Short summery of Service management subject, and 4 p's of service marketing

1. Service Management
Introduction
Service product
Service pricing
Place
Promotion
People
Process
AJAY SHUKLA-ROFEL-BBA (Vapi)

2. • Philip Kotler- service is any activity or benefit that
one 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
•Characteristics of service
• Intengibility
• Inseparable
• Variable
• Perishable
• Charges/fees

3. • Classification of services
* Personal services
* office assitence
* Professional services
* Product aided services
* Educational services
* Entertaining services
* Trade aided services

4. Challenges to services
• Intengible
• Improving quality
• To gain a customer trust
• Managing the services
• Passionate staff
• To test a new service
• To set the price

5. • Growthe of service sector in india
@ Demographic changes
@ Social changes
@ Economic changes
@ political and legal changes
• Reasons for the growth of service in India
- Economic Affluence
- changing role of women
- information technology revolution
- Development of Market
- Healthcare consciousness
-Economic liberalization
- Export potential

6. Service marketing mix
• Product : service product include every element in
the service performance whether it is physical or
intangible but it is necessary to create value for
customers
• CORE PRODUCT: the core product is the central
components which gives the principle problem
solving benefits
• SUPPLEMENTARY SERVICES: the core product
usually accompanied by a variety of other service
related activity which can be known as the
Supplementary Services

7. • Service Price
Non-monetary costs:
- Time
- Physical costs
- Psychological costs
- Sensory costs
• Pricing Strategy
• COST BASE PRICING
# Activity based pricing
# Pricing implication for cost analysis
• VALUE BASED PRICING
# value is low price
# value is whatever I want in product or services
# value is the quality I get for the price I pay
# value is what I get for what i give

8. • COMPETITION BASED PRICING
# Time and effort
# Personal relationship matters
# Switching costs are high
# Time and location
• Revenue Management
Revenue management simply means to set the
price as per the predicted demand level among
various market segments

9. • Designing fairness into pricing strategy
* Design the price fences clear, logical and fair
* communicate co sumer benefits of revenue
management
* Use Bundling to "hide" discounts
* Take care of loyal customer
* use service recovery to compensate for over booking
OBJECTIVES OF SERVICE PRICING
* Profit Base
* Cost base
*Demand Base
* User Base

10. PLACE
• In service there is nothing to moved like the product
because experience are not being shipped or transfer
and shared.
• There are even three options found.
Information flows and promotion flow Negotiations
flow Product flow
• Service delivery through intermediary
• A) Delegating specific service element
• B) Franchising
• C) Agents and Brokers
• D) Electronic Channels
• E) Self service Technology

11. • Role of customers in service delivery
• 1 Customers as productive resources
• 2 customers as contributor to service quality and satisfaction
• 3 customers as competitors
* Promotion
The marketing communicationMix for services
1. Messages transmitted through production channel
a. Customer service from Frontline staff
b. Service outlets
2. Message is transmitted through marketing channels
a. Personal selling
b. Advertising
c. Direct marketing
d. Sales promotion
e. Public relation
3. Message originating from outside the organisation
a. Word of mouth
b. Editorial coverage

12. • Integrated marketing communications
• COMPANY
• Internal marketing external marketing Vertical
communication. Advt, sales promotion.
Horizontal com. Public. Relation.
EMPLOYEES CUSTOMERS
Interactive marketing
- Personal selling
- customer service
- service encounters
- service scopes

13. • PEOPLE
All they are human actors who play a part in Service Delivery and
can influence the buyers perception
• Role of employee in Service Delivery
1. Employee satisfaction
2. Employee behaviour
a. Reliability
b. Responsiveness
C. Empathy
d. Assurance
e. Tengibles
3. Hire the right people
4. Develop people to deliver service quality
a. Train for technical and interactive skills
b. Empower employees
c. Promote team work
5. Provide needed support system