1. MARKETING MANAGEMENT 12 th edition 13 Designing and Managing Services KotlerKeller

2. 13-2 Chapter Questions What are the characteristics of products and how can they be classified? How can companies differentiate products? How can a company build and manage its product mix and product lines? How can companies combine products to create strong co-brands or ingredient brands? How can companies use packaging, labeling, warranties, and guarantees as marketing tools?

3. 13-3 Service Any act of performance that one party can offer another that is essentially intangible and does not result in the ownership of anything. Its production may or may not be tied to a physical product.

4. 13-4 Service Sectors Government Private, nonprofit Business Manufacturing Retail

5. 13-5 Categories of Service Mix Pure tangible good Good with accompanying service Hybrid Service with accompanying goods Pure service

6. 13-6 Service Distinctions Equipment-based or people-based Service processes Client’s presence required or not Personal needs or business needs Objectives and ownership

7. 13-7 Distinctive Characteristics of Services Intangibility Inseparability Variability Perishability

8. 13-8 Physical Evidence and Presentation Place People Equipment Communication material Symbols Price

9. 13-9 How to Increase Quality Control Invest in good hiring and training procedures Standardize the service-performance process Monitor customer satisfaction

10. 13-10 Matching Demand and Supply Demand side Differential pricing Nonpeak demand Complementary services Reservation systems Supply side Part-time employees Peak-time efficiency Increased consumer participation Shared services Facilities for future expansion

11. 13-11 Table 13.1 Factors Leading to Customer Switching Behavior Pricing Inconvenience Core Service Failure Service Encounter Failures Response to Service Failure Competition Ethical Problems Involuntary Switching

12. 13-12 Gaps that Cause Unsuccessful Service Delivery Gap between consumer expectation and management perception Gap between management perception and service-quality specifications Gap between service-quality specifications and service delivery Gap between service delivery and external communications Gap between perceived service and expected service

13. 13-13 Determinants of Service Quality Reliability Responsiveness Assurance Empathy Tangibles

14. 13-14 Best Practices Strategic concept Top-Management commitment High standards Self-Service technologies Monitoring systems Satisfying customer complaints Satisfying employees

15. 13-15 Developing Brand Strategies for Services Choosing brand elements Establishing image dimensions Devising branding strategy

16. 13-16 Customer Worries Failure frequency Downtime Out-of-pocket costs