MARKETING

Marketing in Service Economy

Marketing in Service Economy

Introduction

Service is an act, performance, process or activity that occur during interactions with a person or, machine that provides full satisfaction of a customer's needs. This is because the customers ideally buy a performance which ought to be staged performed and managed. Contemporarily, there are diverse services. These include business to business and consumer services. Examples of services include those offered by restaurants, airlines, legal services, personal services, accountancy, banking and finance among others. Service marketing is a mode of marketing that focuses principally on marketing of services. The marketing approach for products is much easier and comprehensible than that of the services. Companies that offer both services and products must apply the use of both marketing approaches. An instance of a computer vending company encompasses the sale of computers and offering of services such as aiding customers make choices and repair. To appeal to its customers, a company must offer the respective marketing for its products and supporting services (S´arma¯, 2008, pp. 148).

Service Economy and Marketing

The core goal of a company when marketing services is to get professional personnel that can get into business with the affiliation in a specified location but not to get clients purchasing the given product. For instance, a restaurant offers its services both in-site and in the to-go form. Therefore, to market its services, it must assure its customers that it is more preferable to other food restaurants and that it is undoubtedly worth exploring. Diverse advances in technology, government regulations, internationalization, social changes and business trends have served to transform the entire service marketing arena. These trends have transformed the service marketing face in an effort to meet the global service demands. This has resulted into augmented competition and demand, coupled with reinforcement by information technology. It is, thus, imperative to focus on growth through effective service management and marketing. Marketing of products is different from service marketing in that it deals with details such as the price and type of the product, its comparison to similar products and why the customers ought to choose that product over other similar ones. Services are characteristically intangible. Therefore, consumers ought to know that the services being offered are worth going for and elicit a benefit (Parasuraman et al, 1986, pp. 115).

Service marketing encompasses the distinctive service traits and how they affect marketing strategies and behavior of customers. For instance, most services from diverse affiliations reach the customer at the business firm or premises. Capacity management is a crucially consummate aspect and profit driver for most business enterprises as most customers present themselves in the service premises. Service pricing is complicated and dynamic due to the concerns of having the right tally of clients showing up for services in the business enterprise. An instance of an airline ticket presents a good example of the concern, with the evident terms and conditions stipulated on a ticket with a discount attached. Ticket prices fluctuate and change at all times depending on factors ...