The service -profit chain is a theory and business model evolved by a group of researchers from Harvard university in the nineties. It establishes relationships between profitability, customer loyalty, employee satisfaction, loyalty, and productivity. Profit and growth are stimulated primarily by customer loyalty. Loyalty is a direct result of customer satisfaction. Satisfaction is largely influenced by the value of services provided to customers. Value is created by satisfied, loyal, and productive employees. Employee satisfaction, in turn, results primarily from high-quality support services and policies that enable employees to deliver results to customers. Service are all the product that are intangible and offer a unique experience every time someone purchase services. That is why it is very difficult to market service. The four characteristics that affects the marketing of a service are heterogeneity, inseparability of production and consumption and perishability. Services are heterogeneous. This is because they are performed by humans and humans cannot be programmed to do a specific job in a specific way. The method is same but the 1 u3191174
Marketing G (6261), Semester 1 2019. Reflection Note-3 experience would vary. Inseparability of production and consumption which means Services are produced and consumed simultaneously. Perishability: They cannot be stored for future use. Intangibility is Services that cannot be touched or viewed. A brand is more than a logo or company name. Brand strategy is a plan that encompasses specific, long-term goals that can be achieved with the evolution of a successful brand.
- Three '17
- Marketing, Mix-Products