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Pricing pp 171-185 | Cite as

Pricing of Services

  • Nessim Hanna
  • H. Robert Dodge
Chapter

Abstract

Although both are viewed as products, services as intangibles can be distinguished from goods. Intangibility means that services cannot be grasped mentally, cannot be identified physically, but must be experienced for the customer to gain knowledge of with the intent to purchase. Services are not manufactured and shipped to the customer. Rather, services are dominated by experienced qualities and attributes that can be meaningfully evaluated only after purchase and during production-consumption.’ In combining goods and services into the same product package, goods give tangibility to services (for example, as souvenirs do to entertainment) while services augment goods (as, for instance, customer service does cars).

Keywords

Service Business Service Personnel Travel Service Profit Contribution Capacity Price 
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.

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References

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    Valarie A. Zeithaml ‘How Consumer Evaluation Processes Differ Between Goods and Services’, in James H. Donnelly and William R. George, eds, Marketing of Services (Chicago: American Marketing Association, 1981) pp. 186–189.Google Scholar
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    Valarie A. Zeithaml, A. Parasuraman and Leonard L. Berry ‘Problems and Strategies in Services Marketing’, Journal of Marketing, vol. 49 (Spring 1985) pp. 33–46.CrossRefGoogle Scholar
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    G. Lynn Shostack ‘Service Positioning Through Structural Change’, Journal of Marketing, vol. 51 (January 1987) pp. 34–43.CrossRefGoogle Scholar
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    Eugene M. Johnson, Eberhard E. Scheuing and Kathleen A. Gaida Profitable Service Marketing (Homewood, Illinois: Dow Jones-Irwin, 1986) p. 287.Google Scholar
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    Joseph P. Guiltinan ‘The Price Bundling of Services: A Normative Framework’, Journal of Marketing, vol. 51 (April 1987) pp. 74–85.CrossRefGoogle Scholar

Copyright information

© Nessim Hanna and H. Robert Dodge 1995

Authors and Affiliations

  • Nessim Hanna
    • 1
  • H. Robert Dodge
    • 2
  1. 1.Northern Illinois UniversityUSA
  2. 2.Department of MarketingEastern Michigan UniversityUSA

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