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Four Broad Categories of Service

Though it, service provider can know which service.


This categories show how unwise it is to overgeneralize about services.
The mangers in particular service industry shouldn't fall in that trap of believing that their situation is
unique and they have nothing to learn from any other service industry.

(Source: Service Marketing by lovelock)

There are total four categories,


Main two categories: Tangible and Intangible
In Tangible two part: People and Possession
In Intangible two part: Mental Stimulus and Information

(1) People Processing

 The action/work/ service do on direct on people body, with equipment and without equipment
 A physical location where people or machines/ both, create and deliver service benefits to
customers. 
 In People Process service customer must prepare for co-ordination with the service operator,
for example, Hair cutting, customer must follow instruction given by barber. Follow the instruction
given by doctor during the check up patient body  
 Time required of customers in people processing services varies widely. Customer satisfied
after completed services, to reach his/her destination, satisfied his hunger or is now sporting clean and
stylishly cut hair or has has a good night's sleep away from home or is now in physically better health
 Example of people processing
o Passenger transportation
o Health care
o Lodging
o Beauty Salons
o Physical therapy
o Fitness centers
o Restaurants/bars
o Barbers
o Funeral services
(2) Possession Processing

 The service directed at physical possession (work/action/service do on customer's physical


good's)
 Customers are less physically involved with this type of service.
 Example of Possession Processing
o Freight transportation
o Repair and maintenance
o Warehousing/Storage
o Office cleaning services
o Retail distribution
o Laundry and dry cleaning
o Refueling
o Landscaping/gardening
o Disposal/recycling 
(3) Mental Stimulus Processing 

 The work/activity/service with effect human mind. (Intangible)


 In this service customer must investment of time and mental effort.
 It can be inventoried. For example, customer's favorite movies/songs download from source
and can store in their own gadgets and use it when they want.
 Example of Mental Stimulus Processing
o Advertising/PR (Personal Relations)
o Art's and entertainment
o Broadcasting/cable
o Management consulting
o Education
o Information Services
o Music concerts
o Psychotherapy
o Religion
o Voice telephone 
(4) Information Processing

 Information is the most intangible form of service output, but it may be transformed into more
enduring, tangible forms such as letters, reports, books, CD-Roms, or DVDs. 
 That are highly dependent on the effective collection and processing of information are
financial service and professional services such as accounting, law, marketing, research, management
consulting, and medical diagnosis
 Example of Information Processing
o Accounting
o Banking
o Data processing
o Data transmission
o Insurance
o Legal services
o Programming
o Research
o Securities investment
o software consulting 

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