SERVICES

MARKETING
 SERVICES

• Defn : Services are deeds , processes and

performances – Bitner/Zeithaml/Gremler
 GROWTH OF SERVICE SECTOR

• Demographic Changes
• Social Changes
• Economic Changes
• Political and Legal Changes
 NATURE OF SERVICES

• Intangibility
• Heterogeneity
• Inseparability
• Perishability
 CLASSIFICATION MATRIX

• Nature of service act

• Relationship with customer
• Customisation and Judgment
• Nature of Demand and Supply
• Method of Service Delivery
 NATURE OF SERVICE ACT
Nature of Service Act Recipient of Service

People Things

Tangible Actions Healthcare Freight

Transportation
Beauty Saloon Dry Cleaning
Restaurants Veterinary Services

Education Banking
Intangible Actions Information Services Insurance
Entertainment Legal Services
 RELATIONSHIP WITH CUSTOMER
Nature of Service Delivery Type of Relationship
Member No Formal
Relationship Relationship

Insurance Radio
Station
Continuous Delivery of service Banking Police
Cable Fire Dept.

Commuter Ticket Cinema

Discreet Transactions Season Ticket Postal
Service
Phone Call Car Rental
 CUSTOMISATION AND
JUDGEMENT
Judgment Customisation of Service
by interactive
Staff High Low

Legal Services Sports Team

High Architectural Design Preventive Health
Programs
Education ( Tutorials) Education ( Institutions)

Hotel Services Public Transportation

Low Retail Banking Appliance Repair
Quality Restaurant Cinema
NATURE OF DEMAND AND SUPPLY
Supply Constrained Demand Fluctuations
(Often Peak Demand)
Wide Narrow

Electricity Insurance
Met without major delay Telephone Banking
Fire Services Legal
Services

Hotels All the above

Regularly Exceeds Capacity Theatres
Passenger Transport
 METHOD OF SERVICE DELIVERY
Nature of interaction Service Outlet Availability

Single Site Multiple

Customer goes to Theatre Bus Service

Organisation Hair Dressing Fast Food Chain

Organisation comes Paint Care Mail

To Customer Taxi Emergency Repair

Both Transact at Arm’s Credit Card Broadcast

Network
Length TV Station Telephone
INTERACTION BETWEEN SERVICE
AND MANUFACTURING SECTORS
 SERVICES – PRODUCTS DICHOTOMY

PRODUCT SERVICES
• TANGIBLE • INTANGIBLE
• ARE PRODUCED • ARE PERFORMED
• ARE PROCESSED • ARE RENDERED
• STANDARDISATION POSSIBLE • HETROGENOUS
• INVENTORY • PERISHABLE
• PRODUCTION / CONSUMPTION • PRODUCTION/CONSUMPTION
AT DIFFERENT PLACES AT SAME PLACE
• PRODUCER AND SELLER MAY • PRODUCER AND SELLER ARE THE
DIFFER SAME
• PHYSICAL OWNERSHIP • NO PHYSICAL OWNERSHIP
• REFUND / EXCHANGE A REALITY • CANNOT REFUND THE
EXPERIENCE
TANGIBILITY FACTOR
THE MARKETING MIX
FOCUS FOR MARKETING
 SELLING  SERVICE  ---SALES  PROCESS

1.INTRODUCTION
2.ESTABLISH  RAPPORT
3.CLARIFY  THE  CURRENT PRACTICES.
4.DETERMINE THE  POTENTIAL NEEDS.
5.CLARIFY  THE  CLIENTS'  UNDERSTANDING OF NEEDS.
6.OFFER  SOLUTIONS  TO  MEET  CLIENTS NEEDS.
7.NOW  RECOMMEND  YOUR  COS. SERVICES   AS  A  SOLUTION.
8.SELL  THE  BENEFITS  OF  YOUR  COS. SERVICE.
9. SELL  WHY  YOUR COMPANY  IS  UNIQUELY   POSITIONED  TO  PROVIDE SOLUTIONS.
10. MOTIVATE  YOUR CLIENT.
11. HANDLE  ANY RESISTANCE
12.HANDLE  OBJECTIONS [ PRICE/DELIVERY etc.]
13.SEEK  COMMITMENT
14.CLOSE THE  SALE
15.ASK  FOR  THE  ORDER.
 SELLING  A  PRODUCT  ---SALES  PROCESS
1.INTRODUCTION
2.ESTABLISH  RAPPORT
3.CLARIFY  THE  CURRENT PRODUCT  USAGE.
4.DETERMINE THE  POTENTIAL NEEDS
5.ESTABLISH NEEDS  OF  THE  PRODUCT
6.CLARIFY  THE  CLIENTS'  UNDERSTANDING OF NEEDS OF  THE  PRODUCT.
7.DEMONSTRATE   THE  PRODUCT  FEATURES.
8.EXPLAIN  THE   BENEFITS  OF  THE  USING   THE  PRODUCT  TO THE  CUSTOMER.
9. EXPLAIN THE  ADVANTAGES  OF  YOUR PRODUCTS  OVER THE  COMPETITORS.
10. EXPLAIN  HOW  YOUR  PRODUCT   IS  THE  SOLUTION   TO  MEET  CLIENTS NEEDS.
11.NOW   ADVOCATE   YOUR  COS.  PRODUCT   AS  A  SOLUTION.
12 . MOTIVATE  YOUR CLIENT,  BY  OFFERING   OTHER VALUES  LIKE     -AFTER  SALES  SERVICE
 SUPPORT  ETC.  
13. HANDLE  ANY RESISTANCE
14.HANDLE  OBJECTIONS [ PRICE/DELIVERY etc.]
15.SEEK  COMMITMENT
16.CLOSE THE  SALE
17.ASK  FOR  THE  ORDER
 B2B SERVICE BUSINESSES
• Packaging product into system solutions
• Packaging company’s internal services into external
saleable services
• Servicing other companies from company’s physical
facilities
• Offering to manage other company’s physical
facilities
• Selling financial services
• Moving into distribution services