SERVICE MARKETING

Service Marketing Question

Service Marketing Question

Part 1: All products are services in the twenty-first century

Generally product is defined as anything produced by an effort or labor; it can also be defined as a result of an act or a process. Product has been derived from the word produce therefore it relates to anything or things produced. In economic terms product is referred in the broader category of goods. In marketing terms it can be anything provided to the market which full fills the need or wants of the market (Golding, 2012).

A product can be classified in two type tangible and intangible products. A tangible product is the physical object which can be touched by the consumer such a building, clothes, vehicles or gadgets (Schweiker, 2012). An intangible product is anything which is a virtual digital good i.e. a person can observe it, use it but cannot physically feel it. For e.g. the products used in operating systems are all intangible products, insurance is also an intangible product (McGrath, 2012).

Service in business terms is a pair of one time consumable and perishable activity. The service is provided by the accountable service provider with close coactions from his service suppliers, it is provided to an authorized service consumer only when he or she dedicates the trigger. Service can be exemplified by banking, teaching, medical treatment or coaching (Jamieson, 2012).

Anything for which you pay but you don't get a physical or tangible outcome from the activity is a service. When a doctor treats his or her patient they charge the fees for their service. When n a teacher teaches his students then he gets the fee of the service he has rendered to his students (Segal, 2012).

In the modern day life style everything has become a service now. A shop keeper when sales grocery and provides the service of valet and dropping the grocery in the car he transforms the tangible good of grocery into a service. (Jones, 2012).

When a cup of tea prices from 50 cents till $ 99 then it depends upon the percentage of service offered in producing that cup of tea. The price of producing the quantity of tea remains same for a roadside café and a 7 - star hotel but the price depends how the customer is offered the cup of tea. If the cup of tea is offered in a sub - standard manner where the profits are made only upon the tea then it is a good but when the tea is offered in a stylish cup with a waiter serving it in an air-conditioned environment with beautiful interior decoration then the tangible good tea transforms into a service (Fredrick, 2012).

Similarly a trip from through the aero plane is no more an intangible good. It is a necessity nowadays to travel through airplane to cover large distance therefore it can be categorized as an intangible good but when the same product is offered with an ambience and complimentary food is served by the air ...