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Lecture M: Marketing (4/e) - Chapter 13: Services: the intangible product

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Chapter 13 - Services: the intangible product. In this chapter you will learn: Describe how the marketing of services differs from the marketing of products, discuss the four gaps in the service gap model, examine the five service quality dimensions, explain the zone of tolerance, identify three service recovery strategies.

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SERVICES:

THE INTANGIBLE PRODUCT

13

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Copyright © 2016 McGraw-Hill Education All rights reserved No reproduction or distribution without the prior written consent of McGraw-Hill Education.

LEARNING OBJECTIVES

differs from the marketing of products.

Model.

Services: The Intangible Product

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Services Marketing Differs from Product Marketing

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Copyright © 2016 McGraw-Hill Education All rights reserved No reproduction or distribution without the prior written consent of McGraw-Hill Education.

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Inseparable Production and Consumption

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Heterogeneous

Courtesy Geek Housecalls, Inc

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How are each of these perishable services?

John Foxx/Getty Images PhotoLink/Getty Images Courtesy Geek Housecalls, Inc

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Copyright © 2016 McGraw-Hill Education All rights reserved No reproduction or distribution without the prior written consent of McGraw-Hill Education.

CHECK YOURSELF

1 What are the four marketing elements that

distinguish services from products?

2 Why can’t we separate firms into just service or just product sellers?

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The Knowledge Gap:

Understanding Customer Expectations

The Knowledge

Gap

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Understanding Customer Expectations

versus

Mel Curtis/Getty Images Kim Steele/Getty Images

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Evaluating Service Quality

The appearance

of physical facilities, equipment, personnel, and communication materials.

TANGIBLES

The caring, individualized attention provided to customers.

EMPATHY

The knowledge

of and courtesy

by employees and their ability

to convey trust and confidence

ASSURANCE

The willingness

to help customers and provide prompt service.

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Copyright © 2016 McGraw-Hill Education All rights reserved No reproduction or distribution without the prior written consent of McGraw-Hill Education.

The Standards Gap:

Setting Service Standards

Developing systems to ensure high-quality service

Setting standards for quality

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The Delivery Gap:

Delivering Service Quality

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The Communications Gap:

Communicating the Service Promise

J.D Power &

Getty Images

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CHECK YOURSELF

1 Explain the four service gaps identified by the

Gaps Model.

2 List at least two ways to overcome each of the

four service gaps.

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Service Recovery

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The communications gap refers to the

difference between the actual service provided to customers and the service that the firm’s

promotion program promises.

Glossary

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The delivery gap is the difference between the

firm’s service standards and the actual service it provides to customers.

Glossary

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Copyright © 2016 McGraw-Hill Education All rights reserved No reproduction or distribution without the prior written consent of McGraw-Hill Education.

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The knowledge gap reflects the difference

between customers’ expectations and the firm’s

perception of those customer expectations

Glossary

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A service is any intangible offering that involves a

deed, performance, or effort that cannot be

physically possessed.

Glossary

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Copyright © 2016 McGraw-Hill Education All rights reserved No reproduction or distribution without the prior written consent of McGraw-Hill Education.

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Service quality is the customers’ perceptions of

how well a service meets or exceeds their

expectations.

Glossary

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The standards gap is the difference between the

firm’s perceptions of customers’ expectations and the service standards it sets.

Glossary

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Copyright © 2016 McGraw-Hill Education All rights reserved No reproduction or distribution without the prior written consent of McGraw-Hill Education.

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A voice-of-customer (VOC) program collects

customer inputs and integrates them into

managerial decisions.

Glossary

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A zone of tolerance is the area between

customers’ expectations regarding their desired

service and the minimum level of acceptable

service.

Glossary

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