Chapter 13
Services: The Intangible Product
Tools For Instructors
Brief Chapter Outline
Learning Objectives
Extended Chapter Outline with Teaching Tips
PowerPoint Slides with Teaching Notes
Additional Teaching Tips
Brief Chapter Outline
Services Marketing Differs From Product Marketing
Learning Objectives
LO 13-1 Describe how the marketing of services differs from the marketing of products.
Unlike products, services are intangible, inseparable, variable, and perishable. They cannot be
this variability as much as possible. Finally, because consumers cannot stockpile perishable
services, marketers often provide incentives to stagger demand.
LO 13-2 Discuss the four gaps in the Service Gap Model.
The knowledge gap reflects the difference between customers’ expectations and the firm’s
perception of those customer expectations. Firms need to match customer expectations with
the firm’s promotion program promises. Firms close the communications gap by managing
customer expectations and promising only, what they can deliver.
LO 13-3 Examine the five service quality dimensions.
First, reliability refers to whether the provider consistently provides an expected level of service.
tangibles are the elements that go along with the service, such as the magazines in a doctor’s
waiting room.
LO 13-4 Explain the zone of tolerance.
The area between customers’ desired service and the minimum level of service they will accept is
perceptions of how well the focal service performs and how well a competitive service performs,
and the importance of each service quality dimension.
LO 13-5 Identify three service recovery strategies.
In a best-case scenario, the service never fails. But some failures are inevitable and require the
quickly.
Extended Chapter Outline With Teaching Tips
I Services Marketing Differs From Product Marketing (PPT slide 13-8)
A Intangible (PPT slide 13-9)
D Perishable (PPT slide 13-12)
Check Yourself: Several questions are offered for students to check their understanding of core
concepts. (PPT slide 13-13)
1. What are the four marketing elements that distinguish services from products?
Answer: The four marketing elements that distinguish services from products are that
2. Why can’t we separate firms into just service or just product sellers?
Answer: Another difference between services and products is that services are produced
II Providing Great Service: The Gaps Model (PPT slide 13-14)
A The Knowledge Gap: Understanding Customer Expectations (PPT slide 13-15)
3 Use of Technology (PPT slide 13-28)
D The Communications Gap: Communicating the Service Promise (PPT slide 13-29)
Check Yourself: Several questions are offered for students to check their understanding of core
concepts. (PPT slide 13-30)
1. Explain the four service gaps identified by the Service Gaps Model.
2. List at least two ways to overcome each of the four service gaps.
Answer: To overcome the knowledge gap, firms must understand the customers’
expectations. To understand those expectations, firms undertake customer research and
can be reduced by managing customer expectations and by promising only what you can
deliver, or possibly even a little less.
III Service Recovery (PPT slide 13-31)
A Listening to the Customer (PPT slide 13-32)
C Resolving Problems Quickly (PPT slide 13-34)
Check Yourself: Several questions are offered for students to check their understanding of core
concepts. (PPT slide 13-35)
1. Why is service recovery so important to companies?
Answer: Effective service recovery efforts can significantly increase customer
2. What can companies do to recover from a service failure?