3 Driver: post-sale service and support. Metrics: on-time, first-time fix – the percentage
of problems fixed on the first visit by a service representative who arrives at the
time promised.
Rigby et al. (2000) assessed repeat-purchase drivers in grocery, clothing and consumer
electronics e-tail. It was found that key loyalty drivers were similar to those of Dell,
including correct delivery of order, but other factors such as price, ease of use and cus-
tomer support were more important.
To summarise this section and in order to more fully understand the online expecta-
tions of service quality, complete Activity 7.3.
CASE STUDY 7
Activity 7.3 An example of factors determining online service quality
Purpose
To understand the elements of online service quality.
Activity
Think back to your experience of purchasing a book or CD online. Alternatively, visit a site and
go through the different stages. Write down your expectations of service quality from when
you first arrive on the web site until the product is delivered. There should be around ten
different stages.
visit the
w.w.w.
Refining the online customer experience at
dabs.com
Case Study 7
This case study highlights the importance placed on web
site design as part of the customer experience by dabs.com
which is one of the UK’s leading Internet retailers of IT and
technology products from manufacturers such as Sony,
Hewlett-Packard, Toshiba and Microsoft.
Company background and history
Dabs.com was originally created by entrepreneur David
Atherton in partnership with writer Bruce Smith (the name
‘dabs’ comes from the combined initials of their two
names). Their first venture, Dabs Press was a publisher of
technology books. Although David and Bruce remain firm
friends, Dabs has been 100% owned by David since 1990.
Dabs Direct was launched in 1990, as a mail-order firm
which mainly promoted itself through ads in home tech-
nology magazines such as Personal Computer Worldand
Computer Shopper.
Dabs.com was launched in 1999 at the height of the dot-
com boom, but unlike many dot-com start-up businesses,
dabs.com was based on an existing offline business.
In its first year, dabs.com was loss-making with £1.2 mil-
lion lost in 2000–1; this was partly due to including free
delivery as part of the proposition to acquire new customers.
In 2003, the company opened its first ‘bricks and
mortar’ store at Liverpool John Lennon Airport and it has
also opened an operation in France (www.dabs.fr). The
French site remains, but the retail strategy has now ended
since margins were too low, despite a positive effect in
building awareness of the brand in retail locations.
Strategy
The importance that dabs.com owners place on customer
experience and usability is suggested by their mission
statement, which places customer experience at its core
together with choice and price. Dabs.com’s mission is:
to provide customers with a quick and easy way of
buying the products they want, at the most competitive
prices around, delivered directly to their door.
Growth has been conservatively managed, since as a
privately held company dabs.com has to grow profitably
rather than take on debts. Dabs.com has reviewed the
potential of other European countries for distribution and
may select a country where broadband access is high such
as Sweden or the Netherlands. Countries such as Italy
where consumers traditionally prefer face-to-face sales
would not be early candidates to target for an opening.
In terms of products, dabs.com has focused on comput-
ers and related products, but is considering expanding into
new categories or even ranges. Initially these will be related
to what computer users need while they are working.
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