Dan Lin

BUS 369-02

Case Study #4: Kiwi Experience

1. How does KE maintain a continual customer focus?

KE maintain a continual customer because their services are flexible and expression. Their

customers could get on or off the bus where they wanted, which their customers don't need to

worry about the time to start their trip. Their reservation system helps a lot to enhance their

long-term relationship with customers, which this system can tell KE where their customers are,

where they got off the bus and for how long. This enables customer flows to be managed

effectively and ensures that the buses are as full as possible. What's more, KE offers daily

departures for about four months of the year (January–April) and four to five times a week

throughout the rest of the year which brings much convenience to their customer and makes

them willing to come back.

2. What role do culture and leadership play in the success of KE?

The culture of New Zealand plays an important role in the success of KE because they want to

be the best in the backpacker market and try to satisfy those people who want to see the real

New Zealand and explore this beautiful country and the country's natural wonders. As we

know, New Zealand hosted a total of 2.5 million international visitors in 2011 and this is

expected to grow it 3.1 million by 2016. These data show that tourism in New Zealand has

many potential markets and opportunities.

Kiwi Experience is the first in the marketplace. They first offer these backpacker services and

try to give their customer a good traveling experience, a chance to meet other people, getting

value for money, and getting involved in the New Zealand and culture. Being the first in the

marketplace let them gained a lead in understanding what their target market wants and how

to service these needs effectively.

3. Brainstorm on how other service companies might get customers to pay a more active role

(rather than passive) in the service experience.

Cruise experience can get customers to play a more active role. The activities in the cruise have

effective interaction with their customer. For example, on the board, there have been many

scenes and photographers to take photo for passengers. This activity is free so it attracts a lot of

people to adhere to. Another activity they have on board is the dancing show at night. After

customers watched the performance of dancers, the host was leading customers to the lobby

and they dancing together. What’s more, the host was randomly picked customers to have a

dance battle with others, and the winner can get a free drink.

4. Assess the Kiwi Experience (KE) website (http://www.kiwiexperience.com/ (Links to an

external site.)). What strengths do you think the website has? What improvements would

you suggest?

The strengths that the Kiwi Experience website have is the attractive front page which they

highlight their promotions and deals to catch people's attention. Moreover, except having the

links for booking their service, their website also has few pages about discovering New Zealand,
it helps travelers to have a better understanding of where to go and what to do before they

start their trip. The suggestions that I would give them are to have a better font design for the

front page because right now they are just using colorful text background which makes it look

not professional. What's more, I suggest they have online chat options for that customer who

has questions when they booking online and for the people who prefer to contact online.

5. Describe two promotional tools that KE uses. Are they effective? Why or why not?

One of the promotional tools that they use is advertising oversea. Kiwi Experience is trying to

target the travelers all over the world before they come to New Zealand. Advertising oversea is

effective since they have really good word-of-month, many people said they kept hearing from

Kiwi Experience before and during their trip. There is research that showing Kiwi Experience has

about 75% of customers have heard of KE before they enter New Zealand and around 27% of

travelers buy ticket oversea. Another promotional tool they use is letting “street fighters”

spread the word to the city, for example, railway terminals, bus stations, and backpacker

hostels. This is effective because backpackers as their target market usually go to these places

and it’s easier to target them.