In this article we discuss Service Marketing vs. Product Marketing: Here’s the Difference.
Did you watch any short video advertisements while scrolling your phone? Well, it seems a bit captivating. Right? Some days you get ads on exclusive services, whereas other days, it’s just your favorite product on sale.
But have you ever wondered how service branding and product branding reach out to your phone at the right moment where you’d have just imagined it?
Stay tuned and we’ll find out the difference between-trending service marketing and product marketing in a digital world.
In today’s competitive world, every organization, company, and even startup has to take the help of advertising as a communication medium to engage with their customers.
An accurate advertising process followed up with cooperative employees and proper branding can help trend your organization among people.
No matter the industry domain, be it in products or services, branding acts as a fundamental part of a company. Firstly, marketing is known as a blend of tools, processes, and strategies to promote the services or products of your company actively.
Branding for products may sound a bit easier than the branding of services because products have a physical form and thereby show immediate results.
For instance- if you go to buy a pair of shoes and if they do not match up your expectation level, then you’re less likely to purchase them.
Well, some services show immediate results while others take a bit longer to deliver their best outcomes. Such long-term branding needs to be executed strategically, thereby convincing potential customers to develop the “trust” first.
Service marketing may be a bit complex due to the lack of visual presentation and building trust among the customers.
Let’s take a look at some key differences to help you identify between service marketing and product marketing.
Table of Contents
Basic Definition
Product marketing is defined as the process of marketing activities which are specifically aligned to sell and promote a particular product for any specific company.
Whereas, Service marketing functions on marketing the economic activities that are offered by the companies to their potential clients for adequate consideration.
For instance – iPhone mobile advertising falls under product marketing, whereas iPhone insurance ads come under service marketing.
Marketing Composition
Product marketing works on 4 Ps i.e. Product, Price, Promotion and Place. The product marketer has to identify a set of target audiences in a specific region for promoting a unique product in order to stand out.
On the other hand, service marketing consists of people, process and physical evidence along with the 4 Ps. Therefore, the service marketer faces challenges while selling tangible elements in order to connect the customer to the brand.
Selling Criteria
Product marketing is widely based on selling a huge number of products, and so are the product marketers focused upon more selling.
They are busy selling their products that can sometimes compromise with the quality of the item and relationship with the customers.
On the other hand, service marketers try to maintain an ethical relationship with their potential clients thereby building a strong foundation of trust among them.
Thus, service marketers create a meaningful impact on their consumers than product marketers.
Transferability and Return terms
The product that you bought can be re-sold to another party which is regarded as an advantage for the product marketers in terms of marketing.
While, services can not be transferred to other parties; it can be considered a disadvantage for service marketers. Here, product marketing wins clearly as compared to service marketing.
Tangibility
Product marketing is convenient as it is tangible and allows the customer to touch and feel it before coming to any decision.
While service marketing is considered to be intangible and is difficult when it comes to promotion.
Still, with the aid of trust-building skills; service marketing can help to achieve long term benefits from a single customer.
Result Rates
As product marketing is tangible, it is very easy to predict the result matrix and identify the pitfalls from the product on the basis of the customer reviews.
The reviews are quick in nature and therefore immediate action can be taken to put the product back on the market.
Whilst in service marketing, you might get a slow response as it runs on ‘Use and Experience’ motto.
Service marketers cannot comply with the customers’ reviews as quickly as the product marketers.
Element Customization
Products act as a brand face for any company and thereafter customization is next to impossible, whereas services can be customized as per the customer’s requirement.
So, service marketing turns out to be favorable in terms of customization as compared to product marketing, which is difficult to comprehend in many aspects.
Quality
One of the most crucial elements for any marketing lies in its quality. Products are easily measured in terms of their quality, durability, and warranty while services fail to comply with any of them.
Services do not hold any measurable element and hence, product marketing is more reliable when you wish to start selling on an immediate basis.
Which is a Better Medium?
First things first, in order to have a successful business; it is extremely important to let your customers experience the brand in every aspect.
Being a company, you can have a smooth-running website, heart-winning advertising, responsive employees or salespeople, and top-notch quality.
We cannot really differentiate between good or bad marketing, but we can definitely opt for the best marketing platform that can help us achieve our desired results.
Takeaway
With an adequate marketing strategy, you can turn your company into a big brand. Gain a better understanding of how you are perceived by your customers and using that knowledge in evolving your brand is a key aspect of success for any company.
With B2B tech businesses, it is tough to differentiate between product and service marketing.
Hence, being a customer, you need to identify what caters to your requirements the most and achieve favorable outcomes.
For more product and service marketing, feel free to connect with our marketing team and get a free consultation that will surely help your company stand out from the crowd.
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Author Bio
Bhavik Soni is a Creative Writer at Auto Monkey. We provide an original analysis of the latest happenings in the social media industry. Connect with the Latest Social Media Trends and News plus tips on Twitter, Facebook and other social tools on the web.