MKTG 311 1st Edition Lecture 17 Outline of Last Lecture I. Branding DefinedII. 4 Easy Tests in Selecting a Brand NameIII. 4 Ways the Product Should FitIV. Brand Equity PyramidV. Types of Branding StrategiesVI. Packaging and Labeling DecisionsOutline of Current Lecture I. ServicesII. The 4 I’s of ServicesIII. Addresses Inventory Characteristic of the ServiceIV. Classification of servicesV. Goods/Services ContinuumVI. Ways to Evaluate ServicesVII. Layers of Service OfferingCurrent LectureI. Services- Acts, efforts, or a performance exchanged from producers to users w/out ownership rights- Can satisfy needs/wants by providing info, convenience, pleasureThese notes represent a detailed interpretation of the professor’s lecture. GradeBuddy is best used as a supplement to your own notes, not as a substitute.- Services represent 47% of U.S. GDP- World Trade Organization- services account for approx. $3.35T world wide- U.S.- 130M people are employed by services or people based firms; Goods producing firms20M people employedII. The 4 I’s of Services- Intangibility: characteristic of the service that customers can’t see, touch, or hold good service. (Services are very difficult to evaluate prior to service) ex. Obtaining a primary care physician- Inconsistency: characteristic of the services that even the same service performed by the same individual for the same customer can vary. Ex. Hairstylist (TQM- Total Quality Management program consistency)- Inseparability: characteristics of the service that it is impossible to separate the deliverer of the service from the service itself. Ex. Burger King cheeseburger (service encounter-looks at issues like the service associate interacting w/ the customer) Ex. of industries limiting the service encounter-banking industry- Inventory: this is much more subjective than goods, must consider the carrying costs of employees and equipment w/ services. Some services like airlines have very high carrying costs, whether the plane is partially full or full; compared to a hair salon (lower carrying costs)III. Addresses Inventory Characteristic of the ServiceIV. Classification of services- Is the service delivered by people or equipment?- A profit or nonprofit organization- Is it government sponsored?V. Goods/Services Continuum3 Types Product/Services1. Goods dominated products: tangible product supported by supporter services ex:automobile industry, appliance 2. Facility/equipment based services heavy reliance on equipment and personnel. Ex: Fast food restaurant, health club3. People based service: all intangible Ex: teaching, realtor, decoration- Most products are a combo of a good and service- Some products are clearly dominated by tangible or intangible elements (tan-good and little emphasis on service; int-service and characteristics of services apply)VI. Ways to Evaluate Services- Tangible goods & high search properties: easy to evaluate prior to the purchase. Ex: car and its color, style, design- Services & experience properties: these services can’t be evaluated until theservice is rendered or after service is received- Other services & credence properties: These are the most difficult to evaluate; consumers often can’t evaluate the service offering even after service is rendered b/c it is a professional service. Ex: root canal or medical diagnosis*Other service issues - Capacity management: process by which orgs adjust their services in an attempt to match demand. Ex: Preseason checkupVII. Layers of Service Offering- Service offerings are made up of: Core Service- the basic benefit that the service providesAugmented Service- differentiates the service from other offerings. Example: frequent flier miles, sky caps, internet access, in-flight entertainment