Friday, August 2, 2013

Is Your Gadget a Product? No, It's Three Fourths a Service


Marketers tend to simplify things down to black or white when they put a division line between their companies' b2c products and services.

One, in the gadget-obsessed world of today, any high-tech product would be used to providing or facilitating a service to or by the user. Two, there's support service associated with the product. Finally, three, a repair or maintenance service.

Your product is therefore at least three fourths a service. It should be marketed predominantly as such, too.

3 comments:

  1. Service is vital. A bad product even with great service goes nowhere. A great product with bad service goes nowhere, only slower.

    When looking at the 4Ps, the advertising message and distribution choices are part of a service concept (making the brand values come to life, making the product accessible...).

    With today's ability to check and call foul the service wrapped around a product, service is now an unavoidably critical component that requires a full company effort...

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    Replies
    1. Thanks, Minter. B2C sales and maintenance are most likely to be outsourced while a service provider (wireless, internet etc.) is most likely unaffiliated with the product manufacturer. This makes things even more difficult.

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    2. Maintenance perhaps, but outsourcing sales in a B2C environment, where technicality, specificity and relationships count would be a dangerous avenue... I have written a bit about this ... http://www.businessinsider.com/5-rules-for-the-future-of-sales-2013-6

      I think that business is not easy today, especially for those with legacy (history). If you are starting from scratch, there can be easier solutions and ways to create a strong business today...

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