Marketing Challenges of a Service: Marketing Report Analysis

This report delves into the marketing challenges inherent in the service sector, focusing on the unique characteristics that distinguish services from tangible goods. The report examines how intangibility, inseparability, perishability, and heterogeneity pose significant marketing hurdles. It explores how these characteristics impact customer perception and the strategies required to build trust and manage demand. The report further analyzes marketing strategies employed to effectively match supply and demand, particularly in response to fluctuations and business cycles. By considering these factors, the report provides a comprehensive overview of the complexities and effective approaches to marketing services.

Marketing challenges of a
service

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1 How these four specific characteristics make the marketing of the services more
challenging than the marketing of a tangible good..........................................................................3
TASK 2 Marketing strategies are used to better match supply and demand throughout the
fluctuations or business cycles.........................................................................................................4
CONCLUSION................................................................................................................................4
REFERENCES................................................................................................................................5

INTRODUCTION
This report will base on the marketing challenges of a service. This report will include the
Intelligible, imperishable, inseparable and Heterogeneous marketing services that make the
marketing more challenging as compared to the tangible goods. This report will also include the
different marketing strategies that affects and influence the demand and supply of the tangible
goods.
TASK 1 How these four specific characteristics make the marketing of the
services more challenging than the marketing of a tangible good
Intelligible marketing service: Intelligibility Is used to describe when a customer purchase
tangible products, that can be seen, touched or tasted. Intangible services are those which can not
be seen, touched and tasted. To create or increase the demand of the tangible products or good, it
is important to gain the customer's trust. This intelligible services like customer services and
many more helps to gain the trust and increase the demand (Intangibility in Marketing:
Definition & Overview,2019).
Inseparable marketing service: As it name shows, inseparability services that are usually
provided to customers at the same time in the same location. For example For purchasing a car
seller provide the insurance, registration services along with the car.
Perishable: Fundamental characteristics of the marketing service, that the services that cannot
be stored, saved, returned or resold in the future (Kotler and et.al, 2015). For example once a
passenger on air plane has been departed to their destination, cannot be transported again to same
location at the same time. Or once the flight take off can not sell seat after departure.
Heterogeneous: Heterogeneous services are services that explain and describe the uniqueness of
the product and services. Many services are modified while providing to each customer or
situation. For example PC and Mac can not be referred as a substitute, because each computer
platform is too different from each other. Same like with mobile each mobile has its own unique
quality and system (Wakefield and Blodgett, 2016).
These marketing characteristics make the marketing service more challenging as compare
to the tangible goods because it is very difficult to provide unique service to the customer, in the
case of inseparability some time have to provide service with products beyond the profit and the
case of perishable when customer demand the same product or service which can not provide

again at same time, that affects the image of the company and may become the reason for
fluctuation of demand (Services Marketing: Focus on Service Characteristics to Create
Competitive Advantage,2019).
TASK 2 Marketing strategies are used to better match supply and demand
throughout the fluctuations or business cycles
Marketing strategy: Marketing strategy is the long term planning of the company to bring
new products in the market, attract the customers towards their product and make them
permanent customers to the company through their polices and offer which is totally an overview
of marketing strategy of the company. As marketing strategy affects the demand and supply of
the company. When there is high demand of product the price are low and quantity also
increased when customers prefer more product of the company similarly when demand is low
prices are higher as they have to sell down the product at nay cost (Lovelock and Patterson,
2015). This demand and supply curve reflects the working of the company polices and their
marketing strategy as when company is totally prepared to launch their product in the market and
also done their marketing to promote the product and then coincidently the competitors bring the
same product in the market at low price than customers prefer the product which reduces the
demand for the product. This result to loss of the company as they already spent lot of expense in
their production activity of that product and also they promoted their product through
advertisement or on social media which charge the marketing cost to the company. Company
whole status depends upon the market and the customers as if raise in demand gives rise to
company reputation and goodwill and fall in product demand gives the company huge amount of
losses. Similarly as with supply as if company supply lot of products to that Market and
customers they gain huge profit and if there is stoppage in supply, company suffer loss with that
product (Morgan and et.al, 2019).
CONCLUSION
From the above study it can be concluded that all the intangible services makes the
marketing more challenging as they can not be seen, touched or tasted so it is more difficult to
provide the services to the customer as to satisfy them as compared with the tangible goods.

REFERENCES
Books and Journals
Armstrong, G., Kotler, P., Buchwitz, L.A., Trifts, V. and Gaudet, D., 2015. Marketing: an
introduction.
Kotler and et.al., 2015. Marketing. Pearson Higher Education AU.
Lovelock, C. and Patterson, P., 2015. Services marketing. Pearson Australia.
Morgan and et.al., 2019. Research in marketing strategy. Journal of the Academy of Marketing
Science, pp.1-26.
Wakefield, K.L. and Blodgett, J., 2016. Retrospective: The importance of servicescapes in
leisure service settings. Journal of Services Marketing.30(7). pp.686-691.
Online
Intangibility in Marketing: Definition & Overview.2019.[Online].Available
through<ttps://study.com/academy/lesson/intangibility-in-marketing-definition-lesson-
quiz.html>
Services Marketing: Focus on Service Characteristics to Create Competitive Advantage.2019.
[Online].Available through<http://cascadebusnews.com/business-tips/marketing/176-
services-marketing-focus-on-service-characteristics-to-create-competitive-advantage>