SERVICES BRANDING

Branding Starbucks

SERVICES MARKETING
y What is a Service?

A service is any activity or benefit that one party can offer to another that is essentially intangible and does not result in the ownership of anything. Its production may or may not be tied to a physical product.
Kotler and Amstrong (1997, p. 265)

y What is a Brand?

.. a name, term, sign, symbol or design, or a combination of them, which is intended to identify the goods and services of one seller or group of sellers and to differentiate them from those of their competitors
American Marketing Association

SERVICES BRANDING
y Challenges in Services Branding
y Intangibility y Heterogeneity y Inseparability y Perishability

Goods Tangible

Services Intangible

Services Branding Implications Service brands cannot be patented Service brands cannot be inventoried Service brands cannot be readily displayed or communicated Pricing service brands is difficult Service brands face difficulties delivering on promises Service brand quality uncontrollable factors depends on many

Standardised

Heterogeneous

Inseparability

Simultaneous production

Non-perishable

Perishable

Customers participate in the service brand transaction Employees may affect the service brand outcome Customers may affect one another in the service brand transaction Satisfaction of service brand is influenced by expected and perceived behaviour of service provider and customer Mass production of service brands is difficult Service brands face challenges to build and sustain image and reputation to retain customers Fluctuating demand can cause problems for branding services

SERVICE BRANDING MODELS

Proposed services branding model: Brand as Product(5Ps) Brand as Process Brand as Person Brand as Symbol Brand as Organisation

Aakers brand identity model: Brand as Product Brand Brand as Organisation Brand as Person Brand as Symbol

Brand

LIVING THE CORPORATE BRAND

Enacted VISION Throug

Staff Behaviour

Interact CULTURE s
Stakeholder Satisfaction

OBJECTIVES
CORPORATE BRAND CONCEPT (Character)

Interact s
Systems

BRANDSPHERE

Monitor then Revisit

To identify the gaps between actual and intended brand promise

MEASURING SERVICES BRAND EQUITY

y Effectiveness y Internal and external message alignment y Consumer satisfaction y Brand reputation y Types of consumers y Rational y Political y Emotional y Spiritual

CONCLUSION
Branding plays a special role in service companies because strong brands increase customers
trust of the invisible purchase. Strong brands enable customers to better visualise and understand intangible products. They reduce customers perceived monetary, social, or safety in buying services, which are difficult to evaluate prior to purchase. Strong brands are the surrogates when the company offers no fabric to touch, no trousers to try on, no water melons or apples to scrutinise,no automobiles to test drive.
Berry (2000, p. 128)