Customer Benefit
Packages
Colleen Sweeney
Today we will be
discussing:
• The contents of Customer
Benefit Packages (CBPs)
• CBP design factors and
selection objectives
• American Airline’s CBP
What is a Customer
Benefit Package?
The combination
of tangibles and
intangibles that
comprise a
service
Tangibles and
Intangibles
Service
Provided
Tangibles
Intangibles
Customer
Test your
understanding:
Imagine you have to
visit
your dentist for a
check-up. What are
some
of the tangibles and
intangibles that can
contribute to your
experience as a
patient?
Tangibles
• How well your dentist cleans
your teeth
• How well the dentist identifies
any potential problems with your
teeth
• The use of new technologies in
cleaning and x-ray procedures
Intangibles
• The courtesy and disposition of the
dentist and staff
• The environment of the dentist’s
office
• Set-up of waiting room
• Magazine selection
• The efficiency of the staff in
handling financial arrangements with
your insurance company
Why develop your company’s
Customer Benefit Package?
• The upward
trend in the
business
SERVICE sector
over the past 20
years
• A competitive
edge starts with
a solid CBP
Why develop your company’s
Customer Benefit Package?
• Useful tool for
service providers
to clarify what they
DO and DO NOT
offer through their
services
• Helps to define
service providers’
responsibilities to
customers
Why develop your company’s
Customer Benefit Package?
• Helps service
providers focus
on building their
service strategy
• Successful CBPs
lead to happy,
satisfied
customers
Designing an appropriate
Customer Benefit Package for
your company
• Brainstorm for
ideas about the
aspects of
service your
company wants
to provide
Designing an appropriate
Customer Benefit Package for
your company
• Decide which attributes of
those proposed will be
contained in your CBP
• Research your target market
• The level of emphasis for the
different attributes should
coincide with their importance
to prospective customers
• BE CREATIVE !!!!
Designing an appropriate
Customer Benefit Package for
your company
• The contents of your CBP are
defined…… So now what?
•Tailor your company’s
game plan to satisfy the
elements of the CBP
•This includes changing
processes, systems, and
procedures
Designing an appropriate
Customer Benefit Package
for your company
• We have already discussed the WHAT,
and HOW of CBPs……. so what’s
missing?
WHERE
•Take care to properly
design your facilities so
they can effectively
service the customer
according to the CBP
Differences in Customer
Benefit Packages
• Companies offer different types of
CPBs based upon the types of
services they are providing.
Type of Service
Type of CBP
Highly specialized
Highly customized
Selectively customized
General- Low customization
Moderately specialized
Low specialization
Exercise:
What types of CBPs do the
following businesses employ?
• Accounting
firm
Highly customized
•Money wiring service
Low customization
Accountants tailor work to each customer’s personal needs
The same service is provided to everybody with very little variation
•Restaurant
Moderately customized
The customization is found in the customer’s freedom to order
anything from the menu
Customer Benefit Packages
American Airlines
• American Airlines understands there is
more to flying than just getting to where
you want to go.
According to American Airlines:
“Attention to detail makes all the difference in the
world when you’re traveling. That’s why we’re
dedicated to providing more conveniences and
personal touches on every flight.
Our goal is to make your travel experience more
relaxing and enjoyable, from the moment you step
on board, to the moment you arrive at your
destination. “
Customer Benefit Packages
American Airlines
• American Airlines’ has improved their CBP to
enhance their customers’ flying experiences.
THIS INCLUDES:
• CABIN COMFORT- removal of rows of seats to
create more leg room and plans to create more
overhead bin space
• DINING – expansion of menu to include 9 new
meals ranging from lighter to traditional food
inspired by current trends in nationwide food
preferences
• ENTERTAINMENT- in-flight video programming
allowing flyers to watch “60 Minutes”, “48 Hours”,
and CBS Sports; 12 music channels; in-flight
magazine designed especially for kids
• BUSINESS- Lab top ports and AT&T digital phone
service
Customer Benefit Package
Summary
• In today’s service oriented economy,
its important that your company
develops a strong CBP to stay
competitive.
• Keep in mind that there are many
factors to take into consideration
while designing an appropriate CBP
for your company.