Services Marketing

MMS (III Sem)

Lecture 3 & 4
3-Stage model of Service Consumption

Pre-purchase Service Post-encounter

stage Encounter stage
I. Pre-purchase stage
• Need awareness
• Internal
• External
• Solution awareness
• Situational awareness

• Information search
• Importance of Media consumption patterns of target customers
• Brands need to be a part of “Evoked Set” – at least
• Clarify needs
• Explore solutions
• Arrive at “Consideration set”
Evaluation of alternative services
• Multi – attribute model
Attribute Weightage Vendor1 Vendor2 Vendor3

100%

• Communications plays a critical role in managing Attributes set

(presence / absence / new attributes), weightage and overall
evaluation
Service Attributes
• Search attributes
• Tangible
• Can be evaluated before availing the service
• Experience attributes
• Tangible / Intangible
• Only upon experiencing a service
• Credence attribute
• Hard to evaluate even after service consumption
• Trust based

Ease of evaluation is based on these attributes

Perceived risks & mitigations
• Perceived risks will affect Consumer decision making process
• Mitigation through
• Opinion seeking
• Market / product / competition study
• Relying on reputed brand name
• Look for Guarantee / Warrantee / Service Assurances
• Visiting service facilities beforehand
• Small-scale / free trial (extensive in B2B situations)

Each of these mitigations is an opportunity for the Brand

II. Service Encounter Stage
• Moments of Truth
• High contact v/s Low contact model
• Servuction model
• Service as a factory
• Technical core
• Service delivery system
• Perceived control
• Important to design it in the service encounters
III. Post-Encounter Stage
5 Dimensions of Service quality
• Tangibles
• Reliability
• Responsiveness
• Assurance
• Credibility
• Security
• Competence
• Courtsey
• Empathy
• Access
• Communication
• Understanding of the customer, needs & situation
III. Post-Encounter Stage
5 Dimensions of Service quality
1) Tangibles –
• Physical space

• Facilities

• Equipment

• Personnel

• Communication materials
III. Post-Encounter Stage
5 Dimensions of Service quality
2) Reliability –
• Ability to perform the promised service dependably & accurately
III. Post-Encounter Stage
5 Dimensions of Service quality
3) Responsiveness –
• Willingness to help customers and provide prompt service
III. Post-Encounter Stage
5 Dimensions of Service quality
4) Assurance –
• Credibility

• Security

• Competence

• Courtesy
III. Post-Encounter Stage
5 Dimensions of Service quality
5) Empathy –
• Access

• Communication

• Understanding the customer

Services examples:
1. Furniture 10. Dentistry
2. Beauty 11. Vehicle servicing
3. Diagnostics 12. Appliance repairs
4. Appliance repairs 13. Education
5. Wildlife tourism 14. Legal services
6. Commercial property leasing 15. Air travel
7. Restaurant 16. Banking
8. Counselling
9. Surgery