Operations Management Review of a Bar

1.0 Introduction 2

2.0 Service Offerings 2

3.0 Current Level of Customer Service and Strategies for Service Recovery 4

4.0 Servicescape 5

5.0 Marketing Communication 6

6.0 Pricing Strategies 7

7.0 Approaches to Measuring and Evaluating the Success of Marketing Strategies 8

8.0 Conclusions and Priority Recommendations 8

9.0 References 10

10.0 Appendices 11

Appendix A 11

Appendix B 12

Appendix C 13

1.0 Introduction

The following report conducts an analysis of a neighbourhood sports bar, or as they are commonly termed in Australia, a ‘local’. This study is based on a medium sized organisation known as the Warner Tavern, located in Brisbane’s rapidly developing north side. This organisation consists of a sports bar, gaming area and bistro (appendix A). For the purpose of this report, the focus will be solely on the sports bar section. This organisation has been selected as it presents an interesting case of a business not adapting to its changing environment, and losing touch with its patron’s wants and needs. Primary research in the form of interviewing staff has revealed that business has shown a steady decline over the past few years. This is mainly due to strong competition from both new and established bars within a close proximity. Through the use of services marketing theory and concepts, this report aims to identify the problems existing in the current service, and will give recommendations for improvements based on priority and urgency.

2.0 Service Offerings

Very few products are totally intangible or purely tangible. The tangibility "continuum" (Shostack, 1977) was developed on the basis of this idea. The continuum classified various industries from "tangible dominant" to "intangible dominant"; for example, from salt, through fast-food outlets and airlines, to teaching. Nevertheless, even in an intangible-dominant service industry, "tangibles" are still used as one of the dimensions of service quality (Parasuraman et al,...