Service Marketing unique approaches

Service Marketing

Contents

Introduction. 1

Services Marketing. 1

Unique service features. 3

Dispelling the myth. 5

Dispelling the myth. 5

Dispelling the myth. 6

Dispelling the myth. 8

References. 10

 

Introduction

More often a service has been described as an act, a process and a performance. Examples of services include: tourism, banking, hospitality, hairdressing, transport and so many more. In other case services has been described as economic activities that create ‘added value’ and provides benefits for customer (consumers or organizations). Most commonly in all cases services have been considered intangible (immaterial).  Their characteristics create a list of challenges for the marketing manager because he is forced to clearly communicate to the potential customers the benefits therein by drawing ideas and imagery that can be tangible.

Services Marketing

The philosophy of reaching the customer more precisely has dictated marketing activity throughout its history. In the early part of the 20th century, trading in ‘common services’ was one form of services marketing. Indeed this notion was recognized by Reagan (1963) as the origin of services marketing when debating the ‘service revolution’ at that time.

Traditionally, marketing tended to focus on goods-centered manufacturing based model of economic exchange which was developed during the time of the Industrial Revolution. As time progressed marketing has taken a transformative approach and it has covered a wide area which has included the exchange of more than manufactured goods. Marketing has been further been subdivided to various sections which include service marketing but built on the same goods and manufacture based model. The traditional marketing method was based on a foundation of goods marketing which focused majorly on distribution and monetized exchange of manufactured output. The Industrial revolution saw the emergence of marketing from economic science which further saw models being developed to deal with various issues.  The manufacturing output orientation resulted to substandard address of the service marketing discipline. Scholars have made great contribution distinguishing the two ways and types of marketing orientations. The distinction was majorly a process of identifying the range of services marketing by definition and delineation of the characteristic differences that exist between goods and services. After a careful consideration of these differences, normative strategies that must be applied by marketing managers are identified.

In this task I am going to focus in the tourism sector which is one the most occurring in our world. Services are everywhere as consumers we use services every day. The growth in the service industry is globally recognized and increasingly contributes to the economic development of many regions as it accounts for most of new job growth in developed countries. The tourism sector which am going to focus on in this study, contributes very heavily to developing economies. Services are very diverse are thus very difficult to define exhaustively.

The most common word in all definition of services is ‘activities’ or ‘processes’. This activity or process implies applying something and doing something for the benefit of some entity.  Vargo and Lusch, 2004 therefore defined a service as the application of specialized competencies (skills and knowledge), though deeds processes, and performances for the benefit of another entity or the entity itself (self service). The tourism industry for example is an area dominated by large multinational companies and small independently and locally operating companies. It involves all that Vargo and Lusch defined. Tourism as a service includes provision of tangibles that is to say that that services are sometimes provided directly or indirectly. The provision of tangible goods e.g. food and bedding to tourists are distribution mechanisms for service provision. In this way it may seem like everything is a service. Realistically it is economic change is fundamentally about providing service. Viewed in this way service becomes an inclusive term.

Some scholars have tended to differ with some of the common characteristics making contributions that “activities render services, things render services”. Kotler (2007) made an observation that the “importance of physical products lies not so much in owning them as in obtaining the services they render”. Rust, (2009) stated that most goods businesses now view themselves primarily as services, with the good being an important part of the service. Hunt (2002) states that the beginning of resource based theory, viewed the company as a “collection of productive resources….it is never themselves that are inputs to the production process but only the services the resources can render”. Therefore from the above explanation, Hunt (2002) pointed out that resources can be termed as “bundles of potential services”.

Unique service features

For services marketing, the distinguishing features or characteristics of services are important in the design of an appropriate marketing mix. The identification of these characteristics was the concern of the tourism industry as it tries to achieve its goals and strategic objectives. These characteristics are sometimes seen as hurdles or negative qualities or series to be tackled. Lusch, R and Vargo S (2004), argue that intangibility, heterogeneity, inseparability and perishability features do not delineate services from goods adequately. The further argued that:

  1. The feature`s implications for marketing strategy are contradictory to a market and consumer orientation.
  2. Are not accurate and are misleading about the nature of what the market has to offer.
  • Their effects should be inverted.

Thus, from these arguments they stated that service should and can be applicable to all exchange.

The core characteristics which Lusch and Vargo referred to as myths are as discussed below:

  1. Inseparable

Because services are processes, deeds or acts, customers are involved in the production of a service. For most services both the seller and the buyer needs to be at the same place at the same time for the service to occur. Because centralized mass production is difficult, consumers often have to travel to the point of service production. As from our above example, is that presence during consumption is crucial here. The tourist cannot enjoy the holiday privileges he has paid for while in London, he has to travel to Mombasa, spend time there and this cannot transferred to the comfort of his home. The consumer takes part in the production process, as he consumes it is being produced.

Many times consumers are co-consumers, of a service with a small or large numbers of others. Thus the behaviour and attitude of the consumers may impact upon the nature and experience of a service. For example an over demand in customer can deflect service staff attention and impact on the quality of service delivery to other consumers. If in the tourism industry there is an influx of tourists to a certain hotel, the hotel staff may compromise quality due to the large numbers they are unable to handle.

The other observable attribute is that services need to be near to the person consuming them i.e. goods can be made in a central factory location which has the benefits of mass production. This localization means that consumption is inseparable from production.

Dispelling the myth

Lovelock’s (1991) criteria of “people as part of the product” and “greater involvement of customers” implies that in offering services, the consumer and the producer must simultaneously interact in order for the service to be received, unlike goods. Lovelock (2000) termed inseparability “a dangerous oversimplification” and added that numerous offerings that are classified as services are partly or sometimes largely produced separate from the consumer. Tangible offerings cannot offer service (desired benefits) unless the consumer or to be user interacts with the goods. The benefits of goods are realized upon use. Thereby it is said that goods act as vehicles or channels for provision of services (Vargo and Lusch, 2004).

  1. Perishability

The intangibles nature of services makes them impossible to store, warehouse or re-use. A tourist staying at a local or overseas resort cannot store part of his days remaining to spend them at a later time. It is hard to make each service experience identical. In the same way if a tourist is being served by a particular way for the first time it would change the second time he visits because of changed less or more experienced staff.

Dispelling the myth

This feature is closely associated with tangibility and is meant to denote that since services are intangible they cannot be produced at one point in time, stored and sold at a later time when needed. Gummeson (2000) noted that “the claimant services cannot be stored is nonsense” his argument was that services are store in systems, machines, knowledge and people. For example a tourist resort is a store of rooms and villas which visitors can book for a period of time prior to “production” while away but not necessarily physically present.  The visitor or tourist can then enjoy their stay at the resort or if not possible for that particular moment they can also postpone if this option is available in most cases.

  1. Heterogeneity

The intangible nature of services means that standardization and quality are difficult to control. Since people are involved in providing the actual services in most sectors and that people are unlikely to operate as reliably and constantly as machines it is often not easy to control and measure quality. Customers may not be able to evaluate quality and for employers too it may be difficult. Evaluations rely majorly on attitude, opinions and expectations of customers and potential customers. Mostly systems and procedures are put into position to make ensure the service provided is consistent throughout, training in service organisations is essential for this, though in saying this there will always be some differences in service delivery.

Dispelling the myth.

In this case the focus is standardization. The idea being that because humans take part in the provision of services, it is difficult to standardize them like for goods. Since human input is the constraining factor, then services are more homogeneous than goods. Human involvement is a common feature in the provision of both services and tangible output. From time to time production of goods has been characterized as heterogeneous. Standardization came about is as a result of the mass production but it was not an inherent  feature of tangible output but it has not been fully achieved as it remains to be a goal not yet a reality. Numerous service providers of late have become standardized for example in the tourism industry which involves a lot of players, hotels have been standardized and given “stars” this acts as a benchmark for prospective clients or customers to know exactly what service to expect. Kotler P(1977) states that majorly standardization is about with quality but the relationship between homogeneity and quality is new and its mostly viewed to be a manufacturer centered association, promoted by the merits in efficiency brought by standardization in the advancement to mass production in the industrial revolution period.

Homogeneity in production most of the times leads to in heterogeneous judgments of quality by consumers, if not by the entire market. Service marketing scholars have on the other hand have accepted that services have demerits as compared to goods because its a complicated effort standardizing them. Hence the prescription that service providers ought to work harder to device ways to increase and improve standardization (Gummeson E,1995).

  1. Intangibility

A service cannot be literally held unlike a product. It cannot have real physical presence as for products. Although services are intangiable some scholars have argued that, from them consumers obtain an experience which has an impact on how they perceive it. Again this presents a challenge in evaluating quality of service before consuming as there are fewer features of quality as compared to a product (Vargo and Lusch, 2006). A way that quality can be considered can be in terms of search, credence and experience. The perception in the mind of the consumer about the quality of the product prior to buying it by making a series of searches is referred to as search quality. On the other hand there is experience quality which is a bit easier to assess. A tourist needs to be at a particular resort to enjoy the facilities that are on offer for him to evaluate on the service quality level and nature of the service. Credence quality is solely based on the credibility of the service that is undertaken. This relies on reputation for example of the numerous tourist vacation destinations. This type of quality used where there is have little knowledge of the destinations of choice and where you base your decisions upon the professionalism of the experts (Vargo and Lusch, 2004b).

Dispelling the myth

This feature does not hold up and at best it has little or no relevance. Shostack 1977; Swartz, Bowen and Brown 1992 noted that by the intangibility method there are no pure services or goods. This argument relies on observation that essentially all goods constitute a service component and that all services have a form of tangible representation. Iabobucci (1992) looked into the perceived goods versus services and their said tangibility of a number of offerings and discovered that “while goods are indeed perceived to be relatively more tangible than services all these stimuli are taken to be rather tangible in an absolute sense”. He made a conclusion that “the tangibility ratings are an example of where the data were not closely aligned with theoretical expectations” (pp. 33, 49).

Bateson (1991) wrote that customers buy symbolic meanings, satisfaction and present anticipated service provision: they buy benefits. They do not boy goods or services: they buy offerings which render services which in turn create value (Gummesson, 1995). We have seen the traditional division between goods and services get outdated. The issue is now redefining services and seeing them from a consumer perspective; things render services, activities render services. This transformation to services is a step from the means and the producer perspective to the utilization and consumer perspective (Gummesson, 1995).

  1. Variable

As human involvement in service provision is relevant here, no two services can be completely identical, hence they are variable. For example, returning to the same resort over and over again for vacation you might experience different levels of satisfaction. This may be due to the seasons when you visited e.g. if you visit during the peak season you might receive completely different experience as compared to when you visit during the peak season. So, services tend to be variable from one user experience to another.

  1. Lack of ownership.

A person cannot own or store a service as he can do for a product. Services are hired or consumed for a period of time. A best example is: if a tourist from London chooses Mombasa as his holiday destination and goes ahead and books a room or villa, he must be personally present on consumption of the service and if he fails his booking will be cancelled or in most cases lose what he had paid for the booking. He cannot apportion ownership for the room or villa beyond the time he had booked it. Right of ownership is not taken to the service, since you merely experience it (Vargo S. L, 2007a)

 

In brief

Western economies have seen deterioration in their traditional manufacturing industries, and a growth in their service economies. Therefore the marketing mix has seen extended and adapted to create the services marketing mix, also known as the 7P’s or the extended marketing mix – physical evidence, process and people.

As discussed, these conceptualizations do not apply only to what have traditionally been classified as services; they apply to entire marketing in general. These conceptualizations have been an crucial first step toward freeing marketing from a manufacturing and goods-based model of exchange and replacing it with a more general and generalizable service-dominant model (Vargo and Lusch, 2004a).

References

Bronstein, J.L. (1994), “Our current understanding of mutualism”, Quarterly Review of Biology, Vol. 69 No. 1, pp. 31-51.

 

Gummesson, Evert (1993), Quality Management in Service Organizations. New York: International            Service Quality Association.

Gummesson, E. (1995), “Relationship marketing: its role in the services economy”, in Glynn, W.J. and Barnes, J.G. (Eds), Understanding Services Management, John Wiley & Sons, New York, NY, pp. 244-68.

 

Hunt, Shelby D. (2002), Foundations of Marketing Theory: Toward a General Theory of Marketing. Armonk, NY: Sharpe.

Hunt, S.D. (2004), “On the service-centered dominant logic for marketing”, Journal of Marketing,

Vol. 68, pp. 21-2.

 

Iacobucci, Dawn (1992), “An Empirical Examination of Some Basic Tenets of Services,” in Advances in Services Marketing and Management, Teresa A. Swartz, David E. Bowen, and Stephen W. Brown, eds. Greenwich, CT: JAI, 23-52.

Kotler, Philip (1977), Marketing Management: Analysis, Planning, Implementation, and Control, 3rd ed. Upper Saddle River, NJ: Prentice

Kotler, P. (1977), Marketing Management: Analysis, Planning, Implementation, and Control, 3rd ed., Prentice-Hall, Upper Saddle River, NJ.

 

Lovelock, Christopher (1991), Services Marketing. Englewood Cliffs, NJ: Prentice Hall.

Lusch, R.F. and Vargo, S.L. (2006c), “The service-dominant logic of marketing: reactions, reflections, and refinements”, Marketing Theory, Vol. 6 No. 3, pp. 281-8.

 

Mauss, M. (1950), The Gift, Routledge, London, reprint.

 

Penrose, E.T. (1959). The Theory of the Growth of the Firm. Basil Blackwell and Mott: London

 

Rust, Roland (1998), “What Is the Domain of Service Research?” Journal of Service Research, 1 (November), 107.

Shostack, G. L. (1977), “Breaking Free from Product Marketing,” Journal of Marketing, 41, 73-80.

Swartz,T.A.,D. E.Bowen, and S.W.Brown (1992), “Fifteen Years After Breaking Free: Services Then, Now and Beyond,” Advances in Services Marketing and Management, 1, 1-21.

Vargo, Stephen L. and Robert F.Lusch (2004), “Evolving to a New Dominant Logic for Marketing,” Journal of Marketing, 68 (January), 1-17.

Vargo, S.L. (2007a), “On a theory of markets and marketing: from positively normative to normatively positive”, Australasian Marketing Journal, Vol. 15 No. 1, pp. 53-60.

 

Vargo, S.L. and Lusch, R.F. (2004a), “Evolving to a new dominant logic for marketing”, Journal of Marketing, Vol. 68, January, pp. 1-17.

 

Vargo, S.L. and Lusch, R.F. (2004b), “The four services marketing myths: remnants from a manufacturing model”, Journal of Service Research, May, pp. 324-35.

 

Vargo, S.L. and Lusch, R.F. (2006), “Service-dominant logic: what it is, what it is not, what it might be”, in Lusch, R.F. and Vargo, S.L. (Eds), The Service-Dominant Logic of Marketing:Dialog, Debate, and Directions, M.E. Sharpe, Armonk, New York, NY, pp. 43-56.

 

 


Get Professional Assignment Help Cheaply

Buy Custom Essay

Are you busy and do not have time to handle your assignment? Are you scared that your paper will not make the grade? Do you have responsibilities that may hinder you from turning in your assignment on time? Are you tired and can barely handle your assignment? Are your grades inconsistent?

Whichever your reason is, it is valid! You can get professional academic help from our service at affordable rates. We have a team of professional academic writers who can handle all your assignments.

Why Choose Our Academic Writing Service?

  • Plagiarism free papers
  • Timely delivery
  • Any deadline
  • Skilled, Experienced Native English Writers
  • Subject-relevant academic writer
  • Adherence to paper instructions
  • Ability to tackle bulk assignments
  • Reasonable prices
  • 24/7 Customer Support
  • Get superb grades consistently
 

Online Academic Help With Different Subjects

Literature

Students barely have time to read. We got you! Have your literature essay or book review written without having the hassle of reading the book. You can get your literature paper custom-written for you by our literature specialists.

Finance

Do you struggle with finance? No need to torture yourself if finance is not your cup of tea. You can order your finance paper from our academic writing service and get 100% original work from competent finance experts.

Computer science

Computer science is a tough subject. Fortunately, our computer science experts are up to the match. No need to stress and have sleepless nights. Our academic writers will tackle all your computer science assignments and deliver them on time. Let us handle all your python, java, ruby, JavaScript, php , C+ assignments!

Psychology

While psychology may be an interesting subject, you may lack sufficient time to handle your assignments. Don’t despair; by using our academic writing service, you can be assured of perfect grades. Moreover, your grades will be consistent.

Engineering

Engineering is quite a demanding subject. Students face a lot of pressure and barely have enough time to do what they love to do. Our academic writing service got you covered! Our engineering specialists follow the paper instructions and ensure timely delivery of the paper.

Nursing

In the nursing course, you may have difficulties with literature reviews, annotated bibliographies, critical essays, and other assignments. Our nursing assignment writers will offer you professional nursing paper help at low prices.

Sociology

Truth be told, sociology papers can be quite exhausting. Our academic writing service relieves you of fatigue, pressure, and stress. You can relax and have peace of mind as our academic writers handle your sociology assignment.

Business

We take pride in having some of the best business writers in the industry. Our business writers have a lot of experience in the field. They are reliable, and you can be assured of a high-grade paper. They are able to handle business papers of any subject, length, deadline, and difficulty!

Statistics

We boast of having some of the most experienced statistics experts in the industry. Our statistics experts have diverse skills, expertise, and knowledge to handle any kind of assignment. They have access to all kinds of software to get your assignment done.

Law

Writing a law essay may prove to be an insurmountable obstacle, especially when you need to know the peculiarities of the legislative framework. Take advantage of our top-notch law specialists and get superb grades and 100% satisfaction.

What discipline/subjects do you deal in?

We have highlighted some of the most popular subjects we handle above. Those are just a tip of the iceberg. We deal in all academic disciplines since our writers are as diverse. They have been drawn from across all disciplines, and orders are assigned to those writers believed to be the best in the field. In a nutshell, there is no task we cannot handle; all you need to do is place your order with us. As long as your instructions are clear, just trust we shall deliver irrespective of the discipline.

Are your writers competent enough to handle my paper?

Our essay writers are graduates with bachelor's, masters, Ph.D., and doctorate degrees in various subjects. The minimum requirement to be an essay writer with our essay writing service is to have a college degree. All our academic writers have a minimum of two years of academic writing. We have a stringent recruitment process to ensure that we get only the most competent essay writers in the industry. We also ensure that the writers are handsomely compensated for their value. The majority of our writers are native English speakers. As such, the fluency of language and grammar is impeccable.

What if I don’t like the paper?

There is a very low likelihood that you won’t like the paper.

Reasons being:

  • When assigning your order, we match the paper’s discipline with the writer’s field/specialization. Since all our writers are graduates, we match the paper’s subject with the field the writer studied. For instance, if it’s a nursing paper, only a nursing graduate and writer will handle it. Furthermore, all our writers have academic writing experience and top-notch research skills.
  • We have a quality assurance that reviews the paper before it gets to you. As such, we ensure that you get a paper that meets the required standard and will most definitely make the grade.

In the event that you don’t like your paper:

  • The writer will revise the paper up to your pleasing. You have unlimited revisions. You simply need to highlight what specifically you don’t like about the paper, and the writer will make the amendments. The paper will be revised until you are satisfied. Revisions are free of charge
  • We will have a different writer write the paper from scratch.
  • Last resort, if the above does not work, we will refund your money.

Will the professor find out I didn’t write the paper myself?

Not at all. All papers are written from scratch. There is no way your tutor or instructor will realize that you did not write the paper yourself. In fact, we recommend using our assignment help services for consistent results.

What if the paper is plagiarized?

We check all papers for plagiarism before we submit them. We use powerful plagiarism checking software such as SafeAssign, LopesWrite, and Turnitin. We also upload the plagiarism report so that you can review it. We understand that plagiarism is academic suicide. We would not take the risk of submitting plagiarized work and jeopardize your academic journey. Furthermore, we do not sell or use prewritten papers, and each paper is written from scratch.

When will I get my paper?

You determine when you get the paper by setting the deadline when placing the order. All papers are delivered within the deadline. We are well aware that we operate in a time-sensitive industry. As such, we have laid out strategies to ensure that the client receives the paper on time and they never miss the deadline. We understand that papers that are submitted late have some points deducted. We do not want you to miss any points due to late submission. We work on beating deadlines by huge margins in order to ensure that you have ample time to review the paper before you submit it.

Will anyone find out that I used your services?

We have a privacy and confidentiality policy that guides our work. We NEVER share any customer information with third parties. Noone will ever know that you used our assignment help services. It’s only between you and us. We are bound by our policies to protect the customer’s identity and information. All your information, such as your names, phone number, email, order information, and so on, are protected. We have robust security systems that ensure that your data is protected. Hacking our systems is close to impossible, and it has never happened.

How our Assignment  Help Service Works

1.      Place an order

You fill all the paper instructions in the order form. Make sure you include all the helpful materials so that our academic writers can deliver the perfect paper. It will also help to eliminate unnecessary revisions.

2.      Pay for the order

Proceed to pay for the paper so that it can be assigned to one of our expert academic writers. The paper subject is matched with the writer’s area of specialization.

3.      Track the progress

You communicate with the writer and know about the progress of the paper. The client can ask the writer for drafts of the paper. The client can upload extra material and include additional instructions from the lecturer. Receive a paper.

4.      Download the paper

The paper is sent to your email and uploaded to your personal account. You also get a plagiarism report attached to your paper.

smile and order essaysmile and order essay PLACE THIS ORDER OR A SIMILAR ORDER WITH US TODAY AND GET A PERFECT SCORE!!!

order custom essay paper