Welcome to IE detective office. Specialized in the service business crimes.

the client

client name: Icebar Madridaddress: Conde de Romanones 3, Madrid

a type of businesss: barstarting year: 2008

A unique experienceof an ice bar

in the center of the Madrid

core customer value

Extract Commodities

Make Goods

Deliver Services

Stage Experiences

Differentiated

Competitive Position

Undifferentiated

problem?

problem?

The client doesn’t know the problem.

80% of companies believe they provide a superior experience.

Only 8% of customers agree.

1. a field survey

“the scene of the crime”

2. analyze their

servuction model

4. define & analyze

the problem

5. recommendations

3. analyze their

customer relationship

CRIME SCENE DO NOT CROSS CRIME SCENE DO NOT CROSS CRIME SCENE DO NOT

1. a field survey “the customer journey”

Ice Bar Madrid

Sol

PlazaMayor

Location

We can assume the bar owners’ initial business expectation from the location of the bar

Hallway

Lobby

Ice Bar

Counter

Sofa

Jackets

Drinks

Bar

Sofa

Table

Screen

Hallway

Lobby

Ice Bar

Counter

Sofa

Jackets

Drinks

Bar

Sofa

Table

Screen

Hallway

Lobby

Ice Bar

Counter

Sofa

Jackets

Drinks

Bar

Sofa

Table

Screen

Hallway

Lobby

Ice Bar

Counter

Sofa

Jackets

Drinks

Bar

Sofa

Table

Screen

Services by prices

Basic

15€/person

ü  entrance to ice bar

ü  warm coatü  one shotü  one drink

Love

50€/person

Basic +ü  a reserved

tableü  chocolateü  photo

report

Film

150€/person

Basic +ü  60 minutes

w/ my own photographer

ü  a reserved igloo

VIP

55€/person

Basic +ü  minimum 4ü  ice creamü  premium

drinkü  gloves/

scarf/ backpack

Services by price

2. analyze their servuction model

Servuction Model

Invisible Visible

Invisibleorganization

& system

Inanimateenvironment

Contact personnel/ Service provider

Customer A

Customer B

Benefitsreceived

by A

Visible aspects

Inanimateenvironment

Contact personnel/ Service provider

The iced area (ice walls)

-8°C

Decoration(polar bear,

ice sculpturesIceland images)

Drinks (ice blue cocktail)

a manager@ reception

a super drybartender

a jackethelper

Efforts to evoke some

Nordic atmosphere

Provide basic commercialactions

Invisible aspects

Invisibleorganization

& system

It was literally invisible… because it seems that they don’t have an intented organization and system

three regulation for customers

No credit card No dance No return

!?%$#!!

Invisible aspects

Customer A

3. analyze their customer relationship

Acquisition of first time visitor

WOMPR Touting

Massadvertising

no

Website

no

?nomore ?

SocialMedia

no

TripAdvisor

2.5/5.0

To acquire repeaters

LoyaltyProgram Blogs

SocialMedia Events

no no no ?

“A place once enough”

4. define and analyze the problem

Problem: Customers are not satisfied.

Expectation

Go beyond

Perception

Dissatisfaction

Let’s go back to the crime sceneto find out what were wrong.

Hallway

Ice Bar

Bar

Sofa

Table

Screen

Lobby

Counter

Sofa

Jackets

Drinks

Before entering the Ice bar… (Pre-purchase stage)

Hallway

Ice Bar

Bar

Sofa

Table

Screen

Lobby

Counter

Sofa

Jackets

Drinks

Before entering the Ice bar…

No one at the

reception.

He waited

15 minutes.

No cards!

Jackets were dirty! Only one size.

The lobby interior was horrible.

He felt he were just outside the

frozen meat storage

No sign

of the bar

outside

Hallway

Lobby

Reception

Sofa

Jackets

Drinks

Inside the Ice bar… (consuming stage)

Bar

Sofa

Table

Screen

Ice Bar

Hallway

Lobby

Reception

Sofa

Jackets

Drinks

Inside the Ice bar…

Bar

Sofa

Table

Screen

The bar

was just

too small

Cocktails suck!

Ice Bar

No dance is allowed

Screens plays

1 min length

of Iceland

scenery again

and again Bartender

never smiles

Hallway

Ice Bar

Bar

Sofa

Table

Screen

Lobby

Counter

Sofa

Jackets

Drinks

After the Ice bar… (post-purchase stage)

I was freezing but only cold soft drinks!

No friendly comments or

goodbye at all. Jacket was so dirty and got

allergies.

Toilet in very

bad shape

Failed to manage “HOW” quality clues

Functional(Technical

performances)

Mechanic(Tangibles)

Humanic(Intangibles)

Clue categories Customer perceptions

Rational perceptionsof quality

Emotional perceptionsof quality

WHAT

HOW

The Service Marketing Triangle

Ice Bar

Managers& Bartender Customer

Exotic, fun, extraordinary experienceDelivering promises

The Service Marketing Triangle

Ice Bar

Managers& Bartender Customer

Exotic, fun, extraordinary experienceDelivering promises

X

X

Attributes graph

Uniqueexperience Location

Lowprice

Servicequality Interior

Drinkquality

1

2

3

4

5

Ice Bar

local Bar

Club

Other problem: Business circularity issue

“Who wants to go to the Ice Bar in Winter?”

Business circularity issue

“Are you sure?”

5. Recommendations

Setgoals

Have an organized employee structure

Realistic suggestion to the bar owner

Improvecustomer

experience

Set goals

1. Vision : to continuously provide the one and only nightlife experience to the customers in Madrid

2. Strategy : focus on B2B as a customer and as a partner (Event companies / marketing dept.)

3. Sales goals considering seasonality

4. Set budget (+financing)

Have an organized employee structure

1. Set the organization and system : at least we need a full-time manager

2. Hire : fun & friendly staffs

3. Share goals

4. Service training

5. Manage employees

Improve customer experience

1. Inanimate environment 1) exterior 2) interior 3) food & beverage

2. Service providers 1) provide events not only the space 2) customer focused 3) human services match with the concept

3. When it’s ready, start marketing

(Close the bar unless you’re ready)

CASE CLOSED