Classification of Services

Degree of Tangibility of Service Process

Who or what are the direct recipient of Service Process
Customization Vs. Standardization
Nature of relationship with the customers
Extent to which demand and supply are in balance
Extent to which facilities, equipment, and people
are part of the service experience
The place and time of service delivery
 Classification of Services
Degree of Tangibility of Service Process
NATURE OF THE RECEIPIENT OF THE ACT
ACT
Service directed at Service directed at
people’s bodies physical possession
•Health Care •Freight transportation
TANGIBLE
ACTION •Hair cutting •Industrial equipment mant
•Passenger Transportation •Laundry and dry cleaner
•Restaurant •Veterinary care

Service directed at Service directed at

people’s minds Intangible Assets
INTANGIBLE
ACTION •Education •Banking
•Broadcasting •Legal service
•Information services •Security
•Theatres •Insurance
•Museums
 Classification of Services
Relationship with customer
NATURE OF TYPE OF RELATIONSHIP
SERVICE
DELIVERY Membership relation Non formal Relshp

CONTINUOUS
•Cable TV •Radio Station
DEL. OF •Mutual Fund •Police production
SERVICE •Telephone •Light house
•Banking •Public highway
•College Enrollment

•Long distance phone call •Car rental

DISCRETE •Theatre season ticket •Mail service
•Commuter ticket •Toll bridge/way
•Restaurant
•Pay phone
 Classification of Services
Customisation
EXERCISE OF
JUDGEMENT BY EXTENT OF CUSTOMISATION
CUSTOMER
CONTACT
PERSON High Low

•Legal Services •Education: Large classes

High •Health Care •Preventive health care
•Taxi Service
•Beautician
•Tutorials

•Telephone service •Public Transmission

•Hotel service •Routine appliance
Low maintenance
•Retail banking
•Movie Theatre
 Classification of Services
Nature of Demand
EXTENT TO EXTENT OF DEMAND FLUCTUATION OVER TIME
WHICH SUPPLY
IS CONSTRAINED
Wide Narrow

•Natural gas •Insurance

Peak demand
•Telephone •Banking
CAN be met
•Hospital •Dry cleaner
without delay
•Tourist lodging

•Accounting • -do- with less base

Peak demand
•Electricity level capacity
regularly
exceeds •Theatres
capacity
 Classification of Services
Method of Service Delivery
NATURE OF AVAILABILITY OF SERVICE OUTLET
INTERACTION
WITH CUSTOMER
Single Site Multiple Site

•Haircutting
Customer goes •Bus service
•Beauty Saloon
•Fast food chain
•Theatre

Service •Taxi • Mail delivery

Provider
Comes

•Credit Card •National radio

Arm’s length •Telephone Company
•Local Radio Station
 Classification of Services
Level of equipment used

HIGH

People’s
Participa
tion
HIGH
LOW

LOW