SERVICES MARKETING (B.

Com - 3rd Year) by Rakesh Upadhye

Service Marketing in specific areas

I. Use of Seven P’s in Tourism-

 Product- Accommodation, 5 star, 4 star, 3 star, 2 star, pubs, cottages.

 Price- Distance travelled Entry fee, Food, Drinks, and Guides.
 Promotion- Advertising, Publicity, Sales promotion, word of mouth.
 Place- Heritage sites, Parks, Lakes, Beaches, Resorts, Hills stations.
 Process- Training, Guiding, Documentation.
 People- Travel agents, Tourist, Hawkers, Tour operators.
 Physical evidence- Monuments, Healing locations, Historic places.

II. Use of Seven P’s in Hotel Industry-

 Product- Reception, area, rooms, entertainment, Restaurants, bars, Lounge,

Swimming pools, parks, Medical, personal care.
 Price- Occupancy period, Star category, Room capacity, AC, Location, Room
services, taxes.
 Promotion- Advertising, Publicity, Sales promotion, Word of mouth, Tele-
marketing, Broadcasting.
 Place- Strategic Locations, Metropolitan cities, Business hubs, Heritage areas.
 Process- Housekeeping, Food preparation, check-in, check-out, Foreign
Exchange, Room service, Meeting arrangements, Functions, Maintenance.
 People- Reception, Staff, Housekeeping, Banquet staff, Bell boys,
Waiters, Chef’s, Maintenance staff, administration staff.
 Physical evidence- Tariff cards, Menu cards, Interior decoration,
Furnishing, Housekeeping, Display boards, lighting, Banquet Halls,
swimming pools, garden, halls.

III. Use of Seven P’s in Banking-

 Product- Deposits, Letters of credit, Foreign currency, Consultancy,

Advances, Loans, Bill discounting, guarantees, Credit cards, Debit cards.
 Price-.Interest, Commission, Dividends, Shares, Bonds, NPA.
 Promotion- Advertising, Publicity, Sales Promotion, Word-of-mouth,
Personnel selling, Public relation.
 Place- Branches, Branch and off-sites ATM’s, Online banking.
 Process- Applications, Verifications, Sanctioning, Delivering,
Inspection, Documenting.
 People- Staff, Agents, Auditors, Board of Directors, Banking service
recruitment board, RBI, Trade unions.

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  Physical evidence- Staff, Cheque-books, Currency, Receipts, Application
form, Counters, ATM’s, Credit cards, Debit cards, Record books.

IV. Use of Seven P’s in Insurance -

 Product- Policies whole-life, Ordinary, Limited payment, Term,

Diminishing, Marriage, Education, Renewable, Marine, Fire, Cargo, Building,
Vehicle, Theft, Medicare, Mortgage, Salary saving, Debentures, Shares,
Bonds, Group insurance, Consultancy, Export risk, Accident.
 Price- Premium, Rate of death, Rate of interest, Expenses incurred.
 Promotion- Advertising, Publicity, Sales Promotion, Word-of-mouth,
Personnel selling, Public relation.
 Place- Branches, Office, Home.
 Process- Applications, Verification, Sanctions, receipts.
 People- Brokers, Agents, Company staff.
 Physical evidence- Brochures, Leaflets, environment, people, currency, client,
Interior decoration.

V. Use of Seven P’s in Medical (Health care) Services -

 Product- Diagnostic equipments, surgical equipments, First-aid kits,

medicines.
 Price- Length of stay, Level of illness, Frequency of visit, use of
equipment, tests required, Type of room, specialists.
 Promotion- Advertising, Publicity, Sales Promotion, Word-of-mouth,
Personnel selling, Public relation.
 Place- Clinic, Hospital, Camps.
 Process- Physical examination, Testing, Medicines, Surgery, First-aid,
Catering, Laundry.
 People- Doctors, Nurse, Lab Technicians, Support staff,
Pharmacists, Security, Specialists.
 Physical evidence- Hospitals, Intensive care, Wards, Medical shops,
Diagnostic and surgical equipments, clinics, Ambulance, Emergency wards.
Problems of Services Marketing

1. A service cannot be demonstrated.

2. Sales, production and consumption of services takes
place simultaneously.
3. A service cannot be stored.
4. Services cannot be protected through patents.
5. Services cannot be separated from the service provider.
6. Services are not standardized and are inconsistent.
7. Service providers appointing franchises may face problems of
quality of services.
8. The customer perception of service quality is more directly
linked to the morale, motivation and skill of the frontline staff of
any service organisation.
9. Consumers have difficulty in evaluating services because
customers may use the same service in different way.
10.\Services vary in their content and quality of delivery as
customers requirements change.
11.Services are used or hired for a period of time.
12.You cannot put service in the warehouse or store in you inventory.
13.Services are delivered directly the customer, making
them potentially more culturally sensitive than products.
14.Most errors are one-time events and cannot be foreseen
nor corrected ahead of time.
15.Service standardization and quality control are difficult to achieve
and maintain since each employee is a different personality.

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