Sunday, 21 August 2011

Services Differentiation

Setting Product Strategy>Services Differentiation

The main service differentiators are described as follows:
(a) Ordering Ease: refers to how easy it is for the customer to place an order with the company.
(b) Delivery: refers to how well the product or service is brought to the customer.
(c) Installation: refers to the work done to make the product operational.
(d) Customer Training: refers to the training the customer's employees to use the vendor's equipment properly and efficiently.
(e) Customer consulting: refers to data, information systems, and advice services that the seller offers to the buyers.
(f) Maintenance and Repair: describes the service program for helping customers keep purchased products in good working order.
(g) Returns: an unavoidable reality of doing business

(i) Controllable returns ; results from problems, difficulties, or errors of the seller or customer and can mostly be eliminated with proper strategies and programs by the company or its supply chain partners. Improved handling or storage, better packaging, and improved transportation and forward logistics can eliminate problems before they happen.
(ii) Uncontrollable returns; It can't be eliminated by the company in the short-run through any of these means.

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