Solutions Advertising

Products and services internet marketing has incurred an explosive level of scholarly analysis cash register  from the very last 20 years, nevertheless due to the fact 1986 there has been no discussion concerning the idea that expert services are distinct from products and solutions, and therefore are entitled to a specific method, a set of ideas plus a physique of knowledge (Brown, Fisk, & Bitner, 1994). This essay will explain the distinguishing features of services marketing and advertising, giving examples where possible. It will begin by defining providers advertising and marketing and giving some background know-how on its divergence from product internet marketing. It will then examine the four characteristics of companies, and then finish with an explanation of the extra P's found while in the products and services advertising and marketing mix.

In the past century there's been a large shift in advertising and marketing thought; evolving from a goods-dominated view, in which tangible output and discrete transactions were the focus, to a service-dominant view, in which intangibility, exchange processes, and relationships are central (Vargo & Lusch, 2004). Vargo and Lusch define solutions as the application of specialized competences (information and skills) through deeds, processes, and performances for the benefit of another entity or the entity itself. Four idiosyncratic features of services will now be given, highlighting why solutions promoting is different from basic product marketing and advertising.

Arguably the most distinguishing feature about services is their intangibility. Solutions are defined in (Zeithaml, Bitner, & Gremler, 2006) as "deeds, processes, and performances". None of these are physical objects in which a customer can take ownership of, even though during a service physical evidence will be apparent within the form of things like medicine the doctors prescribes to you, the photo taken of you riding the rollercoaster, or the food on your plate in a restaurant. This invisibility creates a number of issues for marketers. Firstly there is no stock, making it hard to manage supply and demand. Secondly companies cannot be shown or displayed to customers, making it hard for marketers to advertise the quality of the service. And finally, because services don't physically exist, there is difficulty in patenting them, making it easy for other firms to copy your service.

Another notable aspect about solutions is that on average they stay the same. If you buy a Ford Focus here in Australia, and then go and buy the same model in America, chances are they will both be exactly the same. Expert services are different in that they are heterogeneous, meaning they differ with each use. For example a wildlife tour will never be the same twice, not only because of the random and unpredictable nature of the animals, but the guide may be in a different mood, the weather will have changed, and there will be different customers each time. These factors make it harder to consistently give quality service, which is important to marketers because customers will have a particular list of expectations in mind, based primarily on what was promoted during the service and previous experiences from the particular industry.

Another distinguishable feature about solutions is the fact that it's both produced and consumed at the same time, as opposed to solutions where customers do not see how the product is manufactured. A good metaphor for this is being at the theatre. Consumers can be compared to an audience, where they watch actors (employees) perform on stage (physical location like a business store) amongst props (physical objects like chairs, tables, pot plants etc). The actors are 'live' and performing (producing) at the same time as the audience are watching (consuming). This brings us to the concept of interactive advertising and marketing. In a service, operational staff carries out much of the promoting function (Klassen, Russel, & Chrisman, 1998), and marketers are left to the advertising and promotion.

The final distinction that differentiates providers from items is their perishability. While some items perish very quickly (like water balloons), services simply cannot be stored, saved, resold or returned at all. Marketers main concern would be the procedure for when things do not go as planned. Customers cannot simply return the service and ask for another one; it is up to the service provider to offer the customer some kind of compensation. If passengers are forced to wait a long time for their flight, employees could provide free coffee and refreshments while they wait, in an attempt to make up for their failing service.

With product marketing the advertising and marketing mix includes the four P's; product, price, place and promotion. Companies use the same elements plus three more to help account for their unique nature.

Firstly there is people, which comprise of everyone that influences the buyer's perceptions, including the buyer themselves. Customers have an active role from the production, and so can influence the outcome of their own service or the service of others. For example a large family with screaming children interrupting a young couples romantic dinner at a restaurant. Every person is important to the marketer, no matter how small their role may be. Consider an IT professional who installs computers in people's homes. During that installation the buyer may form an opinion of the service provider as a whole based purely on that IT professionals performance. Sometimes a person is the sole service provider, for example a dentist or lawyer, making their performance and appearance critical to gaining a high perceived quality of service.

The sixth 'P' is physical evidence, which is the environment in which the service is delivered and where the firm and customer interact (Zeithaml, Bitner, & Gremler, 2006). It also includes any physical objects that assist during the delivery of the service. (Lehtinen & Lehtinen, 1991) define it as the environment and its instruments. With some services customers may find it hard to judge the quality of the service, especially with credence service's like financial advisors or legal advice. It is crucial that advertising and marketing managers address consumer fears regarding risk that results before, during, and after consumption of credence expert services (Keh & Sun, 2008). Considering the fact that the customer does not have the information or experience to judge the actual service, they instead turn their attention to other things, including the physical evidence of service quality. This would usually come inside the form of a professional looking workspace, nonetheless would change with each service provider. For example in a doctors surgery cleanliness would be expected.

Finally there is the service process, including the procedures, mechanisms and flow of activities by which the service is delivered (Zeithaml, Bitner, & Gremler, 2006). When purchasing a service, customers often have a set of expectations of the process of the service, and when these are not met, the perceived quality of service drops. For example in white water rafting a customer might be dissatisfied if, when they arrived, they were told they had to carry the raft to the top of the river first. The process is important because people participate in it, unlike items, where the process is behind doors.

Expert services represent at least 70% of the nation's total GDP for at least 5 countries, including the United Kingdom and Australia, making it a hot topic for not only marketers, but anyone competing inside the business world. Products and services are distinguished from items by four characteristics; intangibility, they are heterogeneous, there is simultaneous production and consumption, and their perishability. Products and services promoting differs from product internet marketing from the fact that three extra P's are added to the original marketing mix; people, physical evidence and process.

Matt is a budding university student studying Commerce and Law. He likes to make change for the good and help others achieve their goals.