The commodities and services are commonly referred to as products in the market. Although similar strategies are often employed in marketing products, marketing of services tend to differ from the promotion of goods due to a host of factors. Tangibility is a principal difference between goods and services, which makes the marketing of the two products to vary(Greechie, 2016). Whereas goods refer to objects that are created, stored, and marketed, services are the output of an individual’s work or a group of people. Companies such as Adidas are famous for manufacturing goods while Freight Forwarding companies are purely service-oriented. Although the two companies need to promote their products, they employ different methodologies due to the disparity of their products.
Factors that promote the difference in marketing of services and goods
As aforementioned, marketing of services is different due to the intangibility aspect of the product. Precisely, a customer can visit a shop and check the properties of a commodity before he or she buys it. By reading the ingredients of a body lotion, the client can be satisfied by what it can do to his or her skin. Conversely, it is hard to convince a customer that you can deliver particular service because they are not consuming the service at that moment(Burns, 2016). Unless the individual has heard about one's services, it 's hard to persuade such a person to purchase it. Besides, unlike commodities, services possess the inseparability attribute. The purchase, provision, and consumption of services happen at the same time. In other words, there is the involvement of the customer in the marketing of the services, something that does not apply to the commercialization of goods (Burns, 2016).
Unlike goods, it is tough to standardize services as a product. The quality of a particular brand is standardized because the same company produces it all the time. As for services, customers, and the providers differ at every point; thus, the quality of the service that a customer receives today might not be the same the following day. Besides, services are prone to the external influences including the emotions of the client and the service provider. When marketing services, the providers ought to ensure that theyidentify and standardize the aspects of services that can be made uniform (Bhasin, 2013). Despite being a service-based company, the International Freight Forwarding company has standardized the time aspect of its business. Precisely, the firm has ensured that the ships and airplanes depart and arrive at fixed time so that their clients can plan the appropriate time for sending and delivery of their goods(Freightsystems.com, 2014).
Poor timing by the providers caused the downfalls of the most service-based company. Notably, unlike services good can be inventoried because they are not perishable. It is hard to balance the demand and supply of services so that they are availed when needed most. Availability of services without the market results in perishability, which increases the cost and pricing of the services(Bhasin, 2013). The Freight Forwarding companies ensured the sustainability of the business by investigating the demand for the shipment services. Moreover,when a client purchases a commodity, he or she is free to use the commodity in the best that pleases him or her. Conversely, the regulation of the majority of services is rigid. For instance, labor unions have measures in place to protect laborers; thus, clients ought to adhere to labor laws as they receive the services. Similarly, other services such as medical care and legal representation are under regulation. It is important that the client learns the legal regulation before purchasing the services as this fosters a healthy relationship between the two parties. Lastly, in service marketing, there is no transfer of ownership as it is the goods. For that reason, the marketers should ensure that they give their best whenever they get an opportunity to offers services to retain their clients.
Different marketing strategies that for service products
A major limitation for the service products is the lack of standardization; however, there some aspects of services that can be made uniform enhance the quality of the product. Time is of essence when it comes to ensuring customer satisfaction in service businesses (Burns, 2016). The marketers can use time frame to make sure that the quality of the services is enhanced. Clients are pleased with services that keep time; therefore, marketers should control all factors that that contribute to delay in services. The International Freight Forwarding Company has minimized delays in various ways to realize customer satisfaction. Precisely, the company uses its long experience to ensure that the clients’ goods are delivered in time; it has improved the speed at which the goods are cleared at the custom's desk (Freightsystems.com, 2014). The Freight forwarding companies have enhanced quick and efficient deliveries through its fixed schedule. Fixed times for departure and arrivals enables the customer to relax and plan what time to send or collect a parcel.
Although reliability is a significant factor in the marketing of both the goods and service products, it is a necessity in service marketing. The service-based businesses thrive due to the loyalty of their client.Since there is no transfer of ownership, the marketers should ensure that the clients get satisfied and come back for more services(Universal Cargo Management, 2016). The Freight Forwarders have facilitated reliability of their products, and it has gained trust from the clients. Mainly, the company does not only deliver goods in time but also inform the clients whenever challenges that may cause delays arise. The customers seek the kind of services that inform about unforeseen delays early enough so that they can make other arrangements where necessary. In brief, reliability creates trust in the client because unlike the goods that are tangible, services only offer a promised result.
The companies that deal with goods enjoy the fact that they can market their commodities in a way that it promotes impulse buying. A person will only seek for services whenever he or she needs them; therefore, services are sought as a need. In the marketing of services, the marketers should be creative to include the benefits of the services. They should justify the need for the client to purchase that type of services. The Freight Forwarding Company has employed websites and several platforms of marketing to inform the potential customers the kind of services and the privileges the client enjoys when they choose the company. The reliability, time consciousness, and clearance at the customs desks are some of the justifications the Freight Forwarders have informed the potential customers. Furthermore,the company provides comprehensive operations to its clients under one roof. Besides the simple port-to-port freight movement, it provides other services such as managing supply chains and other services needed by their customers(Freightsystems.com, 2014). Such additional, but interconnected services convince the clients to select Freight Forwarding as the provider of their shipment services
Word of mouth is incredibly significant in service marketing. Unlike goods that can convince through pictures and billboards, services require the trust of the client. The majority of services; especially, the hotel and tourism industry are sought because a friend or relative recommended a particular hotel of the touristic site. Word of mouth also refers to the aspect of informing people about what the company offers. The appearance of some goods is enough to market the particular commodity, but people rarely learn the benefits of specific services unless they are informed. Accordingly, the service marketers should invest much in informing its’ market what they have and the extra privileges they offer besides the services. Freight Forwarding has a website that sells its services. It has informed the potential market the reasons to choose their services, besides it utilizes sporting activities and other forms of marketing to promote their products.
Successful commercialization of service- based business depends more on building a relationship with the clients. A good rapport will enable a particular client to come back when he or she requires the same services (Burns, 2016). Moreover, the relationship will make a customer inform other people seeking the same services about the company. Freight Forwarders have established a relationship with their clients by providing customized services. Besides efficient delivery of goods, they inform their customers the status of their parcels at each point; also, prepare them for potential delays when an unforeseen problem arises. The company has extended the portfolio of its services to cover a larger area so that they can get in touch and learn the concerns of their clients. In doing so, they increase the number of customers as well as provide client- oriented services.
In conclusion, it is important for every service-based company to learn that their marketing strategies should differ a bit from the of commodity- based firms. Besides, service- based companies should be aware that the client is central to the success of their business; therefore, their services should be customer oriented. They should cultivate trust, loyalty, and good relationships with the clients.
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Burns, K. 2016. Difference Between Marketing Products & Services. [online] Smallbusiness.chron.com. Available at: http://smallbusiness.chron.com/difference-between-marketing-products-services-650.html [Accessed 2 Apr. 2016].
Freightsystems.com, 2014. International Freight Forwarding Company - Freight Systems. [online] Freightsystems.com. Available at: http://www.freightsystems.com/ [Accessed 2 Apr. 2016].
Greechie, S. 2016. Is Service Marketing Different From Product Marketing?. [online] Smallbusiness.chron.com. Available at: http://smallbusiness.chron.com/service-marketing-different-product-marketing-3309.html [Accessed 2 Apr. 2016].
Universal Cargo Management, I. 2016. Freight Forwarding Company | Air and Ocean Freight | Los Angeles, Atlanta, Virginia, Arkansas. [online] Universalcargo.com. Available at: http://www.universalcargo.com/ [Accessed 2 Apr. 2016].