Cd6813 services
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The document discusses the key characteristics of services and their marketing implications. It describes 12 common service industries and notes that services are intangible, heterogeneous, produced and consumed simultaneously, and cannot be inventoried. It recommends focusing on personnel training, standardizing processes, managing customer interactions, and using pricing and communication strategies. The 7Ps of services marketing are also summarized: People, Physical Evidence, Process, Product, Price, Place, and Promotion.
Cd6813 services
- 1. School of Business Management Universiti Kebangsaan Malaysia _______________________________________________________________________________________
- 2. Lodging hotel, resort, b&b Healthcare hospital, clinic Transportation airlines, bus, railways, taxi Education university, college, kindergarten Entertainment cineplex, disco, themepark Food & Beverage restaurant, caf辿, pub Financial bank, insurance, investment MRO workshop, service centre, cleaning Telecommunication telecom, internet Legal lawyer firm Training/Consultancy consulting, advertising, training Social escort, tourist guide, security firm School of Business Management Universiti Kebangsaan Malaysia _______________________________________________________________________________________
- 3. School of Business Management Universiti Kebangsaan Malaysia _______________________________________________________________________________________
- 4. School of Business Management Universiti Kebangsaan Malaysia _______________________________________________________________________________________ V A L U E - A D D E D Performances Actions
- 5. School of Business Management Universiti Kebangsaan Malaysia _______________________________________________________________________________________
- 6. School of Business Management Universiti Kebangsaan Malaysia _______________________________________________________________________________________
- 7. School of Business Management Universiti Kebangsaan Malaysia _______________________________________________________________________________________ Services cannot be seen, felt, tasted or touched before they are purchased.
- 8. 8 Tangibility SpectrumTangibility Spectrum Tangible Dominant Intangible Dominant Salt Soft Drinks Detergents Automobiles Cosmetics Advertising Agencies Airlines Investment Management Consulting Teaching Fast-food Outlets Fast-food Outlets
- 9. School of Business Management Universiti Kebangsaan Malaysia _______________________________________________________________________________________ Mktg Implications: Difficult to describe Difficult to measure Q Cannot be stored Cannot be easily patented
- 10. 10 INTANGIBILITY: SUGGESTED SOLUTIONS Use tangible clues/physical evidence Utilize personal sources of information Create a strong organizational image School of Business Management Universiti Kebangsaan Malaysia ___________________________________________________________________________________
- 11. 11
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- 13. 13
- 14. 14 Awards: Pangkor Laut Resort "Marina Bay Pangkor Laut Estates Listed in Best 101 Hotels in the World" by Tatler Travel Guide U.K. (2006) "20 Most Fabulous Spa Retreats in the World" by Australian Gourmet Traveller Magazine (2005) "Spa of Malaysia"and"Best Traditional Chinese Medicine (TCM) - Influenced Spa" Spa Asia Crystal Awards - Spa Asia Magazine (2005) 'World's Top 25 Spas 2005' by The Sunday Telegraph, U.K. Senses Wellness Award - "Best Beach Resort" by Senses Wellness Guide, Germany (2005) "Top Ten Spa Retreats - Overseas" byConde Nast Traveller U.K. - Readers' Spa Awards (2005) "Top Ten Best Overseas Resort" by Luxury Travel & Style Magazine, Australia - The Gold List 2005 Five Star Diamond Award by The American Academy of Hospitality Sciences (2002, 2003, 2004 & 2005)
- 15. 15
- 16. 16 Pretty Woman: Julia Roberts gets a taste of the high-life: Regent Beverly Wilshire, 9500 Wilshire Boulevard, Beverly Hills
- 17. School of Business Management Universiti Kebangsaan Malaysia _______________________________________________________________________________________
- 18. School of Business Management Universiti Kebangsaan Malaysia _______________________________________________________________________________________ No two services will be precisely alike Services are heterogeneous across: time, organizations, and people
- 19. School of Business Management Universiti Kebangsaan Malaysia _______________________________________________________________________________________ Heterogeneity No two services will be precisely alike - Produced and influenced by humans - No two persons are precisely alike - Even the same person may differ in his performance from day to day (hour to hour)
- 20. School of Business Management Universiti Kebangsaan Malaysia _______________________________________________________________________________________ Mktg Implication: Standardization and quality control are difficult to achieve
- 21. School of Business Management Universiti Kebangsaan Malaysia _______________________________________________________________________________________ Suggested Solution: Effective training of staffs Good standard practice & procedures (P&P) Good HRM
- 22. School of Business Management Universiti Kebangsaan Malaysia _______________________________________________________________________________________
- 23. School of Business Management Universiti Kebangsaan Malaysia _______________________________________________________________________________________ Services are produced and consumed simultaneously
- 24. 24
- 25. School of Business Management Universiti Kebangsaan Malaysia _______________________________________________________________________________________ Interactions Service provider-Customer Customer is present while the service is being produced Interactions Customer-Customer Customers interact with each other during the service production process
- 26. School of Business Management Universiti Kebangsaan Malaysia _______________________________________________________________________________________ Mktg Implications: Mass production is difficult Service provider is part of the product itself and as essential ingredient in the service experience for the consumer Quality depends on interactions between: - customer service provider - customer customer
- 27. School of Business Management Universiti Kebangsaan Malaysia _______________________________________________________________________________________ Suggested Solutions: Focus on the training and selection of public contact personnel Develop strategies to manage consumers - separate waiting areas (workshop), minimized interaction SP-C - by appointment (clinic),minimized interaction C-C Develop multi-site locations
- 28. School of Business Management Universiti Kebangsaan Malaysia _______________________________________________________________________________________
- 29. School of Business Management Universiti Kebangsaan Malaysia _______________________________________________________________________________________ Services cannot be saved, resold or returned. - a seat on an airplane - an hour of a lawyers time - badly haircut
- 30. School of Business Management Universiti Kebangsaan Malaysia _______________________________________________________________________________________ Mktg Implications: It is difficult to synchronize supply and demand with services - because service cannot be inventoried for future use Service cannot be returned and resold
- 31. School of Business Management Universiti Kebangsaan Malaysia _______________________________________________________________________________________ Suggested Solutions: Good mktg communication strategies Good pricing strategies
- 33. School of Business Management Universiti Kebangsaan Malaysia _______________________________________________________________________________________ All human actors who play a part in service delivery and thus influence the buyers perceptions; namely the firms personnel, the customer, and other customers in the service environment.
- 34. School of Business Management Universiti Kebangsaan Malaysia _______________________________________________________________________________________ All human actors who play a part in service delivery and thus influence the buyers perceptions; namely the firms personnel, the customer, and other customers in the service environment. Employees The customer Other customers
- 35. School of Business Management Universiti Kebangsaan Malaysia _______________________________________________________________________________________ The environment in which the service is delivered and where the firm and customer interact, and any tangible components that facilitate performance or communication of the service.
- 36. School of Business Management Universiti Kebangsaan Malaysia _______________________________________________________________________________________ The environment in which the service is delivered and where the firm and customer interact, and any tangible components that facilitate performance or communication of the service. Facility design Equipment Signage Employee dress Others buss. cards, brochures etc.
- 37. School of Business Management Universiti Kebangsaan Malaysia _______________________________________________________________________________________ The actual procedures, mechanism, and flow of activities by which the service is delivered the service delivery and operating systems.
- 38. School of Business Management Universiti Kebangsaan Malaysia _______________________________________________________________________________________ The actual procedures, mechanism, and flow of activities by which the service is delivered the service delivery and operating systems. Flow of activities Number of steps Customer involvement
- 39. 39 Internal Marketing Interactive Marketing External Marketing Company (Management) CustomersEmployees enabling the promise delivering the promise making the promise Source: Adapted from Mary Jo Bitner, Christian Gronroos, and Philip Kotler