Question 1

American Life uses leather-look portfolios and high-quality paper and printing for its life insurance policies in order to indicate

Accepted Answer

American Life's use of high-quality materials for their life insurance policies indicates their focus on providing high-quality services. This sends a message to customers that they can expect a superior level of service from the company.

Question 2

Antonio is planning a trip to Cancun for spring break. He will likely be able to evaluate the hotel's size, amenities offered, and prices by looking at information on its website. However, he won't be able to evaluate the comfort level of the bed or the friendliness of the employees until he actually spends time at the hotel. The type of evaluation attributes Antonio is using before his trip are called _______ and those he uses during the trip are called _____.

Accepted Answer

The attributes that Antonio can evaluate before his trip are related to search, as he can obtain information about the hotel through its website. The attributes he can evaluate during his stay, such as the comfort level of the bed and the friendliness of the employees, are related to experience.

Question 3

Any service provider that offers time-sensitive services receives most of its revenue during

Accepted Answer

Time-sensitive services, by definition, are services that need to be delivered within a specific time frame. As a result, service providers offering such services tend to receive most of their revenue during peak demand times when there is a high volume of customers who need their services urgently. During such times, service providers can charge a premium price for their services, which results in higher revenue.

Question 4

Tutors, attorneys, and consultants are most likely to price their services based on ____, while auto repair, hair stylists, and house painters are likely to price their services based on ___.

Accepted Answer

The answer of Tutors, attorneys, and consultants are most likely...

Question 5

There are five elements that affect customers' perceptions of service quality. They are reliability, appearance of the tangibles, responsiveness, assurance, and

Accepted Answer

The five elements that affect customer perceptions of service quality are reliability, appearance of the tangibles, responsiveness, assurance, and empathy. Therefore, the best choice is D, employee empathy.

Question 6

Many cellular phone plans contain a certain number of anytime minutes and then either significantly more or even unlimited night and weekend minutes. This is an example of

Accepted Answer

The answer of Many cellular phone plans contain a certain...

Question 7

Tina, a waitress at the Riverfront Grill, is angry that a customer complained that his soup was cold because of her slow service. Riverfront owner Max Griffin reminds her that she must focus on service quality as defined by

Accepted Answer

Service quality is ultimately defined by the customer's perceptions, as they are the ones experiencing and evaluating the service provided. The health department may have guidelines for food safety, and restaurant management may have general practices in place, but these do not necessarily encompass all aspects of service quality. Temperature guidelines are relevant for food safety, but not necessarily for overall service quality.

Question 8

Which of the following service providers are most likely to use demand-based pricing?

Accepted Answer

Cruise ships are most likely to use demand-based pricing as their prices vary depending on the demand for the specific voyage or time of year. The other service providers listed typically use set pricing for their services regardless of demand.

Question 9

A small private college in Tennessee paid a large sum of money to a marketing firm to study the college's current marketing strategy and help develop new strategies for attracting students. The college is having a difficult time evaluating the effectiveness of the marketing firm's work because this type of service has many

Accepted Answer

Credence qualities refer to aspects of a service that are difficult to evaluate even after purchase and consumption, which applies to the scenario where the college cannot easily assess the effectiveness of the marketing firm's strategies.

Question 10

When Expedia.com offers a special price for customers who chose an airline ticket, hotel, and a rental car, it is using ____

Accepted Answer

Expedia.com is using bundled pricing, which is the practice of offering several complementary products or services as a package deal for a lower price than customers would pay if they purchased each item separately.

Question 11

Consumers look closely at service quality when comparing competing services because

Accepted Answer

Services are intangible and cannot be evaluated before purchase as easily as goods, making quality a critical factor in consumer decision-making.

Question 12

Many services have aspects that consumers may never be able to evaluate, even years after the purchase and consumption of the service. These attributes are called

Accepted Answer

Credence qualities are attributes of a service that are difficult for consumers to evaluate even after consumption, due to their intangible nature. This can include things like the safety or efficacy of a medical treatment, or the quality of legal advice received.

Question 13

As Stan and Anna Walicki meet with the account representative at Landmark Bank, they are shown a sample of what their monthly statement will look like. Providing such sample documents allows Landmark to add tangibility to which of the following service qualities?

Accepted Answer

Providing a sample document adds tangibility to the search service quality, which refers to the customer's ability to evaluate the quality of a service before purchasing it. The sample statement provides a tangible representation of what the customer can expect from the service, aiding in their evaluation process.

Question 14

Demand-based pricing most closely relates to the ____ of services.

Accepted Answer

Demand-based pricing refers to the pricing strategy that is dependent on the level of demand for a particular product or service. It is a common practice in industries with high degrees of perishability, where unsold products cannot be stored or used later. Therefore, it is closely related to the perishability aspect of services.

Question 15

Who judges service quality?

Accepted Answer

Customers judge service quality based on their personal experiences with the service. While employees, the company, independent raters, and marketers may all have a role in influencing the quality of service, only the customers can ultimately determine whether the service meets their expectations and needs.

Question 16

Safe Auto Insurance advertises "minimum coverage for minimum budgets" for its automobile insurance. Which of the following best describes Safe Auto's approach?

Accepted Answer

Safe Auto Insurance's approach is to attract price-sensitive customers who are looking for the lowest cost option. By advertising "minimum coverage for minimum budgets," they are positioning themselves as the low-cost provider in the auto insurance market. This appeals to customers who prioritize cost over other factors such as quality or service.

Question 17

Dentists find it difficult to attract customers because many customers cannot distinguish whether or not the product offered is beneficial. This aspect of the dentist's product is called ____ quality.

Accepted Answer

Credence quality refers to qualities that the customer may find difficult to evaluate even after purchase and consumption. In the case of dentistry, customers may not be able to accurately determine the benefit of the treatment or the skill of the dentist, leading to difficulty in attracting customers.

Question 18

When a theater entices customers to see movies during the daytime by offering tickets at a reduced price, it is trying to solve the services marketing problem of

Accepted Answer

The theater is trying to address the problem of off-peak demand by reducing the ticket prices during the daytime, which is a period when there is typically less demand for movies. This is an example of price discrimination, where the theater is trying to attract price-sensitive customers during specific periods of the day.

Question 19

Service activities are time-dependent, meaning that the service must be provided at a point in time when customers want to use it. This point in time is also known as

Accepted Answer

Peak demand refers to the point in time when customers want to use a service the most. This can vary depending on the type of service and the customer's needs, but it is typically a period of high activity or usage. Therefore, service activities are time-dependent and must be provided during peak demand to meet customer demand and satisfaction.

Question 20

Tara finds evaluating a new pair of jeans much easier than evaluating tennis lessons because she can try on the jeans to see exactly how they feel and fit. In other words, the jeans have many ____ qualities.

Accepted Answer

Jeans have many search qualities because they allow for evaluation before purchase through direct examination, such as trying them on to assess fit and feel.

Quiz 13: Services Marketing