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SERVICE FOR BUSINESS MARKETS. CHAPTER 9. Use with BUSINESS TO BUSINESS MARKETING MANAGEMENT: A GLOBAL PERSPECTIVE ISBN 978-0-415-53702-5 Published by Routledge 2013. 1. Classifying Services. Cross-border supply. Consumption abroad. Commercial presence. Movement of natural persons.
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SERVICE FOR BUSINESS MARKETS CHAPTER 9 Use with BUSINESS TO BUSINESS MARKETING MANAGEMENT: A GLOBAL PERSPECTIVE ISBN 978-0-415-53702-5 Published by Routledge 2013 1
Classifying Services • Cross-border supply. • Consumption abroad. • Commercial presence. • Movement of natural persons. Use with BUSINESS TO BUSINESS MARKETING MANAGEMENT: A GLOBAL PERSPECTIVE ISBN 978-0-415-53702-5 Published by Routledge 2013 2
Leading Exporters of Services Use with BUSINESS TO BUSINESS MARKETING MANAGEMENT: A GLOBAL PERSPECTIVE ISBN 978-0-415-53702-5 Published by Routledge 2013 3
The Goods/Services Continuum Fig. 9.1 The goods/services continuum Use with BUSINESS TO BUSINESS MARKETING MANAGEMENT: A GLOBAL PERSPECTIVE ISBN 978-0-415-53702-5 Published by Routledge 2013 4
Service and Physical Product • Pure tangible good. • Tangible good with accompanying services. • Hybrid. • Major service with supporting goods and services. • Pure service. Use with BUSINESS TO BUSINESS MARKETING MANAGEMENT: A GLOBAL PERSPECTIVE ISBN 978-0-415-53702-5 Published by Routledge 2013 5
Unique Characteristics of Services Use with BUSINESS TO BUSINESS MARKETING MANAGEMENT: A GLOBAL PERSPECTIVE ISBN 978-0-415-53702-5 Published by Routledge 2013 6
Management Implications Use with BUSINESS TO BUSINESS MARKETING MANAGEMENT: A GLOBAL PERSPECTIVE ISBN 978-0-415-53702-5 Published by Routledge 2013 7
Interactive vs. Invisible Aspects Fig. 9.2 Interactive vs. invisible aspects of service Use with BUSINESS TO BUSINESS MARKETING MANAGEMENT: A GLOBAL PERSPECTIVE ISBN 978-0-415-53702-5 Published by Routledge 2013 8
Customer Needs-Support Services • Frequency of failure. • Downtime experienced. • Cost of downtime. • Uncertainty about these aspects. Use with BUSINESS TO BUSINESS MARKETING MANAGEMENT: A GLOBAL PERSPECTIVE ISBN 978-0-415-53702-5 Published by Routledge 2013 9
Service Quality Dimensions Use with BUSINESS TO BUSINESS MARKETING MANAGEMENT: A GLOBAL PERSPECTIVE ISBN 978-0-415-53702-5 Published by Routledge 2013 10
E-Service Quality Dimensions Use with BUSINESS TO BUSINESS MARKETING MANAGEMENT: A GLOBAL PERSPECTIVE ISBN 978-0-415-53702-5 Published by Routledge 2013 11
Blueprinting Fig. 9.3 Flow chart of rental car process Use with BUSINESS TO BUSINESS MARKETING MANAGEMENT: A GLOBAL PERSPECTIVE ISBN 978-0-415-53702-5 Published by Routledge 2013 12
New Service Development Enhancement Steps • Establish a culture for entrepreneurship. • Create an organization to foster new service development. • Test ideas in the marketplace. • Monitor results. • Reward risk takers. Use with BUSINESS TO BUSINESS MARKETING MANAGEMENT: A GLOBAL PERSPECTIVE ISBN 978-0-415-53702-5 Published by Routledge 2013 13
Rules for the Development of a New Service • Give people a good reason to change. • Start strong. • Market to employees. • Make the service real. Use with BUSINESS TO BUSINESS MARKETING MANAGEMENT: A GLOBAL PERSPECTIVE ISBN 978-0-415-53702-5 Published by Routledge 2013 14
Types of Service Projects • Successful Projects: • The Customized Expert Service • The Planned Pioneering Venture • The Improved Service Experience • Failure Categories: • The Peripheral Low Market Potential Service • The Poorly Planned Industrialized Clone Use with BUSINESS TO BUSINESS MARKETING MANAGEMENT: A GLOBAL PERSPECTIVE ISBN 978-0-415-53702-5 Published by Routledge 2013 15
Transitioning from Product to Service • Offer warranties and service options. • Seek to become a customer value provider rather than a product provider. • Sales redesign: move to consultative selling. • Change sales incentive program. Use with BUSINESS TO BUSINESS MARKETING MANAGEMENT: A GLOBAL PERSPECTIVE ISBN 978-0-415-53702-5 Published by Routledge 2013 16
Services Trade Barriers 17 Use with BUSINESS TO BUSINESS MARKETING MANAGEMENT: A GLOBAL PERSPECTIVE ISBN 978-0-415-53702-5 Published by Routledge 2013
Overcoming Barriers to Global Services • Embodying. • Superior management. • Customizing. • Technology. • Micromarketing. Use with BUSINESS TO BUSINESS MARKETING MANAGEMENT: A GLOBAL PERSPECTIVE ISBN 978-0-415-53702-5 Published by Routledge 2013 18
Summary • Services are intangible, consumed when produced, perishable, and variable in quality. Users participate in production. • There are few pure services, or pure physical products. • Managing service aspects can be profitable and helps secure a favorable position. • Marketing, operations and human resources must cooperate for success. • Moving from product-centred to service-centred organization requires leadership from management, changes in corporate culture. • New “me-too” services often result in failure. • Governments have erected many barriers to services trade. Many suggestions for overcoming – long-term view essential. • The Internet allows services to cross borders relatively easily. Use with BUSINESS TO BUSINESS MARKETING MANAGEMENT: A GLOBAL PERSPECTIVE ISBN 978-0-415-53702-5 Published by Routledge 2013 19