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HC2112 Service Marketing & Relationship Marketing
Holmes Institute is committed to providing the highest quality education in a dynamic, student-centred learning environment. Holmes Institute fosters in its Students’ rational thought, intellectual integrity and social responsibility.
HC2112 Service Marketing & Relationship Marketing
Holmes Institute Faculty of Higher Education offers business, creativity and ICT courses that combine disciplinebased excellence with practical application. The faculty operates on campuses in Melbourne, Sydney, Brisbane, the Gold Coast and Hong Kong.
The faculty offers a Bachelor of Business, Bachelor of Professional Accounting, Bachelor of Fashion Business,
Bachelor of Information Systems, and Graduate Diploma in Business, Master of Business Administration and a Master of Professional Accounting. Details about the members of the faculty can be found on the homepage of the Faculty of Higher Education at
At Holmes Institute, the degree programs offer domestic and international students the opportunity to study a set of contemporary units in the field of business, creativity and ICT. These units prepare students for the challenges in business environments of the 21st century. These programs emphasise the global and cross-cultural dimensions of business. Teaching utilises a combination of delivery methods and includes critical analysis and case study methods. A combination of exams, case studies and company analysis are used in assessment.
The degree programs of Holmes Institute focus on the following:
• Critical and Creative Thinking
• Communication
• Cooperation and Teamwork
• Digital Literacy
• International Perspective
• Knowledge and Lifelong Learning
• Social Responsibility and Community Engagement
Welcome from the Subject Coordinator, Iral Scholten-Castillo
The information technology revolution, outsourcing, the emergence of the global village, the increasingly competitive nature of markets, and rising customer expectations… All these factors are realities of today’s business world that present not only formidable challenges, but also great opportunities. The savvy businessperson is one that understands the importance of being able to differentiate oneself, standing out with a competitive advantage by including value-adding service components to their offerings.
HC2112-Services and Relationship Marketing- identifies the complexities involved in the marketing and management of intangible services. The subject explores the importance of building strong customer relationships and its impact on business growth. Students will assess the current service orientation of various organisations and gain the necessary knowledge to develop and implement relevant relationship marketing strategies. Furthermore, students will acquire the knowledge and skills to assess the moments of truth - critical incidents that occur at front and back-stage operational levels- that can lead to significant customer satisfaction or dissatisfaction.
On completion of this subject you will be able to:
Graduates will be able to, evaluate theoretical and practical knowledge of Services Marketing
Graduates will be able to, analyse marketing issues and strategies using core marketing concepts (eg. Differences between Goods and Services, Importance of Physical Evidence, Process and People in service industry, Servicescape, Marketing Mix, SWOT, Segmentation and Positioning) and work with others to develop Marketing strategies.
Application of Knowledge and skills
Graduates will be able to, apply theoretical and practical knowledge of Marketing in the diagnosis of organizational issues and the formulation of appropriate marketing strategies.
Students will demonstrate research skills, showing initiative in consulting the academic literature and integrating fresh ideas into the discourse in preparation for life-long learning.
Students will demonstrate the capacity to write persuasive reports containing sound recommendations, in preparation for their career in business.
Awards Duration Core/Elective Unit weight
BBus, BPA, 1 semester Core 3 credit points
Mode of delivery On campus
Prerequisites Nil
Workload Students are expected to attend all classes
Delivery A weekly three hour class including two hours lecture and one hour tutorial or equivalent
Independent study 5 hours
Unit Coordinator Iral Scholten-Castillo
Students please note:
Holmes Institute provides each student with a Holmes webmail. Faculty and Administrative staff can only communicate with you using your Holmes Institute mail address. Emails from private and/or business email accounts cannot be used and may not be answered.
In class test Week 7 15 % One hour First five weeks topics
Individual assignment Week 10 35% 2000 words Would be able to understand and apply the core concepts of the subject
End of study period final examination: During examination period. Follow time table posted on blackboard.
Examination period 50 % Two hours All the topics from week 1 to week 12
On completion of the above assessments graduates would be able to appraise theoretical and practical knowledge in an International context.
Business Presentations
You are expected to arrive for any presentation ahead of time. If you are late for your presentation, you may not be eligible to present and may not receive any marks. Where a business presentation involves a group, it is expected that all group members are present. Unless your lecturer advises otherwise, students are expected to dress in business attire.
Class Tests
For units for which a class test is part of the assessments, you need to follow the instructions by your lecturer to confirm any material allowed in the class test. You also need to follow any relevant announcement on Blackboard that confirms the date/time and venue of the class test. Please note that for some units the test may be held online. Where applicable, your lecturer will provide you with further details.
Final Examinations
Each trimester concludes with the final examinations that are held during a designated examination period. You are expected to be present for the final examinations, which are held during Examination Week, the exact dates/times and venues are announced via your Blackboard. For each unit you will be allocated a designated seat in one of the examination venues. Your examination venue and seat will be confirmed by the end the teaching period of each trimester via your Blackboard.
In class test Week 7 15 % One hour First five weeks topics
Individual assignment Week 10 35% 2000 words Would be able to understand and apply the core concepts of the subject
End of study period final examination: During examination period. Follow time table posted on blackboard. Examination period 50 % Two hours All the topics from week 1 to week 12
Assessment 1:
In-class test. Test will cover 5 topics from week 1 to week 5 Assessment 2:
Reflective Essay
Choose a real-life service organisation that you are familiar with.
Prepare a flowchart of the back-stage as well as the front-stage operations of this business.
Using this flowchart, explain the significance of the service encounter, and its managerial implications. The written component of the essay should not exceed 2000 words (12 font, Arial or Times New Roman single spaced)
Front stage
2. Explanation of significance of the service encounter
3. Analysis of managerial implications
4. Essay format & presentation
Rubric – Reflective Individual Essay
Logical Sequence: Clearly states concepts, issues and question to be resolved; clearly summarises concepts, findings, and conclusions. Summarises concepts, issues and question to be resolved; clearly summarises concepts, findings, and conclusions, but lacks some details Is vague about concepts, issues and question to be
resolved; clearly summarises concepts, findings, and conclusions does not provide a summary of the whole project
Introduction and Report Contents Provides background into the Service organisation and topics and summarises Provides background into the Service organisation and topics and describes concepts Provides background into the Service organisation
important findings, describes concepts and relevant findings, illustrates problem to be solved; explains the significance of the elements, concepts, issues and problem to an audience of nonspecialists and relevant findings, problem to be solved; and topics, but does not describes concepts and relevant findings, problem to be solved, and does not explains the significance of the elements, concepts, issues and problem to an audience of non-specialists
Discussion of the topic concepts and elements.
Addresses the topic with clarity; organises and synthesises information; provides examples, and draws conclusions Addresses the topic; lacks substantive conclusions; sometimes digresses from topic of focus Presents little to no
clarity in formulating conclusions and/or organisation of information
Presents a logical explanation for findings; presents clear recommendations and/or implications for future resolutions Presents a logical explanation for findings Does not adequately explain findings
Mechanics, documentation and Harvard referencing
Is free or almost free of errors of grammar, spelling, and writing mechanics; appropriately documents sources. Correct Harvard format Has errors but they don’t represent a major distraction; documents sources. Has errors that obscure meaning of content or add confusion; neglects important sources or documents few to no resources
Prescribed Textbook: (Compulsory)
Lovelock, C., Patterson, P. & Wirtz, J. (2011) Services Marketing: An Asia-Pacific and Australian Perspective, 5/e, Pearson.
Recommended Reading
Risk preferences and the marketing of financial services: Segmentation by birth order, Rink, David R ; Roden,
Dianne M ; Cox, Steven R . Journal of Financial Services Marketing 18.1 (Mar 2013): 17-26
The Effect of Customers’ Social Media Participation on Customer Visit Frequency and Profitability: An Empirical Investigation, (2013), Rishika Rishika (Texas A&M University), Ashish Kumar (Aalto University), Ramkumar Janakiraman (Texas A&M University), and Ram Bezawada (State University of New York, Buffalo), Information Systems Research; vol. 24, no. 1 Market Segmentation 21 mar 2014 Please note that your lecturer may supply additional reading material
1 Lecture 1 New perspectives on marketing in the service industry 1 n/a
No Tut
2 Lecture 2 Customer behaviour, culture and service encounters 2 Review questions 2,4,5 & 8 page 32
Tut Mini case: Long-stay airport parking services P31
3 Lecture 3 Positioning services in competitive markets 3 Review questions
2,4,7&9 page 66
Tut Flowcharting: How to draft a front stage and a back stage
Mini-case: Personal trainers- a growth opportunity P65
4 Lecture 4 Developing services products: core and supplementary service elements 4 Review questions
Tut Mini-case: Flight centre from ‘The price beat guarantee to Unbeatable’ P92
5 Lecture 5 Distributing services through physical and electronic channels
Understanding costs and developing pricing strategy 5 & 6 Review questions
Page 127
Tut Mini case: The Hong Kong Airport express P126
6 Lecture 6 Balancing productive capacity and demand 7
Review questions
2, 4,5,6 & 8 Page 161
Tut Review questions Q1, Q2 & Q8 page 193
7 Lecture 7 Integrated services marketing communications 8
Review questions
Q 1, Q2 & Q4
Page 226
In-Class test
Tut Mini case: Managing capacity and demand at a Yoga centre P225
8 Lecture 8 Managing the customer service function 9 Review questions 2 3 & 7
Tut Mini-case: Marketing Australia to the world P258 page 259
9 Lecture 9 Crafting the service environment 10 Review questions 1, 2, &
Page 286
Tut Application questions
10 Lecture 10 Customer satisfaction and service quality 11 Review questions 2, 6 & 7 page 311 Individual assignment
Friday 5.00 pm
Tut Application questions
11 Lecture 11 Managing customer relationships 12
Tut Presentations Assessment
2 Report And
Presentatio n Due
12 Lecture 12 Handling customer complaints and managing service recovery
Managing people for service advantage 13
14 Revision and
Prep All
assessment s must be
completed to sit Final
Note: Students must consult the Academic Calendar for the dates of the Study and Examination Week.
To be eligible to pass this unit, you must complete all forms of assessment and demonstrate achievement of the learning outcomes. All assignments must be submitted electronically ONLY using a word processor, uploaded to Blackboard via the Final Check and Submission of SafeAssign.
Submission deadlines are strictly enforced and a late submission incurs penalties of 5 (five) % of the assessment value per calendar day unless an extension and/or special consideration has been granted by the lecturer prior to the assessment deadline. Unless an extension and/or special consideration has been granted, no assessments are accepted after 14 calendar days of the due date, or the end of the trimester for assessments due later in a trimester. Students need to allow up to 24 hours for the Final Check of their assignment submission to SafeAssign to be available.
Results, including the final grade, can be viewed via the Grade Centre on Blackboard. Results for all assessments are usually published within two weeks of the due date of the assessment, and the final examination respectively. Students who wish to appeal their mark for any assessment are advised to do so within 14 days of the publication of results (please follow the procedures outlined in the Student Handbook).
Please note that students are eligible to view any of their assessments. For continuous assessments during the teaching period, students need to contact their lecturer immediately after the publication of results. For viewing of the final examination script, students need to complete the respective form (available on your Blackboard) and pay the applicable administrative fee. The form needs to be submitted within 14 days of the publication of the final/overall results. Please note that there is no review/remark option available for any student assessments.
Holmes Institute views any forms of academic misconduct as most serious offences. Academic misconduct in any form, including plagiarism, contract cheating and cheating in a class test or examination, is not tolerated and will be dealt with according to the policies and procedures set out in the Holmes Institute Student Handbook.
Plagiarism occurs when one uses another person’s ideas or manner of expressing them and passes them off as one’s own work by failing to give appropriate acknowledgement (that is, referencing the source). It is important that student reference their work appropriately. The Faculty of Higher Education at Holmes Institute uses the Harvard style of referencing. A detailed guide to referencing can be found in the Student Handbook and Resource Centres. It is expected that you will be familiar with the Harvard style of referencing.
* This grade is sometimes referred to as a conceded pass at other institutions
Explanation of Letter Grade
HD Outstanding work which exhibits sophisticated understanding and critical synthesis, analysis and evaluation of the unit matter. While the work utilizes opinions of others, judgements about the value of the unit matter are made and drawn together in an organized whole. Gaps in the unit matter might also be identified and the implications discussed.
D Substantial work of high quality, which demonstrates a clear understanding of the unit matter, in which the relationship between the constituent elements are identified clearly and discussed with some level of critical analysis. The work also applies abstract ideas in concrete situations.
CR Sound and competent work, which demonstrates a reasonable but not complete grasp of the unit matter. The work utilizes recall and paraphrases the work of others concerning the unit matter. Some basic level of critical analysis is evident. Originality in the work is rarely evident.
P Work that demonstrates a satisfactory engagement with the unit matter such that the student is said to have a general understanding of the field. Provides an adequate basis for further study.
NN Did not meet the learning objective of the unit
Holmes Institute uses Blackboard Learn as its online learning platform. All students enrolled have access to Blackboard and it is imperative that students log onto their Blackboard immediately after they enrol for the trimester. Blackboard Learn allows students to view and download their lecture material, grades, important announcements on their units and discussion rooms for selected units.
Please note that it is the student’s responsibility to check Blackboard on a regular basis. It is expected that students will have viewed lecture materials and additional readings before class. All students are advised to familiarize themselves with the use of Blackboard. Guides to Blackboard are available in the Resource Centre on each campus. Should you have difficulties accessing and/or using Blackboard, please contact your lecturer or the Holmes Institute Blackboard Helpdesk on:
As part of their degree studies, students are expected to engage in additional research. Textbooks and teaching materials available in the Resource Centre will be of use here. In addition, current students have access to a range of electronic academic journals via ProQuest, which is accessible once you log into Blackboard. Holmes Institute also supports students using Google Scholar.
Should you require any assistance with the use of ProQuest and/or online research, please contact your lecturer and/or the Resource Centre staff on your campus.
Students who have difficulties with their studies and/or specific forms of assessment are encouraged to contact their lecturer/tutor, academic mentor or the Student Engagement and Support Coordinator.
Holmes Institute offers regular Academic and Study Skills Workshops throughout the semester, which are useful addressing important academic skills and are free for any student to attend. Students with insufficient academic progress may be required to attend these workshops and sessions with the Academic Progress Team.
Academic and Study Skills Workshops are offered throughout the trimester for essay writing, doing research using ProQuest, giving business presentations, referencing and examination preparations. Announcements are made on your Blackboard and on noticeboards on campus.
Do I need to obtain 50% in each assessment to pass a unit?
NO, in order to pass any unit, you need to meet two requirements, namely achieve an overall mark of 50 or more AND obtain at least 40% of possible marks in the final examination or a major assessment (hurdle or threshold requirement).
I missed an assessment for a unit; do I now fail the unit?
Whilst Holmes Institute requires that you attempt all pieces of assessments prescribed for any unit, there may be circumstances, where you can still pass a unit even if you have missed an assessment. When you miss a class test due to medical reasons and you submit a Special Consideration Form within three working days, for example, you may be eligible to have the weight of the class test added to the final examination. Please see the Student Handbook for details.
Can I view my assessments?
As a student, you are entitled to view any of your assessments, that is any assignment but also the class test for any unit, and upon request/application also the final examination script. Please see the Student Handbook for details.
Where can I see my marks and grades?
The results for your assessments other than the final examination will be available via the Grade Centre on your Blackboard. The final examination and overall result with be available via LUNA. Please ensure that you familiarise yourself with the letter grades, especially for the temporary grades of NS (supplementary examination awarded) and ND (deferred examination), which can be found earlier in this unit outline.
I got a final result of 52/NS. Have I passed the unit?
NO, as the letter grade NS (supplementary examination awarded) indicates, you have not passed the unit, but you have been awarded the opportunity to pass the unit if you successfully pass the supplementary examination. Please familiarize yourself with the Supplementary Examination Policy in the Student Handbook.
When do I need to attempt a NS/supplementary or ND/deferred examination?
If you have been awarded a supplementary (NS) or deferred (ND) examination, you are required to sit the examination during the next examination period for these examinations, which is usually different from the final examination period at the end of the teaching period each trimester.
I missed to sit for a NS/supplementary or ND/deferred examination, do I have to repeat the unit?
YES, if you do not attempt any supplementary or deferred examination during the designated examination period, you will receive a Fail/NN or NX grade and you have to repeat the unit.
I have a question about the unit material and/or assessments, who do I contact?
For any questions related to any unit you study, the first point of contact is always your lecturer. The information on your lecturer can be found in the unit information section on your Blackboard. Please ensure that you use your Holmes Webmail for any email correspondence with your lecturer.
I did not submit my assignment by the due date; can I still submit and receive marks?
If you submit your assignment after the due date, penalties of 5% of the weight of the assignment apply per day that you submit late. A maximum penalty of 50% applies. Your lecturer may not accept your assignment if you submit later than 14 days after the due date though and we advise that you need to contact your lecturer.
I am not a member of a group for my group assignment. What do I do, can I submit individually?
If you work submit a group assignment individually, you may be penalized and only receive 50% of the mark of your assignment. If you don’t have a group to work with, please urgently consult your lecturer.
I have problems with members in my group. What can I do, who do I contact?
Each group is required to manage its members and contributions. In exceptional circumstances, however, and where initial negotiation attempts of the group members were unsuccessful, you should contact your lecturer.
What is a prerequisite?
If a unit has a prescribed 'prerequisite unit/s', this means that you must have successfully completed that prerequisite unit/s before you study in the unit with the prerequisite. Please see the Handbook for details.
Studying at degree level, you may experience a number of difficulties and/or challenges. These might involve academic, personal and/or professional issues. At Holmes Institute, we have a range of people who can help you with various challenges. The following table identifies contact points should you require any support.
Although we may be able to help on the spot, please note that we can help best if you make an appointment. Please use your Holmes webmail to communicate with staff at the institute at all times.
Information for Current Students Holmes Institute Student Handbook
Academic Probation / Mentoring Academic Mentors, Dean
Accommodation Holmes Institute Home Stay
Computers, Blackboard, Email IT and Blackboard Help Desk emails:;
Disability Needs Holmes Institute Campus Directors
Employment and Careers Career Development Team
Enrolment Higher Education Coordinator on Campus
Exams Higher Education Coordinator on Campus
Financial Issues Holmes Institute Campus Directors
Personal Issues Dean, Student Engagement and Support Team, Campus Director
Proquest Database Librarian on Campus
Study Skills Student Engagement and Support Team
Visa Issues, COEs etc. Higher Education Coordinator on Campus
This unit outline was prepared by the Course Development Team for the Undergraduate Programs, Faculty of Higher Education, Holmes Institute. It was correct at the time of publication. Change to the Unit Outline may occur at any time. However, the Faculty of Higher Education endeavours to inform the students accordingly. This publication is copyright. Apart from any fair dealing for the purpose of private study, research, criticism, or review as permitted under the Copyright Act, no part may be reproduced by any process or placed in computer memory without written permission. Enquires should be made to Holmes Institute Faculty of Higher Education. © Copyright 2018.
Analyse Show the nature of something identifying the essential elements and how they are related.
Argue Present the case for and/or against a particular proposition.
Compare Identify the characteristics/qualities that resemble each other. Look for similarities but also differences.
Contrast Emphasize differences between things, events, problems or qualities.
Criticise Express your judgement about the truth of factors or views mentioned. Come to conclusions and discuss the positive points as well as possible limitations.
Define Give clear and concise meanings of an item. Do not provide a detailed explanation but include limits of the definition and how the item defined differs from other items.
Describe Recount, characterise, outline and relate in sequence.
Discuss Examine, analyse and give reasons for and against. Be comprehensive in your answer and give details, usually to assess how satisfactory something is.
Evaluate Carefully appraise in relation to some standard including advantages, limitations, the costs and benefits as appropriate; attempt to make a judgement.
Examine Investigate critically, appraise a unit or matter in detail.
Explain Clarify, interpret and elaborate on the material presented. Give reasons for differences of opinion or results, and try to analyse reasons behind it.
Illustrate Use a concrete example, diagram or figure to explain or clarify a problem or issue.
Indicate Identify and then focus attention so as to clarify.
Justify Prove or give reasons for particular conclusions or decisions.
Outline Present the main features or aspects showing main points and subordinate points. Do not include minor details and emphasize the classification of things.
Review Examine a unit critically, analysing and commenting on important or controversial statements.
State Present the main points in a brief and clear sequence. Do not give specific details or examples.
Summarise Give the main points or facts in a condensed, concise form.
(Source: Adapted from Monash University,, accessed 14
February 2013)
Academic Calendar 2018
2018 Trimester 1
12 – 16 Mar 2018 Orientation Week (New Students only)
02 Mar 2018 Last date for fees payment (continuing students only)
19 Mar 2018 Trimester 1 Lectures begin
09 Apr 2018 Census Date*
09 June 2018 Trimester 1 Lectures end
10 – 14 June 2018 Study Week
15 – 24 June 2018 Examinations Week (exams may be held on all days of the weekend)
24 June 2018 Trimester 1 ends
09 July 2018 Publication of results
24 June – 16 July 2018 Holidays
2018 Trimester 2
16 – 20 July 2018 Orientation Week (New Students only)
06 July 2018 Last date for fees payment (continuing students only)
23 July 2018 Trimester 2 Lectures begin
13 Aug 2018 Census Date*
13 Oct 2018 Trimester 2 Lectures end
14 – 18 Oct 2018 Study Week
19 – 28 Oct 2018 Examinations Week (exams may be held on all days of the weekend)
28 Oct 2018 Trimester 2 ends
12 Nov 2018 Publication of results
28 Oct – 12 Nov 2018 Holidays
2018/9 Trimester 3
02 Nov 2018 Last date for fees payment (continuing students only)
12 Nov 2018 Trimester 3 Lectures begin
05 Dec 2018 Census Date*
23 Dec 2018 – 4 Jan 2019 Lecture Recess
07 Jan 2019 Trimester 3 resumes
16 Feb 2019 Trimester 3 Lectures end
17 –22 Feb 2019 Study Week
23 Feb – 03 Mar 2019 Examinations Week (exams may be held on all days of the weekend)
18 Mar 2019 Publication of results
* Census Date is the last date for a student to change their enrolment, i.e. add or withdraw from units.