SERVICES MARKETING

S.POUGAJENDY AP/MBA/SREC

CODE:BA9253 - SERVICES MARKETING SYLLABUS

UNIT I INTRODUCTION 9 Definition Service Economy Evolution and growth of service sector Nature and Scope of Services Unique characteristics of services - Challenges and issues in Services Marketing. UNIT II SERVICE MARKETING OPPORTUNITIES 9 Assessing service market potential - Classification of services Expanded marketing mix Service marketing Environment and trends Service market segmentation, targeting and positioning. UNIT III SERVICE DESIGN AND DEVELOPMENT 9 Service Life Cycle New service development Service Blue Printing GAPs model of service quality Measuring service quality SERVQUAL Service Quality function development. UNIT IV SERVICE DELIVERY AND PROMOTION 9 Positioning of services Designing service delivery System, Service Channel Pricing of services, methods Service marketing triangle - Integrated Service marketing communication. UNIT V SERVICE STRATEGIES 9 Service Marketing Strategies for health Hospitality Tourism Financial Logistics Educational Entertainment & public utility Information technique Services case studies

TEXT BOOKS &REFERENCES

TEXT BOOKS 1. Chiristropher H.Lovelock and Jochen Wirtz, Services Marketing, Pearson Education, New Delhi, 2004. 2. Hoffman, Marketing of Services, Cengage Learning, 1st Edition, 2008.

REFERENCES
1. K. Douglas Hoffman et al, Essentials of Service Marketing : Concepts, Strategies and Cases, Thomson Learning, 2nd Edition. 2. Kenneth E Clow, et al, Services Marketing Operation Management and Strategy, Biztantra, 2nd Edition, New Delhi, 2004. 3. Halen Woodroffe, Services Marketing, McMillan, 2003. 4. Valarie Zeithaml et al, Services Marketing, 5th International Edition, 2007. 5. Christian Gronroos, Services Management and Marketing a CRM

SERVICES MARKETING
Defn: A service is any act or performance that one party can offer to another that is essentially intangible and doesn't result in the ownership of anything . Its production may or may not be tied to a physical product. E.g : Airlines, hotels,banks,insurance,brokers , real estate companies, police,post office, colleges, hospitals

CHARACTERISTICS OF SERVICE
1. 2. 3. 4.

Intangibility Inseparability Perishability Variability

1. Intangibility : Cannot be seen , tasted, felt, heard or smelled before purchase. Tangibilize the intangible e.g HDFC bank 1) People : quick service,courteous,helpful 2) Machinery : state of the art ATMs, WAN network etc will connote modern and effective bank. 3) Place : Exterior, Interior ambience : should connote class.

CHARACTERISTICS OF SERVICE (CTD)

2. Inseparability: Services are typically produced and consumed simultaneously. 3. erishability: P Services cannot be stored. Unused electric power, idle seats in bus, train represent business which is lost forever. Eg: Empty seats in a stadium for a cricket match cannot be carried over to provide more seating in the next match.

CHARACTERISTICS OF SERVICE (CTD)

4. Variability OR Inconsistency Services are highly variable , since they depend on who provides them and when and where they are provided Eg: Indian airlines doesn't give the same quality of service on its each flight.
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NATURE OF SERVICE
Service is an intangible offering with little or no transfer of physical products to the customer Service is one part of product-service mix being offered to customers The main offering is the product but the supplier also provides some services Every product or service or any combination of a mix of the two, ultimately is supposed to provide service for customers

SCOPE OF SERVICE
Tremendous scope for employment Highly rewarding Globalised opportunities Challenging Scope for innovation Scope for self employment Suited for women ( customer courtesy)

SIGNIFICANCE OF SERVICE MARKETING

Intensive competition Growing consumer awareness Increasing specialization (hospitals, hotels) Market sophistication Technology

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IMPORTANCE OF SERVICES
Advances in technology Growth in per capita income A trend towards outsourcing Deregulation Increasing growth in retailing due to increase in propensity to consumer

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DIFFERENCE BETWEEN PHYSICAL GOODS AND SERVICES

Physical goods tangible homogeneous Production and distribution are separated from consumption A thing Core value processed in factory Customers do not participate in the production process Can be kept in stock Transfer of ownership Services intangible heterogeneous Production, distribution and consumption are simultaneous processes An activity or process Core value produced in the buyerseller interaction Customers participate in production Cannot be kept in stock No transfer of ownership
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SERVICE ECONOMY
Service economy can refer to one or both of two recent economic developments. One is the increased importance of the service sector in industrialized economies.

The service economy in developing countries is mostly concentrated in financial services, health, and education. Products today have a higher service component than in previous decades.
In the management literature this is referred to as the servitization of products
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ROLE OF SERVICES IN ECONOMY

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