Structure in Threes: Service Design\Service Quality Part 2

This morning’s R&D started white boarding merging ServQual with Cluster Analysis & Stakeholder Analysis/Management methods to develop a measurement system for Service Value Management.  Reached out yesterday to an old IBM colleague — Bradford Hobbs, now running BizBrand Foundry– in connect to some R&D we did together on measuring brand value in a more objective verse subjective manner.   Like Brand Value can influence sales price on products (e.g., Firebird vs. Camaro which were essentially the same vehicle) Brand Value and what influences it will influence sales price of services (e.g., Brand X Business Management Consulting Service vs. McKinsey both may perform the same activity and to the same quality but the later receives a premium from its Brand Image.  I can foresee the same factors and phenomenon equally working in the IT Services arena:  IBM Cloud, Microsoft Cloud, Amazon Cloud, Apple Cloud, Google Cloud, etc.

What will separate the prices paid and the margins enjoyed by these corporations for providing these services will be more than just the actual technical performance.  The Brand image of the company, experience the user enjoys and expects which will either enhance or detract from the Brand image and perceived value which will ultimately influence the price a customer will be willing to pay.  While there are subjective studies on measuring Brand Value of products, I’m literature search so far on Service Brand Value has yielded very little other than subjective measures of service quality.  As such it looks to be a interesting area of Brad and I to collaborate upon once again.

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About briankseitz
I live in PacNW in a small town and work for Microsoft as a Enterprise strategy and architecture SME. I enjoy solving big complex problems, cooking and eating, woodworking and reading. I typically read between 4-8 business and technology books a month.

2 Responses to Structure in Threes: Service Design\Service Quality Part 2

  1. Andy says:

    I read your blogs, and find them very interesting, and I thought I would leave a comment on this one, as I think that you have combined brand and corporate reputation. I would contend that an organisation owns its brand, but you as a stakeholder (consumer) own the reputation of said organisation.

    An example is Apple has a great brand around its iProducts, but it has a poor reputation due to some of its supply chain practices, and to different stakeholders that reputation might affect their view of the brand.

    If we look at Cloud technologies (as you mentioned them above) then one area that is important is reliability so if Apple Cloud has a reputation for being more reliable than Google Cloud I suspect that will be more important in terms of price premium than the marketing dollars either spend on brand enhancement.

    • briankseitz says:

      Andy, I agree that there are multiple components both corporate brand (e.g., APPLE) However, products have Brands also as mentioned Firebird vs Camaro both are Brands of GM. Likewise consider Microsoft: Hotmail, Azure, Office Online are Service Brands. These inherit some expectation of experience from the Corporate Brand and visa versa, the Corporate Brand gets influenced by the experience of the Service which has its own Brand.

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