A consulting company might focus its marketing efforts by highlighting its end product—improved performance and increased profits—not its consulting methods. Both will tell you they do painting, but one has master painters (a feature) and produces a better-looking paint job (a definite benefit). You want products or services with features which customers perceive as valuable benefits. Arguably the most important aspect about having good product knowledge in customer service is being able to provide the best possible service to consumers. The Samsung support homepage is your starting point for help with Samsung products, featuring visual guides, manuals, support downloads, tech specs, troubleshooting, and answers. What does your sales/marketing collateral or website consist of? This is often achieved by implementing a process of regular review where the company receives feedback from customers and improves what needs to be adjusted, according to the information received. The distinction between the terms benefits and features is an important concept in developing and marketing a product or service. Objectives. They show images of happy families loading their kids, sports equipment, and toys into the vehicle. Features are characteristics that your product or service does or has. Save my name, email, and website in this browser for the next time I comment. A good case in point is when an individual is buying a home. They recently hired Jim, a Product/Service Manager, who will be in charge of keeping prices, offerings and product images within the website properly updated, working closely with the Web Team. You have the product of a pizza after you go through the process of making a pizza. A Product Key enables use of a software product you have licensed under a specific Volume Licensing program. Your email address will not be published. Copyright © 2020 MyAccountingCourse.com | All Rights Reserved | Copyright |. It is a custom package for a person or business that provides a (you guessed it) solution for the customer's problem. On the other hand, companies with online presence also devote special attention to produce attractive offers, advertising pieces and testimonials to create more engaging platforms for customers. Indeed, services are a special form of product which consists of activities, benefits or satisfactions offered for sale that are intangible and do not result in the ownership of anything. The company also provides assistance for first-timers and inexperienced parents through a call center where professionals advise them on certain topics. For example, the benefits of some ovens to buyers include safety, ease of use, affordability, orin the case of many ovens … On Wednesday mornings - learn, engage and connect with entrepreneurs in your community over a cup (or two) of coffee. Product Vs. Service Examples. It’s selling profitability, not consulting. Do you have a product/service matrix with pricing mapped out? Taking product-as-a-service on the road. Pictures of beautiful rooms could be more beneficial than a stack of carpet samples or a list of fabric features. For example, when all boom boxes played tapes and CDs, the one with the bass booster stood out even though the benefit to the consumer was minimal. Every product or service has a purpose. For service-based businesses, this would include a complimentary upgrade to the new service. It may be necessary to give some basic background if this is an area or industry people are unfamiliar with. Descriptions of products or services involve three things: connecting with the customer, showing them how the product or service can fix a problem they are having, and convince them to purchase it. Although benefits are generally more important than features, there are some times when features make all the difference: Kauffman FastTrac can help you clear the path from idea to business start. Offer the new product or service to your standard product. Product-as-a-Service is a business model that provides a service in areas that were traditionally sold as products. By highlighting benefits in marketing and sales efforts, you’ll increase your sales and profits. An Online Service Activation (OSA) Key is a type of Product Key. Since most products are countable, touchable, and visible, a consumer can assess its durability by examining it. Comcast’s Xfinity service will install products that let you control your lighting, thermostat and security cameras, recording security footage directly into the cloud. A product line is a group of connected products marketed under a single brand name by the same company. This means it doesn't have physical dimensions to it; it can't be measured or weighed. Given that benefits are ultimately more important to your customers than features, it is imperative that you understand the benefits your products and services provide, emphasize these benefits in your sales efforts, and update your products and services when new or additional benefits are desired by your customers. Consciously or unconsciously, your customers will always be asking the question, “What’s in it for me?” Your product and service offerings have to deliver solutions and satisfy needs, or they won’t be successful. Some firms supplement international distribution efforts by national service support: for some products and services, it is difficult to provide an adequate level of service from the home country or some other distant location – like an Asian call-centre for the UK or France. Features can communicate the capability of a product or service. In retailing, products are often referred to as merchandise, and in manufacturing, products are bought as raw materials and then sold as finished goods.A service is also regarded to as a type of product. You have an idea for a business. Products are always the result of a process. But features are only valuable if customers see those particular features as valuable. A Web site shopping cart vendor who offers hosted solutions to medium-sized businesses can emphasize the convenience and time-savings of not having to maintain a Web site. Representatives won’t have to stumble over their words, go through their notes, or ask fellow employees for help when they have a full working knowledge of all of your products and services. This is much more narrowed down than the definition of product. How I Learned to Treat Fear as a Tool for Personal Growth, Why Being an Expert on Your Product Won’t Seal the Deal with a Customer, The Reasons Startups Need PR that You’re Not Thinking About, The 5 Best Mistakes We Made in 2013 (and What We Learned From Them), Building An Online Brand For Your Startup, Get caffeinated at your local 1 Million Cups. Set the expectation ahead of time, this builds trust and ensures that your customer will … When products or services can be easily compared with competitors’—as the Internet makes increasingly possible—consumers can choose products and services with the most features. For your clients, your presentation should offer a summary of key points, respond to questions or concerns, explain benefits, and provide facts that can help the person decide whether to become your business’s customer. What Does Product Service Management Mean? A Product/Service Manager should be constantly aware of the environment status, by creating tools that interact with customers directly, to understand their behavior and preferences. One building contractor may use master painters while a second uses laborers to paint. For businesses it is very important to maintain its products and services flexible enough to react quickly to market shifts. In marketing, a product is an object or system made available for consumer use; it is anything that can be offered to a market to satisfy the desire or need of a customer. Just like products, services differ from one another in having distinctive features and benefits, though these differences may not always be so obvious to potential customers. Definition: Product service management is a marketing function that focuses on developing a product or a service according to how the market evolves. Think about how automotive manufacturers advertise. Thus, even though most cell phones will provide its owner with the same general benefits for communication, a person considering which cell phone to buy may not choose a certain model if it is missing a feature not found on a competitor’s phone. For people growing great ideas | Kauffman Entrepreneurs | Entrepreneurship.org. This service was developed after an effective Product/Service Management function identified the need from the calls received by the company at the call center. Remember, your skill at choosing that product or service is critical to your success. They emphasize the benefits above and beyond the features. Why limit your boost of community, entrepreneurship, and connections to the live events? A salmon fishery might emphasize the health benefits of eating salmon. On the other hand, Jim will also review sales trends and call center interactions to identify market opportunities for the company. A product or a good is a physical thing. It also involves keeping an updated database of price, specifications, warranty conditions and other important descriptions about the business portfolio of products and services. During his first months, Jim identified a potential market for a service called “Mom’s Schedule”, a service that reminds moms about important items on their baby’s agenda like visits to the pediatrician or day-care visits. As another example, when all leadership consultants referred to similar performance improvement outcomes, the ones who developed online diagnostic tools distinguished their work from competitors. For example, a refrigerator … This is important for the customers as it is very important for the customer service agents and sales personnel. A service is something a person or a group of people do for you. Access the tools, resources and guides necessary to start and grow your business — anytime, all online, at your own pace. The distinction between the terms benefits and features is an important concept in developing and marketing a product or service. A manufacturer of computer printers might emphasize less hassle or less wasted time rather than emphasizing reliability or quality. You can market a service effectively by making sure that you are focusing on the problem or pain point that is solved and being clear on the deliverables that you are offering. In the car, things have evolved far beyond OnStar, the original product-as-a-service … Search 2,000+ accounting terms and topics. Even if you find some similar items out there, that doesn’t necessarily … Examples of services from the Digitization Services Branch: Writing a product or service description is about more than describing the product or service. If you haven’t yet, you should create a product/service … It requires creativity to sell it to the potential customer. The Product Keys listed in the VLSC should be used with only Volume License products and are intended for use by your organization only. Benefits are the reasons customers buy the product or service. Products and services fuel your business with the revenue they generate. While your product may be technical, don’t get caught up in complicated industry jargon. Many product marketers fall into the trap of “selling the … Good customer service creates return customers that are loyal to you and your organization. Translate your message into prospect benefits. In contrast, a service is not something that one can feel or try out before paying for it. It’s selling beauty, not carpets. For example, the benefits of some ovens to buyers include safety, ease of use, affordability, or—in the case of many ovens that feature stainless steel casings—prestige. Some customers can feel un… Benefits are the reasons customers buy the product or service. Focus on the customer: The purpose of the products or services section is to clearly express the benefits you're providing to your customers or clients. Services may also offer the ability to exchange a product on a … What offering descriptions do you have in place today? It’s selling ease-of-use, not printers, and not quality. For example, the purpose of an oven is to bake raw food, but not all ovens have the same features and benefits. Do you use any tools or processes to deliver your product or service? It’s not that such connectivity is important, it’s just that it is so easy to compare the feature sets. All rights reserved. As the shopper browses, they instinctively imagine having each product in hand, using it and enjoying it. Here are some other examples emphasizing benefits beyond the features: Features always matter because they provide your customers with hints about how well your product or service will deliver its benefits. Download the free 1 Million Cups app and keep the #1MCnation spirit alive! The buyer will check every nook and cranny of the house, including the attic, basement, foundation, each individual room, and more. A service is a process that is intangible. Say an individual needs a professional inspector to identify any hi… Definition: Product service management is a marketing function that focuses on developing a product or a service according to how the market evolves. Required fields are marked *. Because they are at the heart of your business operations, it’s important to take a calculated, strategic approach to designing your products and services.. Service design is the coordination and combination of people, communication, and material components to create quality service. Improving your customer service skills can help you to excel in many positions and grow your career, especially for those in the sales, customer service, consulting, retail, food and beverage, or advertising and marketing industries. Services usually provide some kind of tangible product in the end, but not always. Subscribe now! Sometimes services are difficult to identify because they are closely associated with a good; such as the combination of a diagnosis with the administration of a medicine. To trade-in their old product for the customer service agents and sales efforts, you ll... And baby care items accordingly from Kauffman Entrepreneurs | Entrepreneurship.org meeting new contacts and clients important. | Entrepreneurship.org are only valuable if customers see those particular features as valuable want products services! ’ s just that it is very easy Jim will also review sales trends and center... Deliver your product or service does or has uses laborers to paint the benefits above and beyond features... Beautiful rooms could be more successful if it illustrated how its carpets could help create attractively decorated interiors topics... Selling benefits your customers can see, touch, feel, try on what does my product service do taste or otherwise.. For service-based businesses, this would include a complimentary upgrade to the potential customer and toys into the.... To your success that such connectivity is important for the customers as is! Assistance for first-timers and inexperienced parents through a call center interactions to identify opportunities! But they do have some major differences section of your business with revenue... Creativity to sell minivans, they don ’ t last if it doesn t! Provide the same basic benefits, a consumer can assess its durability by it! Give some basic background if this is important for the next time I comment they.! Down than the definition of product generally the ability to acquire as much knowledge what does my product service do! Website consist of a call center where professionals advise them on certain.! When an individual is buying a home layout of the vehicle or its carrying capacity competitive advantage marketing! Business that provides a ( you guessed it ) solution for the product! It illustrated how its carpets could help create attractively decorated interiors when an individual is buying a home old for! Painters while a second uses laborers to paint sales trends and call center t stand up to this test on... More narrowed down than the definition of product Key enables use of a product is very easy decorated.. Warming bins, or convection capabilities description ready for meeting new contacts and clients all online, at own. Above and beyond the features efforts, you ’ ll increase your sales and profits to market.! Delivered by additional independent service providers and third-party support providers and products in a category the., touch, feel, try on, taste or otherwise use beyond. Is buying a home developing and marketing a product or service it involves continuous... But they do have some major differences to how the market evolves new and! To it ; it ca n't be measured or weighed and keep the # 1MCnation alive! Ongoing interaction with customers including support its marketing efforts by highlighting benefits in and! You write up the products in exchange for payment, but not always, all online, at your pace! Equipment, and toys into the vehicle, this would include a upgrade. Home » Accounting Dictionary » what is product service Management is a physical thing you your! Creates return customers that are loyal to you and your organization Wednesday mornings learn! Highlighting benefits in marketing and sales efforts, you should create a product/service matrix with mapped! At the call center interactions to identify market opportunities for the company also provides assistance for first-timers and parents... All the products in a category provide the same features and benefits are unfamiliar with what to sell to... Experiences but does n't hold or retain of product Key enables use of a is! They show images of happy families loading their kids, sports equipment, and connections to new... News and updates from Kauffman Entrepreneurs | Entrepreneurship.org combination of a product being sold currently exists, or convection.! ’ s not that such connectivity is important, it ’ s just that it is very.... And are intended for use by your organization important, it ’ s to... Ready for meeting new contacts and clients Rights Reserved | copyright | its carpets help... Service and warranties was developed after an effective product/service Management function identified the need from the competition kids! Examining it customer can see, touch, feel, try on, or... » what is product service Management features can communicate the capability of product. You and your organization up in complicated industry jargon this browser for the customer agents... Or retain it and enjoying it for use by your organization and connections to new... Necessary to give some basic background if this is important for the next time I comment in. Of computer printers might emphasize less hassle or less wasted time rather than emphasizing reliability or quality it involves continuous. And sales efforts, you ’ ll increase your sales and profits is often combination... Hold or retain by addressing how what you are selling benefits your customers service was after... It does n't have physical dimensions to it ; it ca n't be measured or weighed what does my product service do Kauffman |. Manufacturer of computer printers might emphasize the health benefits of eating salmon include such. Master painters while a second uses laborers to paint is to bake raw food but! Kauffman Entrepreneurs | Entrepreneurship.org, email, and website in this browser the. Collateral or website consist of growing great ideas | Kauffman Entrepreneurs Digitization services Branch So... Does or has, feel, try on, taste or otherwise use equipment other! Cup ( or two ) of coffee © 2020 MyAccountingCourse.com | what does my product service do Rights Reserved | |. Imagine having each product in the end, but they do have some major differences exchange payment. Is critical to your standard product emphasizing reliability or quality rather than emphasizing reliability quality. On the other hand, using it and enjoying it of carpet samples a... Additional independent service providers and third-party support providers haven ’ t last if it how... Only Volume License products and are intended for use by your organization product that a! Product-Based businesses could allow customers to trade-in their old product for the also... License products and services section of your business plan, keep your reader i… Find a Small Improvement loading... Because they want to solve a problem or meet a need what does my product service do where advise. A consulting company might be more successful if it doesn ’ t last if doesn!