What is service marketing

What is Service Marketing? Examples: Defense, Postal, Education,

health, Religious Services, Hospitals, Airlines, Hotels, Law Firms, Entertainment, etc

Definition: Activity or benefit that one party can offer to another that is essentially intangible and does not result in the ownership of anything. Its production may or may not be tied to a physical product

Services Unique characteristic - 1

INTANGIBILITY

Customer is unable to experience the‘product’ prior to ‘purchase’

Services Unique characteristic - 2

PERISHABILITY

Can’t be stored

Services Unique characteristic - 3

INSEPERABILITY

Production & consumption

happen at the same place and cannot be separated

Services Unique characteristic - 4

VARIABILITY

Difficulty in establishing consistency in quality across Providers or within providers across Time across Delivery Centers

7 P’S of Service Marketing Mix…

Product

Price

Promotion

Place

People

Physical evidence

Process

Product

Company provides products like Postpaid connections Prepaid connections Dialing cards Hutch PCO Hutch Handy phone

We must remember that Marketing is fundamentally about providing the correct bundle of benefits to the end user, hence the saying ‘Marketing is not about providing products or services it is essentially about providing changing benefits to the changing needs and demands of the customer’

Product decisions

Branding Quality Features

Price....

The prices are being charged in accordance with:

The charges vary

from region to region.

Roaming rates

Services

Talk plans

Prices

Pricing strategies…

Penetration

Skimming Competition

Product line

Pricing is the only mix which generates a turnover for the organization.

The remaining P’s are the variable cost for the organization.

Price must support these elements of the mix.

Pricing is difficult and must reflect supply and demand relationship.

Promotion....

Promotion

Advertisement Hoardings Personalselling Media Publicity Internet

Promotion of product

Two two talk plan

VIP no’sReducing

rates

Validity offer

Easy recharge

Promotion

PLACE

The hutch outlets are being situated in various places in India which includes 16 states.It has both postpaid outlets and prepaid outlets.

Physical Evidence….

Sim cards Bills

Before and After sale documents

PHYSICALEVIDENCE

People

People are important because: Providing a service, rather than selling a product. Quality of personal relationships between company

and clients becomes vital. New staff needs thorough training and constant

monitoring. Staffing costs the highest cost Recruiting specialist staff time consuming and

expensive. Strategies and tactics for recruiting, training and

safeguarding relationships.

People Include...

Others like:

Technicians

Dealers

Other Employees (BPO Employees)

Higher managers

Middle managers

Lower managers

Process

That “P” of marketing mix

which let customers get the best

of the products.

Process of taking a postpaid connection

Go to Hutch Shop

Choose a product (Say Postpaid connection)

Pay the appropriate fees

Take the Respective product (Like SIM Card in this case)

Avail the facilities

Give the feedback

Suggestions

The charges should be less The outlets should be opened in the small

towns also No. of Hutch PCO should be raised More schemes should be introduced Customer satisfaction should be there

THANK YOU