Service Marketing Essentials Explained
Uploaded by
Abhay GroverService Marketing Essentials Explained
Uploaded by
Abhay GroverSERVICE
MARKETING
BY,
BHAVITHRA ASOKAN
WHAT IS SERVICE ?
SERVICE IS ANY ACT OR PERFORMANCE THAT ONE
PARTY CAN OFFER TO ANOTHER THAT IS
ESSENTIALLY INTANGIBLE AND DOES NOT
RESULT IN ANY OWNERSHIP OF ANYTHING.ITS
PRODUCTION MAY OR MAY NOT BE TIED TO
PHYSICAL PRODUCTS.
PHILIP KOTLER
SERVICES MARKETING IS MARKETING BASED ON
RELATIONSHIP AND VALUE. IT MAY BE USED TO
MARKET A SERVICE OR A PRODUCT
CHARACTERISTIC OF SERVICE
MARKETING
It has 4 major characteristic
Intangibility
Inseparability
SERVICE
MARKETING
Variability
Perishability
INTANGIBILITY
Services are intangibility cannot be seen, tasted, felt, heard or smelled
before purchase.
It draws inferences about :
• PLACE
• PEOPLE
• EQUIPMENT
• COMMUNICATION MATERIAL
• SYMBOLS
• PRICE
Intangibility is used in marketing to describe the inability
to assess the value gained from engaging in an activity
using any tangible evidence
To reduce uncertainty.
INSEPARABILITY
Services are produced and consumed simultaneously.
simultaneously
provider – client interactions is a special feature of
service marketing
In Inseparability ,key quality of services as distinct from goods
VARIABILITY
It is otherwise called heterogeneity.
Services are highly variable
“The state or characteristic of being variable"
Eg: service firms
PERISHABILITY
Perishability is used in marketing to describe the way in
which service capacity cannot be stored for sale in the
future.
Services cannot be stored.
Some Service firms:
Banking, stock broking Health care
Restaurants, bars, Education
catering Wholesaling and retailing
Insurance Laundries, dry-cleaning
News and entertainment Repair and maintenance
Transportation (freight Professional (e.g., law,
and passenger) architecture, consulting)
Postal service
Additional ‘P’s of Service Marketing
People [employees]: selection, training& motivation of employees
can make a huge difference in customer satisfaction.
Process: Here service companies can choose different processes to
deliver their service.
EG: Restaurants have developed such different Formats as cafeteria-
style, fast-food, buffet & candlelight.
Physical evidence: Actual experience of service
EG: RAILWAY-
• A reserved ticket
• Cheque book
Qualities of services
Search qualities: The buyer can evaluate before
purchase.
Experience qualities: The buyer can evaluate
after purchase.
Credence qualities: The buyer normally finds hard
to evaluate even after consumption
Differentiation in services
Offer: The Offer can include innovation features .
Delivery: A service company can hire and train better
people to deliver its service. It can develop a more
attractive physical environment in which to deliver the
service.
Image: Images are differentiated through symbols &
branding.
Managing Service quality
Gap between management perceptions and consumer
expectations.
Gap between management perceptions and service quality
specifications.
Gap between service quality specifications and service delivery.
Gap between service delivery and external communication.
Gap between expected service and perceived service.
Determinants of service quality
Reliability – delivering on promises
Responsiveness – willing to help
Assurance – inspiring trust and confidence
Empathy – individualizing customers
Tangibles- physical representation
Managing product support
services
The real differentiator of
customer – centricity in a commoditised
world of financial products –
Customer Service !
Drivers of Customer Satisfaction
Many aspects of the firm’s value proposition contribute to
customer satisfaction:
• The core product or service offered
• Support services and systems
• The technical performance of the firm
• Interaction with the firm and it employees
• The emotional connection with customers
Ability to add value and to differentiate as a firm focuses
more on the top levels
CUSTOMERS
HAVE
3
SPECIFIC WORRIES:
They worry about reliability and failure frequency.
E.g.: a farmer may tolerate a combine that ll break down
once a year, but not 2 or 3 times a year.
Customer worry about out- of- pocket costs of
maintenance and repair. where here reliability is
important.
Customer worry about downtime duration. The longer the
downtime, the higher the cost. The Customer counts on the
selling sellers service dependability.
CONCLUSION
Thus to provide the best support, a
manufacturer must identify the
services that customer value and
their relatively important.
Thank You
Marketing
is all about creating a pull,
sales
is all about push . . .
![Additional ‘P’s of Service Marketing
People [employees]: selection, training& motivation of employees
selection, train](https://screenshots.scribd.com/Scribd/252_100_85/189/54445876/10.jpeg)
