Chapter 1

Chapter 1

1. service marketing

   • Services are economic activities where one party provides benefits or performances to another. Unlke goods, you don't own the service; you pay for access to expertise, facilities, or networks
     • power by hour
       • Instead of just buying a machine, the customer pays for the result or the performance of that machine.
     • outsourcing
       • hire external providers for tasks like IT, accounting, or catering and by doing this it helps companies reduce their workload and this provide better service.

2. Services are different from products because of four characteristics

   • Intagibility
     • You cannot touch or see them before buying
   • Perishability
     • Services cannot be stored; if a hotel room is empty tonight, that "inventory" is lost forever.
   • Heterogeneity
     • Service quality can vary depending on the employee or the time
   • Inseparability
     • Production and consumption happen at the same time (example: haircut)

3. 8 P´S

   • Product
     • The core design and features of the service.
   • price
     • perceived value, tariffs
   • place
     • distribution channels and touchpoints
   • promotion
     • Communication and education for customers
   • process
     • flow of activities and the functional steps of the service.
   • Physical Evidence:
     • Visual clues and the environment where the service happens
   • productivity/quality
     • Balancing efficiency with customer satisfaction.

4. Benefits of service marketing

   • Economies odf scale and scope operates at high quiality and productivity levels
   • tight cost and quality control
   • increasing operations and advance economies