MARKETING OF SERVICES
Ing. Veronika Braciníková, Ph.D.
MARKETING MIX IN SERVICES
PLACE & PHYSICAL EVIDENCE
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PLACE
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• The process of making the goods or services available.
• Handling distribution channel problems.
• The services cannot be stored, transported and inventoried.
• The service production cannot be separated from selling.
PLACE
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• Evolving the distribution channels for a service:
1. Location
2. Channels
3. How to provide the service to a maximum number of customers
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CRITICAL ISSUES
• Location is concerned with the decisions a firm makes about
where its operations and staff are situated.
• When the customer has to go to the service provider, location
becomes very important.
• Where the service provider can go to the customer, site location
becomes much less important provided.
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1. LOCATION OF THE SERVICE
• How important is the location of the service to the customers?
• Is the service, technology-based or people-based?
• How important are complementary services to the location
decision?
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1. LOCATION OF THE SERVICE
• Factors affecting channel choice:
• Cost, Competition, Type of product, Culture, Customer, Control,
Capital requirement, Firm goals.
• Distribution channels can have a number of levels:
• The zero-level channel.
• The one-level channel.
• The two-level channel.
2. CHANNELS
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• The primary types of intermediaries are:
• franchisees,
• agents,
• brokers,
• outsourced subcontractors (helpline in India),
• electronic channels.
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2. CHANNELS
• Rental or leasing
• Franchising
• Service integration
3. HOW TO PROVIDE THE SERVICE TO A MAXIMUM
NUMBER OF CUSTOMERS
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PHYSICAL EVIDENCE
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• To replace physical cues in a service, the material part of a service.
• Some examples:
• Packaging.
• Internet/web pages.
• Paperwork (such as invoices, tickets and dispatch notes).
• Brochures.
• Furnishings.
• Signage (such as those on aircraft and vehicles).
• Uniforms and employee dress.
• Business cards.
• Mailboxes.
PHYSICAL EVIDENCE
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• The space by which the consumers are surrounded when
they consume the service.
• The environment in which the service is assembled and
in which the seller and customer interact.
• American literature uses the name servicescape.
PHYSICAL ENVIRONMENT
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Why do we do this? Why are we investing heavily into serviscape?
We want to build positive emotions in our place.
These emotions then transfer to our brand!
SERVICESPACE
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• Facility exterior:
• Exterior design
• Signage
• Parking
• Landscape
• Surrounding environment
• Facility interior:
• Interior design
• Equipment
• Signage
• Layout
• Air quality/temperature
• Sound/music/scent/lightning
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FACILITIES
• We can sum it up into 3 dimensions.
• Ambient conditions.
• Spatial layout and functionality.
• Signs, symbols and artifacts.
SERVICESPACE
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• A mix of these elements which consciously or subconsciously
help us to experience the service.
• Ambience can be diverse.
• The marketer needs to match the ambience to the service that
is being delivered.
AMBIENCE
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• Hearing – purchasing behaviour can be influenced by music
(fastfoods use fast modern music, restaurants rather slower).
• Sight – layouts, structured environment, colours, lighting.
• Taste – samples of food, free coffee.
• Touch – different materials, different surfaces.
• Smell – fresh fruits, heavy smells.
SENSES IN SERVISCAPE
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• The spatial layout and functionality explain how the furniture
is set up or machines are laid out.
• Spatial layout refers to the ways in which machinery,
equipment, and furnishings are arranged, the size and shape
of those items, and the spatial relationships among them.
• Functionality refers to the ability of the same items to
facilitate the accomplishment of customer and employee goals.
SPATIAL LAYOUT AND FUNCTIONALITY
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• The final piece of the puzzle are corporate image and identity,
which are supported by signs, symbols and artefacts of the
business itself.
• Signs, symbols, and artifacts are particularly important in
forming first impressions and for communicating new service
concepts.
CORPORATE BRANDING (SIGNS, SYMBOLS AND
ARTEFACTS)
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• There are 2 approaches to what merchandising means.
• The first is supporting products, like t-shirts, cups etc.
• In-store level.
• In-store level – right product, right place, right time, right
quantities, right price, right manner.
MERCHANDISING
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• POP materials (point of purchase) are helping you to get the attention of
your customers.
• POP materials nowadays play much greater role as it helps us transmit
more information and create impulse purchases.
• POS (point of sale) are available where the final sale is happening,
where the consumer/shopper is actually paying for their purchases. It
can be a reminder to purchase something.
POP/POS MATERIALS
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POP MATERIALS
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POS MATERIALS
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THANK YOU
FOR YOUR ATTENTION☺
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