GUESTOLOGY
GUESTOLOGY
Goods
Goods are tangible items purchased wherein ownership fully transfers to the
buyer. They are characterized by the following attributes:
Tangible: Goods can be physically touched and evaluated prior to
purchase.
Transferability: Ownership is completely transferred to the buyer upon
purchase.
Standardization: Goods are identical to others of the same product type,
meaning they maintain consistency.
Storage Capability: They can be stored for future use.
Time Lag: There is a noticeable delay between the production of goods
and their consumption.
Services
In contrast, services are intangible experiences where ownership does not
change hands. Key characteristics include:
Intangible: Services cannot be touched or owned; they are experienced.
Non-transferable: The benefits of a service cannot be transferred from
one person to another.
Variable: The quality and delivery of services can vary based on who
provides them and external factors.
No Storage: Services cannot be stored; they are consumed as they are
produced.
Service Products
Understanding Guestology
Coined by Bruce Laval at The Walt Disney Company, guestology represents
a philosophy where all employees treat customers as guests, focusing on
exceeding their expectations. It is defined as the systematic study of
customer behaviors, needs, and expectations in service environments,
allowing organizations to tailor their service practices accordingly.
1. Guestology
The first area emphasizes understanding clients, their needs, perceptions,
and expectations. While identifying who the clients are is straightforward,
accurately discerning their specific desires is more complex.
2. Standards of Service
The second compass direction involves setting service standards guiding
interactions with clients. These standards cover various interaction details,
such as maintaining eye contact, warmly greeting clients, demonstrating
proper body language, and showing genuine appreciation.
Customer Expectations
1. Loyal Customers
Loyal customers, despite forming only about 20% of the customer base,
significantly drive sales revenue. Their satisfaction is paramount as they
often promote a company’s services through positive word of mouth.
2. Impulse Customers
These customers make spontaneous purchases and are amenable to
suggestive selling. Engaging them can yield substantial benefits for
businesses.
3. Discount Customers
Discount customers contribute to cash flow by taking advantage of
markdowns. While their purchases come at lower prices, their business is
still valuable.
4. Need-Based Customers
This group purchases for specific reasons and can be hard to upsell. They
often seek the best price available.
5. Wandering Customers
Wandering customers generate traffic without specific purchasing intent,
making them valuable for insights despite their low revenue contribution.
Value and Quality in Customer Experience