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Categories of Service Mix

This document discusses various topics related to services marketing, including: 1. Categories of service mixes ranging from pure tangible to pure service. 2. Characteristics of services such as intangibility, inseparability, variability, and perishability. 3. How customer relationships are shifting with more customer empowerment and coproduction. 4. Achieving excellence in services marketing requires a strategic concept, top management commitment, high standards, monitoring systems, and differentiating services.

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Kashif Javed Kashmiri
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142 views14 pages

Categories of Service Mix

This document discusses various topics related to services marketing, including: 1. Categories of service mixes ranging from pure tangible to pure service. 2. Characteristics of services such as intangibility, inseparability, variability, and perishability. 3. How customer relationships are shifting with more customer empowerment and coproduction. 4. Achieving excellence in services marketing requires a strategic concept, top management commitment, high standards, monitoring systems, and differentiating services.

Uploaded by

Kashif Javed Kashmiri
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd
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Categories of service mix

Pure tangible
Tangible with service
Hybrid
Major service with minor goods
Pure service
Equipment base: automated car washes
Processes: restaurants
Client’s base: doctors
Personal needs: b2b
Profit/non profit
Distinctive characteristics of services
• Intangibility
 Positioning strategy tangible through any number of marketing tools
 Place
 People
 Equipment
 Communication
 Material
 Symbols
 Price
• Inseparability
 Where as physical goods are manufactured, put into inventory, distributed through multiple
resellers and consumed later, services are typically produced and consumed simultaneously.
Variability

• Invest in good hiring and training procedures


• Competence/courtesy/credibility/reliability/responsiveness/communication
• Standardize the service–performance process throughout the organization
• Monitor customer satisfaction
Perishability

Demand side Supply side

Differential pricing (peak/off peak) Part-time employees


Non peak demand can be cultivated Peak time efficiency routines
Complementary services Increased consumer participation
Reservation Systems Shared services
Facilities for future expansion
A shifting customer relationship

Customer empowerment
• Customers are becoming more sophisticated about buying product-support services and are
pressing for “unbundled services.” They may desire separate prices for each service element and
the right to select the elements they want.
Customer coproduction
• The reality is that customers do not merely purchase and use a service; they play an active role in
its delivery. Their words and actions affect the quality of their service experiences and those of
others, and the productivity of frontline employees.
Solution for customer failures

• 1. Redesign processes and redefine customer roles to simplify service encounters. One of the keys to netflix’s
success is that it charges a flat fee and allows customers to return dvds by mail at their leisure, giving customers
greater control and flexibility.
• 2. Incorporate the right technology to aid employees and customers. Comcast, the largest cable operator by
subscribers in the united states, introduced software to identify network glitches before they affected service and to
better inform call-center operators about customer problems. Repeat service calls dropped 30 percent as a result.
• 3. Create high-performance customers by enhancing their role clarity, motivation, and ability. USAA
reminds enlisted policyholders to suspend their car insurance when they are stationed overseas.
• 4. Encourage “customer citizenship” so customers help customers. At golf courses, players can not only follow
the rules by playing and behaving appropriately, they can encourage others to do so.
Accurately read customer needs

• Satisfying employees as well as customers


• Employees thrive in customer-contact positions when they have an internal drive to
• Pamper customers
• Accurately read customer needs
• Develop a personal relationship with customers
• Deliver quality service to solve customers’ problems
Achieving excellence in services marketing
Marketing excellence
• External (C-CU)
• Marketing (E-CU)
Best practices of top service companies
• STRATEGIC CONCEPT (satisfying needs)
• Top management commitment
• High standards
• Profit tiers
• Monitoring systems
Satisfying customer complaints

Differentiating services
• Finally, customers who view a service as fairly homogeneous care less about the provider than
about the price. Marketing excellence requires service marketers to continually differentiate their
brands so they are not seen as a commodity.
• Primary and secondary service options marketers can differentiate their service offerings in many
ways, through people and processes that add value.
Innovation with services
• Online travel
• Retail health clinics
• Private aviation
• Managing service quality
MANAGING CUSTOMER EXPECTATIONS gaps between
• Consumer expectations and management perceptions
• Management perceptions and service quality specifications
• Service quality specifications and delivery
• Service delivery and external communication
• Perceived service and expected service
Five determinants of service quality

• Reliability
• Responsiveness
• Assurance
• Empathy
• Tangibles
Incorporating self-service technologies (ssts)

Managing product support services


Identifying and satisfying customer needs
• Customer has worries of failure
• Frequencyservice time
• Cost
Post SALE SERVICE STRATEGY
• CUSTOMER SERVICE EVOLUTION/dealer provide service
• Customer SERVICE IMPERATIVE/warranty

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