MARKETING MANAGEMENT
12
thedition
13
Designing and
Managing Services
13-2
Chapter Questions
What are the characteristics of products and how
can they be classified?
How can companies differentiate products? How can a company build and manage its
product mix and product lines?
How can companies combine products to create
strong co-brands or ingredient brands?
How can companies use packaging, labeling,
13-3
Service
Any act of performance that one party can offer another that is essentially intangible and does not result in the ownership of anything.
13-4
Service Sectors
Government
Private, nonprofit
Business
Manufacturing
13-5
Categories of Service Mix
Pure tangible good
Good with accompanying service
Hybrid
Service with accompanying goods
13-6
Service Distinctions
Equipment-based or people-based
Service processes
Client’s presence required or not
Personal needs or business needs
13-7 Distinctive Characteristics of Services
Intangibility
Inseparability
Variability
13-8
Physical Evidence and
Presentation
Place
People
Equipment
Communication material
Symbols
13-9
How to Increase Quality Control
Invest in good hiring and training
procedures
Standardize the service-performance
process
13-10
Matching Demand and Supply
Demand side
Differential pricing Nonpeak demand Complementary
services
Reservation
systems
Supply side
Part-time employees
Peak-time efficiency
Increased consumer participation
Shared services
13-11
Table 13.1 Factors Leading to Customer Switching Behavior
Pricing
Inconvenience
Core Service Failure
Service Encounter Failures Response to Service Failure Competition
Ethical Problems
13-12
Gaps that Cause Unsuccessful Service Delivery
Gap between consumer expectation and management
perception
Gap between management perception and
service-quality specifications
Gap between service-quality specifications and
service delivery
Gap between service delivery and external
communications
13-13
Determinants of Service Quality
Reliability
Responsiveness
Assurance
Empathy
13-14
Best Practices
Strategic concept
Top-Management commitment
High standards
Self-Service technologies
Monitoring systems
Satisfying customer complaints
13-15
Developing Brand Strategies for
Services
Choosing brand elements
Establishing image dimensions
13-16
Customer Worries
Failure frequency
Downtime
