Service Marketing
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Generally when we come across the word called marketing, we basically assume a goods marketing. But there is a separate concept called service marketing which markets services.
Another mistake is we tend to assume that marketing is advertising. But marketing is much broader concept than advertising. Advertisement is a part of marketing.
Service Marketing means marketing the service sectors such as telecommunication, healthcare, etc.
7 P's of service marketing
- Product
Product in the service industry refers to the service itself. Marketers design the service based on the features and benefits desired by customers. Comparing services to goods, services are intangible. Services are not physical goods and most of them have no shelf space.
- Price
Services are intangible activities. Pricing is often seen as an indicator of quality for services. Consumers compare the price to the value they receive from the service.
- Place
The place where a service is received is often the location of the producer. Customers go the hairdresser’s salon or to the dentist’s office. For that reason, place, ordistribution, is a major factor in providing services.
- Promotion
Due to the intangible nature of services, promotion (especially advertising) is very valuable for many services. Most services do not occupy a shelf space and the only way to be seen or heard is through advertising. Advertisements can be done on TV, magazines, radio, internet, billboards, and social media.
- People
Service organizations are judged based on the performance of the people who provide the service. People who create and deliver the service are critical for the success of the service organization. That is why service organizations have a special focus on the people who provide the service.
- Physical Evidence
The physical environment in which the service provider and customer interact plays an important role. It has an impact on the customer's perception of the service.
- Process
In the case of services, how the service is created should be well defined. Process is the definition of how the service is provided in a step-by-step manner. Process refers to the actual procedures, mechanisms, and flow of activities by which the service is created and delivered.
These are the 7 P's of service marketing. All these have to be considered while marketing a service without which the marketing will be termed inefficient.
