One of our chapters talks to the marketing of SERVICES, which are described as being intangible, inseparable, perishable, and variable.
You can’t touch a service (intangible), you
have to “be there” (e.g., a haircut or hair styling) for the service to
be performed (or what is being serviced has to “be available” to the
service provider, e.g., your lawn for landscaping),
which means inseparable; the service if not used is perishable (the
seat next to you on a United Airlines flight that is empty can NEVER be
sold again once the plan pushes away from the ramp), and it is variable (depending
on who is your hair stylist/barber, you may have a wonderful styling experience or a catastrophe).
For your application of the marketing of services, here is a mini case study… all are asked to contribute twice to
this case study during the week (and throughout the week – not just twice on one day). Please arrive early!
One of the services that we often use is the airline industry. Where
else can you have your body flung thousands of miles in a flying cigar
tube? 🙂 A year ago, I flew on British Air from London to Boston — the
food was great! It was the FIRST time I have
ever asked the flight attendant how I might learn the recipe for the
entrée. You don’t hear THAT being requested too much, do you!!
Here’s our mini case study…
You are asked to put yourself in the role of the CEO of United Airlines, which emerged in 2006 from bankruptcy protection.
As a major transportation service provider in 2016, what is your plan to begin to differentiate United
Airlines from the other airlines with which you compete? As you
consider your options, remember that money is not exactly growing on
trees within the airline industry, and although fuel prices have come
down somewhat (they appear to be headed north again),
the airlines are on financial thin ice (despite making hundreds of
millions of dollars from charging you for luggage that, at one time,
went with you for free).
Okay, what are your carefully considered and thoughtful recommendations to UAL’s CEO that would allow you to differentiate UAL from
the other airlines? NOTE: Do not suggest ‘better’ customer service — that’s a given!
Before you post, consider the costs associated with what you propose.
Please suggest something other than “better customer service” – that’s a