Case study
Kiwi Experience
Group : Vượt mức Pickleball
Member: Do Mai Anh - 2104000004
Hoang Ngoc Bich - 2104000017
Nguyen Tuyet Nhi - 2104000077
Phung Ngoc Linh - 2104000060
Contents
03/
01/ Recommendation
Introduction
02/
Case problem
I. Introduction
Warm-up Section
II. Case Problem
Case Summary
Answer case’s questions
Relevant theory
Recommendation
1. Case summary
Kiwi Experience (KE) - an adventure transport network in New
Zealand, established in 1988.
KE combines the flexibility of traditional transport services with
the excitement of guided tours -> allowing passengers to hop on
and off the bus at various locations within six months.
Target Market: the 18–35 age group, with most travelers coming
from countries such as the UK, Germany, the USA, Canada, and
Nordic nations. Less than 1% of customers are New Zealanders.
Customer Experience: KE focuses on interaction, both between
passengers and with drivers, ensuring the journey is more than
just transportation.
Drivers: KE drivers are key to delivering the experience. They are
highly trained and responsible for guiding, entertaining, and
managing group dynamics.
Marketing Strategies: word-of-mouth (WOM), advertisements
and slide shows at backpacker hostels -> build awareness and
trust among potential customers.
2. Answer questions
Q1: How does KE maintain a continua
customer focus?
Designing a Flexible and Customer-Centric
Service
"Passengers can get on or off the coach wherever they
like (on a pass that lasts for six months), yet they are
still part of an adventure trip that takes them to places
off the beaten track"
-> KE differentiated itself by offering flexibility, allowing
customers to get on and off the bus at their convenience
-> an innovation in the travel market, enabling KE to
meet diverse travellers’ demands & provide personalized
travel experiences
Q1: How does KE maintain a
continual customer focus?
Recruiting and Training Drivers:
"The drivers are the single most important people in our company"
-> All the drivers of KE have to undergo a stringent selection and
training process to ensure they meet KE's high standards:
Extensive driving experience to ensure passenger safety.
Training trips to familiarize themselves with KE’s routes and
activities.
Observing experienced drivers on actual KE trips.
"Only when the drivers perform satisfactorily in these two tests will
they then be taken on as a KE staff member"
Q1: How does KE maintain a
continual customer focus?
Encouraging Social Interaction Among
Customers:
KE facilitates creates opportunities for social bonding:
"Drivers usually encourage interaction through group
meals and social activities in the evening".
-> improve the individual travel experience & create a sense
of community that distinguishes KE from competitors.
KE goes further by addressing passengers who disrupt this
dynamic:
"In extreme cases, the driver may ask certain passengers
to leave the bus, with a full refund being offered to
encourage them to do so".
Q1: How does KE maintain a
continual customer focus?
Stimulating Positive Word-of-Mouth:
"It is very unusual for passengers to travel with KE for a second time.
KE relies heavily on new and referral customers for virtually all of their
sales".
-> Since business repeat is rare, KE relies heavily on referrals and
positive word-of-mouth to attract customers.
+ Creates memorable experiences: souvenirs such as group photos and
branded apparel play an important role in reinforcing positive
memories:
"Not only do souvenirs provide additional revenue for the
organization, but they are also positive reminders of the KE trip".
+ Promotes its services through backpacker-hostel presentations and
hiring past customers as brand ambassadors, known as “street
fighters.” -> share authentic stories, increasing KE’s credibility and
appeal.
Q1: How does KE maintain a continual customer focus?
Understanding the Target Market: Leveraging Feedback to Improve Services
KE conducts market research to understand The company collects feedback through customer
their customers. surveys conducted after every trip -> monitor service
quality and identify areas for enhancement.
Neil Geddes (one of the founders of the
company) emphasizes: "When we travel, we stay "The surveys also include a section that enables the
in backpacker hostels, so as to learn and driver to make recommendations to improve the overall
understand what the market wants". quality of the KE"
They recognizes that backpackers aged 18-30
value adventure, meeting new people, and
authentic experiences over traditional tours.
Relevant theory: Customers’ decision process
Stage 1: Pre-Purchase Stage
- Kiwi Experience (KE) addresses customers' perceived risks by:
Leveraging Word-of-Mouth (WOM): to build trust and familiarity. Many
customers learn about KE from fellow travelers who have shared their
experiences.
Providing Tangible Cues: KE organizes presentations and slideshows at
backpacker hostels -> make the service more tangible and reduce uncertainty to
customers.
Stage 2: Service Encounter: Role and Script Theory
1. Drivers as Key Role Players
In KE, the drivers are the central figures in executing the service script.
Drivers are selected and trained extensively to embody the KE experience:
“The first thing the directors look for when selecting drivers is a certain type of person—they must be fun, young, and
adventurous. They must have an outgoing personality and be proud to show off New Zealand”
They follow a specific "script" that involves:
Providing commentary about destinations:
“Providing informative and knowledgeable commentary”
Organizing social activities:
“Encouraging interaction through group meals and social activities in the evening”
Managing logistical tasks:
“Booking all accommodation every night and organizing group activities”
2. Passengers Following Implicit Scripts
Passengers are encouraged to engage in group dynamics:
“The drivers usually encourage interaction through group meals and social activities... This may increase the positive
experiences that customers have on their bus”
KE ensures role congruence by aligning passengers’ expectations with the KE experience. This includes filtering
out unsuitable customers who might disrupt the atmosphere:
“Drivers are trained to notice any passengers... who are affecting the quality of the service other passengers are receiving”
Stage 3: Post-Encounter Stage:
Customer Feedback
KE consistently gathers feedback to
refine its offerings and address issues
promptly.
“KE uses surveys to monitor what is happening
and to improve their service to the
marketplace”
Q2: Brainstorm on how other service companies
might get customers to pay a more active role
(rather than passive) in the service experience
In the Kiwi Experience case, the company offers
services that encourage passengers to take an active
role in their travel experience:
Social interaction: group activities, shared
meals, and adventures
Customizable experience: KE's flexible hop-on,
hop-off service
Adventure activities: a range of adventure
activities (like skydiving, bungee jumping, etc.)
Feedback mechanisms: collects feedback from
passengers about the activities and experiences
How other service companies might get
customers to pay a more active role
Customizable Experiences: Allow customer to personalized services
e.g: In tourism, companies could let travelers choose and plan the stops
on their itinerary (like a DIY tour) rather than just following a set route.
Feedback and Collaboration: Encourage customers to contribute
feedback
e.g: In a hotel, customers could participate in surveys or focus groups
about the services they wish to see, influencing the design of the hotel,
its amenities, or its services.
Experience co-creation: Encourage customers to create and share
content
e.g: In restaurants, customers could participate in cooking classes or
"create your own dish" events where they get involved in preparing the
meal.
Gamification and Rewards: Offer exclusive experiences or service
customization for engaged customers
e.g: For online services, such as apps or websites, companies could
encourage customers to complete tasks, reach milestones, or engage in
challenges to unlock rewards or exclusive benefits.
III. Recommendation
III. Recommendations
Implement Customer Relationship Management (CRM)
Strategies:
- Collecting and analyzing customer data to understand
their preferences and needs.
- Personalizing communication and marketing efforts to
create a better customer experience.
- Providing excellent customer service to resolve any
issues promptly.
- Tracking customer feedback to improve products and
services.
Encourage Positive Word-of-Mouth Marketing: Encourage passengers to share their travel experiences with
hashtags, contests, or photo challenges on social media or online reviews to encourage customers to share their
positive experiences.
Enhancing support and guidance from managers (Employee engagement):
- Providing structured mentorship and clear communication
- Encourage managers to stay updated on best practices in employee engagement.
- Regular assessment and feedback
Lessons can be drawn for service in
Vietnam
Tourism in Vietnam has yet to fully develop a service model like
Kiwi Experience
(Source: GoWithGuide Travel, 2024)
Lessons can be drawn for
service in Vietnam
Vietnamese tourist numbers are high, except for the global
health crisis years (Statista, 2023).
Over 65% of travelers express interest in exploring local
culture, traditions, and scenic landscapes (GoWithGuide travel,
2024), while many prefer group tours or organized travel
options over self-driving motorbike trips due to concerns about
safety and convenience. => a significant opportunity to adapt
Kiwi Experience's approach to Vietnam’s tourism industry.
Lessons can be drawn for service in Vietnam
Most tour services in Vietnam only follow the beaten path of having one coach and customers must follow the fixed
schedule of the discovery tour service provider. => Travelers being tired and having incomplete experiences.
This is an opportunity for Vietnam to develop this new service with these factors for better performance:
- Affordability and Accessibility
- Diversification of Activities
- Flexibility and Adaptability
- Customer-Centric Approach
- Marketing and Partnerships
Thank you for your attention