service strategies

8/8/2019 Service Strategies

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Services Strategies

Presented by :

Syed Aamir Hashmi

3rd Semester Student

MBA (Marketing & International Business)

Hamdard University,

New Delhi (INDIA)


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Marketing, as a philosophy of business, states

that a firm should base all its activities on theneeds and wants of customers in selected

target segments or markets.


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Revisiting Marketing Process


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Four Steps of Marketing Approach

Target Market Segments

Service Concepts

Operating Strategy

Service Delivery System


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Target Market Segments

What are common characteristics of important market

segments?

What dimensions can be used to segment the market,

demographic, psychographic? How important are various segments?

What needs does each have?

How well are these needs being served, in what manner, by

whom?


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Service Concepts

What are important elements of the service to be provided,

stated in terms of results produced for customers?

How are these elements supposed to be perceived by the

target market segment, by the market in general, byemployees, by others?

How do customers perceive the service concept?

What efforts does this suggest in terms of the manner in

which the service is designed, delivered, marketed?


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Operating Strategy

What are important elements of the strategy: operations,

financing, marketing, organization, human resources, control?

On which will the most effort be concentrated?

Where will investments be made? How will quality and cost be controlled: measures, incentives,

rewards?

What results will be expected versus competition in terms of,

quality of service, cost profile, productivity, morale/loyalty ofservers?


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Service Delivery System

What are important features of the service delivery

system including: role of people, technology,

equipment, layout, procedures?

What capacity does it provide, normally, at peak

levels?

To what extent does it, help insure quality standards,

differentiate the service from competition, provide

barriers to entry by competitors?


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Three Step Value Concept

Choose the Value

Develop the Value

Communicate the Value


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The Value Creation and Delivery Sequence


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Revisiting Services Marketing Mix


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What to be done ?

Develop market oriented managementstrategies to serve the customers better


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How to do it ?

Inform and educate prospective customers

about an organisation, its brand promises, andthe relevent features of the goods/services


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Persuade target customers that a specific

service product offers the best solution fortheir needs, relative to the offerings of

competing firms.


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Remind customers and prospects of serviceavailability and motivate them to act.


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Maintain contact with existing customers,

providing updates and further education onhow to obtain the best results from the firms

offerings/product in light of each customers

documented usage behaviour


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Market Planning in Services


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Competitive Service Strategies

Overall Cost Leadership


Overall Cost Leadership

Seeking Out Low-cost Customers

Standardizing a Custom Service

Reducing the Personal Element in Service

Delivery (promote self-service)

Reducing Network Costs (hub and spoke)

Taking Service Operations Off-line


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Differentiation


Differentiation

Making the Intangible Tangible (memorable)

Customizing the Standard Product

Reducing Perceived Risk

Giving Attention to Personnel Training

Controlling Quality

Note: Differentiation in service means being unique in brandimage, technology use, features, or reputation for customer

service.


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Focus


Focus

Buyer Group: (e.g. USAA insurance and

military officers)

Service Offered: (e.g. Shouldice Hospital and

hernia patients)

Geographic Region: (e.g. Austin Cable Vision

and TV watchers)


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service strategies

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