Podcast
Questions and Answers
What does distribution refer to in a services context?
What does distribution refer to in a services context?
What are the three interrelated flows in a sales cycle?
What are the three interrelated flows in a sales cycle?
Information and promotion flow, negotiation flow, product flow.
Which of the following is NOT a distribution option for serving customers?
Which of the following is NOT a distribution option for serving customers?
Service providers going to customers is unnecessary when the object of service is immovable.
Service providers going to customers is unnecessary when the object of service is immovable.
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What achieves a remote service transaction?
What achieves a remote service transaction?
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Places of service delivery can include __________.
Places of service delivery can include __________.
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What are key determinants to locating a service facility?
What are key determinants to locating a service facility?
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Which of the following is considered a locational constraint?
Which of the following is considered a locational constraint?
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Traditionally, service availability was limited to 24/7 operations.
Traditionally, service availability was limited to 24/7 operations.
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What are the five supplementary services that can be distributed electronically?
What are the five supplementary services that can be distributed electronically?
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Technological innovations have led to the development of __________.
Technological innovations have led to the development of __________.
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Among the factors luring customers to virtual stores are:
Among the factors luring customers to virtual stores are:
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What is the role of intermediaries in distributing services?
What is the role of intermediaries in distributing services?
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Integrating mobile devices into the service delivery infrastructure can be used to __________.
Integrating mobile devices into the service delivery infrastructure can be used to __________.
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Study Notes
Distribution Services
- Distribution services in the context of the service industry involve the movement of experiences, performances, and solutions, rather than physical goods.
- A significant increase in informational transactions occurs through electronic channels, reducing the need for physical shipment.
Sales Cycle Flows
- Three interrelated flows in a sales cycle include:
- Information and promotion flow
- Negotiation flow
- Product flow
Customer Contact Distribution Options
- Customer visits to service sites depend on the convenience of service factory locations and operational schedules, especially when physical presence is required.
Service Providers Going to Customers
- Service providers must go to customers when the service involves immovable objects or when serving remote areas.
- There is a higher likelihood of serving corporate customers on-site compared to individual customers.
Remote Service Transactions
- Services can be conducted remotely, leveraging logistics and telecommunications to facilitate the interaction.
Place and Time Decisions in Service Delivery
- Mini-stores and automated kiosks enhance geographic coverage by creating small service factories.
- Separation of front and back operational stages, as seen in fast food chains like Taco Bell, improves efficiency.
- Purchasing space in complementary fields, such as Dunkin Donuts with Burger King, allows for resource sharing.
Locational Strategies
- Proximity to customer residences or workplaces is essential for service delivery; for example, service stations.
Key Determinants for Service Facility Location
- The main factors influencing the location of a service facility include:
- Cost
- Productivity
- Access to labor
Locational Constraints
- Operational requirements can dictate locations, like airports needing specific access points.
- Geographic factors determine placements such as ski resorts.
- Economies of scale, particularly important for hospitals, guide strategic site selection.
Timing in Service Delivery
- Traditional service schedules were limited to daytime hours; however, modern services operate 24/7 to meet customer demands globally.
Delivering Services Online
- Five supplementary information-based services can be distributed electronically:
- Information
- Consultation
- Order-taking
- Billing
- Payment
- Advanced levels of information, consultation, and order-taking are evident in global service industries like hospitality and travel.
Technological Innovations
- Technological advancements, including smart mobile phones and high-speed Wi-Fi, enhance connectivity and user access to services.
- Voice-recognition technology and smart cards also contribute by storing customer information and facilitating digital transactions.
Customer Attraction to Virtual Stores
- Factors enticing customers to online shopping include:
- Convenience and ease of search
- A broader selection of products
- Potential for better prices
- Availability of 24-hour service with quick delivery options
Recent Technological Developments
- Integration of mobile devices with websites and CRM systems improves service delivery by enabling:
- Access to services
- Alerts for opportunities or problems
- Real-time information updates
Role of Intermediaries in Service Distribution
- Intermediaries, such as franchising, offer both advantages and disadvantages in the service distribution model.
Studying That Suits You
Use AI to generate personalized quizzes and flashcards to suit your learning preferences.
Description
Test your knowledge on distribution services through these flashcards from Chapter 5. Explore key concepts such as the nature of service distribution and the flows involved in a sales cycle. Ideal for marketing students looking to reinforce their understanding.
