Services Marketing MKT 346 Chap 7 Concepts

8/12/2019 Services Marketing MKT 346 Chap 7 Concepts

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MKT 346: Marketing of ServicesDr. Houston

Chapter 7:

Promoting Services

and Educating Customers


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Specific Roles of Marketing Communications

Position and differentiate service

Help customer evaluate offerings

Highlight differences that matter

Promote contribution of personnel

Promote contribution of backstage operations

Add value through communication content

Facilitate customer involvement in production

Stimulate or curb demand to match capacity


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Overcoming theFour Problems of Intangibility

Consumers already know that certain itemscomprise a class of objects, persons, orevents

Generality

Services cannot be searched or inspected

before purchase

Non-

Searchability

Services do not have a one-to-onecorrespondence with physical objectsAbstractness

Hard to understand benefits of complex,multi-dimensional services

Mental

Impalpability


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Overcoming Problems of Intangibility

Use tangible cues in advertising

Use metaphors to communicate benefits


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Checklist for Marketing Communications Planning:The Five Ws Model

Whois our target audience?

Whatdo we need to communicate and achieve?

Howshould we communicate this?

Whereshould we communicate this?

Whendo communications need to take place?


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Target Audiences:Three Broad Categories

Prospects

Users

Employees


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Common Educational and PromotionalObjectives in Service Settings (Table 6.2)

Create memorable images of specific companies and brands

Build awareness/interest for unfamiliar service and brand

Compare service favorably with competitors offerings

Build preference by communicating brand strengths and benefits

Reposition service relative to competition

Reduce uncertainty/perceived risk by providing info and advice

C Ed ti l d P ti l


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Common Educational and PromotionalObjectives in Service Settings (Table 6.2)

Provide reassurance (e.g., prom ote serv ice guarantees)

Encourage trial by offering promotional incentives

Familiarize customers with service processes before use

Teach customers how to use a service to best advantage

Stimulate demand in off-peak, discourage during peak

Recognize and reward valued customers and employees

M k ti C i ti Mi


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Marketing Communications Mixfor Services (Fig. 7.10a)

S f M R i d b


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Sources of Messages Received byTarget Audience (Fig. 7.10b)


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Moving from Impersonalto Personal Communications

Technology

PersonalCommunications

ImpersonalCommunications


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Messages through Service Delivery Channels

Customer service employees

Service outlets

Self-service delivery points

Messages Originating


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Messages Originatingfrom Outside the Organization

Word of Mouth (WOM)

Blogs

Media Coverage


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Ethical Issues in Communication

Advertising, selling, and sales promotion all lend themselves

easily to misuse

Communication messages often include promises aboutbenefits and quality of service delivery that dont happen

Why were their expectations not met?

Poor internal communications between operations andmarketing personnel concerning level of serviceperformance

Over promise to get sales

Deceptive promotions

Unwanted intrusion by aggressive marketers into peoplespersonal lives


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Strategies for Corporate Design

Unified and distinctive visual appearance for alltangible elements

Provide recognition and strengthen brand image

Especially useful in competitive markets to standout from the crowd and be instantly recognizable


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MKT 346 Key Concepts: Chapter 7

Specific roles of marketing communications

Challenges and opportunities in communicating services

The five Ws of service communication planning

Marketing communications originate from within the organizationthrough marketing and production channels

Marketing channels: advert is ing, publ ic relat ions , direct market ing ,sales promotion , personal sel l ing, tradeshow s, internet

Production channels: f ront- l ine employ ees and cal l center staff ,service ou t lets, self-service del ivery po ints

Marketing communications originating from outside organization:wo rd o f mouth, blogs and on l ine rat ings, media edi tor ial

Corporate design strategies are part of communication mix

Services Marketing MKT 346 Chap 7 Concepts

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