Description
any activity or benefit that one party can offer to another which is essentially intangible and does not result in the ownership of anything. It's production may or may not be tied to a physical product.
Issues and challenges in the
positioning of service brands:
a review
Issues and challenges in the
positioning of service brands:
a review
Blake Gantz
J ennifer Gist
Britney Elizondo
First let’s understand the
current definition of a service…
First let’s understand the
current definition of a service…
“…any activity or benefit that one party can offer to
another which is essentially intangible and does not
result in the ownership of anything. It’s production
may or may not be tied to a physical product.”
-Kotler (1996)
The characteristics
of Services:
• Intangibility
• Inseparability
• Variability
• Perishability
• Ownership
• Non-standardization
The characteristics
of Services:
• Intangibility
• Inseparability
• Variability
• Perishability
• Ownership
• Non-standardization
Along with services, the
definition of Positioning must
also be understood.
Along with services, the
definition of Positioning must
also be understood.
However, there is not one universally
accepted definition of Positioning. There is no
clear theoretical basis.
As positioning means different things to
different people, the various terminologies are
still “several sides of the same coin.”
-Arnott (1994)
…but the current adopted definition
of Positioning is:
…but the current adopted definition
of Positioning is:
“…the deliberate, proactive, iterative process
of defining, measuring, modifying and
monitoring consumer perceptions of a
marketable object…”
-Arnott (1993)
Recently, increasing attention has
been paid to positioning of service
brands.
Recently, increasing attention has
been paid to positioning of service
brands.
While some authors state that there are no
differences between positioning of services
and physical goods, most scholars agree that
it is more difficult to position services.
They also support the idea of “tangibilizing”
different aspects of a company’s service to
achieve positioning.
“…positioning a service is more difficult than positioning a product
because of the need to communicate vague and intangible
benefits.”
-Assael (1985)
“…services marketing differs from goods marketing because
services pose different marketing problems and opportunities
from those faced by goods marketers.”
-Lamb & Cravens (1990)
A couple beliefs about positioning
services are:
A couple beliefs about positioning
services are:
Because of differing opinions on
positioning services…
Two differing schools of thought
have arose
Because of differing opinions on
positioning services…
Two differing schools of thought
have arose
• Those who argue against varying
positioning strategies for services
• Those who argue that services need
specific positioning strategies.
The First school of thought argues that one
should not vary positioning strategies for
services from physical goods.
The First school of thought argues that one
should not vary positioning strategies for
services from physical goods.
Customers can gain benefits from services in the
same way that they can for physical goods.
Since there are no real differences between
physical goods and services, there is no need for
differentiation between positioning strategies for
service marketing.
The second school of thought states that
services require different positioning
strategies and tactics from physical goods.
The second school of thought states that
services require different positioning
strategies and tactics from physical goods.
These different positioning strategies for
services are based upon 3 qualities.
• Search
• Experience
• Credence
Search Qualities are known as:
Search Qualities are known as:
Features that consumers can identify before
purchasing a product. Like:
• Color
• Style
• Price
• Smell
etc.
Experience qualities are known as:
Experience qualities are known as:
Features that can only be understood after
purchase or during consumption. Like:
• Taste
• Wearability
• Satisfaction
Credence qualities are known as:
Credence qualities are known as:
Features that the consumer may find
difficult to evaluate even after purchase
and/or consumption.
• Open heart operation
• Brain surgery
• Appendix operation
In support of the second
school of thought about
service positioning…
In support of the second
school of thought about
service positioning…
It is stated that marketers find difficulties
trying to interpret services since they can
be positioned on a variety of dimensions.
Such as:
• Needs they satisfy
• Benefits delivered
• Specific features
• Time of use
• Who uses it
It is stated that marketers find difficulties
trying to interpret services since they can
be positioned on a variety of dimensions.
Such as:
• Needs they satisfy
• Benefits delivered
• Specific features
• Time of use
• Who uses it
Also in support of the second
school of thought…
It is believed that services present
special challenges to positioning.
Also in support of the second
school of thought…
It is believed that services present
special challenges to positioning.
“Services are relatively intangible, produced and
consumed simultaneously, and often less
standardized than goods. These unique
characteristics of services will therefore present
special challenges for services positioning.”
-Berry (1980)
To try to overcome these special
challenges that services provide…
To try to overcome these special
challenges that services provide…
It has shown that services advertisements often
contain more:
• Emotional appeal
• Personalized headlines
• Symbolic representation
Ultimately…
Ultimately…
Although there are two different
schools of thought, attention to detail
and appreciation of services
positioning must be established.
“…service marketers must have a good
understanding of their special competitive
situation to achieve long-term competitive
advantage…”
-Fisher (1991)
doc_310042666.pdf
any activity or benefit that one party can offer to another which is essentially intangible and does not result in the ownership of anything. It's production may or may not be tied to a physical product.
Issues and challenges in the
positioning of service brands:
a review
Issues and challenges in the
positioning of service brands:
a review
Blake Gantz
J ennifer Gist
Britney Elizondo
First let’s understand the
current definition of a service…
First let’s understand the
current definition of a service…
“…any activity or benefit that one party can offer to
another which is essentially intangible and does not
result in the ownership of anything. It’s production
may or may not be tied to a physical product.”
-Kotler (1996)
The characteristics
of Services:
• Intangibility
• Inseparability
• Variability
• Perishability
• Ownership
• Non-standardization
The characteristics
of Services:
• Intangibility
• Inseparability
• Variability
• Perishability
• Ownership
• Non-standardization
Along with services, the
definition of Positioning must
also be understood.
Along with services, the
definition of Positioning must
also be understood.
However, there is not one universally
accepted definition of Positioning. There is no
clear theoretical basis.
As positioning means different things to
different people, the various terminologies are
still “several sides of the same coin.”
-Arnott (1994)
…but the current adopted definition
of Positioning is:
…but the current adopted definition
of Positioning is:
“…the deliberate, proactive, iterative process
of defining, measuring, modifying and
monitoring consumer perceptions of a
marketable object…”
-Arnott (1993)
Recently, increasing attention has
been paid to positioning of service
brands.
Recently, increasing attention has
been paid to positioning of service
brands.
While some authors state that there are no
differences between positioning of services
and physical goods, most scholars agree that
it is more difficult to position services.
They also support the idea of “tangibilizing”
different aspects of a company’s service to
achieve positioning.
“…positioning a service is more difficult than positioning a product
because of the need to communicate vague and intangible
benefits.”
-Assael (1985)
“…services marketing differs from goods marketing because
services pose different marketing problems and opportunities
from those faced by goods marketers.”
-Lamb & Cravens (1990)
A couple beliefs about positioning
services are:
A couple beliefs about positioning
services are:
Because of differing opinions on
positioning services…
Two differing schools of thought
have arose
Because of differing opinions on
positioning services…
Two differing schools of thought
have arose
• Those who argue against varying
positioning strategies for services
• Those who argue that services need
specific positioning strategies.
The First school of thought argues that one
should not vary positioning strategies for
services from physical goods.
The First school of thought argues that one
should not vary positioning strategies for
services from physical goods.
Customers can gain benefits from services in the
same way that they can for physical goods.
Since there are no real differences between
physical goods and services, there is no need for
differentiation between positioning strategies for
service marketing.
The second school of thought states that
services require different positioning
strategies and tactics from physical goods.
The second school of thought states that
services require different positioning
strategies and tactics from physical goods.
These different positioning strategies for
services are based upon 3 qualities.
• Search
• Experience
• Credence
Search Qualities are known as:
Search Qualities are known as:
Features that consumers can identify before
purchasing a product. Like:
• Color
• Style
• Price
• Smell
etc.
Experience qualities are known as:
Experience qualities are known as:
Features that can only be understood after
purchase or during consumption. Like:
• Taste
• Wearability
• Satisfaction
Credence qualities are known as:
Credence qualities are known as:
Features that the consumer may find
difficult to evaluate even after purchase
and/or consumption.
• Open heart operation
• Brain surgery
• Appendix operation
In support of the second
school of thought about
service positioning…
In support of the second
school of thought about
service positioning…
It is stated that marketers find difficulties
trying to interpret services since they can
be positioned on a variety of dimensions.
Such as:
• Needs they satisfy
• Benefits delivered
• Specific features
• Time of use
• Who uses it
It is stated that marketers find difficulties
trying to interpret services since they can
be positioned on a variety of dimensions.
Such as:
• Needs they satisfy
• Benefits delivered
• Specific features
• Time of use
• Who uses it
Also in support of the second
school of thought…
It is believed that services present
special challenges to positioning.
Also in support of the second
school of thought…
It is believed that services present
special challenges to positioning.
“Services are relatively intangible, produced and
consumed simultaneously, and often less
standardized than goods. These unique
characteristics of services will therefore present
special challenges for services positioning.”
-Berry (1980)
To try to overcome these special
challenges that services provide…
To try to overcome these special
challenges that services provide…
It has shown that services advertisements often
contain more:
• Emotional appeal
• Personalized headlines
• Symbolic representation
Ultimately…
Ultimately…
Although there are two different
schools of thought, attention to detail
and appreciation of services
positioning must be established.
“…service marketers must have a good
understanding of their special competitive
situation to achieve long-term competitive
advantage…”
-Fisher (1991)
doc_310042666.pdf