SERVICE SELLING

Rizwan Shaikh Amogh Kadam Dhanesh

Gundla Prathmesh

Parab

Presented by :-

Definition of service

A type of economic activity that is intangible, is not stored and does not result in ownership. A service is consumed at the point of sale. Services are one of the two key components of economics, the other being goods.

Providing the right market performance is the foundation, but by no means a guarantee for success. Service selling requires a powerful organization to establish a successful market output with the customers

Examples of services include the transfer of goods, such as the postal service delivering mail, and the use of expertise or experience, such as a person visiting a doctor.

Characteristics of services

Intangibility Perishability Inseparability Simultaneity Variability

Intangibility

Services are intangible and insubstantial: they cannot be touched, gripped, handled, looked at, smelled, tasted. Thus, there is neither potential nor need for transport, storage or stocking of services.

Furthermore, a service cannot be (re)sold or owned by somebody, but it cannot be turned over from the service provider to the service consumer.

Solely, the service delivery can be commissioned to a service provider who must generate and render the service at the distinct request of an authorized service consumer.

Perishability

The service relevant resources, processes and systems are assigned for service delivery during a definite period in time. Example: An empty seat on a plane never can be utilized and charged after departure.

When the service has been completely rendered to the requesting service consumer, this particular service irreversibly vanishes as it has been consumed by the service consumer. Example: The passenger has been transported to the destination and cannot be transported again to this location at this point in time.

Inseparability

The service provider is indispensable for service delivery as he must promptly generate and render the service to the requesting service consumer.

Additionally, the service consumer is inseparable from service delivery because he is involved in it from requesting it up to consuming the rendered benefits.

Examples: The service consumer must sit in the hair dresser's shop & chair or in the plane & seat; correspondingly, the hair dresser or the pilot must be in the same shop or plane, respectively, for delivering the service.

Simultaneity

Services are some kind of horse and consumed during the same period of time. As soon as the service consumer has requested the service (delivery), the particular service must be generated from scratch without any delay and friction and the service consumer instantaneously consumes the rendered benefits for executing his upcoming activity or task.

Variability

Each service is unique. It is one-time generated, rendered and consumed and can never be exactly repeated as the point in time, location, circumstances, conditions. Many services are regarded as heterogeneous or lacking homogeneity and are typically modified for each service consumer or each new situation (consumerised).

Example: The taxi service which transports the service consumer from his home to the opera is different from the taxi service which transports the same service consumer from the opera to his home – another point in time, the other direction, maybe another route.

Place or distribution of services includes activities that make firm’s products/services available to the customer i.e availability

Important element of marketing mix

Distribution is Key marketing decisions in any market

Production of goods followed by distribution whereas services through service providers

Distribution of services

Types of Service sectors

Types Functional area

Social – Health , education, Govt , defense

Distribution- Whole seller and retailer, transport

Producer – Business services, finance , insurance

Utility /construction – Electricity, water, gas

Personal- Restaurants, recreational , hair saloons etc

4 Different Techniques of Selling Service

Turn your service into a product. Examples might include "Writing a

Business Plan," "Creating a PR Program" and "Developing a Marketing Plan.“

Package your different service levels.

Examples of service packages include customer support services for software or hardware products and consulting services for a large business vs. a small one.

Combine services to create a new offering.

Examples include offering a complete turnkey newsletter package if you're a freelance writer or editor, providing an upgrade service for your software company clients that helps them take advantage of new releases.

Package a process

Advantages of selling a service

When you sell a service, you sell an intangible. You do not have to limit your pitch to pre-existing features, because you can adjust the features of a service to meet the needs of each client or customer.

You can emphasize aspects of your service that will solve your prospect’s problems or satisfy their needs and you can offer a trial period for using your services. If the customer does not keep the service, you do not have used goods on your hands to dispose of.

Disadvantages of selling a service

You can find it difficult to describe your service to prospects. In fact, people you pitch to may not be able to visualize what you do.

You can counter this somewhat by focusing on how your service benefits customers, but even then you may have to repeatedly articulate why your service has value.

Customers may express more reluctance when buying a service, because unlike a product, they can’t evaluate it before they use it.