Final Report_Group 5_Section B (2)

7/30/2019 Final Report_Group 5_Section B (2)

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Service and Customer

Management

Final Report

Little Woods

Submitted by:

Group 5 (Section-B)

Jayakrishnan Nair N J (11023)

Sourabh Rai (11053)

Prasad Krishna (11094)

Bhushan Atul Ashok (11131)

Rishi Kumar Gandhi (11164)

Submitted to:

Dr. Mohan N J Monteiro


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Final Report, Group-5(Sec-B)

Table of content:

Introduction: ............................................................................................................................... 1

Positioning Services: .................................................................................................................. 1

Competitive advantage through Market focus: ...................................................................... 1

Developing an effective positioning strategy: ....................................................................... 1

Market Analysis: .................................................................................................................... 1

Internal Corporate Analysis: .................................................................................................. 1

Competitor Analysis: ............................................................................................................. 2

7 Ps of Service marketing for Little Woods: ............................................................................. 2

Managing relationship and building loyalty: ............................................................................. 3

Consumer Behaviour: ................................................................................................................ 3

Pre-purchase stage: ................................................................................................................ 3

Service Encounter Stage: ....................................................................................................... 3

Post Purchase Stage: .............................................................................................................. 6

Three parts of this script that went smoothly and conformed to our expectations:............ 6

Three parts of this script that deviated from our expectations: .............................................. 7

The Servicescapes Model- An Integrative Framework: ............................................................ 7

Internal Responses: ................................................................................................................ 7

Environment and Cognition: .................................................................................................. 7

Environment and Emotion: .................................................................................................... 8

Environment and psychology: ............................................................................................... 8

Service Blueprint: ...................................................................................................................... 9


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Introduction:

Little Woods is one of the most popular restaurants on the Chamundi Hill road being visited

by a number of people from Siddhartha Nagar and the nearby apartments. The various

varieties of food items along with the lightening fast service makes it one of the most sought-after restaurants in the vicinity.

Positioning Services:

Competitive advantage through Market focus:

Market focussed strategy is one of the strategies where an organisation provides a variety of

services in a limited market. When we put Little Woods on the positioning map, it comes

around moderate service with moderate price.

Developing an effective positioning strategy:

Market Analysis:

Location:

The restaurant is strategically located on the main road which leads to the Chamundi Hills.

Its readily visible by anyone who travels on this road. The display boards on the road side

also attract a lot of people to take note of the location of the restaurant.

Composition:

Little Woods has had a strong competitor named Pate Bharlo (now Cafe Hotel) which used tooffer both vegetarian and non-vegetarian food. Generally its found that pure vegetarians do

not prefer to eat in a restaurant which offers both vegetarian and non-vegetarian food items.

So, it can be said that the target audience of Pate Bharlo was non-vegetarian people. Inspite

of such a focussed target market, Pate Bharlo eventually had to wrap up its operations due to

huge losses and lack of customer base. At the same time, Little Woods performed very well

and its customer base kept on increasing. This shows that most of the people in the target

market are vegetarians.

The more a restaurant offers varieties, the more benefits a person derives. When someone

sees another variety of an item in a particular category, he tends to order that item and thus

derives more benefit. This happens in any category of food items. Hence, its important to

offer more and more variety of offerings in order to provide more benefits to the customers

and retain them in the long run.

Internal Corporate Analysis:

One of the resource constraints of Little Woods is the space constraint. Little Woods has a

limited space and hence it targets a limited segment on the basis of the geographic area in and

around Siddhartha Nagar.


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Competitor Analysis:

The founders of Little Woods have a vast experience dealing with this business. They have a

couple of more restaurants in Mysore and this has helped them to know the tastes of the

people and create harmonious relations with the vegetable vendors.

Little Woods is a pure vegetarian restaurant. Hence, it has created a very much focussed

market for itself where most of the people who are pure vegetarians are its customers. The

other set of customers are the ones who eat both vegetarian and non-vegetarian items.

7 Ps of Service marketing for Little Woods:

Product:

Core products of Little Woods are North-Indian food items, South-Indian fooditems, juices, ice-creams. Little Woods product includes vegetarian items

Supplementary products include the parking facility, ambience, lighting, music etcwhich creates a wonderful and hassle-free experience for the customers.

Quality level of the food is in par with many of the major restaurants Product line includes South Indian, North Indian, Beverages and snacks Parcel facilities are available with home delivery services provided

Price:

They provide flexibility; certain dishes are available in North Indian and South Indiantastes

Price level of all the dishes are quite affordable They provide certain allowances for regular customers as well as students of institutes

nearby to attract them

Place:

It is on the way to Chamundi which is tourist destination thereby trying to attractdevotees and other tourists

It is a single outlet restaurant Since the restaurant is located in a main road it is easily accessible to general public It has a good parking space which makes the place suitable for travellers

Promotion:

Word of mouth publicity is one of the most effective methods of marketing and this isthe reason why it is viewed positively by the people

The roadside boards on Chamundi Hill road and a big banner in the Siddhartha Nagarcircle are the other promotional aspects used by Little Woods

People:

Little Woods provides on the job training to the new employees where they are taughtthe intricacies of the work to be done.


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Employees patiently hear any grievances by the people and get it rectified as soon aspossible in order to give the best possible service to the customers.

They are fluent in Kannada and Hindi but they do not understand English Most of the Customers are those people who live nearby and devotees/travellers to

Chamundi Hill. The students from nearby institute also goes there

Process:

Level of customer involvement is very low as they do not provide adequate training toemployees

Flow of activities include Home delivery service, parcel provisions, serving inrestaurant, also a provision to provide food in customers vehicles

Physical Evidence:

They have employee dress code but it is rarely followed They have 2 floors with closed space and an open area They provide good ambience but they do not have separate air conditioned area They play music in the restaurant which is melodious

Managing relationship and building loyalty:

Little Woods offers 10% discount on the final bill for the SDMIMD students. However this is

given only when the amount exceeds Rs 200. This is offered to the other regular customers

too.

Consumer Behaviour:

Pre-purchase stage:

We have already visited Little Woods a number of times since the last one year and are

familiar with the quality of the food served over there. Most of the Wednesdays when the

mess remains off, we usually go there to have a sumptuous dinner. Even this time, expecting

a very delicious food, we visited this restaurant which has become one of the most popular

restaurants to visit among the student community in SDMIMD. The most important factors to

visit it by us are the proximity to our college; and the appetizing taste as well as the wide

variety of food available over there.

Service Encounter Stage:

Customer Waiter Chef Cashier1. Form a group of 6

friends and arrive in

the hotel


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2. See if there is a

table for 6. If not,

then we ourselves

pull some chairs and

tables to make sure

that everyone caneat together

3. Waiter comes with a

glasses of water and a

menu card

4. We discuss the

items to be ordered

ourselves

5. We call the waiter

to place an order

6. Waiter arrived and

took the order in his

notebook

7. Waiter goes

to the kitchen

and

communicates

the order to the

chef

8. Waited for 10

minutes after which

we call the waiter toask him how much

more time will it

take.

9. He tells us 15

minutes more, hearing

which we order cold

drinks.

10. He gets the cold

drinks in 5 minutes.

11. After 10

minutes, thechef hands

over our order

to the waiter in

a tray.

12. The waiter gets the

food for everyone to

devour.


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13. We find out that

the waiter has

actually brought

Chilli Paneer Dry

instead of Chilli

Paneer Curry andVeg Hyderabadi

instead of Paneer

Hyderabadi.

14. We straightaway

notify the waiter about

the issue and ask him

to take away the items

which we didn't order

and ask him how much

more time will it take

to get the items whichwe had previously

ordered. He tells us

that we have to wait

for 10 more minutes.

15. We start eating

whatever items we

have on the table

and notice that we

do not have onions,

which are usually

complementary for

SDM students. We

call the waiter.

16. We ask for the

onions, which he

promptly arrives with

within 2 minutes.

17. 10 minutes had

already passed and

our 2 items had not

yet arrived. Wecalled the waiter

again.

18. The waiter told us

that we had to wait for

5 more minutes and

apologised for the

delay when he saw us

getting irritated with

the delay.


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19. The items

surprisingly arrived

within the next 2

minutes and we ate

the delicious spicy

food which we hadbeen waiting for so

long.

20. We ask the

waiter for the bill.

21. The waiter goes to the

cashier to get the bill.

22. We find out that

the items which we

had been mistakenly

given previously had

also been billed andthe customary

discount given to the

SDM students was

also not included.

23. We ourselves go to

the cashier and tell him

the issues, which he

addresses promptly.

24. We pay the bill and

leave the restaurant.

Post Purchase Stage:

Three parts of this script that went smoothly and conformed to our

expectations:

Taste:

The taste definitely conformed to our pre-purchase expectations. We had visited Little

Woods a number of times before and had already developed a taste for it. The taste of the

food items has always been up to great standards and we have never had any deviations in the

taste every time.

Ambience:

The ambience of the restaurant is one of the best in this area. The colour scheme on the wall

blends with the architecture very beautiful. Soft music is played in the background which

gives us a very good feeling while eating the food.


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Manager/Cashier Behaviour:

The manager was very kind and listened to our problems and straightaway corrected the bill

without asking the waiter for any kind of confirmation. He trusted us and solved the issue in a

jiffy.

Three parts of this script that deviated from our expectations:

Table and Chair Arrangements:

We were highly disappointed that we ourselves had to arrange the tables and chairs so that all

the 6 of us can sit together. Even the waiters did not help us. They were just carrying out their

usual work without even asking us if we needed any kind of help.

No timely Delivery:

We were told initially that the food will arrive in 10 minutes. But in reality, it took almost 25

minutes for us to see the dishes on our tables.

Communication:

We sincerely feel that there existed a big gap in the communication between the different

parties involved. The order which we had given was not communicated correctly with the

chef by the waiter. The waiter also had not communicated well with the cashier, which is

definitely the reason for the discrepancies in the bill.

The Servicescapes Model- An Integrative Framework:

We know that employees and customers in service firms respond to dimensions of their

physical surroundings cognitively, emotionally and physiologically, and that those responses

are what influence their behaviours in the environment.

Internal Responses:

Cognitive - knowledge structure Affective - feelings & emotions Physiological- changes in

Environment and Cognition:

The perceived servicescape may elicit cognitive responses influencing peoples beliefs about

a place and their beliefs about the people and products found in that place.

Belief:

In little woods , particular environment cues such as the type of furniture in the restaurant,

ambience of the restaurant, lighting of the restaurant may influence customer beliefs about

little woods and then customer tries to predict the quality and price of the food.


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Categorize:

Categorization is the process, by which we assign a label to an object; perceptions of the

servicescape may simply help people to distinguishing a firm by influencing a firm how it is

categorized.

In the resturant industry a particular configuration of environmental cues suggests that fast

food where generally self service system is there whereas another configuration suggests

elegant sit down restaurant where you can order for the food. In little woods we have

second type of configuration in which pepole come, sit and take food.

Environment and Emotion:

In addition to influencing cognitions, the perceived servicescape may elicit emotional

responses that in turn influence behaviours. Emotion eliciting qualities of environments are

captured by two dimensions: pleasure and displeasure and degree of arousal.

For example, environments that elicit feelings of pleasure are likely to be ones where people

want to spend money and time, whereas unpleasant environments are avoided. In little woods

we have seen that people are ready to spent money and time for the service they have in

restaurant.

Environment and psychology:

The perceived servicescape may also affect people in purely physiological ways.

In a particular restaurant noise that is too loud may cause physical discomfort, the

temperature of a room may cause people to shiver or perspire, the air quality may make it

difficult to breathe, and the glare of lighting may decrease ability to see and cause physical

pain. All of those physical responses may in turn directly influence whether or not people

stay in and enjoy a particular environment. In little woods we have seen that physical

discomfort is not there.

Relative comfort of sitting in a restaurant influences how long people stay. When they

become uncomfortable sitting on a hard surface in a fast food restaurant, most people leave

within a predictable period of time. In little woods we have seen that sitting arrangements are

very good. The floor of restaurant is also is very good.

In addition to directly affecting behaviour, physiological responses may influence seeminglyunrelated beliefs and feelings about the place and the people there.


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Support

Processes

(Backstage)Line of visibility

Line of interaction

Line of internal interaction

Service Blueprint:

_________________________________________________________________________

----------------------------------------------------------------------------------------------------------------

___________________________________________________________________________

Parking area Dining area

Arrive at

the

restaurant

Enter the

restaurant

Go to the

table

Go through

the menu

Place the

order

Receive

foodEat

Receive

and pay bill

Leave the

restaurant

Greeted by

the waiter

Shown the

table bythe waiter

Provide

menuTake order

Serve

beverragesServe meal

Clear

dishes andtrash

Collect

paymentand return

receipt

Check table

availability

Place order

in kitchen

Pick up

order

Process

payment

Prepare meal Inform waiter

Physical

Evidence

Customer

C

o

n

t

a

c

t

Pe

r

s

o

n

(Onstage)


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Service Blueprint: is a technique used for service innovation.

Service blueprint consists of 5 components:

1) Customer Actions2) Onstage / Visible Contact Employee Actions3) Backstage / Invisible Contact Employee Actions4) Support Processes5) Physical Evidence

1) The customer actions include:o Entering into the restauranto Go to the tableo Review the menuo Place ordero Receive foodo Eato Pay cash/chequeo Receive changeo Leave the restaurant

2) The onstage employee actions include: Greet customer Show customer to table Provide menu Take order Serve beverages Serve meal Clear dishes Take cash and bring change

3) The backstage employee actions include: Check table availability Place order in kitchen Pick up the order Process the payment

4) The support process includes: Preparing meal Informing waiter


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5) The physical evidence component includes: Parking lots Waiting area Dining area Menu Serving trays Dishes Foods Bill

Final Report_Group 5_Section B (2)

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