Case Study on Xpresso Lube

2668 Words Feb 16th, 2013 11 Pages
Case Study on Xpresso Lube

Content Page Page
I - Xpresso Lube’s Service Package 3
II - Distinctive Characteristics of a Service Operation, illustrated by the Case Study 5
III - Xpresso Lube’s Characteristics 7
IV - Xpresso Lube’s Location 8
V - Suggestions of additional services for Xpresso Lube 9

I - Xpresso Lube’s Service Package

Supporting Facility

In Xpresso Lube, Charlie provided lifts in the workshop so that customers can have a view of their cars to take a look at the problems the staff had mentioned. This gains customer loyalty, by ensuring that the customers do not get ripped off, as to encourage the spreading of Xpresso Lube’s quality services via the word of mouth. There
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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.
Providing quality information is actually another implicit service. When customers realize that you have been giving them quality and accurate information, you will gain their trust and loyalty. 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. II - Distinctive Characteristics of a Service Operation, illustrated by the Case Study

Intangibility

Xpresso Lube has illustrated different approaches of a service operation. 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. This is a creative idea which will potentially captured customers’ attention and Xpresso Lube will subsequently became more reputable. Much emphasis on integrity, providing good and trustworthy services will no doubt help Xpresso Lube to retain and attract customers.

Heterogeneity

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. The kind of employees varies as different employees from different sections of Xpresso Lube serve customers differently. For

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