4.5g-

Cards (18)

  • Physical evidence
    Refers to the tangible aspects of a service
  • Physical evidence examples
    • Clean and well-decorated environments (e.g., hotel lobbies, guest rooms)
    • High-quality facilities (e.g., Wi-Fi, spas, gyms, swimming pools)
    • Universities: physical environment such as accommodation, lecture theaters, libraries, and other facilities
    • Multinational retailers: hygienic and consistent environments (e.g., McDonald's, Starbucks)
  • Physical evidence is important for service businesses in most industries
  • Industries where physical evidence is important
    • Hospitality and tourism (such as hotels and theme parks)
    • Large multinational companies (the physical building of their head office)
    • Cinemas (the size of the screens)
    • Football clubs (the stadium and its seating capacity)
    • Museums (the exhibits)
    • Schools (facilities)
  • Importance of physical evidence
    • Enhances customer satisfaction and loyalty
    • Creates memorable and comfortable experiences
    • Provides a sense of familiarity and security for customers
  • Many businesses use peripheral products in delivering their services
  • Peripheral products
    Additional products as part of the firms' physical evidence in service delivery
  • Peripheral product examples

    • Drinks and fashion magazines offered to clients in a hair salon
  • Packaging
    The art of presenting the products in an advantageous way to customers in order to improve sales
  • Quality packaging
    • Associated with quality products (e.g., Tiffany & Co., Chanel, Louis Vuitton)
  • Physical evidence is only one of 7 components of the marketing mix
  • Marketing mix components
    • Product
    • Price
    • Promotion
    • Place (Distribution)
    • People
    • Processes
  • Product
    • Broad and appealing range of drinks (coffees, teas, juices)
    • Variety of food products (sandwiches, snacks, bakery items)
  • Price
    • Competitive pricing methods
    • Contribution analysis to determine appropriate prices
    • Balancing attractive prices for customers and profitability
  • Promotion
    • Various promotional methods (advertising, free tasters, social media marketing)
    • Essential for informing and persuading customers about products and services
  • Place (Distribution)
    • Convenient physical location within budget
    • Use of different distribution channels (online sales, e-commerce platforms, subscriptions with home/office delivery)
  • People
    • Reliance on employees to provide excellent customer service
    • Business reputation depends on staff's input, commitment, and ability
  • Processes
    • Efficient service delivery methods (payment methods, queuing times, seating arrangements, table service)
    • Influence overall customer experience and satisfaction