved by the instructor prior to the class session that will be missed. For each missed mandatory class 2p will be deducted from the final course points. Students who miss more than two mandatory sessions fail the course, irrespective of reason. Students are responsible for knowing and meeting all course requirements, including exams, assignments, and course activity, as indicated in the course syllabus.


Students are assessed both on individual and group level. In addition to the written examination and assignments, student activity is included in the individual assessment. Student activity includes presenting and discussing views on the topic of the session. Additionally, students are required to contribute questions, comments and insights as part of the discussion process. The assignments account for 70% of the final grade, the exam 30%. Note that to pass the course students must receive at least 50% of the points from all the assignments taken together and 50% from the written exam. Failing to do this cannot be compensated.

However, you are given the opportunity to improve your final term paper (Assignment 2) based on feedback from the instructor. You can improve the paper by maximum 3 points (one grade).


Team Assignment 1


Team Assignment 2


Individual Guest lecture analysis


Attendance to the Guest lectures 10 p (2+2+2+2+2)

Total assignment points

70 (35 p required)


30p (15 p required)


The written examination accounts for 30% of the final grade. It covers all material from the course, i.e. the book, articles and lecture notes. Illustrative examples from the guest lectures and research reports will be rewarded. Notice that you need to have passed the assignments (50%) to take part in the exam.
The examination dates will be announced later
All exams start at 9 a.m. Register for the examinations, at the latest, one week before the exam date. Register in time –there is nothing the examiner can do in case of late registration.
By completing the assignments you will learn to apply the concepts and models in practice, to critically analyse them and to discuss implications. The assignments are designed to cover essential parts of the book as well as important issues that the book does not discuss in depth.
A diversity of thoughtful viewpoints is encouraged. To make the best contribution to discussion, students must (1) prepare the assignments and focus thinking on the topics being discussed, (2) listen carefully to what others say and then advance the discussion accordingly, and (3) offer comments clearly and succinctly.
Assignments are due on the given deadlines. Assignments that are handed in late will get their grades reduced (<24h by 30%, <48h by 60%). Failure to turn in an assignment within 48 hours after the deadline leads to failing the course.
Signing up: You will form teams by signing up in WebOodi similarly to how you signed up for the course. There are four to five groups (A, B, C, D, possibly E) corresponding to different schedules (see time table for assignments) (a fifth group, E, is opened in case needed). Within each group there are six teams (1, 2, 3, 4, 5, 6) of maximum four members. Sign up as a member in one of the teams. Intercultural teams are encouraged! You can sign up from September 2 to September 6. Only sign up if you know you are going to take the course, and remember to delete your attendance if you decide not to take the course .
Guest lecture analysis
The guest lecture analysis is designed to make students reflect on the lectures and connect them with the course literature. It should be based on reflection on your learning and analysis of the content in comparison with the literature - not a summary of the lectures (notice: only one of these will be graded).
Choose to hand in an analysis of one of these:
Guest lecture assignment alt. 1: Professor Christian Grönroos: The Service Logic: Scope and Content of Service Marketing. Prepare for the lecture by reading the first chapter of the book and the article by Professor Grönroos. Summarise the lessons learnt from Professor Grönroos’ lecture. Discuss in what way it agrees or disagrees with chapter 1 in the course book. Write this up on about 2 pages of structured text (not more!) and send it by e.mail before the deadline. Refer to the literature in your discussion, be analytical.
Guest lecture assignment alt. 2: Helena Liewendahl: Internal marketing. Prepare for the lecture by reading chapter 11. Summarise the lessons learnt from the lecture. Find an example of a service company that you have experienced and reflect upon how the promise they made was delivered accordingly. In what way did the delivered and experienced service differ from the promised service? In what way did these match? (remember to describe the example). Write this up on about 2 pages of structured text (not more!) and send it by e.mail before the deadline. Refer to the literature in your discussion, be analytical.
Team assignments 1 and 2
Contact all the members in your group immediately they are confirmed and start working straight away!
Structure: Assignments 1 and 2 include a list of references, correctly written. Please read the instructions for writing references, which are uploaded on the course home page. The length of the report is suggested

in the assignment description, and relates to the scope of the assignment. The front page, reference list and appendices are not included in the suggested number of pages. Please go to for further instructions for writing academic reports.
Title page Always include a title page with the name of the course, the title of the assignment and your name / names of team members.
Format Margins should be 2.5 cm (1 inch), font size 12 and 1.5 line spacing. This does not include the title page and references. Use appendices sparingly, unless otherwise instructed, all relevant information should be in the report. Structure your report well and write concisely. It is the quality of writing that is graded.
Headings Structure your text with headings when appropriate. Use common sense when choosing the format. Headings are meant to help the reader, not fill out the space.
Team Assignment 1 (max 20 p)
In this assignment you will learn about blueprinting, what it is, and how it can be used. You should base your written assignment on the course literature and, when necessary, additional literature. The most important part of this assignment is your own empirical part, your analysis of it and the discussions in class.
The aim is to map and analyse a service process from the customer’s point of view by using a blueprint. The team members visit a service provider and consume a service. You can choose to map an entire service or a part of a service. You record each blueprint component that you encounter including the ones behind the line of visibility. Your blue prints should be rich in detail. After the recorded blue print components you analyse (together) your experiences of the service process and its quality. For variety, choose different types of service processes to map (e.g., face-to-face service, self-service, service experienced alone or together with others, hedonic/utilitarian service, service performed on person/animal/good, for profit/non profit).
a) 2-page description and discussion of what constitutes a service blueprint (i.e. what it is, what it can be used for, in what contexts it has been used, why it is an important and useful tool for service managers etc.). Choose one literature source as your main source. In addition, look up and reference at least four other sources that deals with service blueprint. (8p)
b) 3 page analysis of a service process where you have applied the blueprint. Draw your blueprint and describe in detail each component in text. Where does the service process start and end from your perspectives? What different parts did you encounter, how was the service process perceived from a customer perspective. How did you perceive the different parts? What did you expect? Discuss your tolerance zone for different service parts. Was the experience according to your expectations? The division of actions; Who produced what parts of the service? The role of the customer? How did this affect your quality perception? What parts of the service process are in need of an improvement and in what way could these be improved? E.g. any bottlenecks? (8p)
c) 1 page discussion of the results (e.g., what was particularly interesting, what could the service providers have done better, or how could they learn from your service blueprint?) and what did you learn from the exercise. Remember to reflect your findings against the literature (4p).
d) Don’t forget the title page and reference list!
e) Note that no table of content or introductory chapter is needed. Go directly to the point. Only three main headings are needed. You can start the paper by writing: The aim of this paper is to map a service process from a customer perspective by the use of a blueprint. First we give an overview of the idea behind a service blueprint. Second, the empirical data is analysed, consisting of an

applied blueprint on the service x. Finally, we discuss the results. This is a simple and common way of structuring a paper for its readers.
f) Make a one-page summary of your results on a power point slide and prepare your presentation. Remember to manage your time for presentation properly!
Team Assignment 2
The aim of this assignment is to learn more in-depth specific topics that are covered by the book and which are essential to successful service marketing. This is a term paper and should follow formal rules of what is expected from such a paper. Although there are formal rules on structuring the paper, the content should not be dry and boring. Make the project fun! Find a practical example that interests you, that is fun to study, or that you really want to share with the other students. Depending on which team you chose to add your name to (team 1, 2, 3, 4, 5 or 6) you will study a specific phenomenon described below. But remember that the choice of case example is up to you. Use your contacts, hobbies, interests as a starting point. Do interviews with companies or collect data from consumers. Look for information on companies online from web sites, written articles, available statistics etc. Take pictures of services (if you are allowed)! Be creative!
A general tip: Structure the topic and paper based on 1-2 models, or 1-2 book chapters/articles, and then add more references to those, rather than inundate the paper with dozens of concepts from many sources. Focus. Don’t complicate it.
The assignment topics are:
Topic 1: Service recovery/consumer complaint behaviour/jay customers for a service. Service recovery assumes that the consumer has complained, whereas consumer complaining includes NOT complaining although one is dissatisfied. Thus it might be interesting to study why consumers do not complain although they are dissatisfied with a service. Or you might study what kind of service recovery people have experienced and how it affected their relationship. Or you could study it from a company point of view, what are their service recovery policies, how are these implemented and perceived by employees? Or alternatively, study what service employees do with compliments/complaints that are made to them directly. You can also choose to study jay customers, what training service employees receive to handle such customers and what their experiences are.
Topic 2: Servicescape. Describe the servicescape with pictures and words, and motivate your choice. What is good/bad about the servicescape based on your observations? You can study what customer experience the service provider wants to create and how this is communicated through the servicescape. You can study how consumers experience a specific servicescape (8 interviews or 40 survey respondents) or you can study how employees experience it (3 interviews). Use the book and articles.
Topic 3: Service development. You can study it from the company’s (3 interviews) or consumers’ perspective (the development itself or how consumers perceive the new service, in comparison to the old service, or other experienced services (8 personal interviews or 40 survey respondents). You can describe how the service was developed. How did it come about? Who was involved in the development? Where consumers or employees involved in some way, how? What was the service like before, and did it improve by the development, how? Can the success/failure be determined in some way? Alternatively, describe the developed service and study how consumers perceive the new service in comparison to the old. Use the book and articles.
Topic 4: Service quality. Do a study of perceived service quality, either a small quantitative study (40 respondents) on private consumers’ perceived B2C service quality, or a qualitative study of business consumers’ perceived B2B service quality (about 3 interviews). It can be any type of service, any type of company. You should use Christian Grönroos’ model and/or PZB’s Servqual model as a basis. Look up an existing survey that you can use as a basis. The model can be found in the book and articles.
Topic 5: Public/non-profit/second-hand/art/sport service. You can choose to study any service related topic on an organisation that fits the aforementioned list. You can choose a consumer or company point of view. Number of respondents same as above.

Topic 6: Customer relationship. You can write, for example, about customers’ loyalty to service providers. What affects loyalty? Why do customers stay in a relationship with a service provider? or reasons for ending a relationship, and about different ways to end a relationship. Use the book and look up articles that fit you purpose (contact the examiner to get hints on where to look, or what to look for). Number of respondents same as above.
If you have a great idea for a paper, but it does not fit any of the topics above, please contact the examiner to check whether you can write about your suggested topic instead.
Structure of assignment 2, i.e. the term paper: Use font size 12, 1.5 spacing, 2.5 cm (1 inch) margins. The paper includes:
a) Title page with a title for your paper, names and matriculation numbers of teams members, time of presentation, room and date.
b) Table of contents
c) A short introductory chapter where you introduce the topic and why it is important for service managers, and the purpose of your paper, all in all about 1/2 -1 page. You should catch the reader’s interest. (2p)
d) The theoretical framework for your chosen topic and purpose. Introduce the framework and discuss any choices that you have made regarding choice of model, concepts, delimitations. Structure the text on the framework in a logical manner and take care that the reader understands what you want to say, how a figure should be interpreted, how concepts are related, what they mean, with examples (when necessary) etc. Take care to reference correctly in the text, to include references in Figure titles if it is not your own figure, to number all the figures and tables, never to start a chapter with a figure etc. Normal academic writing rules. This section will be about 3-5 pages. (7p)
e) Introduce your empirical study by telling the reader what kind of data you base your study on, how you designed the questions, how data were collected, from whom/where, and any data collection problems that the reader needs to know because it affected the results. This section will be about 2 pages, including the interview guide/questionnaire. (5p)
f) Present the results of your empirical study. Summarise the results in figures and tables, or summary descriptions with illustrative citations. This section will be about 4-5 pages (8p)
g) Analyse and discuss the results in view of your theoretical framework. What was especially striking or interesting, any surprises? What conclusions can be drawn from the results? What managerial implications? This section will be about 3 pages. (5p)
h) List of references
i) Oral presentation in class (3p)
Presentation of term paper
You have 30 minutes per team for the presentation and discussion. Your presentation should be maximum 10 minutes, concentrating on the main model, or concepts, the empirical results and conclusions. Come to class early to download your presentation. Each team will act as a discussant to another team, but need not prepare slides for this. Be prepared to make comments on the overall quality of the study, what you learned from it, to ask clarifying questions and to make suggestions on how the paper could have been further improved. Pay specific attention to the empirical part and conclusions, the innovativeness and effort that has gone into the paper, and leave 5 minutes for the rest of the audience to ask questions/make comments.
The discussants are as follows: team 1 and 4 discuss each other’s papers, team 2 and 5 discuss each other’s papers and team 3 and 6 discuss each other’s papers.

The department has a very strict policy on all forms of academic fraud, and we monitor very closely that such does not occur: All assignments in this course are automatically checked for plagiarism with the help of a computer program. The consequences of getting caught are severe.
Hanken uses several software programs to check up on fraud. At this course we will use the program Urkund. This means that at the deadline, you will send each assignment as an attachment to the address:
[email protected]
You can send it as a .doc or .pdf file. A computer program performs an analysis of each assignment for plagiarism.
The following is considered grave academic fraud at Hanken:
1. Plagiarism: using someone else’s ideas without complete or proper reference. The most blatant and severe forms of plagiarism includes copying several paragraphs/chunks of texts without proper reference from books, reports, articles or electronic resources and posing them as your own; copying from other students in assignments that are individual; and multiple submission submitting work that has been used in other courses to receive study points.
2. Other forms of dishonest/fraudulent behaviour with the aim of getting study credits, such as having someone else write one’s assignment, or writing assignments for someone else, or stating that a student has participated in an assignment when he/she has not.
3. Collusion: Helping someone in the above activities.
In order for each student to get a grasp of what is considered plagiarism/academic fraud we strongly suggest all students taking an online quiz:
( to clarify these things:
We want you to pay special attention to the point about plagiarism. As a general rule (and in order to avert “unintentional fraud”) NEVER copy and paste chunks of text from an article or elsewhere without valid reason (you might want to use direct quotations if you aim to explain what has been said, or if it is vital that the text is reproduced in its original form. Remember that it is not forbidden to cite other people’s work). If you use quotations, indicate so by using quotations marks; “xxxxx”. Indicate page numbers when you use a direct citation. It is better to be safe than sorry, so it is better never to use the computerized function of copying and pasting. Acts that we have in the past considered as serious cases of plagiarism include posing copied text from reports found on the Internet as the students’ own conclusions and comments. Note that it is not sufficient to only include the sources in the reference list at the end of the report! Also, long quotations, even though properly referred to, are not recommended.
Consequences: There is a wide range of consequences depending on the severity of the act, including, at the extreme, expulsion from the school. The minimum is getting excluded from the course, which is an automatic consequence of getting caught regardless of the severity. In the case of exchange students a standard consequence is informing the Dean (or similar) of the home university of the acts of academic fraud.
Course book: Wilson, A., Zeithaml V,. Bitner M.J. & Gremler D.D. (2012), Services Marketing: Integrating customer focus across the firm. Second European Edition, Berkshire: McGraw-Hill.
Note: If you have a copy of the first European edition or the American edition of this book (without the author Wilson), you can read that just as well. It will make no difference to the assignments or exam. The price of the books on is about the same (from £15 for used and around £38 for new).

Articles: (Note, only the bolded ones belong to the mandatory readings)
The Service logic
Grönroos, C. (2006), Adopting a service logic for marketing. Marketing Theory, Vol. 6, No. 4, 317-333.
Additional: Vargo, S. L. and Lusch, R. F. (2008). Why “service”? Journal of the Academy of Marketing Science, Vol. 36, 25-38.
Service quality Grönroos, C. (1984), A service quality model and its marketing implications. European Journal of
Marketing, Vol. 18, No. 4, 36-44.
Additional: Parasuraman A., Zeithaml, V. A. & A. Malhotra (2005), E-S-QUAL a multiple scale for assessing electronic service quality, Journal of Service Research, Vol. 7, No. 3, 213-233.
Service Development Greenfeld, K. (2011) Taco Bell: Fast and Furious, Bloomberg Business Week, May 9th-15th.
Additional: Flies, S. and Kleinaltenkamp, M. (2004), Blueprinting the service company: Managing the service process efficiently, Journal of Business Research, Vol. 57, 392-404
Consumer Value
Woodruff, R.B. (1997), Customer Value: The Next Source for Competitive Advantage, Journal of the Academy of Marketing Science, Vol. 25, No. 2, 139-153.
Additional: Grönroos, C. (2008), Service logic revisited: who creates value? And who co-creates? European Business Review, Vol. 20, No. 4, 298-314
Reimer, A. and Kuehn, R. (2005), The Impact of Servicescape on Quality Perception, European Journal of Marketing, Vol. 39, No. 7/8, 785-808.
Additional: Tombs, A. and McColl-Kennedy, J.R. (2003), Social-servicescape Conceptual Model, Marketing Theory, Vol.
3, No. 4, 447-475.
Service recovery Luria, G., Gal, I., and Yagil, D. (2009). Employees’ willingness to report service complaints. Journal of
Service Research, Vol. 12, No. 2, p. 156-174.
Additional: Harris, L. C. and Reynolds, K. L. (2004), Jaycustomer behaviour: An exploration of types and motives in the hospitality industry. Journal of Services Marketing, Vol. 18, No. 5, 339-357.
Internal marketing
Ahmed, P. K. and Rafiq, M. (2003), Internal marketing issues and challenges. European Journal of Marketing, Vol. 37 No. 9, 1177-1186.
Additional: Wenzel, D., Henkel, S. and Tomczak, T. (2010). Can I live up to that ad? Impact of implicit theories of abilities on service employees’ responses to advertising. Journal of Service Research, Vol. 13, No. 2, 137-152.


Week 36

Time & Place Mon 2.9 10.15-11.45 309
Tue 3.9 10.15-11.45 309

Instructor CvK

Fri 6.9





Mon 9.9





Readings, assignment deadlines

Course introduction Course syllabus and instructions for assignments

The service Logic: Scope and Content of Service Marketing
Service quality

Guest lecture Chapter 1, Grönroos (2006) Guest lecture assignment alternative 1: Deadline Thu September 5 at 10 a.m.
Chapter 1,2,3,4,5, Grönroos (1984)

Service development

Connect to team assignment 1. Chapter 6, 8, 12 Greenfeld (2011)

Wed 11.9 GM




Mon 16.9 CvK




Mon 23.9 JG



Tue 24.9


CERS floor

Wed 25.9 CvK 10.15-18.00 309

Consumer value

Guest lecture Woodruff (1997)


Chapter 10 Reimer and Kuehn (2005)

Service Recovery

Chapter 15
Luria, Gal, and Yagil (2009)

Service development in practice (blueprint)

15 minutes per team at instructor’s office, schedule announced later when teams confirmed
Team assignment 1: Deadline Thu September 19 at 10 a.m.


Mon 30.9 CvK


Chapter 7, 18




Wed 2.10 GUEST

Guest lecture

10.15-11.45 LECTURE



Mon 7.10 GUEST

Guest lecture

10.15-11.45 LECTURE


Wed 9.10 HL

Internal marketing Guest lecture


Chapter 11, Ahmed and Rafiq (2003)


Guest lecture assignment alternative 2: Deadline Fri

October 11 at 10 a.m.


Mon 14.10 CvK

Service marketing Team assignment 2: Term paper


in practice

Deadline Tue October 7 at 10 a.m.


Wed 16.10 CvK

Service marketing Team assignment 2 continues


in practice


Guest lecturers: CG: Christian Grönroos (Professor, Hanken School of Economics), GM: Gustav Medberg (Doctoral

student, CERS, Hanken), JG: Johanna Gummerus ( Hanken), HL: Helena Liewendahl (Doctoral student, CERS,





Time Aud


Mon Sep 2 10.15- 309

Introduction to assignments


Sep 3 Sep 11

Mandatory attendance at guest lecture. Guest lecture assignment (alt.1).
Mandatory attendance at guest lecture.

Deadlines, instructor Read carefully the course syllabus, and instructions for the assignments. It is important to start the assignments early! All Assignments are sent by e-mail to [email protected] Safety measure: save the sent-message in your sent-folder at you hanken-mail
Deadline Thu September 5 at 10 a.m.

Sep 23

Sep 25 Team assign. 1

Group A Futurum
Group B Futurum
Group C Futurum
Group D Futurum
Oct 2 or 7


Oct 9

Team assign. 2 (day 1) Oct 14

Mandatory attendance at guest lecture

Team assignment 1 Empirical study 6 pages + appendices

Deadline Thu September 19 at 10 am

Presentations of results and class discussion

Instructor Catharina von Koskull

Presentations of results and class



Presentations of results and class



Presentations of results and class



Mandatory attendance at guest lecture.

Mandatory attendance at guest lecture. Guest lecture assignment (alt.2).
Team assignment 2 Empirical study 15 pages Note! Compulsory attendance of all team members during both days (day 1 & 2)
NOTICE: you only attend Group A, B, C, D, or E, i.e. one session per day

Deadline Wed October 11 at 10 a.m.
(if you handed in a guest lecture analysis in September, no need to do it now ) Deadline paper: Mon October 7 at 10 a.m. [email protected]
Deadline improvement (voluntary): Thu Oct 24 at 10 a.m. assignment and report on changes and reasons why/why not changes were made, send to [email protected]


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Service Marketing 2009