“It is not important in Tourism and Hospitality to distinguish between goods and services”
...ty. Goods give tangibility to the products offered by the Tourism and Hospitality Industry that helps consumers to choose an organisation that will best fulfil their needs. Goods are produced (at back of house) under controlled conditions and are designed to optimise both productivity and quality and checked for conformance with standard of quality set before it reaches the customer (Lovelock & Wright, 2002, pp.9). These include goods such as meal preparation, house keeping of rooms, beverages available through in room mini fridge, but need (front of house) service delivery to be able to be consumed by the customer. Services are an essential part of the core product offered by Tourism and Hospitality organisations and are mostly added free of charge to add value and deliver the product to the customer. These services are either facilitating supplementary services to aid in the use of the core product or required for the service to be delivered and enhancing supplementary services that add extra value for customers. These supplementary services also help to differentiate the products offered by each organisation and to help give them a competitive advantage. Services can not be owned by the consumer and only have their perception of value after the service has been consumed to evaluate the quality of the service received. Evaluation of the products consumed by customers can be influenced by a majority of elements in the delivery system. These elements include other customers in close physical proximity, verbal interaction between other customers, the service environment itself, service personnel, the compatibility of the core service, sharing of facilities with others, waiting, etc. consumed as they are produced and services can not be owned. Customers perceived service experience could as described by Albrecht’s (1992, pp114) hierarchy of expectations as expected, desired or even unanticipated under normal circumstances, but a change in unexpected extreme conditions could see the same service expectations change to unacceptable. These perceptions could also be influenced by other organisations when consumers use goods and services from different Tourism and Hospitality organisations that are bundled together in a package. The perceived value of goods and services supplied by Tourism and Hospitality organisation can also be influenced by physical conditions placed on the customer to be able to take part in the product offered. This is due to the customer being central to the production of the service system and having to take part to gain benefit. This is evident as explained by Felicity Price, (2005, p.11) who is a novice tramper and was asked to do a three day hike from Christchurch to Akaroa. There were five other people on the tramp ranging in different ages and fitness levels. The total service package for the tour over the hills was the same for everyone but each person’s trip would be remembered differently because of their own input into the production of the service process. Felicity is a moderately fit person and found the going tough but enjoyed the views and experience. The doctor, trainee guide and the actual guide thoroughly enjoyed the trip with no aches and pains. This is also seen in the trip Yvonne Van Dongen, (2004) took her family on through the Dunedin rail track by bike. Yvonne and her family used several goods and services from many different Tourism and Hospitality organisations to complete the overall trip, these included the hiring of bikes, meals in restaurants, accommodation, and the condition of the track as well. The quality of both goods and services consumed on this trip was very important for the benefit expected by Yvonne and her family. Organisations supplying both quality goods and services that customers expect will satisfy their needs can be disadvantaged by the fact that customers have to be physically present to consume them. This can be difficult in extreme conditions that are out of the organisations controls. This was the case in a newspaper article written by Anna Saunders and Dave Courtney (2005, p.A3) about Air New Zealand leaving passengers in Rarotonga due to weather cyclone Meena. As cyclone Meena approached Rarotonga, Air New Zealand dispatched a special flight from Auckland to pick the 150 passengers staying in Rarotonga earlier than they were scheduled. The passengers were at the airport when the plane came in to land and had to take off again and go back to Auckland because of strong winds. The hotel where the passengers were staying had boarded the windows and the passengers were told they could not stay there. Air New Zealand Spokesperson Rosie Paul said they helped organise accommodation at a local school they also worked with locals and the Red Cross to supply blankets. Air New Zealand does not take responsibility for cancellations due to weather conditions delaying flights. Air New Zealand was not able to supply the goods and service the passengers desired because extreme weather conditions prohibited them from doing so. This is because to consume the products offered the customers has to be physically present at the location of the organisation, as both the goods and services can not be consumed from afar. The passengers blamed Air New Zealand for the predicament they found themselves in for not supplying the goods and services when they wanted them. The hotel provided quality goods and services for the duration of their stay and fulfilled the requirements expected by the passengers. The fact that the extreme weather conditions meant that they could not go back and stay at the hotel is not reflected badly on the hotel’s reputation. This perception is also affecting tourist resorts affected by the Boxing day Tsunami as explained in the newspaper article by Gwyn Topham, (2005). Martina Hingis, of Switzerland, former No1 tennis player, is standing on an empty Patong beach in Phuket. The Thai tourist Industry states that much of the coastline escaped very lightly and that many resorts are have recovered completely from the Tsunami and are now being more affected by the lack of tourists. Occupancy is only about 10 to 15 percent when it is peak season. Returning guests are phoning the resorts to make sure they are operating and when assured of the ...