services marketing

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Services Marketing The definition of services marketing is the process of persuading potential consumers to buy the organization product and service. Services marketing are a subfield of marketing, which can divide two main areas of goods marketing and services marketing. Services marketing is a type of refers to both business to business (B2B) and business to consumer (B2C) services. For example of services marketing like financial services, car rental services, air travel, health care services, telecommunications services, professional services and all types of hospitality services. 2.0 Company background Air Asia Berhad is a low cost airline in Malaysia. In Asia, Air Asia is no-frills airline, pioneer of low cost travel and Asia largest low-fare. Air Asia Berhad operates scheduled domestic international flights to over 400 destinations and spanning 25 countries. Air Asia main hub is the Low Cost Carrier Terminal (LCCT) at Kuala Lumpur International Airport (KLIA). Not only that, Air Asia affiliate airlines Indonesia Air Asia have hub in Soekarno-Hatta International Airport and also Thai Air Asia have hub in Suvabhumi Airport. Besides, Air Asia registered office is in Petaling Jaya while its head office is located in Kuala Lumpur International Airport. Air Asia Berhad are create their vision is to be the largest low-cost airline in Asia and serving the 3

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Page 1: Services Marketing

Services Marketing

The definition of services marketing is the process of persuading potential consumers

to buy the organization product and service. Services marketing are a subfield of

marketing, which can divide two main areas of goods marketing and services

marketing. Services marketing is a type of refers to both business to business (B2B)

and business to consumer (B2C) services. For example of services marketing like

financial services, car rental services, air travel, health care services,

telecommunications services, professional services and all types of hospitality

services.

2.0 Company background

Air Asia Berhad is a low cost airline in Malaysia. In Asia, Air Asia is no-frills airline,

pioneer of low cost travel and Asia largest low-fare. Air Asia Berhad operates

scheduled domestic international flights to over 400 destinations and spanning 25

countries. Air Asia main hub is the Low Cost Carrier Terminal (LCCT) at Kuala

Lumpur International Airport (KLIA). Not only that, Air Asia affiliate airlines

Indonesia Air Asia have hub in Soekarno-Hatta International Airport and also Thai

Air Asia have hub in Suvabhumi Airport. Besides, Air Asia registered office is in

Petaling Jaya while its head office is located in Kuala Lumpur International Airport.

Air Asia Berhad are create their vision is to be the largest low-cost airline in Asia and

serving the 3 billion people who are currently underserved with poor connectivity and

high fares. Mission of Air Asia Berhad is to be the best company to work whereby

their employees are served as part of a big family and attain the cheapest price so

everyone also can fly with Air Asia. Air Asia also to maintain the good quality

product and service to reduce co st and improve their service level.

In-flight services like food and beverages, merchandise, free gift, and entertainment.

Air Asia provides in-flight services have wonderful meal choices to satisfy customer

wants, great Air Asia merchandise and duty free buys. Furthermore, Air Asia also

provides entertainment like movie, game and song that make customer forget they are

in a long haul flight.

Page 2: Services Marketing

3.0 Consumer buying decision process

During making buying decisions, they are the important with consumer buying

process. This is because it can force the marketer to consider the whole buying

process is instead of the purchase decision. The model are divided 5 stages such as

need recognition, information search, evaluation of alternatives, purchase and post

purchase behaviour.

3.1 Need recognition

The consumer buying decision process starts with need recognition. This is because

the buyer are recognizes need or a problem. The buyer will senses a difference

between his or her some desired state and actual state. When one of the people normal

need like hungry or thirst, the need will be triggered by internal stimuli. For example

like food is everyone basic needs so Air Asia has food and beverages to treat their

customer when in-flight. Air Asia also provide Air Asia menu have many choice to let

their customer carefully selected their need such as like delicious meals, vegetarian,

local or international delights, snacks and beverages.

3.2 Information search

The second stage is information search. Information search are divide consumer

engage in both internal and external information search. The internal information

search is involves the consumer can identifying alternatives from their memory.

Consumer will use their own experience like recall previous experience with product

and brands to do decision buying process. Most of the consumers likely use their own

idea or experience internal information search to purchase low risk products. For

example like some customer will purchase in Air Asia Berhad during their own idea.

This is because they are trust and loyalty with Air Asia brand. For the high risk

product, consumers are most likely to use an external information search. For example

like when one of the customer are before purchase Air Asia service, they will do

many research via media like online research, radio, newspaper, advertising, public

resources, comparison brand or friends and relatives opinion. However, Air Asia

Berhad will provide their information service through media to let customer can save

their time to do information search such as via online research www.airasia.com. This

Page 3: Services Marketing

is because a successful information search will leave a buyer with possible

alternatives.

3.3 Evaluation of alternatives

The third stage is evaluation of alternatives. The evaluation of alternatives is produce

depend on the consumer and the buying condition. Most of the consumers will

evaluate multiple characteristics, each of which is weighted differently. By the end of

the evaluation of alternative stage, consumer purchase intentions will be formed. Air

Asia Berhad want to increase rate of success, they are using consumer wants and does

not want, in order to establish a criteria for evaluation. Furthermore, Air Asia Berhad

will provide different type of food such as vegetarian, international or local delights,

this is because different people have different favourite food. Not only that, most of

the working people are busy do work, they are no any free time go the Air Asia

counter to purchase Air Asia service. So, Air Asia Berhad are create a website

www.airasia.com in order to let working people are convenience and save time to

online booking. Moreover, Air Asia will do promotion Fabulous Day on every Friday

for some customers are wanted to purchase cheap ticket. So, most of the customer will

be good impression and loyalty with Air Asia.

3.4 Purchase

In this stage of purchase decision, customers have done the evaluation and research on

the services. The final decision will be influence because of friends and family

opinion too. In order to make sure the customers choose us as their choice, marketer

must resolve the problem that might change customers mind. Customers will choose

the company that get the highest evaluation. For example like Air Asia will do special

promotion to provide a good deal of information about the positive consequences of

buying such as Big Sale, Free Seat and RM1 promotion. However, those all of

special promotion is only for special day, so most of the customers will take the

opportunity to buy the Air Asia services. This is because in psychology, those

customers will think that those benefits are worth.

Page 4: Services Marketing

3.5 Post purchase behaviour

The final stage is the postpurchase behaviour evaluation of the decision. It is a

common for most of the customer to experience concerns after they are making

purchase decision. In psychology, this arises from a concept that is call as “cognition

dissonance”. This is because the customer having bought a service with marketer,

then maybe that customer will feel that an alternative would have been preferable. In

these situations that customer will not repurchase immediately with that marketer,

but maybe next time that customer would be switch to other brands. In order to

manage the post-purchase stage, marketer must persuade the potential customer that

the service will satisfy those customer needs. After purchase the service, marketer

must encourage the customer made the right decision. For example Air Asia Berhad

should always check on the feedback and opinion that leave by customers because it

is an useful information for the company. Therefore, Air Asia should always alert

with customers feedback or opinion because all the feedback and opinion can help to

do more improvement to provide more quality services to customers.

4.0 Integrated Marketing Communication

Integrated marketing communication tools concert are to combine few types of non-

personal and personal communication which most of the organization used to

integrate all element of promotion. Below are the discussion about advertising, sales

promotion, public relation, direct marketing and personal selling.

4.1 Advertising

Advertising refers to a non–personal communication which used to promote a product

or service by using printed and electronic media. Advertising may help to create

image of the brand and able to reaching many buyers simultaneously however those

buyers may not potential buyers. For example like Air Asia Berhad is advertises their

advertisement on television, radio, newspaper, website, magazine and billboard.

Therefore, when the customer are pay attention advertisement in media, they have

purchase Air Asia service idea.

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4.2 Sales promotion

Sales promotion refers to activity which offers to customer a very good reason for

them to buy in a short period of time in order to increase sales. Sales promotion may

help in changing short-term behavior of consumer to having a try on others brand of

product however it hard for company to build up a long term relationship with

customer. For example like Matta Fair, Air Asia Berhad are provide many benefits

such as voucher, discount, and BOGOF (buy one get one free). Those benefits can

build a good relationship and loyalty with customer. This is because most of the

customers like to pay less and get many benefits to purchase products and services.

And the promotion with too little budget chasing and too many worthy initiatives, this

may be worth checking out.

4.3 Public relation

Public relation takes a very important part in an organization in order to help protect

the company image, increasing product brand name and help company to build a very

good relationship within the consumer and media. The total cost that using in public

relation may be low because company does not need to pay to media but their own

company staff to set up events. For example like public relation will help Air Asia

Berhad to build a good image with customer. Besides, public relation can help Air

Asia Berhad protect company image. Therefore, when the customer is mistake with

Air Asia Berhad services, public relation can settle the problem.

4.4 Direct marketing

Direct marketing refers to direct communication within the company to the customer

in order to transmit the latest messages. Telemarketing, direct mail, catalogs, and

direct response advertising is the examples of direct marketing. Direct marketing may

help to transmit the message quickly and able to build a relationship with customer.

For example like Air Asia, they are use the direct mail to telling their customer when

Air Asia is doing promotion. Furthermore, when the customers are notice in e-mail,

they will start to go Air Asia website research.

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4.5 Personal selling

Personal selling refers to face-to-face communication between the marketer and

customer in order to persuade them to buy product or service. Marketers able to

identified customer needs and wants, emotional by looking at customer face

expression while customer also able to give feedback directly to marketers. For

example like Matta Fair, the marketer will use their very good strategic face-to-face

communication to persuade customer buy Air Asia services. Besides, in order to long

term relationship, sales promotion will help Air Asia build a good relationship and

image.

5.0 Application of Integrated Marketing Communication tools in the each stage

Every integrated marketing communication tools will most effective in each stage of

consumer buying process. So, below are showed how the integrated marketing

communications tools are effect in the each stage of consumer buying process.

5.1 Need recognition

In this stage, I think that advertising and sales promotion is the most effective tools to

influence or initiate consumer needs. For example like Air Asia are do advertising to

promote their services through media, radio, television, magazine, facebook, billboard

and newspaper. When the customers are watching advertisement in newspaper or

television, then they will imagine they are flying to their dream destination. Besides,

Air Asia also advertises on event like Matta fair to promote their services. For the

sales promotion, Air Asia are given customer benefit like voucher, buy 1 get 1 free,

discount and promotion to promote their services. The sales promotion will influence

most of the customer will think they only pay less then can go to fly anywhere.

Furthermore, the customer also will introduce Air Asia promotion to their friends or

family, because they also want their friends or family can fly with them. So, these 2

effective tools will trigger the customer needs and they will start to search for more

detail information.

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5.2 Information Search

In this stage, I think that advertising and personal selling is the most effective tools to

influence customers are information search. For example like Air Asia is using some

expression and hidden message to advertise their on television and radio. Besides, Air

Asia integrated these integrated marketing communication tools to create maximum

impact and generate profitability. So, when the customer are notice the advertisement

on television or radio, they will get information search from there. For the next

effective tools of personal selling, most of the customer will get information search

from there. This is because marketer will tell all the detail and information for them.

Moreover, sales promotion can persuade customer a good reason to buy Air Asia

services in a short period of time in order to increase sales.

5.3 Evaluation of alternatives

In this stage, I think that public relation and sales promotion is the most effective tools

to influence customer purchase. For example like public relation will build up a good

impression and image with customer. Therefore, Air Asia will make a strong loyalty

with the customer. When the customers are doing evaluation of alternative with

airlines services, they are mostly to choose Air Asia services. For the sales

promotion, Air Asia are provide many benefits for customer such as BOGOF (Buy

one get one free), free seat, RM1 ticket and discounts. Hence, most of the customer

will choose Air Asia services when they are doing evaluation of research.

5.4 Purchase

In this stage, I think that sales promotion and direct marketing is the most effective

tools to influence customer purchase. For example like Air Asia they are promote

sales promotion to promote a good reason for customer to buy Air Asia services.

Furthermore, the marketer also will use some strategic to increase their rate of

success. For the direct marketing, Air Asia is given vouchers, promotion, and other

benefits to increase customer purchase rate. So, most of the customer will take

opportunity to purchase Air Asia services.

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5.5 Post purchase behaviour

In the final stage, I think public relation is the most effective tools to influence the

post-purchase behaviour. For example like public relation should always check on the

customer feedback and opinion because it is can improve Air Asia Berhad. Besides,

public relation should always alert with customers feedback or opinion because all the

feedback and opinion can help to do more improvement to provide more quality

services to customers. Therefore, public relation will increasing product brand name

and help company to build a very good relationship within the consumer and media.

Conclusion

After discuss of consumer buying process and integrated marketing communication,

then we are understands how the Air Asia Berhad are successful. This is because

every consumer buying process stages and integrated marketing communication tools

are most important, it is can effective rate of success in business. Therefore, when we

are choose a right integrated marketing communication tools in each stage of

consumer buying process, our success rate in business will increase.

http://www.suite101.com/content/sales-promotions-a96994

http://www.skcs.hk/AirAsia.pdf

http://tutor2u.net/business/marketing/buying_decision_process.asp

http://www.consumerpsychologist.com/cb_Decision_Making.html