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SERVICES MARKETING CHANNELS (Overview). LO 2. Intangible. Inseparable. Heterogeneous. Perishable. How Services Differ from Goods. No physical object makes it hard to communicate benefits. Production and consumption are simultaneous, meaning the consumer takes part in production.
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LO2 Intangible Inseparable Heterogeneous Perishable How Services Differ from Goods No physical object makes it hard to communicate benefits. Production and consumption are simultaneous, meaning the consumer takes part in production. Services depend on their employees for quality, which makes consistency difficult to achieve. Services cannot be saved, and it is challenging to synchronize supply and demand.
PRODUCT = SERVICE PLACE PROMOTION PRICE Process Number ofoutlets Tangiblecues Revenueoriented Core and Supplementary Direct Personalinformation Operations oriented Mass Customization Indirect Strong image Patronageoriented Standardization Location Post-purchasecommunication REVIEW LEARNING OUTCOME LO4 Marketing Mixes for Services
Reliability The ability to perform the service right the first time. Responsiveness The ability to provide prompt service. Assurance The knowledge and courtesy of employees. Empathy Caring, individualized attention to customers. Tangibles The physical evidence of a service. LO3 Components of Service Quality
LO3 The Gap Model of Service Quality
Process Core andSupplementary StandardizationorCustomization Service Mix Product Strategies for Services LO4
People Processing PossessionProcessing Mental StimulusProcessing InformationProcessing Service as a Process LO4
CoreService The most basic benefit the consumer is buying. Supplementary Service A group of services that support or enhance the core service. The Service Offering LO4
Problem solving Advice and information Order taking Overnight transportation and delivery of packages Billing statements Supplies Tracing Pickup Documentation Core and Supplementary Services for FedEx LO4
A strategy that uses technology to deliver customized services on a mass basis. Customization/Standardization MassCustomization LO4
The Service Mix • Determine what new services to introduce • Determine target market • Decide what existing services to maintain and to eliminate LO4
Convenience Number of outlets Direct or indirect distribution Location Scheduling Place (Distribution) Strategy LO4