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  • 2. SERVICES• Any act of performance that one partly can offer 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.
  • 3. SERVICE MIX• Pure tangible goods• Good accompanying services• Hybrid• Service accompanying goods• Pure service
  • 4. Characteristics of servicesIntangibility Cant see/touch/feel Inseparability Production/distribution / consumption simultaneous Heterogeneity Perishability variation in quality/ time Cant be stored consumed/extent of service
  • 5. Therefore, challenges… .. Tangibilize the intangible .. Increase productivity of providers who are inseparable from products .. Standardize the quality .. Optimize demand movement & supply capacity
  • 6. IntangibilityInconsistency Services • Inventory Inseparability
  • 7. SERVICE CHARACTERISTICS-INTANGIBILITY• “Manage the evidence” and “tangibilize the intangible”• Create physical image of service offer and add physical evidence.
  • 8. IntangibilityMarketing Implications Strategies - No patent -Tangible clues- place / - No ready display people / equipment / - Communications symbols problem - Personal sources - Pricing difficulty - Word of mouth - Image / branding
  • 9. TANGIBILIZATION AND EVIDENCECHECKLIST• Place• People• Equipment• Communication material• Symbol• Price
  • 10. TANGIBILIZING THE INTANGIBLE• Visualization• Association• Physical Representation• Documentation• People Involvement• Promotion• Branding
  • 11. PROBLEMS OF INTANGIBILITY• Abstractness- E.g.- abstract concepts such as financial security, expert advice or safe transportation.• Generality- E.g.- airline seats, flight attendants, cabin service.• Nonsearchability- E.g.- physical attributes, such as the appearance of a health club and equipment installed, can be checked in advance but the not the experience of working with a trainer
  • 12. TANGIBILIZING THE INTANGIBLESVISUALIZATIONHotels depicting benefits of dinning at restaurantthrough advertisement.
  • 13. TANGIBILIZING THE INTANGIBLEASSOCIATION Abhishek Bachan with Idea Shah Rukh Khan with Airtel
  • 14. TANGIBILIZING THE INTANGIBLEPHYSICAL REPRESENTATIONCitibank credit card in goldor Platinum symbolizes a status.Airline dress symbolizesvisibility,reliability andcleaniness.
  • 15. TANGIBILIZING THE INTANGIBLEDOCUMENTATIONCiting facts and figures in support of performance. 100% placement No. 1 rank in India Major Awards Won By Jet Air % Of People Preferring Jet Air
  • 16. TANGIBILIZING THE INTANGIBLEPEOPLE INVOLVEMENTPeople are often critical element in service delivery
  • 17. TANGIBILIZING THE INTANGIBLE PROMOTION Personal care through promotion campaigns/communication material offers life long assurance scheme. HDFC- “Sir utha ke jiyo” BrochuresAviva- “Kal par control”
  • 18. TANGIBILIZING THE INTANGIBLEBRANDINGBranding helps in differentiation of the servicefrom competitors.
  • 19. THANK YOU