Numerous service opportunities have been presented because of these changes in government regulations, technology, franchising, and in international markets. They include, for example:
Opportunities from Fewer Regulations and Professional Restrictions
- Easier entry to specific product markets
- More freedom to compete on price
- Removal of geographic restrictions
- Incentives to differentiate services in meaningful ways
- Ability to use mass media to promote professional services
Opportunities in Franchising
- Standardized service features
- Use of brand names, symbols, uniforms to provide systematic recognition
- Mass media advertising
- Creation of centralized data banks
- Economies of scale allow centralized marketing research function
Opportunities in Servicing Physical Goods
- Transport and storage services
- Installation services
- Refueling services
- Maintenance, repair and upgrading
- Cleaning and refinishing
- Environmentally responsible disposal or recycling
Opportunities in International Markets
- Need to service physical goods sold abroad
- Ability to find new markets in previously closed economies
- Advances in technology create global electronic distribution channels
Opportunities from New Technology
- More involvement of customers through self-service systems
- Recording customer information in easily accessible data banks
How technology affecting the shape of service businesses?
- Technology is changing the delivery of services, is adding to the ability to provide new services and alters the amount of customer contact some service providers have with their clients.
- A wide variety of examples can be given including use of the Internet for share trading and shopping online, electronic toll booths on paid tollways, smart card technology on the railways and buses, entry into gymnasiums, etc.
- Electronic ticketing on airlines, integrated voice response systems that allows a computer to answer calls (e.g., insurance companies, banks, etc.).
- Paying for parking meters through mobile telephone technology and higher education delivered from a distance through the World Wide Web. Some students may mention applications in a B2B (Business to Business) context.
In what respects is the marketing of this service different to the marketing of a fast-moving packaged consumer good? Example
In working on this exercise students should be expected to demonstrate their understanding of the implications of the four main characteristics nominated above, as well as some recognition of the significance or importance of:
- direct and personal customer contact
- interpersonal and communication skills
- service as a performance
- the service setting and place of service delivery
- supporting physical resources and facilities
- internal marketing
By way of contrasting services marketing with the marketing of FMPCG (Fast Moving Packaged Consumer Goods) students should be able to recognize and discuss differences in packaging, distribution, pricing and the ways in which promotional activity is manifest.