1003MKT Lecture Notes - Lecture 7: Marketing Week, Services Marketing, Intangibility
30 May 2018
School
Department
Course
Professor
Marketing Week 7 Lecture Notes
Services Marketing
Importance of services
• Services account for 70-80% of GDP in most advanced economies
• Services cover a very broad array of industries
• Opportunities growing because of demographic and sociocultural changes, internet
and I.T.
Changing importance of industry divisions
Services
• Activities, performances, or experiences that involve neither an exchange of tangible
goods, nor a transfer of title
• Services cannot be easily displayed, compare, or communicated
• Therefore, far greater pereied risk i akig a purhase deisio
• Goods vs. Services: a continuum of in/tangibility
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A Continuum of in/tangibility
Evaluating: goods vs. Services
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find more resources at oneclass.com
Document Summary
Importance of services: services account for 70-80% of gdp in most advanced economies, services cover a very broad array of industries, opportunities growing because of demographic and sociocultural changes, internet and i. t. The 7ps of the extended services marketing mix: be(cid:272)ause of i(cid:374)(cid:272)reased (cid:862)risk(cid:863), a(cid:374)d the (cid:373)ost ser(cid:448)i(cid:272)es are people (cid:271)usi(cid:374)esses, 3 additio(cid:374)al ps (cid:373)ake up the (cid:858)7ps(cid:859) for ser(cid:448)i(cid:272)es, 5. Physical evidence: process, all the systems and procedures used to create, communicate, deliver and exchange an offering, a better process can provide a major competitive advantage e. g. paypal, zara, Amazon: poor processes can result in major failures e. g. united airlines overbooking, the pro(cid:272)ess should result i(cid:374) perfor(cid:373)a(cid:374)(cid:272)e that (cid:894)at least(cid:895) (cid:373)at(cid:272)hed the (cid:272)usto(cid:373)er(cid:859)s expectations, 1. Standardize the service- performance process: people, three groups of people affect the outcome of the service delivery, and need to be managed, 1. Other clients: service providers are the product/ service.
