Welcome to class of Products, Services and Segmentation Dr. Satyendra Singh

services marketing… intangibility: services are intangible –confidence in the service provider inseparability: source and service are associated –internal marketing, moment of truth, smooth contact point variability: source- and service-sensitive, performance varies –train volunteers, consistency in service, customer feedback e.g., complaints, comparison shopping!

services marketing perishability: service cannot be stored; it is electricity! –differential pricing, non-peak demand , complementary services part-time employee, reservation system, peak-time efficiency  customer involvement: room for confusion and error –expectation , relationship, customer-training

innovation characteristics relative advantage –perceived to be superior to previous offering compatibility –with culture, religion, day-to-day life, etc. complexity divisibility –In part or all together communicability –effectiveness of the offering, side effects, visibility, etc.

time for adoption of innovations innovators (2.5%) –venturesome, take risk, cosmopolitan look early adopters (13.5%) –respect, position in community, opinion leaders early majority (34%) –may follow opinion leaders’ advices late majority (34%): general public laggards (16%): traditional reasons

basis for market segmentation age, income sexpast behavior place, status changepurchase pattern family life cycle, social classloyalty, decision rule personality, psychographicsbeliefs, perceptions lifestyle (PRIZM), BCOS drivers values (VALS2)stage in decision General Behavior-specific Objective Measures Inferred measures