FOR…
ORGANIZATIONAL CONSUMERS
CHAPTER 13 BA 303 LPC
Objectives






Business Services Definitions &
Classifications
How Business Services Differ From Goods
Improving Service Differentiation, Quality, &
Productivity
Improving Customer Support Services
Marketing Mix for Business Services
CONSULTATIVE SELLING, relationship
servicing
©2000 Prentice Hall
FACTORS AFFECTING THE
GROWTH OF B2B SERVICES
E
BUSINESS
 OUTSOURCING
 INNOVATIONS
 MANUFACTURING GROWTH
©2000 Prentice Hall
DIMENSIONS OF SERVICE
QUALITY
FUNCTIONAL
VS
TECHNICAL SERVICE

©2000 Prentice Hall
Categories of Service Mix
Pure
Tangible
Good
©2000 Prentice Hall
Tangible
Good
w/
Services
Hybrid
Major
Pure
Service Service
w/ Goods
Intangibility
Services cannot
be seen, tasted,
felt, heard, or
smelled before
purchase
Inseparability
Services cannot
be separated
from their
providers
Services
(non
ownership)
Variability
Quality of
services depends
on who provides
them and when,
where, and how
©2000 Prentice Hall
Perishability
Services cannot
be stored for
later sale or use
Inseparability
Increase
productivity of
providers
Intangibility
Use cues to
make it tangible
Services
(simultaneously
produced
& consumed)
Variability
Standardize
service
production
& delivery
©2000 Prentice Hall
Perishability
Match supply
and demand
Three Types of Marketing
in Service Industries
Company
Internal
marketing
Cleaning/
maintenance
services
Employees
©2000 Prentice Hall
External
marketing
Financial/
banking
services
Interactive
marketing
Restaurant
industry
Customers
Marketing Mix for Service
Differentiation
Offer
Delivery
Image
©2000 Prentice Hall
Service-Quality Model
Consumer
Word-of-mouth
communications
Marketer
Past experience
Expected service
Gap 5
Gap 1
©2000 Prentice Hall
Personal needs
Perceived service
Service delivery (including
pre- and post-contacts)
Gap 3
External
communiGap 4 cations to
consumers
Translation of perceptions
to service-quality specifications
Gap 2
Management perceptions
of consumer expectations
Determinants of Service
Quality
Reliability
 Responsiveness
 Assurance
 Empathy
 Tangibles
 Functional
 Technical

©2000 Prentice Hall
Service
Excellence
Strategic Concept
 Top-Management Commitment
 High Standards
 Monitoring Systems
 Satisfying Customer Complaints
 Satisfying Both Employees &
Customers
 Managing Productivity

©2000 Prentice Hall
Service
Segmentation
Narrower Than Product Segmentation
 Focus on What the Buyer Expects
Rather than What the Buyer Needs
 Adjust Service Capacity For each
segment
 PIP Value Added Benefits

©2000 Prentice Hall
Importance-Performance
Analysis
Fair performance
A. Concentrate here
12
9
B. Keep up the good work
4 5
7
10
11
13
3
6
8
12
14
C. Low priority
D. Possible overkill
Slightly important
©2000 Prentice Hall
# = Attributes
Excellent performance
Extremely important
Complaint Resolution
Hiring Criteria & Training for Employees
 Develop Guidelines for Fairness
 Remove Complaint Barriers
 Analyze Types & Sources of Complaints

©2000 Prentice Hall
LPC Reviews
B2B Service Definitions &
Classifications
 How Services Differ Goods
 Improving B2B Service Differentiation,
Quality, & Productivity
 Improving Customer Support Services

©2000 Prentice Hall