MARKETING IN COMMERCE AND SERVICE

Transcription

1 MARKETING IN COMMERCE AND SERVICE FACULTY OF ENGINEERING MANAGEMENT Ph.D., Eng. Joanna Majchrzak Department of Marketing and Economic Engineering Mail: Meetings: Monday 13:00 14:30 Wednesday 11:30 13:00 Room 316, Strzelecka Street

2 Literatura Literatura: 1. Lovelock, C. and Wirtz, J., Services marketing. Prentice Hall. 2. Grönroos, C., Service management and marketing: Customer Management in Service Competition, John Wiley&Sons, ltd. 3. Services marketing / Maria Johann. Warsaw School of Economics, The service trainer handbook : managing service businesses in the 1990's / D. Keith Denton. New York : McGraw-Hill, Techno-ready marketing : how and why your customers adopt technology / A. Parasuraman, Charles L. Colby. New York ; London : The Free Press, cop Marketing insights from A to Z : 80 concepts every manager needs to know / Philip Kotler. Hoboken : John Wiley & Sons, cop Marketing : theory and practice / Michael J. Baker [et al.]. Basingstoke ; London : Macmillan, 1990.

3 Literature Google Scholar: Science Direct: Scopus: Emerald: Sage journals: JSTOR: Marketing Research 3

4 Schedule 1. Introduction (Some Common Characteristics of Service, Services Marketing Mix) (Ex ) 2. Market Segmentation and Customer Behaviour in a Service Context (Ex ) 3. Quality Management in Service (Ex ) 4. Marketing Research (Custommer Satisfaction Index, SERVQUAL) (Ex , Ex ) 5. Pricing and Return on Service and Relationship (Ex ) 6. Integrated Marketing Communication (Ex ) Final Test Lecture (50 points): Exercises Summary: EXCERCISES during the lectures (20 points) CONSUMER PSYCHOLOGY Mark Points , ,

5 Introduction 1. Service marketing: service? 2. Four broad Categories of services a process perspective 3. Expanded Marketing Mix for Services 4. Relationship marketing (RM)

6 Service marketing: service??

7 Service marketing: service? A service is something which can be bought and sold but which you cannot drop on your feet Source: Gummesson, E., Total relationship marketing. Routledge; Gummesson, E., Lip service a neglected area in services marketing, Journal of Service Marketing, 1, 1987

8 Service marketing: service? A service is a process consisting of a service of more or less intangible activities that normally, but not necessairly always, take place in interaction between the customer and service employees and /or physical resources or goods and/or systems of service provider, which are provided as solutions to customer problems. Source: Grönroos, C., Service management and marketing: Customer Management in Service Competition, John Wiley&Sons, ltd.

9 Service marketing: service? Services are economic activities offered by one party to another. Often time-based, performances bring about desired results to recipients, objects, or other assets for which purchasers have responsibility. In exchane for money, time and effort, service customers expect value from access to goods, labor, professional skills, facilities, networks, and systems; but they do not normally take ownership of any of the physical elements involved. Source: Lovelock, C. and Wirtz, J., Services marketing. Prentice Hall.

10 Service marketing: service? There are no such things as service industries. There are only industries whose service components are greater or less than those of other industries. Everybody is in service. (Theodore Levitt ) Source: Lovelock, C. and Wirtz, J., Services marketing. Prentice Hall.

11 Levels of product?

12 Levels of product Core Benefit Core Product Delivery and credit Instalation Features Brand name Quality level Actual product Augmented product Supplementary Elements Packaging Waranty Design After-sale service 12 Source: Goliński M.: Zarządzanie nowymi produktami, wyd. PP Poznań 2012, za Rutkowski I., Strategie produktu.2011

13 Service marketing: service? SERVICE PRODUCTS CORE PRODUCT - INTABGIBLE CUSTOMER SERVICE AFTER-SALES SERVICE? CORE PRODUCT PHYSICAL ELEMENTS EXCERCISE Source: Lovelock, C. and Wirtz, J., Services marketing. Prentice Hall.

14 Four broad Categories of services a process perspective

15 Four broad Categories of Services Based on differences in nature of service act (tangible/intangible) and who or what is direct recipient of service (people/possessions), there are four categories of services: People processing Possession processing Mental stimulus processing Information processing Source: Lovelock, C. and Wirtz, J., Services marketing. Prentice Hall.

16 Four broad Categories of Services Source: Slide by Lovelock, Wirtz and Chew, 2009, Services marketing.

17 Four broad Categories of Services: PEOPLE People Processing Customers must: physically enter the service factory co-operate actively with the service operation Managers should think about process and output from customer s perspective to identify benefits created and non-financial costs: - Time, mental, physical effort Source: Slide by Lovelock, Wirtz and Chew, 2009, Services marketing.

18 Four broad Categories of Services: POSSESSION Possession Processing Customers are less physically involved compared to people processing services Involvement is limited Production and consumption are separable eieihome.com KFOX Source: Slide by Lovelock, Wirtz and Chew, 2009, Services marketing.

19 Four broad Categories of Services: MENTAL STIMULUS Mental Stimulus Processing Ethical standards required when customers who depend on such services can potentially be manipulated by suppliers Physical presence of recipients not required Core content of services is information-based Can be inventoried Lynda.com Source: Slide by Lovelock, Wirtz and Chew, 2009, Services marketing.

20 Four broad Categories of Services: INFORMATION Information Processing Information is the most intangible form of service output, But may be transformed into enduring forms of service output Market research company Line between information processing and mental stimulus processing may be blurred. nielsen.com gfk.com Source: Slide by Lovelock, Wirtz and Chew, 2009, Services marketing.

21 Four broad Categories of Services: EXAMPLES? People processing A. B. C. Possession processing A. B. C. Mental stimulus processing A. B. C. Information processing A. B. C. TECHNOLOGY INDUSTRIAL COMPANIES INNOVATIONS

22 Expanded Marketing Mix for Services

23 MARKETING Principles of marketing Marketing management Marketing promotion Principles of retailing Advertising copy Marketing research and information systems Consumer behaviour International marketing Services marketing New product management Marketing is the interdisciplinary science.

24 MARKETING - Genesis the functional approach (Weld, 1917) the geography-related regional approach (Reilly, 1931) marketing mix, 12 elemensts (Borden, 1950) the parameter theory (Rasmussen, 1955; Mickwitz, 1959) the system-oriented approaches (Fisk, 1957) 4 Ps (McCarthy, 1960) the interactive marketing function (Grönroos, 1982) the services marketing (Berry, 1983) industrial marketing (Jackson, 1985) relationship (Gummesson, 1987) relationship marketing (Berry, Parasuraman, 1991; Christopher i in. 1991; Morgan, Hunt, 1994; Gronroos, 1994; Wilson i Janatrania, 1994; Buttle i in., 1996; Peck i in. 1999) Promotion & Negotiation and Sales Technique 24

25 MARKETING Marketing MIX - 4 Ps (McCarthy, 1960) PLACEMENT 10. Servicing 11. Physical Handling 12. Fact Finding and Analysis 1. Product Planning 2. Pricing PRODUCT 9. Display 3. Branding 8. Packaging 4. Channels of Distribution PROMOTION 7. Promotions 6. Advertising 5. Personal Selling PRICE Promotion & Negotiation and Sales Technique 25

26 Review of services marketing literature Source: Evert Gummesson, (1994) "Making Relationship Marketing Operational", International Journal of Service Industry Management, Vol. 5 Issue: 5, pp.5-20

27 SERVICES MARKETING MIX PLACEMENT 11. Physical Handling 4. Channels of Distribution Participants PRODUCT 1. Product Planning 3. Branding PROMOTION 10. Servicing 9. Display 8. Packaging 7. Promotions 6. Advertising 5. Personal Selling Process PRICE Physical Evidence 2. Pricing 12. Fact Finding and Analysis Promotion & Negotiation and Sales Technique 27

28 SERVICES MARKETING MIX Participants Staffing priorities Internal marketing Staff training Motivating tools Employee assessment Source: Rosa G., Jedliński M., Chrąchol-Barczyk U., Marketing usług logistycznych, Wydawnictwo C.H.Beck, Warszawa 2017

29 SERVICES MARKETING MIX Physical Evidence Location and business office Decor and equipment Machine devices using in service process Emploees outfitt Office supplies Source: Rosa G., Jedliński M., Chrąchol-Barczyk U., Marketing usług logistycznych, Wydawnictwo C.H.Beck, Warszawa

30 SERVICES MARKETING MIX Process Steps of the services process Applied technology Emploees efficeincy Speed in suppling of services Customer service standards Source: Rosa G., Jedliński M., Chrąchol-Barczyk U., Marketing usług logistycznych, Wydawnictwo C.H.Beck, Warszawa 2017

31 Review of services marketing literature Source: Evert Gummesson, (1994) "Making Relationship Marketing Operational", International Journal of Service Industry Management, Vol. 5 Issue: 5, pp.5-20

32 Review of services marketing literature The meaning of the somewhat mystical expression: "the whole is more than the sum of parts