Types of Services
1.
Core Services: A
service that is the primary purpose of the transaction. E.g.: a haircut or the
services of lawyer or teacher.
2.
Supplementary Services: Services
that are rendered as a corollary to the sale of a tangible product. E.g.: Home
delivery options offered by restaurants above a minimum bill value.
The purposes of
classification of services into various categories are:
1. The classification helps to understand the
nature of different services.
2. The classification is helpful to understand the
attributes of a service product.
3. The classification is helpful to understand the
relationship between service organisations and their customers.
4. The classification is helpful to understand the
nature of a service demand.
5. The classification is helpful in solving issues
connected with planning and designing of services.
The criteria used for the classification of
services and the various classifications of services are:
1. Classification Based on
the Ultimate Users of Services:
On the basis of the ultimate users of
services, services can be classified into two categories.
They are:
(a)
Services to final consumers – Services to final consumers are
services which are provided to ultimate consumers. Examples of such services
are recreation and entertainment services, tourism, hair-dressing and other
personal care services, etc.
(b)
Services to business firms – Services to business firms refer to
services rendered by a service organisation to business firms. Examples of
these services are advertising, marketing research, maintenance and repairs,
installation of plants and equipment, computer programming, consultancy, legal,
accountancy, etc.
2. Classification Based on
the Degree of Intangibility of Services:
On the basis of the degree of
intangibility, services can be classified into two broad categories.
They are:
(a)
Low intangible content services or highly tangible services –
Low intangibility content services are those services which have low
intangibility content or which have high tangibility content. Examples of these
services are fast food services, vending machines, etc.
(b)
High intangibility content services or highly intangible services –
High intangibility content services refer to services which have high
intangibility content or which are highly intangible. Examples of these
services are consultancy services, legal services, baby-sitting, etc.
3. Classification Based on
Service Options:
On the basis of service options, services
can be classified into two categories.
They are:
(a)
Primarily people - based services – Primarily people-based services refer
to services which are primarily people-based or labour intensive. Examples of these
services are restaurant, insurance, medical services, etc.
(b)
Primarily equipment - based services – Primarily equipment – based services
refer to services which are primarily equipment – based and which involve low
contact with people. Examples of these services are vending machines, automatic
teller machine services in banks, cinema, etc.
4. Classification Based on
Specialisation:
On the basis of the expertise, skill and
specialisation of the service providers, services can be classified into two categories.
They are:
(a)
Professional services – Professional services refer to
services rendered by skilled specialised professionals to business firms and
ultimate consumers. Legal services, medical services, consultancy services,
accountancy and auditing services, etc. are examples of professional services.
(b)
Non-professional services – Non-professional services refer to
services provided by nonprofessional persons. Baby-sitting, domestic help,
etc. are examples of non-professional services.
5. Classification Based on
Profit-Orientation:
On the basis of profit-orientation (i.e.,
profit motive), services can be classified into two categories.
They are:
(a)
Profit-Oriented Services – Profit-oriented services refer to
services rendered primarily with profit motive. In other words, they are
commercial services designed for profit. Examples of profit-oriented services
are banking service, insurance service, hotel, restaurant and catering
services, tour operation, airline service, etc.
(b)
Non-profit-oriented services – Non-profit-oriented services refer to
services rendered without any profit-orientation or profit motive. Examples of
such services are educational services by Government, hospital services by
Government, services of cultural organisations, services of welfare
organisations, services of religious institutions, services of research
foundations, etc.
6. Classification on the
Basis of the Fact whether they are Primarily Directed at Public at Large or
Primarily Directed at Individuals:
On the basis of the fact, whether the
services are primarily directed at public at large or primarily directed at
individuals, services can be classified into two categories.
They are:
(a)
Public services – Public services refer to services
which are primarily directed at (i.e., provided to) public at large. Examples
of public services are public utility services, transport services, insurance
services, municipal services, etc.
(b)
Private services – Private services refer to services
which are primarily directed at individuals. In other words, they are services
designed for and used by consumers as individuals. Examples of private services
are personal care services, medical advice, etc.
7. Classification on the
Basis of the Extent of Contact between the Service Provider and the Consumer:
On the basis of the extent of contact
between the service provider and the consumer, services can be classified into
two categories.
They are:
(a)
High contact services – High contact services refer to services
in which the consumers or users have to spend more time with service providers
to acquire or utilise the services. Examples of high contact services are
medical services, personal care services, etc.
(b)
Low contact services – Low contact services refer to services
in which the consumers or users have to spend less time with the service
providers to acquire or use the services. Examples of low contact services are
internet services, hospitability, theatre performance, etc.
8. Classification on the
Basis of Number of Delivery Outlets:
On the basis of the number of delivery
outlets, services can be classified into two categories.
They are:
(a)
Single or specific outlet services – Single or specific, outlet services
refer to services which are provided to customers through a single outlet. In
this case, the convenience of receiving the service is less. Examples of these
services are theatre services, museum services, etc.
(b)
Multiple outlet services – Multiple outlet services refer to
services which are provided to consumers through many outlets. In this case,
the convenience of receiving the services is more. Examples of these services
are fast food service, bus service, etc.
9. Classification of
Services as External and Internal:
Services can also be classified as:
(a)
External services – External services refer to services
provided by a service organisation to external or outside agencies. Examples of
these services are installation services, distribution services, etc.
(b)
Internal Services – Internal services refer to services
provided by the service provider within the organisation. Examples of these
services are internal transport, office cleaning, etc.
10. Classification on the
Basis of the Presence of Customers and Employees:
On the basis of the presence of customers
and employees, services can be classified into three categories.
They are:
(a)
Self-services – Self-services refer to services in which there
will be the presence of only the customers. Examples of self-services are
self-service restaurants, ATM banking service, etc.
(b)
Inter-personal services – Inter-personal services refer to
services in which there will be the presence of both customers and employees.
Examples of these services are education, hotel services, entertainment
services, etc.
(c)
Remote Services – Remote services refer to services in
which there will be the presence of only employees. Examples of such services
are insurance services, etc.
No comments:
Post a Comment