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Marketing Study Guide Ch. 12

Marketing Study Guide Ch. 12 - Marketing Study Guide...

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Marketing Study Guide Chapters 8, 10/11, 12 Chapter 12 Intangibility: Services are intangible they cannot be touched, tasted, or seen like a pure product can. Eg When you get a physical examination, you see and hear the doctor, but the service itself is intangible. Challenges of Intangibility It makes it difficult to convey the benefits of services---try describing the whether the experience of visiting your dentist was good or bad and why. Healthcare service providers offer cues to help their customers experience and perceive their service more positively, such as a waiting room stocked with television sets, beverages, and comfortable chairs to create an atmosphere that appeals to their target market. Inseparability: Services are produced and consumed at the same time they are inseparable. Challenges of Inseparability Because service is inseparable from its consumption, customers rarely have the opportunity to try the service before they purchase it. And after the service has been performed, it can’t be returned. Imagine telling your dentist that you want a “test” cavity filled before he or she starts drilling a real one. Because the purchase risk in these scenarios can be relatively high, services sometimes provide extended warranties and 100 percent satisfaction guarantees, such as those offered by many hotels.
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