04/13/23HOSPITALITY MARKETING 1

The major differentiation between services and good is the notion of intangibility. (EXAMPLE)

The INTANGIBILITY of the product and the service accompanies it.

For marketing executives: to understand what customer want from the service organization and then adapt accordingly. (click)

04/13/23HOSPITALITY MARKETING 2

(DIFFERENCES OF SERVICES & GOODS)

o INTANGIBILITYoPERISHABILITY

oHETEROGENIETYoSIMULTANEOUS

PRODUCTION & CONSUMPTION

04/13/23HOSPITALITY MARKETING 3

Incapable of being touched or perceived by touching or unable or difficult to be perceived by the five senses.

Service is experienced, rather than possessed

Buyers are not sure what are they buying or what they will get.

Buyers are buying based on their expectations or what they want to receive.

MARKETER’S ROLE is to set and manage these expectations.

04/13/23HOSPITALITY MARKETING 4

BECHTEL Conference

Center

ISLA NAVIDAD

04/13/23HOSPITALITY MARKETING 5

The intangibility of the services is very hard for marketers you need to persuade prospective buyers, while not promising that cannot be delivered.

FIRST STEP is to develop these Then do the traditional method advertising,

direct marketing, personal selling & publicity & Online marketing.

Using words like “the finest”, “the ultimate” Or tangibilizing the intangibles.

04/13/23HOSPITALITY MARKETING 6

04/13/23HOSPITALITY MARKETING 7

Most of the services have fixed capacity. Perishability & fixed capacity also impact

product availablity. Customers do not care ‘bout perishability but

they do care for their expectations to be met. The challenged for a marketer is to balance

out the demand & the capacity as much as possible.

If service is an element that is being marketed, then SERVICE is an element of the customer expectation that should be provided.

04/13/23HOSPITALITY MARKETING 8

04/13/23HOSPITALITY MARKETING 9

It refers to the variation and lack of uniformity in the service being performed.

“moment of truth” Consistency of service is very difficult

because of the human-intensive nature providing a service.

Believing that “Customer is always Right” There is a wide variations in customers

assessment of QUALITY, and what satisfies one may very well not satisfy another.

04/13/23HOSPITALITY MARKETING 10

04/13/23HOSPITALITY MARKETING 11

THE CHALLENGES OF MARKETERS OF SERVICE:

1.“Moment of Truth”2.What is appropriate to one may not be

appropriate to another.3.Service to one customer may affect the

service delivered to another. “a lack of assurance to the product you

market is the product actually produced.

04/13/23HOSPITALITY MARKETING 12

The buyer must be present to experience (consume) the service provided (produced)

EMPLOYEES are also part of the product (click) because they are producing the service while customers consumes.

Every time we purchase a service, regardless of how many times of purchase, there is a possibility of completely a new experience.

The customer cannot consume what the seller cannot produce.

04/13/23HOSPITALITY MARKETING 13

Smiles can be aggravated than welcome if the customer’s problem unresolved.

04/13/23HOSPITALITY MARKETING 14

04/13/23HOSPITALITY MARKETING 15

PHYSICAL PRODUCT

Is a tangible component of the service.PRICE is tangible and it tangibilizes The

tangibles.Physical component satisfies or may not satisfy

customers basic needs.

04/13/23HOSPITALITY MARKETING 16

04/13/23HOSPITALITY MARKETING 17

Also known as “servicescape” Physical environment which the service

is delivered. The servicescape at the check-in may

be the business desk with one clerk each.

It includes the spatial lay out, signs & symbols.

Sign may not only direct customers they may also directs prosedures.

04/13/23HOSPITALITY MARKETING 18

04/13/23HOSPITALITY MARKETING 19

This defined as “how the service works in theory”

“plan your work”

04/13/23HOSPITALITY MARKETING 20

04/13/23HOSPITALITY MARKETING 21

BACK

04/13/23HOSPITALITY MARKETING 22

BACK

04/13/23HOSPITALITY MARKETING 23