Tafe Fashion Marketing notes wk 9
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Tafe Fashion Marketing notes wk 9

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Tafe Fashion Marketing notes wk 9 Tafe Fashion Marketing notes wk 9 Presentation Transcript

  • Week 9 Services Marketing
  • How are goods & services different? Most services contain some element of goods. Goods are the object, a service is the effort, performance or deed A product can be either a good or a service
  • Purchasing a service is often more personal than purchasing A product. Bad service sticks in people’s minds! Any examples of bad service? Good service?
  • All retailers are classified as being in the services sector. Service retailers in Australia are growing faster than product retailers
  • Services have four unique characteristics: Intangibility Inseparability Heterogeneity Perishability
  • Intangibility When a consumer buys a service, or a tangible product that has a service element, they are buying an experience
  • Inseparability The connection between the service provider, the customer’s involvement in the service, and the involvement of other customers.
  • Heterogeneity This is the lack of ability to control the quality and consistency of a service before it reaches a customer.
  • Perishability Services can’t be stored, and if they are not sold one day they cant be kept to be sold later.
  • Services are usually a high involvement purchase. This is because there is usually a high level of personalisation. For this reason, many service organisations put great emphasis on employee training, evaluation and motivation
  • Although a service is intangible, the P of ‘place’ still plays a major tole in marketing. Where should the service be in order to effectively reach the target market? And to strengthen the brand?
  • Guidelines for advertising services There are common guidelines for advertising services, which relate back to the four unique characteristics
  • Develop a word of mouth network Consumers of services often look to personal sources for information Use testimonials Use promotions that award the recruitment of friends
  • Promise what is possible Customers prepare expectations to actual service delivery Don’t overpromise!
  • Tangibilise the intangible Make the service more concrete through use of tangible symbols, recommendations, years of establishment etc
  • Feature the relationship A key element of services is the relationship between provider & customer Illustrate the inseparability
  • Reduce fears about inconsistency Use of testimonials, word of mouth, years of service
  • Focus on relevant factors What do people want from your service? Make that a focal point of your communications
  • Show the service as a series of events Consumers often view services as a series of events Look at marketing from a series of events perspective
  • The ‘halo’ effect In services, first impressions are everything This can include phone contact, signage, store layout etc
  • In service situations, the atmosphere created is important. Use sight appeals (furniture, colour) sound appeals (to set mood, Inform) touch appeals or scent appeals
  • The People Problem People make up the most of the product of every service firm And they involve customers as co-producers Both can cause problems. Like what?
  • How do you fix the employee problem? Training Empowerment Enfranchisement (empowerment plus performance based compensation)
  • How do you fix the customer problem? Do you think customers are becoming too demanding? So how do you manage customers?
  • Occupy waiting times Communicate with customers Understand customer habits Empower staff to deal with customer complaints Respond to complaints quickly
  • Examples? Good or bad service experiences in fashion retail?