Ritvik Mop
Ritvik Mop
Ritvik Mop
By Ritvik Sharma
BCOM(Hons)
20/22141
What is service?
Service is an act or performance that
one party can offer to another that
is essentially intangible and does not It is based on relationship
result in any ownership of anything.
Its production may or may not be and value.
tied to physical products.(Philip
Kotler)
Upward trend in
disposable income Technology Cost effective
Development of services,
Expert and professionals
financial, banking
Characteristics
of service
marketing
• Intangibility
• Inseparability
• Variability
• Perish ability
INTANGIBILITY
• Services are intangible means it cannot be seen, tasted felt, heard or smelled
before purchase.
• Evaluation is a challenge
• Intangibility is used in marketing to describe the inability to assess the value
gained from engaging in an activity using any tangible evidence
Inseparabil SIMULTANEOUSLY
ity
The state or
characteristic of being Eg: service firms
variable
Mc Donald’s
consumables maybe
A car servicing varies
standardized but a
each time
weekday or a weekend
maybe different.
Perishability
Perish ability is used in marketing to describe the way in
which service capacity cannot be stored for sale in the
future
service •
•
interaction
Service Quality
Specific sectors
marketing
some service firms
Healthcare
Education
•Services Marketing
Mix:7 Ps for
Services:-
• Product
• Price
• Place
• Promotion
• People
• Process
• Physical Evidence
Traditional 4 Ps Applied to
Services (1)
• Product elements
• Service products are at the heart of services marketing strategy
• Marketing mix begins with creating service concept that offers value
• Service product consists of core and supplementary elements
•Core products meet primary needs
•Supplementary elements are value-added enhancements
• Place and time
• Service distribution can take place
Applied to
• Information-based services can be
delivered almost instantaneously
electronically
Services
• Delivery Decisions: Where, When,
How
• Time is of great importance as
(2)
customers are physically present
• Convenience of place and time
become important determinants
of effective service delivery
Traditional 4 Ps
Applied to Services (3)
• Price and (other user outlays)
• Marketers must recognize that
customer costs involve more than
price paid to seller
• Identify and minimize non-monetary
costs incurred by users:
• Additional monetary costs
associated with service usage
(e.g., travel to service location,
parking, phone, babysitting, etc.)
• Time expenditures, especially
waiting
• Unwanted mental and physical
effort
• Negative sensory experiences
• Revenue management is an
important part of pricing
Traditional 4 Ps Applied to Services (4)