Services marketing | Solutional Webdesign Antwerpen

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Services marketing is a specialized branch of marketing that focuses on selling and promoting intangible economic activities, also known as services, to customers. Unlike tangible goods, services cannot be owned or stored, and the process of their production and consumption happen simultaneously. The marketing strategies for services are unique and involve understanding the specific characteristics of services such as their intangibility, inseparability, perishability, and variability. Services marketing also includes managing aspects like matching supply and demand^[2], managing waiting lines, and creating an effective marketing mix^[1] tailored for services. The marketing mix for services includes not only the traditional four Ps—Product, Price, Promotion, and Place—but also extends to include three more—Process, People, and Physical evidence. Pricing and promotional strategies in services marketing also involve specific tactics and considerations to effectively reach and engage customers.

Terms definitions

1. ↑ marketing mix. The marketing mix is a strategic tool used by companies to effectively market and sell their products and services. Developed in the late 1940s and popularized in the 1960s, it includes the four original elements, or '4 Ps': Product, Price, Place, and Promotion. Products are the goods or services offered by the company, while price is the amount customers are expected to pay. Place relates to how the product is distributed and accessed by customers, and promotion involves communicating the value of the product to potential customers. The marketing mix has evolved to include three additional components for services: people, process, and physical evidence, known as the extended mix. This strategy is crucial for a company's success as it helps leverage strengths, mitigate weaknesses, and enhance competitiveness. It also aids in achieving marketing objectives through internal collaboration and alignment. The marketing mix is adaptable and can be optimized for various industries and digital marketing efforts.

2. ↑ demand.

1 "Demand" is a foundational concept in the field of economics that refers to the quantity of a specific good or service that consumers are willing and able to purchase at different price points within a given period. It is largely influenced by the price of the commodity, the cost of related goods, personal disposable income, individual tastes and preferences, and consumer expectations about future prices and availability. The relationship between demand and its influencing factors is visually represented by a demand curve on a graph. The concept also extends to different types of goods demand, including negative demand and latent demand, and how these can be managed strategically. The elasticity of demand, another crucial aspect, measures the sensitivity of demand to price changes. Lastly, the market structure can notably impact the demand faced by individual firms.

2 "Demand" is an economic term that refers to the amount of a product or service that consumers are willing and able to buy at a certain price. This concept is influenced by various factors such as the price of the commodity, the price of related goods, personal disposable income, tastes and preferences, and consumer expectations about future prices or income. Demand is often represented graphically through a demand curve which shows the relationship between price and quantity. The concept of price elasticity of demand measures the sensitivity of the quantity demanded to price changes. Market structures and types of goods also influence the shape of the demand curve and the nature of demand. Additionally, demand management strategies are used to control economic demand to avoid recession. Understanding demand is crucial for both businesses and policy makers as it plays a vital role in economic forecasting, pricing decisions, and planning production.

3 "Demand" is a foundational concept in the field of economics that refers to the quantity of a specific good or service that consumers are willing and able to purchase at different price points within a given period. It is largely influenced by the price of the commodity, the cost of related goods, personal disposable income, individual tastes and preferences, and consumer expectations about future prices and availability. The relationship between demand and its influencing factors is visually represented by a demand curve on a graph. The concept also extends to different types of goods demand, including negative demand and latent demand, and how these can be managed strategically. The elasticity of demand, another crucial aspect, measures the sensitivity of demand to price changes. Lastly, the market structure can notably impact the demand faced by individual firms.

Glossary

Services marketing (Wikipedia)

Services marketing is a specialized branch of marketing which emerged as a separate field of study in the early 1980s, following the recognition that the unique characteristics of services required different strategies compared with the marketing of physical goods.

Services marketing typically refers to both business to consumer (B2C) and business-to-business (B2B) services, and includes the marketing of services such as telecommunications services, financial services, all types of hospitality, tourism leisure and entertainment services, car rental services, health care services, professional services and trade services. Service marketers often use an expanded marketing mix which consists of the seven Ps: product, price, place, promotion, people, physical evidence and process. A contemporary approach, known as service-dominant logic, argues that the demarcation between products and services that persisted throughout the 20th century was artificial and has obscured the fact that everyone sells service. The S-D logic approach is changing the way that marketers understand value-creation and is changing concepts of the consumer's role in service delivery processes.

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