Marketing of Services
1. Marketing of Services
Marketing concept asserts to identify & consumersneeds before the product is produced so that the product developed can meet the needs. It can be said that the consumer is the pivot around which the whole marketing system revolves. Modern marketing therefore begins with an understanding of consumer needs. The real problem is to learn what a consumer needs. The real problem is to learn what a consumer takes into consideration when he chooses a particular brand. All the behavior of human beings during the purchase may be turned as buyer s behavior. Factors influencing the consumer behavior are internal like needs, motives, perceptions and attitudes as well as external. The major external factors are family social group, culture economics, business influence etc.
Hence the ultimate objective of every consumer should be to come with new products that will serve the consumer and replace the old products which became obsolete with the passage of time and consumer likes and dislikes.
A product is an overall concept of objects or processes which provide some value to customers. Goods and services are subcategories which describe two types of products. Thus the term product is frequently used in a broad sense to develop either manufactured goods or product and service. Marketing executives and theoreticians generally have focused their attention on products under the assumption that services are marketed in much the same way.
Service sector has emerged as the fastest growing sector of the economy. More than 60 per cent of Western economies are now in the service sector. The United States of America has become the world s first service economy. Service now generates 74 per cent of US domestic products. Whereas service jobs accounted for 55 per cent of US jobs. This trend has become evident throughout the world. The growth in service economy has been accompanied by a number of important factors influencing the overall economic picture.
Diminishing importance with the balance of trade of primary industries i.e. agriculture forestry and fishing,
A similar impact on the importance of secondary industries i.e. construction and manufacturing, and
Accompanying social trends affecting the structure of the working force.
many workers in service industries are employed on a part- time basis and a majority of these are women. Services are divided between consumer service, business service and industrial service. These fall between the public and the private sector. Many service offered, span more than one of these categories. This difference in classification and the complexity of the service market cause difficulties when analyzing the true picture of the service economy.