Service Marketing Management Strategy:
The service marketing management strategy represents the concept of marketing in action. The service company must be customer-oriented and must develop a competitive orientation and must develop a competitive marketing strategy, that strategy formulation consists of two steps:
(1) Identify the target markets and their needs.
(2) Develop a marketing mix that meets the unique needs of these target markets.
Marketing management process for services:
1. Organization of marketing planning:
The development of a marketing strategy requires market planning and market planning is usually preceded by a market analysis. Before making any strategic plan, the manager must undergo a self-question. The answers to these critical questions are the beginning of the development of the strategic plan.
Marketing information for planning purposes can be collected through market research and marketing intelligence. Market research is more structured and quantifiable, while the collection of marketing intelligence focuses on intangible ideas and trends.
2. Analysis of marketing opportunities:
Analyzing market opportunities involves identifying the target market and selecting from the many options offered to determine the changing needs and locations of customers.
Marketing guidance requires organizations to monitor their environment to adjust their offer so that customer needs are met. There are some others that are met. There are other important factors that should be considered to analyze marketing opportunities, which are:
- The internal environment
- The immediate external environment
- The uncontrollable external environment
- Economic factors
- Social factors
- Political and legal factors
- Technical factors
3. Selection of the target market:
The process of identification and evaluation of marketing opportunities gives rise to many new ideas, each of these opportunities must be studied according to the company’s resources. These steps involve:
(i) Segmentation and targeting.
(ii) Positioning Service marketing cannot be separated from market segmentation. There are some segmentation methods that are used by the service organization:
(i) Demographic variant
(ii) Psychographic variant.
After this process focuses on market targeting, deciding which of the market segments to which it is addressed is a challenge and after this process, the service provider decides the number of segments to serve, such as:
(i) Undifferentiated marketing, p. Massive banking
(ii) Differentiated marketing, p. banking products for corporate clients and individual clients
(iii) Concentrated marketing, p. Special agricultural banks or industrial credit banks.
4. Develop the Service Marketing Mix:
The marketing combination, which is the essence of each marketing strategy and includes dominant tangible products, are:
- Service product.
- Price demand-oriented method. Cost-oriented method, prices based on competition.
- Physical evidence.
5. Management and control of the marketing effort:
The service company must mobilize its people and resources, p. money equipment, physical facilities within the organization to implement the strategic plan. Another key issue that relates to the implementation program is the organizational framework.
Heskett presents a link of activities that emphasizes the interrelation of several activities of the organization. This interdependence between marketing, operations and human resources is called the service management trinity.
Also read: Services, Concept of Production Management, Features of Service, Goods vs Services, Overcome The Challenges of Service Marketing, Concept of Entrepreneurship, Process of Entrepreneurship, Need of Entrepreneurs