42166241 Marketing Strategy for Service Firms

8/8/2019 42166241 Marketing Strategy for Service Firms

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PRESENTED BYSHILPA SAHOO

VISHVENDRA SINGH

TANMAY NAYAK


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KOTLEREvery business isa servicebusiness. Does

your service put asmile on thecustomers face?


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WHAT IS SERVICE?yA Service is any act or performance one party can offer

to another that is essentially intangible

y It does not result in the ownership of anythingy Its production may or may not be tied to a physical

product


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Service Industries are everywhereyGovernment Sector

courts

hospitalsloan agenciesmilitary services

police and fire departmentspostal servicesschool and colleges


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Continue yPrivate nonprofit sector

museum

churchescharitiesfoundations

y Business sector

airlineshotelsinsurance companiesreal state


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Increasing importance of servicesy In 2009 the share of service sector in the GDP of

India was 52%

1. Advancement in technology2. Increase in per capita income

3. A trend towards outsourcing

4. Increasing growth in retailing due to increase in the

propensity of the customer


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Categories of service mixy Pure tangible good

y Tangible goods with accompanying services

y Hybrid services

y Major services with minor goods

y Pure service


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ALL PRINCIPAL O F MARKETING

ALSO

APPLY TO SERVICES


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CHARACTERISTICS OF THESERVICES


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INTANGIBILITYy Unlike physical products services cannot be

seen,tested,felt,heared or smelled before they bought

yEXAMPLE

1. a person getting plastic surgery cannot see theresult before the purchase

2. A person who goes to a bank to deposit money in

bank cannot know in advance how much time he willspend in bank


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INSEPARABILITYy Services are produced and consumed simultaneously

y Services cannot be separated from its providers

unlike physical goods are manufactured , put intoinventory , distributed through multiple resellers andconsumed later

y EXAMPLE

A Barber cannot give haircut without being presenty service client interaction is the special feature of

service marketing


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CONTINUEu.y Several strategy exist for getting around the limitation

of inseparability

1. The service provider should learn to work with largegroup

2. The service provider should work faster

3. The service organization can train more service

providers and build up client confidence


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VARIABILITYy Quality of service depends who provides them ,when

and where , and to whom , services are highly variable

yEXAMPLE

1. Some doctors have excellent bedside manner othersare less emphatic

2. Some doctors are good in performing some type of

surgical operation others are noty People are vary aware of this variability and often talk

to other people before selecting a service provider


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CONTINUEuy EXAMPLE

1. General electric send out 700000 response card a

year asking households to rate its serviceperformance

2. Citibank checks continuously on measures of ART(accuracy , responsiveness & timeliness)


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PERISHABILITYy Service cannot be stored for later use

y Perishability of services can be a problem if demand

fluctuatey EXAMPLE

Public transportation companies can own much morevehicles because of rush demand hour


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CONTINUEuy Several strategy can produce a better match between

demand & supply in a service organization

y On the demand side-1. Differential pricingwill shift some demand from

peak to off peak period

2. Nonpeak demandcan be cultivated

3. Complementary servicescan provide alternative towaiting customers

4. reservation system are a way to manage thedemand level


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MARKETING STRATEGY FOR

SERVICE FIRMS TO IMPROVE

SERVICE QUALITY


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MEETING CUSTOMER

EXPECTATIONy Understand what customer really want through

continuous learning about the expectation and

perception of customery consumer of service value not only the outcome of the

service but also the experience he takes by becomingpart of it


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ACCESSy The service firm keep it into account that service

provided to the customer at convenient location at

convenient time with little waiting period in availingthe service


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RELIABILITYy The service organization must be able to deliver

promised service each time the customer decide to

avail of it


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BASIC SERVICESy Service company must deliver basic and do what they

are supposed to do-

1. Keep promises2. Keep customer informed

3. Deliver value to the customer


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FAIR PLAYy Service company must make special effort to be fair

For this what a service firm can do

1. The service firm should describe the service clearly& accurately

2. The organization should provide physical evidenceto the customer which will ensure that they will be

provide a good servicey These things will ensure the credibility of customer

in firm


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EMPLOYEE RESEARCHy Marketers should conduct research with employees

to reveal why service problem occur what organization

can do to resolve the problem


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DEMONSTRATIONy Service company should try to demonstrate their

service quality through presentation

y

EXAMPLEa hotel can develop a look and a style of dealing withcustomers that shows its intended customer-valueproposition its cleanliness , speed or some other

benefit


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AIRTEL SERVICES


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THANK YOU

Documents

42166241 Marketing Strategy for Service Firms