Customer Experience Analysis: Spark New Zealand Service Review

This report presents a customer experience analysis of Spark New Zealand, focusing on a negative service interaction involving a phone screen replacement. The report begins with an introduction to customer experience and its importance, followed by background information on Spark New Zealand and the challenges it faces, including competition and spectrum allocation. The core of the report analyzes areas requiring management attention, specifically customer support response time, long waiting times, and stock management issues. The analysis highlights the impact of slow response times, lengthy waits, and inventory problems on customer satisfaction and loyalty. The report concludes with suggestions for improvements in these areas, emphasizing the need for enhanced customer support responsiveness, streamlined service processes, and efficient stock management to improve overall customer experience and maintain a competitive edge. The report references several academic sources to support its analysis and recommendations.

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Customer Experience Analysis
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Table of Contents
Introduction and Background......................................................................................................................3
Introduction...........................................................................................................................................3
Background............................................................................................................................................3
Issues/challenges facing the Industry...................................................................................................4
Competition.........................................................................................................................................4
Accrediting and spectrum group allocation.......................................................................................4
Analysis and discussion of areas of Management Attention.......................................................................4
Customer experience analysis...............................................................................................................4
Areas of Management Attention...........................................................................................................5
Customer support response time.........................................................................................................5
Long waiting time...............................................................................................................................7
Stock management..............................................................................................................................8
Suggestions for improvements....................................................................................................................9
Customer service response time.........................................................................................................10
Long waiting time................................................................................................................................11
Inventory control and management...................................................................................................11
References.................................................................................................................................................13
Appendices................................................................................................................................................15
Appendix 1: Company information and service concept..................................................................15
Appendix 2: Customer experience analysis.......................................................................................15

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Introduction and Background
Introduction
Constructive customer experience is essential for a business's success since a satisfactory
consumer is a loyal one and helps the Company expand its revenue. Lemon & Verhoef (2016)
define customer experience as the impression consumers have on a company’s brand throughout
their buying journey. According to them, offering a positive experience help a business attract
new customers and retain the existing customers. This results in the Company attaining a more
significant market share and income, as customers help promote brand awareness remarkably.
Poor service causes a reduction in the number of customers to the Company. According to Meyer
& Schwager (2007), unsatisfactory service reduces the business's expansion since a reduced
number of customers causes reduced sales, resulting in losses in the Company. Therefore, a
business must offer good services that promote loyalty and retain consumers. The essay will
explore my service experience with Spark New Zealand to replace a phone screen where I had an
unsatisfactory experience. I will first detail the background information concerning Spark New
Zealand and the challenges facing the Company. I will then analyze and discuss management
attention areas by identifying the main areas for management attention. Finally, I will offer
suggestions for improvement, depending on the issues I have identified.
Background
Spark, New Zealand Company, is among the largest telecommunication company in New
Zealand. Pralong, Inacio, & Fleming (2019) state that the Company was started in 1987 from a
separation of the New Zealand Post Office. The Company's primary services include ICT
solutions, internet services, fixed telephone services, mobile networks, and home automation.
According to Pralong et al. (2019), the Company offers its products and services to enterprises
across New Zealand. The Company functions both locally, in the United States and Australia.
Initially, the Company started with a name known as Telecom New Zealand, but later in 2014, it
changed to Spark New Zealand Limited after being rebranded. For more information concerning
the Company and the service concept, please refer to appendix 1. The Company's customers
entail consumers, small enterprises, medium, and large businesses. Spark offers its goods and
services to its customers on a self-service basis via its online stock. This allows customers to buy

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goods and services without interrelating with the Firm's sales workers. Moreover, the
organization provides a personalized service via its retail channels system, with sales personnel
responsible for handling consumers' concerns in person. This enables customers to acquire
proper assistance from the Company.
Issues/challenges facing the Industry
Just like any other company, the telecommunication industry faces many challenges that tend to
hinder its progress. Ameen & Willis (2016) discusses the various challenges facing Spark New
Zealand Limited. The challenges include competition, accrediting, and spectrum group
allocation. Controlling several vendors and daily backup operation is complicated and time-
consuming. In addition, restoring data requires a lot of resources rendering it expensive.
Competition
Locke & Cave (2018) establish that the competition between Spark and other companies such as
2Degrees and NOW that offers the same services benefits the customers. Since these firms
provide the same services, Spark is likely to lose customers to such competitors due to the
quality of services it offers. Losing customers to competitors is a big challenge to the Industry
since it negatively affects the Company's revenue. Moreover, the Company's market share is
likely to reduce.
Accrediting and spectrum group allocation
The utilization of various mobile services needs an expanded spectrum. According to Locke &
Cave (2018), spectrum group allocation within the Company will bring essential profits to the
firm, especially at a lower price. It will enable a unified appliance system to be used by
customers. Moreover, mobile services' effectiveness depends on range allocation, especially with
the increasing use of smartphones by young consumers. Therefore, resolving this issue will help
promote the growth of the Industry
Profitability challenges
The Spark New Zealand faces a change of increased price due to the migration of fixed-line
calling services to new services resulting from the fiber's installation. Additionally, the Company
is likely to incur losses since the customers being new to the service will get free services for
twelve months. By giving customers free service for twelve months, Spark is trying to increase

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clients' numbers to the service. However, as customers get used to the free service, it will be
difficult for them to pay for the service after 12 months. According to Nayak, Santoso, &
Buchanan (2002), this will significantly affect the company's profitability.
Analysis and discussion of areas of Management Attention
Customer experience analysis
Services offered to customers usually create emotions towards those services. Uusitalo (2012)
denotes that the reactions can be positive and negative and often leads to customers’
remembrances concerning the experience. My customer experience with Spark New Zealand led
to a negative response that generated poor memory towards the service I received from the
Company. In early 2017 I bought my Samsung smartphone from the Spark store. After one year
of use, the phone screen stopped working without any sign of damage. I decided to research the
warranty period the phone had and discovered it had a warranty for one to two years. I contacted
their customer support through their available contacts, but they took long before answering my
call. Additionally, I emailed them concerning the problem, but my email was replied after two
days. On arrival at the store, my experience went from good to poor (see appendix 2 for the
detailed customer experience analysis). I was warmly welcomed at the reception desk and told to
wait for my turn since other customers were waiting to be served regarding their issues. At first, I
thought it would take a few minutes before I receive the service, but unfortunately, I waited for
more than three hours before I got served. At the repair and placement section, the employee,
after inspecting my phone and the document I had concerning the phone condition and warranty,
assured me that my problem would be fixed. Concerning the problem I had, the only solution
was to replace the phone screen. The employee had to request another phone screen from their
stock but was told that screens compatible with such phones were not available at the moment. I
was told to come back after two days since they would have restocked their items. At last, my
phone screen was replaced after lots of strains.
Areas of Management Attention
My general experience with Spark left me with bad memories concerning the service delivery
within the organization. According to Bergman & Klefsjö (2010), a satisfied customer would
always remain loyal to the Company. Moreover, the same customer will spread word of mouth to

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other consumers who want to obtain services from the same Company. By doing so, the market
share of the Company would be increased. Unfortunately, my experience was not good and
required a review of every step of my customer experience. Starting with customer support, long
waiting time, and stock management.
Customer support response time
Chen & Tsou (2012) maintain that customer support has a responsibility to show each in the
Company that customer service is the organization's primary influence. They must ensure that
customers are always happy with the services they receive. According to Chen & Tsou (2012),
customer support is essential in retaining customers to the Company and obtaining value from
consumers. Concerning the experience I had with customer support, I think this area requires
management attention. The customer service response time was insufficient since they took long
before answering my call and reply to my email. Customer retention depends on how fast a
company is at responding to customers' needs. A company that is slow at responding to
consumers' needs is likely to lose its customers to its competitors. Jerger & Wirtz (2017)
emphasize that since customers' first step is contacting customer support regarding their issues,
their service experience is important in outweighing competitors. Responding fast to their
request will help increase the Company's market share. Therefore, managers should understand
how customer retention begins with customer support response time and feelings customers have
towards the service. Additionally, the quality of service given to customers depends on customer
support's responsibility and commitment, which later influences customers' emotions.
The poor Spark’s customer support response time could be the fact that the employees are
overworked and are not inspired. Jerger & Wirtz (2017) explain how workload and inspiration
affect employees' performance and commitment. According to them, various companies rely on
customer support to increase their market share and outweighing competitors. However, the
obligations and efforts employees dedicated to their work are not enough to boost the Company's
performance. Therefore, inspiring the customer support team and reducing their workload is
essential in expanding and retaining customers. Yoo, Arnold, & Frankwick (2012) establish that
the first employees that customers contact regarding their concerns are customer support. The
rate at which their request will be reacted will create an impression concerning the Company.
Therefore, their interaction with customer service should encourage creating a positive image of

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the Company. Besides, company managers should understand that service starts from the
interaction between customers and customer service employees to the point where their problems
are solved. All the stages the customer is referred to consist of employees who are specialized in
those areas. Proper interaction between employees and managers is vital since workers must be
more committed to their job. Yoo et al. (2012) stress that a good connection and interaction
between managers and employees boost workers’ commitment and performance. In Spark New
Zealand, the workers could have lacked a proper interaction between them and their managers.
This could be the reason that led to poor response time to customers’ problems and concerns.
Moreover, delaying to give the correct tool to react to consumers' concern could be the reason for
poor response time. Thus, it is vital to create a proper interaction between customer support staff
and managers since this will help satisfy customers' needs. Besides, reducing workloads by
employing email autoresponders will help keep customers in the loop and control their
expectations.
Long waiting time
Although Spark New Zealand is the leading telecommunication industry, customer satisfaction
remains a crucial concept. Pugh (2001) denotes that customer satisfaction depends on the
management of services the customer encounters. To ensure proper management of services a
customer experiences, Spark New Zealand should provide appropriate communication among all
the employees. Starting from the customer support staff to the technicians dealing with the repair
and replacement. Arif, Zubair, & Manzoor (2012) describe communication as a connection
among workers that allows the flow of information from one employee to the next within an
organization. The process of service entails employees communicating customers' concerns with
each other. For instance, when I contacted Spark New Zealand customer support, it would have
been better for them to pass the information to the store so that when I arrive there, there would
be no need for me waiting for long to be served. Waiting for long is disadvantageous to the
Company's service operation. Moreover, many customers do not like the idea of waiting for long
to be served. This is because of the lack of patience that could result in customers giving up and
seeking alternatives to their problems. Additionally, waiting for long could generate a negative
attitude toward the firm's quality of service.

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The service I experienced at the Spark’s store led to a negative perception concerning the service
I intend to get. Waiting to be served was the worst experience I had. When I contacted the
Company's customer service center, I had to wait to respond to my concern. Additionally, at the
store, I waited too before being served. All these experiences created a negative feeling
concerning the service. Luo et al. (2004) assert that as customers wait to get services, the waiting
experience is usually negative and affects the customer's satisfaction. Moreover, waiting scares
customers away, which later influence the Company's bottom line. When customers wait for
long, they may decide to leave the store and never come back again. According to Luo (2004),
many customers tend to remember a negative experience than a positive experience. This implies
that a negative experience remains in mind and always reminds a consumer concerning a
remarked waiting time consumer gratification. When customers wait for long or leave without
being served due to the long queue, they are likely to destroy the image of the Company.
Additionally, they will not help promote the Company's service. This will negatively impact the
market share and sales of the Company.
Since long queues discourage customers, creating a negative impression, Spark should consider
paying more attention to concepts that will help reduce waiting time. According to Nie (2000),
the client won't mind waiting at first, but as they become tired, they tend to be more frustrated
and emotionally stressed. Nie (2000) further emphasizes that long queuing impacts the
Company; the business must comprehend a long waiting period's psychology. When consumers
feel tired, they always think about the duration they have spent waiting to be served. Their
minds tend to focus on their tiredness that triggers their perception regarding the services offered
in the Company. Ideally, when customers are tired, their perception of time is much longer than
the actual time. Therefore, company managers should consider keeping consumers entertained to
distract their waiting time. While they wait to be served, distracting customers is the best way of
managing long waiting times. Moreover, there will be no space for boredom since they will have
something that grabs their attention. Customers will not realize if they have stayed for long
before being served, and therefore, the Company's reputation will be maintained.
Stock management
Deveshwar & Modi (2013) state that stock management is vital in lowering holding costs and
ensuring that customer satisfaction is attained. According to them, stock management entails

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storing and managing inventory so that when customers require them, reaching them is fast. At
the Spark store, I did not receive the service I wanted immediately. The reason was that the stock
had depleted, and they had to restock before I could get my phone screen replaced. Such
experience is likely to create a negative feeling towards the service offered. Since customer
gratification is essential for the growth of a company, controlling stocks is vital. Customers who
fail to get the item they want are likely to feel unsatisfied and tend to find the solution elsewhere.
According to Deveshwar & Modi (2013), the main aim of keeping stock at a required level is to
gratify consumer want. They further emphasize that a company that fails to satisfy consumers
because of a shortage of stock risk losing those consumers to its competitors. Moreover, losing
customers is disadvantageous to the Company since its market share will be reduced. The long-
term impact will be reduced sales due to a low number of the customer.
In the current technology world, many customers, especially the young generation, have shifted
to smartphones. With smartphones, they can browse whatever they want and chat online using
their mobile data. Therefore, the probability of such generation buying lots of smartphones and
replacing screens with their current phones is high. Rosen et al. (2013) explain that failure to
satisfy customers' needs during the peak period is the worst experience. When customers require
service, they may fail to wait for the stock to arrive and seek the available options. Therefore,
keeping the warehouse functioning effectively will allow employees to realize if the store is
depleted. According to Rosen et al. (2013), the main factor influencing consumer gratification is
the time taken to restock the warehouse. Many customers consider buying goods and services
from companies that respond to their needs fast. Moreover, having stock ready to meet customers
want is important for lowering lead time. Proper stock management help keep consumer
gratification when it comes to item returns. When an item is returned to the store because it is
damaged or failed to work and is still under warranty, the Company can quickly arrange with the
manufacturer and replace it to keep customers satisfied.
In some cases where part of a product requires a repair or replacement, it is vital to be updated on
such issues to satisfy consumers whenever they need the service. Masudin et al. (2018) establish
that offering customers with the correct information concerning the inventory is a good service
that enhances the organization's image and helps retain customers to the Company. At my first
experience with the company customer support, if there were an interaction between employees,

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I would have gotten the information concerning stock availability in the warehouse. This would
have minimized the time I spend going to the store and queuing to be served. Poor understanding
of what customer service entails results in poor client service. Moreover, having unqualified staff
to respond to customers concern leave the customers unsatisfied. Sometimes companies seem to
ignore the stock control, which plays a significant role in enhancing customer service.
Reasonable stock control enables a company to meet item demand and supply it to the right
customer at the right time. A clear understanding of customer requirements concerning the stock
the Company has is crucial to reasonable stock control and management. In addition,
understanding the items that are on demand can help the company stock more.
Suggestions for improvements
Bowen & Chen (2001) affirm that since customers are the driving force of a company’s success,
their satisfaction is crucial. Satisfied customers will always remain loyal to the Company.
Besides, they help the Company spread word of mouth to other customers, increasing the market
share of the Company. Concentrating on the areas that caused a negative experience, I suggest
improvements in such areas. The areas include customer support response time, long waiting
time, and inventory management.
Customer service response time
Whenever a customer has a problem, they will not think of going directly to the Company's
store; instead, they look for the Company's customer service contacts. According to Mattila &
Mount (2003), customer support is the easiest way to reach out to the Company. A good
customer service a consumer can get from customer support is quick response time. Reacting fast
to consumers' concern implies that less work will be left for the customer support team. More so,
a fast response is one way of growing the business. Since customers are the Company's source of
income, making them happy is crucial. However, regarding my experience with customer
support, my call took long before being answered. Additionally, the email I sent was replied after
two days. The experience left me with negative memory concerning the service I received. I
therefore, suggest the Company to make improvements that will reduce response time. The
Company can execute consumer service software to make its inbox more controllable. The
software stores all the conversations the Company has had with its client. With the stored

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conversation, the Company's staff can quickly review and comprehend customers' problems.
Moreover, the information gotten can be useful in preparing a response to consumer's concerns.
Email autoresponders' employment can also be useful in keeping consumers in the loop and
controlling their anticipations. According to Lamontagne & Lapalme (2004), customers, after
sending their emails, only want to know that their mails have been received, and they will soon
get answers. If they remain waiting without any glue, they start developing negative feelings that
tend to destroy their relationship with tto waitany. Sometimes, emails can go missing or take too
long before being answered due to lots of emails. To avoid such a situation, a company can
employ a time-based alerts to ensure that no emails get lost or take too long before being
responded. Moreover, the Company time-based alerts templates and script shortcuts to ease the
period it requires to compose each email. This way, whenever customers present their problem,
the customer support staff sent the templates corresponding to customers' concerns without
taking time composing new responses. The Industry can classify all the incoming client service
emails and react to them regarding importance.
Long waiting time
Bielen & Demoulin (2007) establish that long waiting time destroys customers’ loyalty,
relationship, and gratification. According to them, long waiting times create a poor customer
experience and increase business employees' workload. As customers continue to wait for the
service, more customers will be coming for the same service loading more work for the staff.
Therefore, by improving the long queue, the Company is able to attain customer satisfaction and
reduce employees' workload. Besides, increased market share and sales will be realized in the
long-run. More often, the problem of long waiting times can be attributed to fewer workers.
Therefore, if a company can employ more staff to handle customers, there will be no client
queuing. Although this suggestion can help solve the problem, it requires more funds to pay the
employees. This will, in turn, affect the revenue of the Company. Concerning my experience
with Spark, I suggest the Company to improve communication among employees. Starting from
the customer support team to the employees at the inventory section. Suppose customers contact
customer service and explain their problems. In that case, the customer service can then
communicate to the responsible employee so that feedback on either the client can visit the store

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or wait for the stock's arrival before being served. This will help reduce the time to travel to the
store and wait to receive the service.
Additionally, if customers have already traveled to the store and told to queue before being
served, it is essential to keep them entertained. This will not only reduce boredom but will
improve perceived long waiting times. Luo (2004) explain that perceived long waiting time is
worse than the actual waiting time. This can cause customers to leave unattended and never
come back. Therefore, by entertaining them, they will not realize that they have spent a long
waiting for the service. Alternatively, the Company can consider making a pleasant waiting
environment. This can be through the provision of seats and thcreation of an environment that is
less noisy.The noisy room will only add frustrations and stress. If customers are provided with a
quiet environment, they will focus more on explaining their concerns and getting help.
Inventory control and management
Inventory management is vital since it reduces stock depletion and customer dissatisfaction.
Deveshwar & Modi (2013) emphasize that proper stock management encourage customers to
refer other clients to the Company. Moreover, they will always be happy and satisfied with the
service they receive. Poor control of stock can result in reduced sales and market share. Many
clients will prefer migrating to competitors for services, leaving a company with poor inventory
management more disadvantaged. Therefore, a company can improve its inventory management
by monitoring the stock level. This can be done through frequent checking of the stock to
determine whether they have reduced and need to be restocked. By doing so, customers will
never lack the items they need at any time they wish to get. More so, the Company will continue
operating to fulfill customers demand. Deveshwar & Modi (2013) further explain that by keeping
the business running, more sales will be generated to the Company, thereby, attaining the
Company's objective. The Company can employ an inventory consultant who is not part of its
staff. The consultant will be responsible for keeping, monitoring, and maintaining accuracy. This
will enable the Company to focus on other operations without putting much effort into stock
management.
Alternatively, the Company can consider using a tracking system to improve its inventory
management. Deveshwar & Modi (2013) suggest that companies should implement a tracking
system that helps monitor a turnaround period efficiently. Tracking systems such as computer