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SRM

SRM

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Published by Kiran Virani

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Published by: Kiran Virani on Apr 13, 2011
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04/18/2014

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S
ERVICES
 
AND
R
ELATIONSHIP
M
ARKETING
(SRM) K 
EYUR
DV
ASAVA
.. 
Module 1. Basics of ServicesMarketing
1.W
HAT
 
ARE
S
ERVICES
?
 The term services cover a heterogeneous range of intangible products and activitiesthat are difficult to encapsulate within a simple definition.Services are also often difficult to separate from goods with which they may beassociated in varying degrees."There is a group of industries, generally classified as service industries, thatproduce outputs that have many of the characteristics of goods, i.e., thoseconcerned with the provision, storage, communication and dissemination of information, advice and entertainment in the broadest sense of those terms--theproduction of general or specialized information, news, consultancy reports,computer programs, movies, music, etc. The outputs of these industries, over whichownership rights may be established, are often stored on physical objects--paper,tapes, disks, etc.--that can be traded like ordinary goods. Whether characterized asgoods or services, these products possess the essential characteristic that they canbe produced by one unit and supplied to another, thus making possible division of labour and the emergence of markets."
Examples of service activities are
wholesale, retail, certain kinds of repair, hotel, catering, transport, postal, telecommunication, financial, insurance,real estate, property rental, computer-related, research, professional, marketingand other business support, government, education, health, social, sanitation,community, audiovisual, recreational, cultural, personal, and domestic services.
Why Study Services?
Good customer service is all about bringing customers back.And about sending them away happy - happy enough to pass positive feedbackabout your business along to others, who may then try the product or service youoffer for themselves and in their turn become repeat customers.
 
By maintaining good customer service, you will be keeping customers - which in thelong run is quicker, easier and cheaper then finding new ones!Good customer service is much cheaper and far more effectiveA satisfied customer that has purchased a product from you, or used your servicewill tell friends and colleagues about their experience. Generally, happy customerswill recommend your business to others.Good customer service is important as it’s easier and cheaper to keep existingcustomers happy than to keep finding new ones.every member of staff needs to take ownership of customer care and be proactivewhen dealing with customers so that problems do not arise.Marketing brings a customer in, customer service keeps them coming back.Good customer service can be the difference between being able to compete andsurvive and failing.customer service that builds customer loyalty, gives positive word-of-mouthadvertising, and increases sales – in short, the good, better or even superiorcustomer service that consumers want.Providing excellent customer service is one way a small business can distinguishitself from the competition. The essence of good customer service is forming a relationship with customers – arelationship that that individual customer feels that he would like to pursue.
FlexibilityReliability
2. R
OLE
 
OF
 
SERVICES
 
IN
 
THE
 
ECONOMY 
 
Role of Services in an EconomyWhat is a service?nAn idea?nA circumstance?nA convenience?
 
nA physical thing?Goods vs. ServicesnGood: tangible physical object; created and transfered; existence over timenService: intangible and perishable; created and used simultaneously; only theeffect has an existence over time
»
Book, restaurant, TV
»
Challenge to managersnIdentify appropriate techniques developed in manufacturing that areapplicable to service operationsnInitiate the innovative use of information systemsnRecognise the consumer as a productive resourceService DefinitionA Service is a Time-perishable, Intangible Experience Performed for a CustomerActing in the Role of a Coproducer.-- James FitzsimmonsDefinition of Service FirmsService Enterprises are Organizations that Facilitate the Production andDistribution of Goods, Support Other Firms in Meeting Their Goals, and
 Add Value
toOur Personal Lives.-- James Fitzsimmons Taxonomy of servicesnDomestic servicesnTrade and CommercenServices that refine and extend human capacitiesRole of Services in an EconomyGOVERNMENT SERVICES· Military

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