Service Dominant Logic As A Marketing Strategy

The American Marketing Association defines marketing as "an organizational function and a set of processes for creating, communicating and delivering value to customers and for managing customer relationships in ways that benefit the organization and its stakeholders". (2005) Simply put, marketing is the process by which businesses assess the needs and desires of consumers in order to provide products and/or services to meet those needs in the most efficient and cost effective manner. Truly effective marketers do market research in an effort to understand their target market and create marketing strategies based on the characterization of those in the target area.

Marketing is about understanding and acknowledging the needs of customers and leaving an impact on developing the absolute best product to meet their needs by the business. Marketing comes into account for any business and how they can develop to be the best and deliver the best customer satisfaction.

3. (TCO H) Marketers recognize that the marketing of services is different than the marketing of a product because of the different characteristics that distinguish them from physical products. How do marketers communicate the value of services to consumers? How do they make these intangible services appear tangible to the consumer? What are some marketing strategies that might be employed with services to

However, it can be argued that having a well communicated service concept could restrict an organisation and its managers should they what to change their service or product. Johnston et al. (2012) goes as far as saying that significant changes to service concepts can expose the weaknesses in the organisation. The service concepts of Travelodge and Hilton are considerably different, a comparison of the two (appendix four) shows this. It could be said that the service concept of Hilton provides broader outcomes and customer experience, should Travelodge want to tailor their service concept to achieve similar outcomes they would have to veer from the service concept in which their employees and customers are already invested in, creating a

Tangible goods, or rather manufactured goods, have been the dominant medium of exchange for centuries. However, recent decades have proved that it is no longer the case as there has been a prevalence of being service oriented (Vargo and Lusch, 2004:1-2). Services, as defined by Vargo and Lusch (2004), are  “the application of specialized competences (knowledge and skills) through deeds, processes, and performances for the benefit of another entity or the entity itself (p.2).” Utilizing services gives businesses an edge, a competitive advantage, particularly in an evolving competitive market, something which Metalfrio is definitely part of (Vargo and Lusch, 2004:9).  Those businesses that learn to adapt tend to do well. In addition, Vargo and Lusch (2004) write this shift to services is also a shift from producer perspective to a customer perspective (p.2). Thus, it leads to more of a collaborative effort where co-creation leads to adding value to the service rather than a product having value (Vargo and Lusch, 2004:6). Also, customers rather develop relationships with those that can provide a range of related services over an extended period of time, thus allowing businesses retain their clients for the long term (Vargo and Lusch, 2004:13). Overall, service oriented marketing is a direction that businesses should be headed towards to ensure that they can remain relevant and competitive in the

Marketing is a social and managerial process by which individuals and organizations obtain what they need and want through creating and exchanging value with others. (Kotler & Armstrong, 2012)

Every company depends on an efficient marketing program to fulfill customers' needs. Marketing is a process of finding out what the customer wants and meeting those requirements. Within the company, the marketing group has to consider customer values and customer satisfaction before considering offering a product. Marketing is part of our everyday world, and can be perceived everywhere and every time. At any time, everyone has been exposed to different kinds of marketing or advertising depending upon personal necessities such as T.V commercials, radio, internet, etc.

Service-dominant logic is based around service. Service is defined as the use of knowledge and skills though deeds, processes, and performances for the benefit of another. Service includes doing something that benefits another person. This does not strictly include customers, but also includes suppliers and employees. Service is completed through interaction with another person. The service deeds should not be isolated. Service involves the use of knowledge and skills that can assist another person and will give the retailer the competitive advantage.

According to the Kotler text, marketing is the process by which companies create value for customers and build strong customer relationships in order to capture value from customers in return (Kotler and Armstrong 5). This definition extends marketing beyond advertising, promotion and selling. Marketing is used to create value for customers and building strong relationships with those customers. If a company is successful in creating value and building strong customer relationships, the company will be able to capture value from customers.

According to Dr. Philip Kotler, marketing is defined as "the science and art of exploring, creating, and delivering value to satisfy the needs of a target market at a profit". (Kotler Marketing Group, 2015)

Researchers have suggested that mangers have understood the marketing concept too late and survival of service organization was in danger due to changes in environment which brings so many hurdles in retaining the relationships with customers (Fisk 1994). Though market orientation and service quality has a positive correlation with the good performance of business organizations, but there is always a question in front of managers that on the basis of these two constructs i.e. market orientation and service quality, whether the service heal the grievances of customers in the market. Through these two constructs i.e. market orientation and service quality, managers in service organizations provide good services to the customers according to their

Middleton 1989, Middleton & Clarke 2001, Holloway & Robinson 1995, Seaton & Bennet, Smith 1994 ) use the term ”product” instead of the term ”service” when they refer to the offering of the company targeted for the customer. Authors often refer to the service marketing literature when introducing the characteristics of the industry but use the traditional marketing management terminology when discussing the product/service.

Marketing is an organizational function and a set of process for creating, communicating and delivering value to customers and for managing customer relationships in ways that benefit the organization and its stakeholders. 6

Definition of marketing: Marketing is based on the thinking about the business in terms of the needs of customers and satisfaction. Marketing is different from selling because Selling concerns itself with the tricks and techniques of getting people to exchange their cash for your product. It is not concerned with the values that the exchange is all about. The main purpose of the marketing is to increase the sales of the products and getting more profit for the company.

With social and demographic changes the sale of products can be affected. So if companies want to continue to add value to products there must be the introduction of services to the mix.