2. The major differentiation between services
and good is the notion of intangibility. (EXAMPLE)
The INTANGIBILITY of the product and the
service accompanies it.
For marketing executives: to understand
what customer want from the service
organization and then adapt accordingly.
(click)
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3. (DIFFERENCES OF SERVICES & GOODS)
o INTANGIBILITY
o PERISHABILITY
o HETEROGENIETY
o SIMULTANEOUS
PRODUCTION &
CONSUMPTION
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4. Incapable of being touched or perceived by
touching or unable or difficult to be
perceived by the five senses.
Service is experienced, rather than possessed
Buyers are not sure what are they buying or
what they will get.
Buyers are buying based on their
expectations or what they want to receive.
MARKETER’S ROLE is to set and manage these
expectations.
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5. BECHTEL ISLA NAVIDAD
Conference Center
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6. The intangibility of the services is very hard for
marketers you need to persuade prospective
buyers, while not promising that cannot be
delivered.
FIRST STEP is to develop these
Then do the traditional method advertising, direct
marketing, personal selling & publicity & Online
marketing.
Using words like “the finest”, “the ultimate”
Or tangibilizing the intangibles.
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8. Most of the services have fixed capacity.
Perishability & fixed capacity also impact product
availablity.
Customers do not care ‘bout perishability but they
do care for their expectations to be met.
The challenged for a marketer is to balance out the
demand & the capacity as much as possible.
If service is an element that is being marketed,
then SERVICE is an element of the customer
expectation that should be provided.
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10. It refers to the variation and lack of
uniformity in the service being performed.
“moment of truth”
Consistency of service is very difficult
because of the human-intensive nature
providing a service.
Believing that “Customer is always Right”
There is a wide variations in customers
assessment of QUALITY, and what satisfies
one may very well not satisfy another.
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12. THE CHALLENGES OF MARKETERS OF
SERVICE:
1. “Moment of Truth”
2. What is appropriate to one may not be appropriate
to another.
3. Service to one customer may affect the service
delivered to another.
“a lack of assurance to the product you market is
the product actually produced.
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13. The buyer must be present to experience
(consume) the service provided (produced)
EMPLOYEES are also part of the product (click)
because they are producing the service while
customers consumes.
Every time we purchase a service, regardless
of how many times of purchase, there is a
possibility of completely a new experience.
The customer cannot consume what the seller
cannot produce.
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14. Smiles can be aggravated than welcome if the
customer’s problem unresolved.
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16. PHYSICAL PRODUCT
Is a tangible component of the service.
PRICE is tangible and it tangibilizes The tangibles.
Physical component satisfies or may not satisfy
customers basic needs.
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18. Also known as “servicescape”
Physical environment which the service is
delivered.
The servicescape at the check-in may be the
business desk with one clerk each.
It includes the spatial lay out, signs &
symbols.
Sign may not only direct customers they may
also directs prosedures.
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