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Service Marketing

     Diana Oommachan
Topics
1.   Creating, delivering, performing a service
2.   Basic, articulated, exciting attributes
Key steps in service planning and creating
1. Statement of objectives

2. Detailed market and
   competitive analysis &          swot analysis
   Resource allocation analysis

   From this, we get marketing opportunities & marketing
    assets statements
   Marketing opportunities
       Can the organisation afford to allocate the physical facilities,
        equipment, IT, etc. needed to market existing service products

   Marketing assets statements contains
       Existing customer portfolio
       Knowledge of market
        competitors-product line, reputation of brand, marketing
        implementation skills , positioning strategies
3. Creating a service marketing concept- to clarify the
  benefits offered to customers and the cost they will incur
  in return
  Parallel step is to establish service operations concept-
  stipulates the nature of process involved, how and when
  various types of operating assets should be deployed
4. Planning task then moves to service delivery process
Service Delivery
   Delivery of a service involves six factors
       Accountable service provider and his service suppliers(eg:
        people)
       Equipment used to provide the service(eg: vehicle, cash
        register, computer systems)
       Physical facilities(eg: buildings, parking, waiting rooms)
       Requesting service consumer
       Other customers at the service delivery location
       Customer contact
Attributes
   Characteristic that provide form and function to the
    service
   Are traced from business outcomes
   Which attribute to include is a design challenge
Basic Attributes

   Attributes of service expected or taken for granted
   Not fulfilling these will cause perceptions of utility loss
   Fulfilling results in utility gain but only until the neutral
    zone after which there is no gain
   Basic attributes are simple components to a product
   Eg: Steering wheel in a vehicle. The vehicle is no good if it
    is not able to be steered
Articulated Attributes
   Results in perceptions of utility gain when fulfilled and
    utility loss when not fulfilled
   Customers think that these are desirable but not most
   It is on these customers discriminate between companies
   Poor performance lead to customer dissatisfaction, good
    performance lead to satisfaction
   Price a customer is willing to pay for a product is closely
    tied to performance attributes
   Higher the performance attribute, higher the customer
    will be willing to pay for the product
Exciting Attributes
   Delight and surprise customers
   Delivery of these will develop strong loyalty of the
    customers
   Results in perceptions of utility gain and when not fulfilled
    do not cause perceptions of utility loss

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Service marketing

  • 1. Service Marketing Diana Oommachan
  • 2. Topics 1. Creating, delivering, performing a service 2. Basic, articulated, exciting attributes
  • 3. Key steps in service planning and creating 1. Statement of objectives 2. Detailed market and competitive analysis & swot analysis Resource allocation analysis  From this, we get marketing opportunities & marketing assets statements
  • 4. Marketing opportunities  Can the organisation afford to allocate the physical facilities, equipment, IT, etc. needed to market existing service products  Marketing assets statements contains  Existing customer portfolio  Knowledge of market  competitors-product line, reputation of brand, marketing implementation skills , positioning strategies
  • 5. 3. Creating a service marketing concept- to clarify the benefits offered to customers and the cost they will incur in return Parallel step is to establish service operations concept- stipulates the nature of process involved, how and when various types of operating assets should be deployed 4. Planning task then moves to service delivery process
  • 6. Service Delivery  Delivery of a service involves six factors  Accountable service provider and his service suppliers(eg: people)  Equipment used to provide the service(eg: vehicle, cash register, computer systems)  Physical facilities(eg: buildings, parking, waiting rooms)  Requesting service consumer  Other customers at the service delivery location  Customer contact
  • 7. Attributes  Characteristic that provide form and function to the service  Are traced from business outcomes  Which attribute to include is a design challenge
  • 8. Basic Attributes  Attributes of service expected or taken for granted  Not fulfilling these will cause perceptions of utility loss  Fulfilling results in utility gain but only until the neutral zone after which there is no gain  Basic attributes are simple components to a product  Eg: Steering wheel in a vehicle. The vehicle is no good if it is not able to be steered
  • 9. Articulated Attributes  Results in perceptions of utility gain when fulfilled and utility loss when not fulfilled  Customers think that these are desirable but not most  It is on these customers discriminate between companies  Poor performance lead to customer dissatisfaction, good performance lead to satisfaction  Price a customer is willing to pay for a product is closely tied to performance attributes  Higher the performance attribute, higher the customer will be willing to pay for the product
  • 10. Exciting Attributes  Delight and surprise customers  Delivery of these will develop strong loyalty of the customers  Results in perceptions of utility gain and when not fulfilled do not cause perceptions of utility loss