Marketing Concept and Service Marketing:

In many cases the marketing executives have not been marketing-oriented in the service industries in the same way as they have done in the product industries. This has happened because of the following reasons:-

• The intangibility of services creates more serious challenges for the service marketers than for product sellers.
• The service sellers in many service industries have lagged behind the product sellers in adopting the marketing concept, especially the modern techniques of marketing. This has happened because the sellers in professional services still see themselves as producers or creators, and not as marketers, of services. For example, they can be proud of their ability to repair a vehicle, diagnose an illness, or do a good job of hair-cut. They do no perceive themselves as business people.
• One leading reason is that in some cases top management executives do not understand what marketing is and its importance to the success of their company. The top managers seem to equate marketing with selling; this means that they do not consider the other aspects of marketing.
• The marketing activities are not organisationally co-ordinated by some top managers in the service industries, and many service firms do not have senior executives in charge of marketing, e.g. Marketing Director or Manager.