What is the Productization of services? why is it so important to service-based companies? How do companies go about Achieving it?
This is one of the parts of service marketing. Before this please check the Definition and Characteristics of services.
What is the Productization of services?
Productization of services is transforming services into more like products or goods by using different ways.
Why Productization of services so important for companies?
Services providers provide services that are heterogeneous from one customer to another and each time it will different.
Whereas the product will be the same as one customer to another, even at whatever time.
Services from the restaurant will be different from customer to customer, each time there will be little change in the taste of the food.
But a Ferrari 488 will not differ from customer to customer and whenever a customer wants to buy it will be the same.
Customer can trust the product easily because it will be the same all the time. And the customer will have doubt that services might be different each time.
There is the importance of the productization of services for a company to gain more trust.
How do companies go about Achieving it?
Productization of services can be achieved by:-
1) Physical Evidence
By increasing more physical evidence like Reviews, Services bills, other types of equipment to perform a service, etc. Which can be shown trust in services that are been provided by the company.
Services providers like Restaurants have tables, chairs, bills, reviews, etc to make them more trustable to customers.
2) More durable:-
Services are perishable which means that can be used for one time, they cannot be stored in storage, etc. But due to technology, there can be an increase in the durability of services.
Concert where it will happen once, but this can be stored with the help of cameras and can be replayed at whatever time on youtube or other streaming sites.
With the help of technology making services more homogenous means, services can be performed similarly to each other. That is, using similar items or methods to accomplish the services are the same.
Companies like Oyo rooms and Treebo, where provide similar types of rooms or minimum promised services similar to everyone in every hotel.
Whereas services are inseparable in production and consumption, with the help of technology a consumer can consume at different times after producing a service.
Online courses and online videos, whereas produced at one time, and consumption is done at other times by the users. or Storing restaurant’s foods and selling them at other times.
Services cannot be trusted by a consumer unless they have tried them. That is where the productization of service comes to increase the trust of the consumer.