Services & Social Mktg M Sahni. Goods Goods - things you can touch - “tangible” Services Services - things you can’t touch - but you can see their effect

Services & Social MktgServices & Social Mktg

M SahniM Sahni

GoodsGoods - things you can touch - “tangible”

ServicesServices - things you can’t touch - but you can see their effect “intangible”“… services are not physical, they are intangible…”

1. Intangibility - “u can’t touch this”

2. Production (or performing the service) and Consumption (using the service) - happens at the same time

3. Heterogeneity - services are not always delivered the same way

4. Perishability - cannot be put in inventory or stored for later useie. You can’t buy 2 haircuts

Characteristics of Services


• Services cannot be stored

• Services cannot be protected through patents

- therefore a really great travel package and service can be copied

a really great physical object can be patented, and NOT allowed to be copied



• Hard to explain and display Services if you can’t see them

• Prices are difficult to set - depends on customers expectations



Marketing Strategies

• stress tangible cues, eg. Smiling face

• use personal information, sources, references

• use word-of-mouth

• contact customers after they buy to stimulate continued enthusiasm and hope they “talk it up”


2. Inseparability of Production (or performing the service) and Consumption (using the service) - happens at the same time


• Many people involved in delivering a service

• mass production of services is hard to do

2. Inseparability of Production (or performing the service) and Consumption (using the service) - happens at the same time


Marketing Strategies

• Emphasize how much you train your people - so their ability to give you good service will be high

• Have many locations so customers can get to you

• ie. Insurance sales come to your home


It is very difficult to standardize services

eg. A machine can make ice cream cones a standard size 100% of the time

A person filling an ice cream cone with a scoop cannot do it the same amount each time, unless you use a machine to dispense the ice cream



It is very difficult to standardize services

eg. A Taxi driver cannot drive you to the office in exactly the same time each day because the traffic patterns change

eg. A travel agent can sell you a vacation package - but cannot guarantee you will like the trip exactly the same way another tourist did.


4. Perishability - cannot be put in inventory or stored for later use

ie. You can’t buy 2 haircuts

Demand fluctuates and changes, sometimes depending on the season, or weather

eg. Taxi in the rain, vacation in summer


What is Social Marketing ?What is Social Marketing ?

A process to develop implement and evaluate and A process to develop implement and evaluate and control behaviour change programs.control behaviour change programs.

Kotler defines it as:Kotler defines it as:– The adaptation of commercial marketing The adaptation of commercial marketing

technologies to the analysis, planning, execution technologies to the analysis, planning, execution and evaluation of programs designed to and evaluation of programs designed to influence the behaviour of target audiences in influence the behaviour of target audiences in order to improve their physical and mental well-order to improve their physical and mental well-being and or that of the society of which they being and or that of the society of which they are a partare a part

Understand the context of Understand the context of Social MarketingSocial Marketing

The social context provides opportunities and cues The social context provides opportunities and cues for behavior change and reinforcementfor behavior change and reinforcement

Social marketing aims to create a social context that Social marketing aims to create a social context that reinforces positive behavior and discourages reinforces positive behavior and discourages negative behaviornegative behavior

Legal penalties and financial incentives can be built Legal penalties and financial incentives can be built into the social context.into the social context.

But the key to behavior change is social perception But the key to behavior change is social perception of what is normal and acceptable. of what is normal and acceptable.

The 6 P’s of social marketingThe 6 P’s of social marketing

Price

Place

Promotion

Product

Politics

PublicsThe 6 P’s of

Social Marketing

Social marketing stagesSocial marketing stages

Is most effective when it is implemented as Is most effective when it is implemented as a systematic continuous process driven at a systematic continuous process driven at every stage by decision based research.every stage by decision based research.

There are six stages:There are six stages:1.1. Planning and strategyPlanning and strategy2.2. Selecting channels and materialsSelecting channels and materials3.3. Developing materials and pre-testingDeveloping materials and pre-testing4.4. ImplementationImplementation5.5. Assessing EffectivenessAssessing Effectiveness6.6. Feedback to refine programFeedback to refine program

Documents

Services & Social Mktg M Sahni. Goods Goods - things you can touch - “tangible” Services Services - things you can’t touch - but you can see their effect