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D E L I V E R I N G S E RV I C E T H RO U G H
I NTERMEDIARIES AND
E L E C T RO N I C C H A N N E L S
THE MEGAMINDS
Md. Shafaeth Zaman
Nafiz Imtiaz Noor
Md. Asiful Islam
Md. Ashiqul Islam

Md. Saidur Rahman
Muqtadir Fattah Nayeb
Aniqa Tahsin Anchal
LEARNING OBJECTIVES
• Identify the primary channels through which services are delivered
to end customers.
• Provide examples of each of the key service intermediaries.

• Discuss the benefits and challenges of each method of service
delivery.
• Outline the strategies that are used to manage service delivery
through intermediaries.
THE MEGAMINDS
OUTLINE
• Service Distribution
• Direct or Company-Owned Channels
• Franchising
• Agents and Brokers
• Electronic Channels
• Common Issues Involving Intermediaries
• Strategies for Effective Service Delivery Through Intermediaries

THE MEGAMINDS
SERVICE DISTRIBUTION
1. Direct Delivery

2. Delivery of Service Through
Intermediaries

2.1 Franchising
2.2 Agent and Brokers
2.3 Electronic Channels

THE MEGAMINDS
1. DIRECT OR COMPANY-OWNED CHANNELS

Apollo Hospital

IBM Global Services

Jawed Habib

THE MEGAMINDS
2. DELIVERY OF SERVICE THROUGH INTERMEDIARIES

2.1 Franchising

2.2 Agent and Brokers
2.3 Electronic Channels

THE MEGAMINDS
2.1 F RANCHISING

airtel

KFC

Navana Limited

THE MEGAMINDS
TABLE 14.1

B ENEFITS AND C HALLENGES FOR
F RANCHISERS OF S ERVICE
Benefits:
• Leveraged business format for greater expansion and
revenues
• Consistency in outlets
• Knowledge of local markets
• Shared financial risk and more working capital

Challenges:
•
•
•
•

Difficulty in maintaining and motivating franchisees
Highly publicized disputes and conflict
Inconsistent quality
Control of customer relationship by intermediary
THE MEGAMINDS
TABLE 14.1 (CONTINUED)

BENEFITS AND CHALLENGES FOR
FRANCHISEES OF SERVICE
Benefits:
• An established business format
• National or regional brand marketing
• Minimized risk of starting a business

Challenges:
• Encroachment
• Disappointing profits and revenues
• Lack of perceived control over
operations
• High fees

THE MEGAMINDS
AGENTS AND B ROKERS

AVIVA Life Insurance

American Express

Oppenheimer Funds

THE MEGAMINDS
TABLE 14.2

BENEFITS AND CHALLENGES IN
SERVICES THROUGH AGENTS AND BROKERS
Benefits:
• Reduced selling and distribution costs
• Intermediary’s possession of special
skills and knowledge
• Wide representation
• Knowledge of local markets
• Customer choice

Challenges:
• Loss of control over pricing
• Representation of multiple service principals

THE MEGAMINDS
E LECTRONIC C HANNELS

Mobile Banking

Sesame Street

akhoni.com

THE MEGAMINDS
TABLE 14.3

BENEFITS AND CHALLENGES IN
DISTRIBUTION OF SERVICES
Benefits:

Challenges:

Consistent delivery for
standardized services
Low cost

Price competition
Inability to customize with
highly standardized services

Customer convenience
Wide distribution

Lack of consistency due to
customer involvement
Changes in consumer behavior

Customer choice and ability to
customize
Quick customer feedback

Security concerns
Competition from widening
geographies
THE MEGAMINDS
COMMON ISSUES INVOLVING INTERMEDIARIES
Conflict over objectives
and performance

Tension between
empowerment and control

Difficulty controlling quality
and consistency across outlets

Channel ambiguity

THE MEGAMINDS
STRATEGIES FOR EFFECTIVE SERVICE DELIVERY
THROUGH INTERMEDIARIES

• Empowerment Strategies
• Control Strategies
• Partnering Strategies

• Help the intermediary develop
customer-oriented service
processes
• Provide needed support systems
• Develop intermediaries to deliver
service quality
• Change to a cooperative
management structure
THE MEGAMINDS
STRATEGIES FOR EFFECTIVE SERVICE DELIVERY
THROUGH INTERMEDIARIES

• Empowerment Strategies
• Control Strategies
• Partnering Strategies

• Measurement
• Review

THE MEGAMINDS
STRATEGIES FOR EFFECTIVE SERVICE DELIVERY
THROUGH INTERMEDIARIES

• Empowerment Strategies
• Control Strategies
• Partnering Strategies

• Alignment of goals
• Consultation and cooperation

THE MEGAMINDS
Delivering Service through Intermediaries and Electronic Channels
THANK YOU!
THE END

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Delivering Service through Intermediaries and Electronic Channels

  • 1. D E L I V E R I N G S E RV I C E T H RO U G H I NTERMEDIARIES AND E L E C T RO N I C C H A N N E L S THE MEGAMINDS
  • 2. Md. Shafaeth Zaman Nafiz Imtiaz Noor Md. Asiful Islam Md. Ashiqul Islam Md. Saidur Rahman Muqtadir Fattah Nayeb Aniqa Tahsin Anchal
  • 3. LEARNING OBJECTIVES • Identify the primary channels through which services are delivered to end customers. • Provide examples of each of the key service intermediaries. • Discuss the benefits and challenges of each method of service delivery. • Outline the strategies that are used to manage service delivery through intermediaries. THE MEGAMINDS
  • 4. OUTLINE • Service Distribution • Direct or Company-Owned Channels • Franchising • Agents and Brokers • Electronic Channels • Common Issues Involving Intermediaries • Strategies for Effective Service Delivery Through Intermediaries THE MEGAMINDS
  • 5. SERVICE DISTRIBUTION 1. Direct Delivery 2. Delivery of Service Through Intermediaries 2.1 Franchising 2.2 Agent and Brokers 2.3 Electronic Channels THE MEGAMINDS
  • 6. 1. DIRECT OR COMPANY-OWNED CHANNELS Apollo Hospital IBM Global Services Jawed Habib THE MEGAMINDS
  • 7. 2. DELIVERY OF SERVICE THROUGH INTERMEDIARIES 2.1 Franchising 2.2 Agent and Brokers 2.3 Electronic Channels THE MEGAMINDS
  • 8. 2.1 F RANCHISING airtel KFC Navana Limited THE MEGAMINDS
  • 9. TABLE 14.1 B ENEFITS AND C HALLENGES FOR F RANCHISERS OF S ERVICE Benefits: • Leveraged business format for greater expansion and revenues • Consistency in outlets • Knowledge of local markets • Shared financial risk and more working capital Challenges: • • • • Difficulty in maintaining and motivating franchisees Highly publicized disputes and conflict Inconsistent quality Control of customer relationship by intermediary THE MEGAMINDS
  • 10. TABLE 14.1 (CONTINUED) BENEFITS AND CHALLENGES FOR FRANCHISEES OF SERVICE Benefits: • An established business format • National or regional brand marketing • Minimized risk of starting a business Challenges: • Encroachment • Disappointing profits and revenues • Lack of perceived control over operations • High fees THE MEGAMINDS
  • 11. AGENTS AND B ROKERS AVIVA Life Insurance American Express Oppenheimer Funds THE MEGAMINDS
  • 12. TABLE 14.2 BENEFITS AND CHALLENGES IN SERVICES THROUGH AGENTS AND BROKERS Benefits: • Reduced selling and distribution costs • Intermediary’s possession of special skills and knowledge • Wide representation • Knowledge of local markets • Customer choice Challenges: • Loss of control over pricing • Representation of multiple service principals THE MEGAMINDS
  • 13. E LECTRONIC C HANNELS Mobile Banking Sesame Street akhoni.com THE MEGAMINDS
  • 14. TABLE 14.3 BENEFITS AND CHALLENGES IN DISTRIBUTION OF SERVICES Benefits: Challenges: Consistent delivery for standardized services Low cost Price competition Inability to customize with highly standardized services Customer convenience Wide distribution Lack of consistency due to customer involvement Changes in consumer behavior Customer choice and ability to customize Quick customer feedback Security concerns Competition from widening geographies THE MEGAMINDS
  • 15. COMMON ISSUES INVOLVING INTERMEDIARIES Conflict over objectives and performance Tension between empowerment and control Difficulty controlling quality and consistency across outlets Channel ambiguity THE MEGAMINDS
  • 16. STRATEGIES FOR EFFECTIVE SERVICE DELIVERY THROUGH INTERMEDIARIES • Empowerment Strategies • Control Strategies • Partnering Strategies • Help the intermediary develop customer-oriented service processes • Provide needed support systems • Develop intermediaries to deliver service quality • Change to a cooperative management structure THE MEGAMINDS
  • 17. STRATEGIES FOR EFFECTIVE SERVICE DELIVERY THROUGH INTERMEDIARIES • Empowerment Strategies • Control Strategies • Partnering Strategies • Measurement • Review THE MEGAMINDS
  • 18. STRATEGIES FOR EFFECTIVE SERVICE DELIVERY THROUGH INTERMEDIARIES • Empowerment Strategies • Control Strategies • Partnering Strategies • Alignment of goals • Consultation and cooperation THE MEGAMINDS