This enables Charlie to be more focused and prepared so as to minimize errors during the service process. On the other hand, both companies under Charlie could come out with statistics on customer preferences and identify the peak hour periods. Xpresso Lube exists to serve the customer and to satisfy their needs and it is feasible only when the customers do their part, transporting their vehicle to Xpresso Lube or University Auto for service. This will lead to a further variation of employees and customers.Ĭustomer participation in the service process Charlie also set up a car repair center, University Auto, which also meets the customers’ demands. Besides, Charlie’s employees are well trained so as to provide quality services to his customers.
For instance, the front line workers are the ones who make contact with the customers directly to find out what are the customer’s requests whereas the back office operators are in charge of repairing and the actual oil change, invisible to customers. The kind of employees varies as different employees from different sections of Xpresso Lube serve customers differently. This market consists of different participants which includes the customers and the employees, who are the ones serving the customers so as to meet their demands. Much emphasis on integrity, providing good and trustworthy services will no doubt help Xpresso Lube to retain and attract customers. This is a creative idea which will potentially captured customers’ attention and Xpresso Lube will subsequently became more reputable. After observing the existing oil-change companies, Charlie came out with a much improved concept which was fresh and new, combining a coffee bar with an oil-change business. Xpresso Lube has illustrated different approaches of a service operation. II – Distinctive Characteristics of a Service Operation, illustrated by the Case Study This customer loyalty is very valuable as it means a high lifetime customer value and customer equity, which translates to higher profits in the long run. When customers realize that you have been giving them quality and accurate information, you will gain their trust and loyalty. Providing quality information is actually another implicit service. This helps Xpresso Lube as it cements their brand as a comfortable and higher quality auto shop, especially when compared with its competitors, giving it a comparative advantage.
It tries to make its customers feel at home and comfortable, as workshops are usually very dirty and customers would hardly want to wait for a long time. Xpresso Lube provides a clean environment to customers, with carpeted floors, tables and chairs for customers while waiting. All this benefits can be seen by customers, the quality of the service the Xpresso Lube provides can also be perceived. Transportation services are also provided to reduce customers’ travelling time as mentioned above earlier. In Xpresso Lube, the explicit services the customers can see is the service attitude of Charlie’s employees, the quality of service being provided whether the oil change is quick and of high quality, also the ability of the café to provide quality food and drinks to customers. Charlie can hence, ease the flow of customers coming, preventing a bottleneck after working hours at 5pm. Charlie also has to provide efficient information of whether there are available slots for more cars to come in for servicing, by doing so he can have make arrangements with customers to make appointments and bookings. In order to ensure that, Charlie has provided his customers with the lift, so that his customers can see for themselves where the problems lie with their car, instead of just listening to some employee not knowing that in fact there is nothing wrong with the car. Therefore, to ensure quality and satisfaction, Charlie has to take note of the oil he uses.Īfter seeing other workshops providing false information to customers, ripping them off, Charlie is determined to provide correct and efficient information to customers. Some of the higher end cars in the market cannot run as well with low quality oil, the oil will also harm their engines in the long run. Charlie has to make sure the oil they use is of quality so that it won’t damage his customers’ cars. Having a coffee plantation in Costa Rica, Charlie is equipped with the knowledge in bringing in the best coffee beans as possible to ensure customer satisfaction.Īnother facilitating goods is the oil Xpresso Lube provides to change the cars’ oil. Customers receive high quality, freshly brewed coffee made at the point of order, rather than stale coffee brewed when the shop opens for the day.
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