Emerging Trends in Business Development of Professional Services Ghulam Mustafa Qazi, FCMA Vice President ICMA Pakistan Managing Partner, TQMC, Financial and Management Consultants

Today’s Business Scenario World has turned into Global Village Technology has changed everything Traditional methods of doing business have changed Communication is fast Internet has become a need of everyone Today’s Business Scenario

Target Markets have shifted Only 20 years ago, a business owner used to promote his/ her products in his/ her city or country. Touching global market was difficult But now he/ she can approach customers across the globe while sitting in office anywhere… Customer is one click away Target Markets have shifted

Intangible products such as accounting, banking, cleaning, consultancy, education, insurance, expertise, medical treatment, or transportation. Sometimes services are difficult to identify because they are closely associated with a good; such as the combination of a diagnosis with the administration of a medicine. Services Defined

Business service is a general term that describes work that supports a business but does not produce a tangible commodity.  Examples include information technology, insurance, accounting and consulting. Business Services

Core Marketing Concepts

Branding

Services Brands

Use of Smart Phones 53% of Americans are now owning smartphones The amount of time people spend on a mobile device is growing at 14 times the rate of desktop usage. Mobile is becoming a more prominent channel for commercial transactions Use of Smart Phones

Tangibility Spectrum             Intangible Dominant Salt  Soft Drinks  Detergents  Automobiles  Cosmetics  Fast-food Outlets  Intangible Dominant  Tangible Dominant  Fast-food Outlets  Advertising Agencies  Airlines  Investment Management  Consulting Teaching

Some Characteristics of Services No transfer of possession or ownership takes place when services are sold Intangible -Cannot be stored or transported Heterogeneous – Cannot be replicated Are instantly perishable Come into existence at the time they are bought and consumed. Pricing of Services is a difficult subject Quality is subjective and their perception varies by recipient Service delivery is different from products delivery Mass production of services is difficult Unlike products, services cannot be returned or resold Some Characteristics of Services

Challenges for Services Business Defining and improving QUALITY Communicating and testing new services Communicating and maintaining a consistent image Motivating and sustaining employee commitment Coordinating marketing, operations and human resource efforts Setting prices Standardization versus personalization Challenges for Services Business

Services- Key Challenges Service Management: Delivering the expectations Difficulty in relating services to financial benefits Customer Satisfaction Quality: Maintenance, proving quality Customer retention Investment in research Services- Key Challenges

SME Sector generally does not understand the significance of service need Large enterprises prefer international/ large service providers Marketing is difficult Key Challenges

Key Challenges Keeping up with new technologies Retaining key human capital when required Availability of human capital Pricing Gaps in assessment of deliverables Key Challenges

Managing Challenges Understand the expectations/ deliverables Discuss before you proceed Get the deliverables and needs signed by client (Terms of reference, Requirement Specifications, Contract) Assess the skills available Carefully select Project Team Commit only what you can deliver Managing Challenges

Factors Influencing Customer Satisfaction Relationship with Client Quality of Service Achievement of Client’s objectives Price-Value perception Factors Influencing Customer Satisfaction

Achieve Customer Satisfaction Discuss and explain what has been delivered Explain the associated benefits- long-term as well as short-term Associate the financial benefits (cost saving, client retention etc.) Respond to questions Follow-up Send relevant information (newsletter) Achieve Customer Satisfaction

Innovation “fresh thinking that creates value” Richard Lyons “new products, business processes and organic changes that create wealth or social welfare”.. OECD change that creates a new dimension of performance.. Peter Drucker Innovation is converting ideas to numbers Innovation

Why Innovation? To look different/ better To serve customers’ needs more efficiently To be market leader Why Innovation?

Be Innovative Keep up with latest development/ research Offer something different from your competitors Present innovatively Be Innovative

Marketing & Promotion

Interactive Marketing Services Marketing Triangle Company (Management) Internal Marketing External Marketing “enabling the promise” “setting the promise” Employees Customers Interactive Marketing “delivering the promise”

The Services Triangle and Technology Company Technology Customers Providers

Expanded Marketing Mix of Services- The 7 Ps Product Price Place Promotion People Process Physical Evidence Expanded Marketing Mix of Services- The 7 Ps

Expanded Marketing Mix for Services

Expanded Marketing Mix for Services

Gaps in Service Quality Expected Service CUSTOMER Customer Gap Perceived Service Service Delivery External Communications to Customers COMPANY GAP 4 GAP 1 GAP 3 Customer-Driven Service Designs and Standards GAP 2 Company Perceptions of Consumer Expectations

Gaps in Service Quality Customer Gap: difference between expectations and perceptions Provider Gap 1: not knowing what customers expect Provider Gap 2: not having the right service designs and standards Provider Gap 3: not delivering to service standards Provider Gap 4: not matching performance to promises

Customer’s Zone of Tolerance Varies from Customer to Customer and Type of Service Desired Service Zone of Tolerance Adequate Service Customer’s Zone of Tolerance

Factors Influencing Customer Satisfaction Relationship with Client Quality of Service Achievement of Client’s objectives Price-Value perception Factors Influencing Customer Satisfaction

Outcomes of Client Satisfaction Retention of client Positive word-of-mouth communications and Referrals Increased revenues

Presence on Web Having a dynamic website Online Selling SEO Emails Blogging Forums Etc.. Presence on Web

Some New Ways to Marketing Social Media Marketing Linkedin .. Company page, ads facebook, ..Pages, Groups, Ads Youtube… Product/ Services videos Skype .. Online calling, meetings ebay .. Online selling Twitter.. Promotions OLX Regularly Update … Some New Ways to Marketing

Marketing Online Register on Business Directories Search Engine Registration List Your Products with Shopping Comparison Bots and Auction Sites Online paid marketing Pay per click Google Ad words etc. Marketing Online

Email Marketing Quick contact Professional Design Effective Message Email signatures E-marketing outsourcing Avoid Spamming Newsletters Blogs and Articles Email Marketing

Visiting Cards Visiting Cards eVisitng Cards--- Your introduction Traditional cards Mention your website, email, facebook, linked, skype links eVisitng Cards--- Your introduction Profile Products and services Contact details Visiting Cards

Online Selling Web portal Selling Globally Online payments Home Delivery Online Selling

Other Strategies Events, contests Referral Schemes Online meetings and Video Conferencing Offer something free Other Strategies

Online Consulting/ Outsourcing

Blogging Articles Writing Online response to queries Write Online

International Affiliations always Pays

Take Care of Your Team Employees are your Assets Motivate them Reward them Teach Them Take Care of Your Team

Develop personal relationship with clients… make client your FRIEND Discuss about business and related issues he is facing Visit them frequently… have a cup of tea or coffee with him Invite clients to your office Know and share new developments and resulting requirements of clients Other Tips

Always be sincere to yourself and your clients. Give them best advice

And FINALLY YOU are the Most Important Person Reward yourself Focus on Your Family Avoid Tensions Be HAPPY BECAUSE YOU are the Most Important Person And FINALLY

Thank You