Product and service marketing are fundamentally different
A service, unlike products, is an action that one person can offer another that is intangible and does not result in ownership of a physical product. Different marketing tactics work better for services versus products. A business needs to develop marketing plans for both services and products.
A few of the differences between service marketing and product marketing, when a business markets a service, they are ...view middle of the document...
Another difference between marketing services and marketing products is that when a customer buys a service, the customer is buying something that is intangible, instead of a tangible product, like a television, phone, or a tablet computer.
Also, a customers’ idea of a service is often times based on the reputation of a single person and not a brand or product. Instead of building a reputation based on the quality of several different products, a service reputation is built on how well a person delivers on the service offered. For example, how well a retirement fund manager does managing a stock portfolio.
Lastly, it is relatively easy for a consumer to compare the quality of different products. It is easy to see if one television has a better picture than another side by side, or if on computer operates faster than another, or the quality of two different vehicles. However, it is difficult to compare the quality of similar services that are provided, and products can be easily be returned, look at Costco for example. Services are not returnable.
Marketing a product traditionally requires the “4 P’s” product, price, place, and promotion. Marketing service adds to those traditional “P’s”; people and process. Product and service marketing are different in my opinion.