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McGraw-Hill/Irwin
Copyright © 2009 by The McGraw-Hill Companies, Inc. All Rights Reserved.
LO1
THE UNIQENESS OF SERVICES
THE FOUR I’S OF SERVICES

Services

Four I’s of Services
• Intangibility
• Inseparability
• Inconsistency
• Inventory
 Idle Production
Capacity
12-2
FIGURE 12-A The 4 I’s of services
12-3
LO2
THE UNIQENESS OF SERVICES
THE CONTINUUM & CLASSIFICATION OF SERVICES

Service Continuum

Classifying Services
• Delivery by People or Equipment
• Profit or Nonprofit Organizations
• Government Sponsored
12-4
FIGURE 12-3 The service continuum shows
how offerings can vary in their balance of
goods and services
12-5
FIGURE 12-4 Services can be classified as
equipment-based or people-based
12-6
LO3

HOW CONSUMERS
PURCHASE SERVICES
The Purchase Process
• Search Properties
• Experience Properties
• Credence Properties
12-7
FIGURE 12-5 Consumers use search,
experience, and credence properties to
evaluate services
12-8
LO3

HOW CONSUMERS
PURCHASE SERVICES
Assessing Service Quality
• Gap Analysis
• Monitoring Service Failure
12-9
FIGURE 12-6 The five dimensions of service
quality
12-10
LO4

HOW CONSUMERS
PURCHASE SERVICES
Customer Contact and
Relationship Management
• Service Encounters
• Customer Contact Audit
• A Customer’s Car Rental Activities
• Relationship Marketing
12-11
FIGURE 12-7 Customer contact audit for a
car rental agency (green boxes = customer
activity; orange boxes = employee activity)
12-12
LO5
MANAGING THE MARKETING
OF SERVICES

Internal Marketing

Customer Experience
Management (CEM)
12-13
LO5

MANAGING THE MARKETING
OF SERVICES
Product (Service)
• Exclusivity
 Patent
• Branding
• Capacity Management
 Load Factor
12-14
FIGURE 12-8 Different prices and packages
help match demand to capacity
12-15
LO5

MANAGING THE MARKETING
OF SERVICES
Price
• Affects Consumer Perceptions
• Is Used in Capacity Management

Off-Peak Pricing
12-16
LO5

MANAGING THE MARKETING
OF SERVICES
Place (Distribution)
• Multiple Locations
• Electronic

Promotion
12-17