Genesis Management Services Pty Ltd gmservices.com.au
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SERVICES
EXPERIENCE
MARKETING OF SERVICES, ORGANISATIONS, PERSONS, PLACES & IDEAS
1. Services Marketing
Services now account for a large percentage of GNP
Service industries are quite numerous & varied (e.g. government sector including courts, hospitals, police & fire; private nonbusiness sector, including museums, universities & colleges; and business sector, including airlines, banks, hotels, consultants & repair services).
A service is any activity or benefit one party can offer to another that is essentially intangible & does not result in the ownership of anything. Its production may or may not be tied to a physical product.
Services have a number of distinctive characteristics:
Intangibility (services cannot be seen, tasted, felt, heard or smelled before they are bought).
Inseparability (service is inseparable from the source that renders it).
Variability (same service can be highly variable, depending on who is providing it, even when it is being provided.)
Perishability (services cannot be stored).
Classification of Services
To what extent is the service people-based or equipment-based? In people-based services, we can distinguish between those involving professionals (accounting), skilled labour (plumbing), & unskilled labour (cleaning service). In equipment-based services, we can distinguish services involving automated equipment (vending machines), equipment operated by relatively unskilled labour (taxis), & equipment operated by skilled labour (computers).
To what extent is the client's presence necessary to the service? If the client must be present, the service provider has to be considerate of his/her needs.
By client's purchase motive (whether the service meets a personal need or a business need).
By service provider's motives (profit or nonprofit) & form (private or public).
The extent & Importance of Marketing in the Service Sector
Typically lag behind manufacturing firms in their development & use of marketing.
As competition intensifies, costs rise, productivity stagnates & service quality goes down, an increasing number of service firms are taking an interest in marketing for the first time.
As competition gets keener, more marketing sophistication will be needed in services marketing.
One of the main needs in services marketing is to find ways to increase productivity.
Marketing Mix Decisions for Service Firms
Product planning is a challenging area
Must be more imaginative in pricing
Several options for delivery systems
Many opportunities to use promotion (to build interest in the service, to differentiate the firm's offer from competitors' offers, & to build the organisation's overall image).
2. Organization Marketing
Organization marketing describes those activities undertaken to create, maintain or alter attitudes and/or behaviour of target audiences toward particular organizations.
Has traditionally been the responsibility of the public relations department.
Public relations is the management function which evaluates public attitudes, identifies the policies & procedures of an individual or an organization with the public interest, & plans & executes a programme of action to earn public understanding & acceptance.
Image Assessment
No image work can be done until research is conducted to find out how the organization is seen by its various key publics.
Calls for developing a survey instrument to measure the organization's image among its major publics.
Image Choice
Identify the image that the organisation would like to have.
Be realistic & not aim for the impossible.
Image Planning & Control
The firm has to develop a marketing plan that changes or preserves its image & to re-survey its publics to see whether its activities have succeeded in improving its image.
3. Person Marketing
Person marketing consists of activities undertaken to create, maintain, or alter attitudes and/or behaviour toward particular persons.
Celebrity marketing
Celebrities hire press agents to promote their stardom.
Celebrity marketers all recognize that celebrity lifecycles are quite varied & often limited.
Political Candidate marketing
Political campaigns have increasingly been compared with marketing campaigns in which the candidate goes into the voter market & uses modern marketing techniques, particularly marketing research & commercial advertising, to maximize voter purchase.
In the USA political candidates seeking election start with marketing research, develop a candidate concept & determine a communication & distribution strategy.
Personal Marketing
Personal marketing encompasses the efforts of individuals to create certain impressions about themselves in the minds of others.
Takes on higher-than-normal importance during job interviewing, public appearances & marriage courtship.
The job-seeker must see the recruiting company as a buyer & do his or her best to understand the buyer's motives & buying criteria.
At the same time that job-seekers are marketing themselves, so is the recruiting company.
4. Place Marketing
Place marketing involves activities undertaken to create, maintain or alter attitudes and/or behaviour toward particular places.
Domicile Marketing
Involves the effort to develop and/or promote the sale or rental of single-family dwellings, apartments, & other types of housing units.
Has traditionally relied on the classified want ad & the real estate agent.
Business Site Marketing
Involves the effort to develop, sell or rent business sites or properties such as plants, stores, offices & warehouses.
Developers, nations, States and cities practise this type of marketing.
Land Investment Marketing
Involves efforts to develop & sell land for investment purposes.
Has been used widely in Queensland.
Vacation Marketing
Involves the effort to attract vacationers to various spas, resorts, cities, States & even whole nations.
Carried on by travel agents, airlines, motor clubs, oil companies, hotels, motels & various governmental units.
National Marketing
Nations engage in continuous public relation activities to win a favourable image among the citizens of other countries.
Some call this work 'propaganda'.
5. Idea Marketing
Idea marketing is used to cover efforts to market social ideas & has been called social marketing.
Social marketing is the design, implementation & control of programmes seeking to increase the acceptability of a social idea, cause or practice in a target group(s).
It utilizes market segmentation, consumer research, concept development, communications, facilitation, incentives, & exchange theory to maximize target group response.
Marketing Social Ideas
More a change technology than a response technology.
The purpose of social marketing varies from trying to produce understanding to trigger one-time action, to attempting to change behaviour, to attempting to change a basic belief.
Calls for much more than public advertising.
Any organisation with a cause can approach its task through developing a marketing plan.
Social marketing is still too new to evaluate its effectiveness in comparison with other social change strategies.