#servicesmarketing

Services Marketing means marketing  something that is not visible , no exchange of ownership takes place between two parties. 

Why it is Important??

My professional expertise is in Marketing and over the years Services Marketing has been an area of keen interest. In fact, I remember the first time I was exposed to the subject area (while pursuing my Undergrad Degree at the University of Nevada Las Vegas) it immediately caught my interest. After multiple class discussions, case studies, exams and working on various service blueprints I became quite the critique of the service experiences I encountered. 

Whether good or bad, it gets recognized.

Anyhow, moving on to the experience that triggered this post.

I recently met a couple of my mates and we decided to go out and grab some dinner. First we couldn't think of where to go. So, to get the ideas flowing we started to think of the type of experience and ambiance we were seeking. This immediately reminded me of a restaurant that I recently dined at and the seafood laksa noodle soup they served (which was pretty good). I definitely wanted to go back there, so that was the choice we decided on. In addition to the great food we were seeking, they also have an alfresco dining option which was perfect.

We arrived at the restaurant and there were two groups of customers outside. The inside was not busy at all. We sat down outside and waited to be served. Waited about 5 minutes and then actually called the restaurant by phone and said 'hey, we are seated outside waiting to be served'. While waiting, we got more hungry and continued our conversation about the new restaurants, ones that our friends have opened, and a couple of our friends who work as Chefs. Close to 10 minutes later and yet to be served, our conversation about food really got going and we remembered some of the great dining options in Colombo. We stopped at 'Teppanyaki cuisine at Ginza Hohsen'.

Total waiting time was approximately 15 minutes. The wait was long enough and 'Restaurant Choice #1' lost their opportunity to serve 3 hungry grown men. Remembering Ginza, at first we thought 'we totally need to go back there'. And then it was me that said 'we've not been served yet, why don't we just go now'.

Off we went!

The weather outside was suddenly really nice and we arrived at Ginza. The ambiance was perfect, it was not too crowded and we sat upstairs in front of our well hooked-up flat iron griddle while the dining experience took its place.  A couple of fresh platters later, including lobster, prawns, chicken, mushrooms, onions, bell pepper, Australian steak (both medium rare and medium well), fried rice and miso soup, we were happy.

Completely satisfied with our evening, we walked to our car and laughed remembering the first restaurant we went to. Bad service just lost them $200.

If only restaurant #1 had paid a little more attention to the tables waiting to be seated. What did get their attention though was our car lights coming on just before we left. Finally a waiter ran out, only to see an empty table with chairs pulled-out.

Cesiah Suárez

(English Article)

In this article I will discuss the pricing strategy of the concept store I chose to employ in my Services Marketing audit. In past blogs I've talked about it, but don't worry, I'll help you remember its name and everything. So, let's discuss!

Daisy’s Concept Store is a service company since the main objective is the rent of spaces so that other entrepreneurs can have a new point of sale more centrally located in the city. Then, Daisy’s main objective: rent of spaces.

So now, I will discuss a little about the pricing strategy Montserrat (Daisy’s owner) employed to give a cost to the service she’s delivering to her clients. I took my time to ask Montse how did she priced her spaces or what was her strategy to price them? To which she replied the following: “Oh okay, I base myself on spaces (that is sizes, a large space is more expensive than a small one) and I also based on where the space is located. For example, the spaces at the entrance are more expensive because you guarantee that the customer sees that part and therefore your products. In few words, I use visibility of space and size. Those are the two factors I employed to price the spaces that I have.”

Her words have a 100% of truth on them, spaces that are near the entrance of the store, near windows, bigger spaces, obviously will be more expensive because she guarantees customers will at least see the products on those spaces. Basically, that’s the strategy she employs everyday when referring to pricing strategies. I think that’s a very good and fair way to price her service since she’s offering a price according to the space visibility and size, which you as an entrepreneur need to contemplate before acquiring or renting a space to place your products.

Then! What would be your strategy for pricing your service? Tell me! I'm eager to know:)))

Cesiah Suárez

(English Article)

In this article I will choose a service company which I'm familiar with and discuss its service environment in terms of its space arrangements and functionality. Let's begin!

So, I’ll choose the service company I’ll employ on my services marketing audit. The name of the business is Daisy’s Concept Store. It is a little store located on suburb Republica Oriente, street Sonora, number 173. It is managed by a young woman which name is Montserrat Santos, she’s 26 years old.

Well, in terms of space arrangements and functionality, I need to mention that the store is in a big house, so it is not a single place itself. The place where the store is located is very clear and spacious though. It was the old waiting room of that house, a very large room that no one gave use to, so Montserrat adapted it to make the concept store. I do think the store is in a very excellent sale point because is a central suburb, with a lot of people on it and it’s easy to find too. The space of the store is so well executed and seized, because it is only a large room, with no walls in between and big windows where natural light illuminates completely the place. The shelves and tables are so well located so customers can come and walk through with not a single problem. I’ll add some pictures of the place, so you won’t have problems to imagine it. Almost all the products are well located so customers can watch them, but there are some ones that are a little bit forgotten on the corners of the store. But that’s a problem we will solve later. The store has its own bathroom (toilet and sink) with enough space so customers can try on the clothing on sale. In general, the space arrangements are very well executed, and clients don’t have any problems choosing their products. The place itself meets its goal which is customers to enter, walk around, pick some products, and buy them. That’s the finality of most of the stores and that’s what Daisy’s Concept Store is accomplishing. Now, I'll show you the pictures I made for you to help creating a better image of the concept store.