Chapter 5

Designing the style Click to edit Master subtitle Communications Mix for Services
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Advertising Implications for Overcoming Intangibility (Fig. 51)

Problem Strategy

Advertising

Generality - objective claims Document physical system capacity Cite past performance statistics - subjective claims Present actual service delivery incident

Nonsearchability Present customer testimonials Cite independently audited performance Abstractness Display typical customers benefiting Impalpability Documentary of step-by-step process, Case history of what firm did for customer Narration of customers subjective experience
Source: Mittal and Baker

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Other Communications Challenges in Services involvement in Facilitate customer Marketing

production

prepare customers for service experience and demonstrate roles teach customers about new technologies, new features

Help customers to evaluate service offerings

provide tangible or statistical clues to service performance highlight quality of equipment and 3/18/12

Setting Clear Objectives: Checklist for Marketing Communications Planning (5 Ws) Who is our target audience?
What do we need to communicate and achieve? How should we communicate this? Where should we communicate this? When do communications need to take place?
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Common Educational and Promotional Objectives in Service Settings (Table 5-2)

Create memorable images of specific companies and their brands Build awareness/interest for unfamiliar service/brand Build preference by communicating brand strengths and benefits Compare service with competitors offerings and counter their claims 3/18/12 Reposition service relative to

Educational and Promotional Objectives (cont.)

Encourage trial by offering promotional incentives Reduce uncertainty/perceived risk by providing useful info and advice Provide reassurance (e.g., promote service guarantees) Familiarize customers with service processes before use
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Marketing Communications Mix for Services

(Fig. 10.4)
Person Communicatio al ns
Sel lin g Custo mer ser vic e Trai ning Telemarketi ng Word-ofWord of mouth mouth (other
customers)

Advertisi ng
Broad cast P r i n Inte t rnet Outd oor Direct mail

Sales Promotion
Samp ling Coup ons Sign -up reb ates G if t s Pr iz promo e tions

Publicity Public & Relations

P r release e s/kits s P s r conferen e ces s Spe s cial ev ent s Sponso rship

Instruction Materi al als

Web sites Man uals Broch ures Vid eoaudiocasse ttes Soft ware CDROM Voice mail

Corporat e Des ign

Sign age Interior decor Vehi cles Equip ment Statio nery Unif orm s

Trade Shows, Exhibitions

Mediainitiated coverage

Key: * Denotes communications originating from outside the organization

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Originating Sources of Messages Received by a Target Audience (Fig. 5-5)

Messages originating within the organization
tion roduc ls P ne Chan

Mark e Chan ting nels

Messages originating outside the organization 3/18/12

Front-line staff Service outlets Advertising Sales promotions Direct marketing Word of Personal mouth selling Public Media relations

A U D I E N C E

What is Brand Equity and Why Does It Matter? (From Berry, Cultivating Brand Equity)

Definition: A set of assets and liabilities linked to a brands name and symbol that adds to (or subtracts from) the perceived value of the product Insights Brand equity can be positive or negative Positive brand equity creates marketing advantage for firm plus 3/18/12

A Service Branding Model: How Communications + Experience Create Brand Equity

Marketer-controlled communications Firms Presented Brand (Sales, Advertising, PR) Uncontrolled brand communications What Media, Intermediaries, Word-of-Mouth Say re: Firm Customers Experience with Firm 3/18/12 Meaning Attached To Firms Brand
Source: Adapted from L. L. Berry ( Fig. 1)

Awareness of Firms Brand Firms Brand Equity

Marketing Communication and the Internet (1)

International in Scope

Accessible from almost anywhere in the world Simplest form of international market entry Promote consumer awareness and interest information and consultation

Internet Applications

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Marketing Communications and the Internet (2)

Web Site design considerations

Banners and buttons on portals and 3/18/12 other websites seek to draw online

Internet advertising

Memorable address that is actively promoted Relevant, up-to-date content (text, graphics, photos) Contain information that target users will perceive as useful/interesting Easy navigation Fast download