Beruflich Dokumente
Kultur Dokumente
Part : 05
Product
Chapter-13
Marketing Manageme 1
MARKETING MANAGEMENT
12th edition
13
Designing and
Managing
Services
Marketing Manageme 2
Kotler
nt Keller
Chapter Questions
Marketing Manageme 3
IBM has moved
from a goods
business to a
service business
Marketing Manageme 4
Service
Marketing Manageme 5
Service
Marketing Manageme 6
Categories of Service Mix
A company’s offerings often include some services. The
service component can be a minor or major part of the total
offering.
Five categories of offerings can be distinguished.
Marketing Manageme 7
Categories of Service Mix
Hybrid
Pure Service
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Categories of Service Mix
1. Pure tangible good : The offering consists of only tangible
goods with no service; e.g. Soap, Toothpaste or Salt etc.
2. Tangible good with accompanying services : The offering
consists of a tangible good with some service; e.g. installation
service with the purchase of air-conditioner.
3. Hybrid : The offering consists of equal parts of goods and
services; e.g. people rate restaurants for both food and
service.
4. Major Service with accompanying minor goods and services :
The offering consists of major service along-with some
tangible goods; e.g. airline passengers buy transportation,
but trip includes also tangible goods such as food, , drinks, a
ticket and magazines etc.
5. Pure Service : The offering consists only of service; e.g.
consultancy etc.
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Distinctive Characteristics of Services
Intangibility
Characteristics
Perishability of Inseparability
Service
Variability
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Distinctive Characteristics of Services
Services have four distinctive characteristics.
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Distinctive Characteristics of Services
3. Variability (Heterogeneity) : Because services depend on who
provides them and when and where they are provided, they
are highly variable. Like some surgeons are very successful in
performing a certain operation; others are not.
Here are three steps service firms can take to increase quality
control.
a. Invest in good hiring and training procedures.
b. Standardize the service-performance process throughout the
organization.
c. Monitor customer satisfaction.
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Distinctive Characteristics of Services
Marketing Manageme 13
Best Practices of Service-Quality Management
Various studies have shown that well-managed service
companies share the following common practices.
1. Strategic Concept (Top service companies are “Customer
Obsessed”. They have a clear sense of target customers and
their needs. They develop a distinctive strategy for satisfying
these needs)
2. Top-Management Commitment (Companies such as Marriott
and Disney have a thorough commitment to service quality.
Their managements look not only at financial performance on
a monthly basis, but also at service performance)
3. High Standards (The best service providers set high service-
quality standards; e.g. Citibank aims to answer phone calls
within 10 seconds and customer letters within 2 days)
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Best Practices of Service-Quality Management
4. Self-Service Technologies-SSTS (As in the case with physical
goods, consumers value convenience in services; therefore
top service providers have replaced many person- to-person
service interactions by self-service technologies; like ATMs,
self-pumping at gas stations, self-check-out at hotels,
electronic check-in at airports, self-ticket purchasing on the
internet etc.)
5. Monitoring Systems (Top firms audit service performance,.
Both their own and competitors’, on a regular basis. They use
Voice of the Customer (VOC) measurements, Comparison
Shopping, Ghost Shopping/Mystery Shopping, Customer
Surveys, Suggestion/Complaint Forms, and Service Audit
Teams for this purpose)
Marketing Manageme 15
Best Practices of Service-Quality Management
6. Satisfying Customer Complaints (Customers whose
complaints are satisfactorily resolved often become more
company loyal than customers who were never dissatisfied.
Every complaint is a gift if handled well. Companies that
encourage disappointed customers to complaint and also
empower employees to resolve their problem on the spot
have been shown to achieve higher revenues/profits.
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Best Practices of Service-Quality Management
Marketing Manageme 17
Managing Product Support Services
Physical Product-Based Industries must provide a service
bundle as well.
Manufacturers of equipment, small appliances, office
machines, tractors, mainframes, airplanes-all have to provide
Product Support Services.
These days, firms that provide high-quality service
outperform their less service-oriented competitors.
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Activity
Marketing Manageme 19