Business Services are essentially intangible activities which are separately identifiable and provide satisfaction of wants. Their purchase does not result in the ownership of anything physical. Services involve an interaction to be realized between the service provider and the consumer.
There are five distinct characteristics of services as discussed below
Intangibility Services
Intangibility Services are intangible. i.e., they cannot be touched. The quality of the service cannot be determined before consumption, as it has to be only experienced. Therefore, the service providers consciously work on creating a desired service so that the customer has a favorable experience. E.g., service in a restaurant should be a favorable experience for customer to visit again.
Inconsistency Services
Inconsistency Services have to be performed exclusively each time according to different consumer demands; As there is no standard tangible product on offer. Hence inconsistency is an important characteristic of services. Service providers need to modify their offer to closely meet the requirements of the customers. Example, services provided by nationalized banks are quite different from the banking services provided by private banks.
Read More : How to Impress as a Business in a Digital World?
Inseparability Activity Services
Inseparability Activities of production and consumption are performed simultaneously in case of services. Which makes the production and consumption of services seem to be inseparable; As services have to be consumed as and when they are produced. E.g., we cannot separate the medical services provided by a doctor.
Inventory Services
Absence of Inventory Services are intangible and perishable and hence cannot be stored for future use. This implies that the supply needs to be managed according to demand; As the service has to be performed as and when the customer asks for it. Example, a medicine, can be stored but the medical care will be experienced only when the doctor provides it.
Also Read : How to Overcome Limitations in Doing Business Virtually?
Customer Participation
Customer Participation and involvement of the customer in the service delivery process is an important characteristic of services. As the customer has the opportunity to get the services modified according to his/her specific requirements. Example, cinema halls are providing services to watch movie but the customer has to visit to the hall to experience the movie in cinema hall.
Do You Know Any Other Distinct Characteristics of Business Services? Comment them on Trdinoo for others to learn. Please subscribe and share us with your friends and networks.
