Evaluation method for service branding using word-of-mouth data

Abstract

Development and spread of internet technology contributes service firms to obtaining the high capability of brand information transmission as well as relative customer feedback data collection. In this paper, we propose a new evaluation method for service branding using firms and consumers data on the internet. Based on service marketing 7Ps (Product, Price, Place, Promotion, People, Physical evidence, Process) which are the key viewpoints for branding, we develop a brand evaluation system including coding methods for Word-of-Mouth (WoM) and corporate introductory information on the internet to identify both customer's service value recognition vector and firm's service value proposition vector. Our system quantitatively clarify both customer's service value recognition of the firm and firm's strength in service value proposition, thereby analyzing service brand communication gaps between firm and consumers. We applied this system to Japanese Ryokan hotel industry. Using six ryokan-hotels' data on Jyaran-net and Rakuten travel, we made totally 983 codes from WoM information and analyzed their service brand value according to three price based categories. As a result, we found that the characteristics of customers' service value recognition vector differ according to the price categories. In addition, the system clarified that there is a firm that has a different service value proposition vector from customers' recognition vector. This helps to analyze corporate service brand strategy and has a significance as a system technology supporting service management. © 2012 The Institute of Electrical Engineers of Japan.