...Product and service marketing are fundamentally different A service, unlike products, is an action that one person can offer another that is intangible and does not result in ownership of a physical product. Different marketing tactics work better for services versus products. A business needs to develop marketing plans for both services and products. A few of the differences between service marketing and product marketing, when a business markets a service, they are actually marketing a relationship and value. This relationship and value needs to be marketed differently than if the business is marketing products. Another difference between marketing services and marketing products is that when a customer buys a service, the customer is buying something that is intangible, instead of a tangible product, like a television, phone, or a tablet computer. Also, a customers’ idea of a service is often times based on the reputation of a single person and not a brand or product. Instead of building a reputation based on the quality of several different products, a service reputation is built on how well a person delivers on the service offered. For example, how well a retirement fund manager does managing a stock portfolio. Lastly, it is relatively easy for a consumer to compare the quality of different products. It is easy to see if one television has a better picture than another side by side, or if on computer operates faster than another, or the quality of two different vehicles...
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...2.1 product and services marketing 3. Critically examine the winning strategy of Indigo Airlines which has recently posted net profit. Identify and evaluate the reasons for the failure of other Airlines. INDIGO AIRLINES Was an American airline headquartered in Chicago, Illinois. It is generally regarded as the world's first business jet airline. It was founded in 1997 by aviation veteran and University of Chicago graduate Matt Anderson business executive and Embry-Riddle Aeronautical University alumnus John N. Fenton and McKinsey consultant and MIT PhD Tom Svrcek. Its headquarters were first located in Chicago's Near North Side, and later at Chicago Midway Airport WINING STRATEGY OF INDIGO AIRLINES: Consumer response to Indigo was strong. The company held a perfect[clarification needed] safety record and delivered unusually[clarification needed] high on-time and flight completion performance. Its passenger repeat rate was nearly 100% and its revenue per passenger mile or yield, over $1.00. The company was actively followed by major media including The Wall Street Journal, The New York Times, the Financial Times, Fortune, Time, USA Today, CNN, CBS and ABC television and was featured in a 2001 Pulitzer Prize winning article in the Chicago Tribune.[citation needed] Indigo also became the object of organized lobbying from Congressman Steven Rothman of New Jersey (D-NJ9), who felt that Indigo represented unwelcome expansion at New Jersey's Teterboro Airport.[citation...
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...Business Report: Analysing Service Design Elements MRKT20026 – Service Product Marketing Assessment 3 Term 2 2012 Student Name | Student ID/Number | Tatiana ZAPATA | S0203520 | CQU in Brisbane Campus Lecturer/Tutor: Patrick GOH Paper Count: 2.628 Due Date: 27 of September 2012 Date Submitted: 27 of September 2012 Executive Summary This report provides a critically analyse of a design elements of two different service providers, Juan Valdez coffee shop and Guzman & Gomez fast food restaurant. This also involves the Russell’s Model of Affect and how this model is relates to the service elements identified in the services providers. The report also provides some recommendations to service providers in order to improve their physical environment to better suit the needs of their customers. Regarding the aim of this report is analysing the service design elements, relate the elements to Russell’s Model, and linking with relevant literature. The findings reveal that servicescape can be defined as a consumer’s mental representation of a service environment on dimensions typically used to imprison and people’s personality. The Russell model also allows a direct assessment of how costumers feel while they are in the service environment. It can be conclude that service environment plays a major part in shaping customers perception of a business image and positioning. A well designed service environment makes costumers...
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...How can the marketing mix be used to effectively differentiate and position your product or service? What exactly is this Marketing Mix? Borden (ND) first coined the term following a discussion with one of his colleagues, Professor James Culliton, in 1948 regarding one of his manufacturing costs studies. In Bordens paper he identifies twelve pertinent points that form the marketing mix for manufacturers : Product Planning Pricing Branding Channels of Distribution Personal Selling Advertising Promotions Packaging Display Servicing Physical Handling Fact Finding and Analysis This was narrowed down around the 1960’s by Edmund Jerome McCarthy to the 4P’s which are used to this day. McCarthy et al (2002) state these as being : Product - the goods or services offered by an organisation that can satisfy the needs of the end customer. Place (Involves channels of distribution, logistics and distribution customer service) - essentially making the product available to the end customer. Promotion - providing the information to the potential customers so that can make an informed decision and, hopefully, make the purchase. Price - inclusive of all costs prior to reaching the end customer including transport overheads, margins etc, this is the price the customers pay for the goods. Differentiation of your product or service can take place within any of the 4P’s, From a Product point of view you may be offering one that outperforms the competition or has...
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...BUSN 319 Week 4 : Satisfying Marketing Opportunities: Products and Services – Quiz http://homeworktimes.com/downloads/busn-319-week-4-satisfying-marketing-opportunities-products-and-services-quiz/ 1. (TCO 1) The broad goal of _____ is to identify and define both marketing problems and opportunities and to generate and improve marketing actions.(Points : 3) advertising sales promotion publicity marketing research tactical support 2. (TCO 1) A decision is (Points : 3) a conscious choice to select the only possible alternative. a conscious choice between one positive alternative and all other negative alternatives. a conscious choice from among two or more alternatives. an unconscious choice of the alternative that presents the least amount of risk. an unconscious choice of the alternative that presents the greatest possible assurance of success. 3. (TCO 1) Research objectives are the (Points : 3) restrictions placed on potential solutions by the nature of the research. criteria or standards used in evaluating proposed solutions to the research. goals the decision maker seeks to achieve in conducting the marketing research. conjecture about factors or situations that simplify the problem enough to allow it to be solved using the proposed research. specific goals an organization seeks to achieve and by which it can measure its performance. 4. (TCO 1) A test market is an example of which type of marketing research?(Points : 3) Descriptive Explanatory ...
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...The Effect of Social Media Marketing to the Choice and Preference of 4th year BSBA students of LSPU in Buying a Products or Services Chapter 1 The Problem and It’s Background Abstract This study examined the effectiveness of social media marketing. With the increased speed and technological implications of the Internet, this study aimed to determine the effect of social media marketing to the choice and preference of 4th year BSBA students of LSPU in buying a products or services. This may provide a clear picture of the online behavior of the 4th year BSBA students of LSPU and analyses the way they use the Social Media in their everyday life, and the effect it has on their decision-making process, particularly in the decision on buying a product or services.. This study also examined social media’s effect in an organization regarding reputation and innovation. Data are collected by means of survey questionnaires to the 4th year BSBA university students. Through data analysis and percentages, the researcher found that the 4th year BSBA students of LSPU want organizations to interact with them through social media. The study also shows that the majority of the 4th year BSBA students consider organizations using social media as innovative and that the use of social media can improve an organization’s reputation. Introduction The aim of this thesis is to further the understanding of consumer responses to marketing in social media. The rise of social media over the past...
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...Marketing Brand management takes on incredible meaning when you represent the world’s largest retailer. In our Marketing department, we develop unique creative strategies to reach thousands of target markets around the world, delving deep into comprehensive research and collaborating with the best of the best in our industry to reach more people, more inventively and more effectively. Our Marketing team connects with consumers on an unprecedented scale. Our Global Customer Insights and Analytics group uses new research methods and, more importantly, has the ability to measure and interpret the data to gain insight into customer needs and behavior. It’s just another way Walmart is committed to pushing the limits of technology to accelerate our vision of helping people save money and live better – all across the globe. As a steward of our brand promise, "Save Money. Live Better,” our Marketing team works alongside some of the most talented people in the world to communicate with the millions of customers who shop our stores, clubs and walmart.com every week. Accounting & Finance In Walmart’s Finance and Accounting departments, your insights go further, impacting business and communities in 27 countries, under 69 different banners and in every corner of the business, from Enterprise Risk Management to Sustainability. For instance, our Global Shared Services group aggregates and streamlines much of the financial and payroll services for Sam’s Club and Walmart in North America...
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...The aim of marketing is to know and understand the customer so well the product or service fits him and sells itself (Ducker). Though a simple statement, as the world economy grow and consumers change this gets increasingly difficult. Globalization has caused marketers to research different countries, creeds, and cultures to make unique marketing strategies. Globalization isn’t the future of our economy, it’s the now. Advances in technology have made the world a much smaller place. With access to new markets many companies are venturing into uncharted territory in search for profit. Though its sounds great there are many precautions to take before a company finds a new market. There are barriers to entry: most common among many are tariffs, quotas, and sociocultural variances. Tariffs are taxes put on imports from other countries. The effect of a tariff is to raise the price of the imported product; it makes imported goods more expensive so that people are more likely to purchase domestic products. Quotas are limits on the amount of goods that can be imported. Putting a quota on a good creates a shortage, which causes the price of the good to rise and make the imported goods less attractive for buyers. This encourages people to buy domestic products, rather than foreign goods. Sociocultural differences in religious beliefs or practices, basic cultural assumptions and/or patterned behavior, language, idiom, body language and assumptions about social strata are all among potential...
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...Breaking Free From Product Marketing 2012/2013 May 22 Breaking Free From Product Marketing Analysis Service marketing, to be effective and successful, requires a mirror-opposite view of conventional ''product" practices. Shostack cautions that 'it is wrong to imply that services are just like products 'except' for their intangibility' and further identifies that the language of marketing is in fact derived from the manufacture of physical goods. Services were never previously considered different until the view developed around the work of G. Lynne Shostack[1] who produced an article in 1977 “Breaking Free from Product Marketing”. The article presented the view that services are significantly different from products. It suggested that the practice of marketing of services using the framework developed for tangible products (goods) has limited thinking about services marketing. Until that time, if you wanted to make some differentiation between tangible based products and intangible based products you used the accepted “goods and services”. Breaking Free from Product. Marketing. Service marketing, to be effective and successful, requires a mirror-opposite view of conventional …. Shostack just didn’t understand what a product is. Even since then, the definition of Product has been “.. everything, including people, things, services….” Shostack really stuffed up a lot of peoples thinking and effective practice. Buyers buy the service – the intangibles. The tangibles...
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...Define Marketing Mix. Marketing is a process that depends on customer needs and demands. Marketing concept proposes that an organization requires focusing on customer needs and wants, coordinating its efforts and endeavoring to accomplish organizational goals. Marketing can be best defined as: “A process of identifying, satisfying and retaining customer’s profitability”. The American Marketing Association defines market as: “Marketing is an organizational function and set of processes for creating, communicating and delivering value to customers and for managing customer relationships in ways that benefit the organization and its stakeholders.” The marketing mix is a business tool used in marketing and by marketers. It is the combination of marketing activities that an organization engages in so as to best meet the needs of its targeted market. Traditionally the marketing mix consisted of just 4 Ps, getting the mix of these elements right enables the organization to meet its marketing objectives and to satisfy the requirements of customers. The marketing mix is often crucial when determining a product or brand's offer, and is often associated with the four P's. When marketing their products firms need to create a successful mix of these four P’s: • Product • Price • Place • Promotion. These four P’s are the parameters that help the marketing managers in controlling, subject to the internal or external constraints of the market environment. The aim is...
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...Abstract Marketing is the source that results in the generation of the revenue for a firm. Bangladesh since its independence has gone through a substantial amount of changes in its industry composition and so has the marketing system of our country. This paper focuses on the flaws the marketing system has in our country. Both in the goods markets and services markets, marketers are still maintaining traditional approaches. It is high time that these approaches are modified. These faults could be overcome by adopting some modern strategies in the marketing plan. Some recommendations are given at the end of the paper that can help the marketers to eliminate the defects. The report has been mainly constructed with the help of secondary data by relying on internet based secondary data so the sources of books, articles, websites were used to draw notable references for constructing the report. 1.1 Background The marketing scenario of a country is very much essential for the industry because marketing is the source that results in the generation of the revenue for a firm. Bangladesh since its independence has gone through a substantial amount of changes in its industry composition and for that change in the industry composition has also taken place. When changes come over, it comes up with substantial challenges and opportunities. What the marketer has to study is how to face the challenges in a better manner to place itself in the market to ensure their survival...
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...Marketing Developing a marketing plan is one of the most important things you can do to ensure that your business will make a profit. This guide is intended to provide an overview of the importance of market research and analysis, product development, pricing, advertising, promotions, publicity, sales and customer service. Contents: Market Research Developing a Marketing Plan Mission Statement Identify products and/or services The market Competition Pricing Promotion mix Advertising Advertising Budget and Schedule Location, location, location Sales Forecasting Action Plan Production Sample Marketing Plan Outline © 2010 Curators of the University of Missouri http://www.missouribusiness.net/ January 2010 Marketing 2 Introduction Marketing touches every aspect of your business’s operation. It is a series of activities designed to identify customer needs and wants, and satisfy these while making a reasonable profit on a quality product or service. These activities include market research and analysis, product development, pricing, advertising, promotions, publicity, sales and customer service. Developing a marketing plan is one of the most important things you can do to ensure that your business will make a profit. There are six basic reasons for developing a marketing plan: g g g g g g It forces you to identify your target market. It forces you to think about both short and long-term marketing strategies. It looks at your business as a whole and ties together...
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...1.6 DEFINITION OF TERMS Marketing – this is societal process by which individuals and groups obtain what they need through offering and freely exchanging products and services of value with other. The managerial perspective of marketing is “the art of selling products” (Kotler P. and Keller K, 2006). It can also be defined as an organizational function and a set of process for creating, communicating and delivering value to customers and for managing customer relationship in ways that benefit the organization and it stakeholder (AMA, 2007). Marketing Mix – this has been defined as the set of marketing objectives in target market (Kotler P. and Keller K, 2006). According to Borden, is the set of marketing tools that the firm uses to pursue its marketing objectives (Zinkhan et al, 2007). However, these tools were classified into four based groups which McCarthy called the four P’s of marketing: product, price, place and promotion. Marketing strategy – this is the marketing tool as well by which the business units hope to achieve its marketing objectives. It consists of specific strategies for target market positioning the marketing mix and marketing expenditure level (Levy S.J, 2004). Marketing of banking services – this is the process of identifying and stimulating demand for the banks service, meeting that demand by making available the banking services in the most effective and efficient manner to present and potential customers and achieving the profit and other objectives...
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...e-Marketing Project : Option 2 Marketing is the life blood of any organisation. Outline and describe the process of marketing with particular reference to services marketing and outline a marketing plan for a services organisation. Introduction There are many complex definitions and ideas of what marketing actually is, but a simple and concise one is: Marketing is “the commercial processes involved in promoting and selling and distributing a product or service” (Dictionary.com). In the context of services marketing, there is no “out of the box” product, which can be just purchased by a potential customer, so the marketing process is slightly different; however, the same rules apply. In this project I am going to address a general description of the marketing process, a brief look at how some services companies do their marketing, with particular focus on the software solutions division of the global multi-national Accenture, for whom I previously worked, so I will be talking largely from personal experience when referring to them and the online auction site eBay, of which I am an extremely regular user, buying on average 2 items per week from their site. Finally, I will outline a short marketing plan for a fictional software development services company. I will conclude just how important marketing is to any services organisation. Main Body The Process of Marketing Step 1 – Market Research In first step in any process is nearly always information gathering...
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...Marketing Mix Frank Robles MKT/421 February, 25 2013 Paressa Naveed There are four categories in the marketing mix. They consist of product, place, price and promotion. Many companies use these four elements of the marketing mix to help bring in revenue on the services that they are using. This paper will focus on those four p’s of marketing and explain in detail how the four p’s are beneficial to any organizations, marketing strategy and tactics. The first category in the four p’s would be the product. What the product is a service or item that a company offers. When a product is marketed, it means that the company created the idea to reach a target audience. The product should attract a certain audience and the company is responsible for creating the marketing strategy in order to hit the target audience. The second category in the four p’s would be place. Place is directly involved where an organization puts together a strategy where they make sure they get the product to its target audience. The whole process is revolved around how the product gets distributed to the consumer. This process is very important on deciding how the product gets to the consumer before they decide to purchase it or buy it. There are many ways on how the product gets to the consumer and how it reaches the target population. Now, as for the third P which stands for promotion. When a company promotes a product, they have different ways of doing so...
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