Services MarketingComprehensive Test 2011

M.C. Rashid Khan

a) Review each of the different ways in which services can be classified.

People processingPossession processingMental stimulus processingInformation processing servicesNature of companyNature of industry

Examples People processing (Example : healthcare, beauty

saloon, dentist, spa, tourism, transportation, restaurant, lodging)

Possession processing,(post office /currier, laundry, ATM, warehousing, landscaping, gardening, office cleaning, repair and maintenance, freight transportation )

Mental stimulus processing (education , news , entertainment , Advertising/ PR , video games, music concerts , broadcasting )

Information processing services (financial services, accounting , banking, Insurance, legal services, , MR, software consulting )

How would explain the usefulness of each frameworks to managers? Managers can understand the process and output

of service delivery Identify the benefits created at each point in the

process and the non-financial costs (time, fear, pain)incurred

Become aware of the effects of the physical environment, and the effects front-line employees have on customers.

Know the need to educate customers to get the service

Managers understand Productivity and quality initiatives fit with customer expectations

Managers need to ensure the privacy of their customers

Managers must maintain strong ethical standards.

Make a list of at least 12 services that you have used during the past month. Categorize them by type of process.

People processing (Example : healthcare, beauty saloon, dentist, spa, tourism, transportation, restaurant, lodging)

Possession processing,(post office /currier, laundry, ATM, warehousing, landscaping, gardening, office cleaning, repair and maintenance, freight transportation )

Mental stimulus processing (education , news , entertainment , Advertising/ PR , video games, music concerts , broadcasting )

Information processing services (financial services, accounting , banking, , Insurance, legal services, , MR, software consulting )

In which instances could you have avoided visiting the service factory and instead obtained service at arm’s length? Comment.

ATM Ticketing Booking hotel Tour package Online – banking

How did other customers affect your own service experiences—either positively or negatively?

A barber A Beauty saloonA restaurantA service center

Select three services: one in high research attributes, one high in experience attributes and one in high experience attributes.

Specify what product characteristics make those services easy or difficult for consumers to evaluate

Suggest specific strategies that marketers can adopt in each case to facilitate evaluation and reduce perceived risk.

High in search attributes:

Clothing, furniture, cars, electronics goods (high in search attributes)

Attributers make those products easy or difficult to consumers difficult to evaluate are style, color, texture,, test drive and sound etc.

Experience attributes

Vacations, live concerts, sports events, airline, theater, theme park etc

Attributers make those products easy or difficult to consumers difficult to evaluate are reliability, ease of use, customer support

Credence attributes

Healthiness of cooking ingredients, difficult to know efficacy of nutrition claimed by manufacturers, doctor’s prescription, car service,

Quality of maintenance and repairs, surgery, legal advice, consulting services, investment counseling, and complex medical interventions

Strategies Managerial roles: Create brochures, provide informations on websites, provide

documentary film (commercials), and provide review of experts

Strategy to reduce perceived risk:

Offer performance warranty Allow customer to preview the service through websites,

brochures, web sites etc. Training staff to understand the sensitivity of customers Provide 24/7 customers service Money back guarantees Provide tracking record of service (FedEx)