Chapter- 2

The Nature of Services Marketing

Objectives of the Session

To understand Evolution of Service Firms A Different Approach for Marketing Services The Services Marketing Triangle The Services Marketing Mix Key Marketing Issues Before a Service organization New Avenues in Services Marketing

Evolution of Service Firms

The fierce competition in all sectors of service industry Importance to segmentation, customer satisfaction, new product development, service quality etc. Emergence of IT sector

A Different Approach for Marketing Services

Narrow definition of marketing by service providers Lack of appreciation for marketing skills in service organizations Differences in organizational structure of service firms Problems in determining costs for pricing of service. Constraints and opportunities for not-for-profit service organizations.
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The Services Marketing Triangle

Company

Internal Marketing

External Marketing

Front-Line Employees

Customers Interactive Marketing

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The Service Marketing Mix

People
Physical Evidence Process

Key Marketing Issues Before a Service organization

Managing differentiation

Service premises Packaging Service personnel Tools and equipment used Customers Convenience Name of the service establishment

Managing productivity Managing service quality

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New Avenues in Services Marketing

Trade shows and trade fairs

Rapid growth of internet users Boom in IT sector

Increased demand for greater mobility

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Summary
Evolution of Service Firms A Different Approach for Marketing Services The Services Marketing Triangle The Services Marketing Mix Key Marketing Issues Before a Service organization New Avenues in Services Marketing

Thank you
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