Service Marketing Notes
Chapter 1: Intro
Goods
Service
Implications
Tangible
Intangible
• Inventories
• Patents
• Displayed or communication
• Pricing challenges
Standardized
Heterogeneous
• Dependence on employee and customer actions,
• Uncontrollable factors
• Quality matched to promise/promoted
Production separate from consumption
Simultaneous production and consumption
• Customers participate in and affect the transaction
• Customers affect each other
• Employees affect the service outcome.
• Decentralization may be essential
• Mass production is difficult
Non perishable
Perishable
• It is difficult to match supply and demand
• services cannot be returned or resold 7Ps 1) Product - physical good features, quality level, accessories, packaging, warranties, product lines, branding 2) Place - channel type, exposure, intermediaries, outlet locations, transportation, storage, managing channels 3) Promotion - promotion blend, salespeople selection training and incentives, advertising media types and types of ads, sales promotion, publicity, internet/web strategy 4) Price- flexibility, price level, terms, differentiation, discounts, allowances 5) People - employees recruiting training motivation rewards teamwork, customers education and training 6) Physical evidence - facility design, equipment, signage, employee dress, other tangibles like reports business cards statements and guarantees 7) Process - flow of activities standardized and customized, number of steps simple or complex, customer involvement
Chapter 2: Conceptual framework of the book: the gap model of service quality Customer gap: difference between expected service and perceived service 1) Gap 1 - the listening gap a. Inadequate marketing research orientation b. Lack of upward communication c. Insufficient relationship focus d. Inadequate service recovery 2) Gap 2 - the service design and standards gap a. Poor service design b. Absence of customer-driven
Goods
Service
Implications
Tangible
Intangible
• Inventories
• Patents
• Displayed or communication
• Pricing challenges
Standardized
Heterogeneous
• Dependence on employee and customer actions,
• Uncontrollable factors
• Quality matched to promise/promoted
Production separate from consumption
Simultaneous production and consumption
• Customers participate in and affect the transaction
• Customers affect each other
• Employees affect the service outcome.
• Decentralization may be essential
• Mass production is difficult
Non perishable
Perishable
• It is difficult to match supply and demand
• services cannot be returned or resold 7Ps 1) Product - physical good features, quality level, accessories, packaging, warranties, product lines, branding 2) Place - channel type, exposure, intermediaries, outlet locations, transportation, storage, managing channels 3) Promotion - promotion blend, salespeople selection training and incentives, advertising media types and types of ads, sales promotion, publicity, internet/web strategy 4) Price- flexibility, price level, terms, differentiation, discounts, allowances 5) People - employees recruiting training motivation rewards teamwork, customers education and training 6) Physical evidence - facility design, equipment, signage, employee dress, other tangibles like reports business cards statements and guarantees 7) Process - flow of activities standardized and customized, number of steps simple or complex, customer involvement
Chapter 2: Conceptual framework of the book: the gap model of service quality Customer gap: difference between expected service and perceived service 1) Gap 1 - the listening gap a. Inadequate marketing research orientation b. Lack of upward communication c. Insufficient relationship focus d. Inadequate service recovery 2) Gap 2 - the service design and standards gap a. Poor service design b. Absence of customer-driven