Transcript Services

Emerging Trends in
Business Development
of Professional Services
Ghulam Mustafa Qazi, FCMA
Vice President ICMA Pakistan
Managing Partner, TQMC, Financial and Management Consultants
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World has turned into Global Village
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Communication is fast
Technology has changed everything
Traditional methods of doing business
have changed
Internet has become a need of everyone
Today’s Business Scenario
• Only 20 years ago, a business owner used to
promote his/ her products in his/ her city or country.
• Touching global market was difficult
• But now he/ she can approach customers across
the globe while sitting in office anywhere…
Customer is one click away
Target Markets have shifted
* Intangible
products such as accounting,
banking, cleaning, consultancy, education,
insurance, expertise, medical treatment,
or transportation.
* 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.
Services Defined
* Business service is a general term that describes
work that supports a business but does not
produce a tangible commodity.
* Examples
include information technology,
insurance, accounting and consulting.
Business Services
Core Marketing Concepts
Branding
* 53% of Americans are now
owning smartphones
* The amount of time people
spend on a mobile device is
growing at 14 times the rate of
desktop usage.
* Mobile is becoming a more
prominent channel for
commercial transactions
Use of Smart Phones
Tangibility Spectrum
Salt
Soft Drinks
Detergents
Automobiles
Cosmetics
Fast-food
Outlets
Intangible
Dominant
Tangible
Dominant
Fast-food
Outlets
Advertising
Agencies
Airlines
Investment
Management
Consulting
Teaching
* No transfer of possession or ownership takes place when
services are sold
* Intangible -Cannot be stored or transported
* Heterogeneous – Cannot be replicated
* Are instantly perishable
* Come into existence at the time they are bought and consumed.
* Pricing of Services is a difficult subject
* Quality is subjective and their perception varies by recipient
* Service delivery is different from products delivery
* Mass production of services is difficult
* Unlike products, services cannot be returned or resold
Some Characteristics of Services
• Defining and improving QUALITY
• Communicating and testing new services
• Communicating and maintaining a consistent
image
• Motivating and sustaining employee commitment
• Coordinating marketing, operations and human
resource efforts
• Setting prices
• Standardization versus personalization
Challenges for Services Business
* Service Management: Delivering the expectations
* Difficulty in relating services to financial benefits
* Customer Satisfaction
* Quality: Maintenance, proving quality
* Customer retention
* Investment in research
Services- Key Challenges
* SME Sector generally does not understand the
significance of service need
* Large enterprises prefer international/ large
service providers
* Marketing is difficult
Key Challenges
* Keeping up with new technologies
* Retaining key human capital when required
* Availability of human capital
* Pricing
* Gaps in assessment of deliverables
Key Challenges
* Understand the expectations/ deliverables
* Discuss before you proceed
* Get the deliverables and needs signed by client
(Terms of reference, Requirement Specifications,
Contract)
* Assess the skills available
* Carefully select Project Team
* Commit only what you can deliver
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Relationship with Client
Quality of Service
Achievement of Client’s objectives
Price-Value perception
Factors Influencing Customer
Satisfaction
* Discuss and explain what has been delivered
* Explain the associated benefits- long-term as
well as short-term
* Associate the financial benefits (cost saving,
client retention etc.)
* Respond to questions
* Follow-up
* Send relevant information (newsletter)
Achieve Customer Satisfaction
*“fresh thinking that creates value”
Richard Lyons
*“new products, business processes and
organic changes that create wealth or
social welfare”.. OECD
*change that creates a new dimension
of performance.. Peter Drucker
*Innovation is converting ideas to
numbers
Innovation
* To look different/ better
* To serve customers’ needs more efficiently
* To be market leader
Why Innovation?
* Keep up with latest development/ research
* Offer something different from your
competitors
* Present innovatively
Be Innovative
Marketing & Promotion
Services Marketing Triangle
Company
(Management)
Internal
Marketing
External
Marketing
“enabling the
promise”
“setting the
promise”
Employees Interactive Marketing
“delivering the promise”
Customers
The Services Triangle and Technology
Company
Technology
Providers
Customers
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Product
Price
Place
Promotion
People
Process
Physical Evidence
Expanded Marketing Mix of
Services- The 7 Ps
Expanded Marketing Mix for Services
PRODUCT
PROMOTION
PRICE
Physical good Channel type
features
Quality level
Exposure
Promotion blend
Flexibility
Salespeople
Price level
Accessories
Intermediaries
Advertising
Terms
Packaging
Outlet location Sales promotion
Differentiation
Warranties
Transportation Publicity
Allowances
Product lines
Storage
Branding
PLACE
Expanded Marketing Mix for Services
PEOPLE
PHYSICAL
EVIDENCE
PROCESS
Employees
Facility design
Flow of activities
Customers
Equipment
Number of steps
Communicating
culture and values
Signage
Level of customer
involvement
Employee research
Employee dress
Other tangibles
Gaps in Service Quality
Expected
CUSTOMER
Service
Customer
Gap
Service Delivery
COMPANY
GAP 1
Perceived
Service
GAP 3
Customer-Driven Service
Designs and Standards
GAP 2
Company Perceptions of
Consumer Expectations
GAP 4
External
Communications
to Customers
Gaps in Service Quality
* Customer Gap:
*difference between expectations and perceptions
* Provider Gap 1:
*not knowing what customers expect
* Provider Gap 2:
*not having the right service designs and standards
* Provider Gap 3:
*not delivering to service standards
* Provider Gap 4:
*not matching performance to promises
Varies from Customer to
Customer and Type of
Service
Desired Service
Zone of
Tolerance
Adequate Service
Customer’s Zone of Tolerance
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Relationship with Client
Quality of Service
Achievement of Client’s objectives
Price-Value perception
Factors Influencing Customer
Satisfaction
Outcomes of Client Satisfaction
• Retention of client
• Positive word-of-mouth communications and Referrals
• Increased revenues
Loyalty (retention)
100%
80%
60%
40%
20%
0%
Very
dissatisfied
Dissatisfied
Neither
satisfied nor
dissatisfied
Satisfied
Satisfaction measure
Very
satisfied
* Having a dynamic website
* Online Selling
* SEO
* Emails
* Blogging
* Forums
* Etc..
Presence on Web
Social Media Marketing
* Linkedin .. Company page, ads
* facebook, ..Pages, Groups, Ads
* Youtube… Product/ Services videos
* Skype .. Online calling, meetings
* ebay .. Online selling
* Twitter.. Promotions
* OLX
* Regularly Update …
Some New Ways to Marketing
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Register on Business Directories
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Online paid marketing
Search Engine Registration
List Your Products with Shopping Comparison Bots
and Auction Sites
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Pay per click
Google Ad words etc.
Marketing Online
* Quick contact
* Professional Design
* Effective Message
* Email signatures
* E-marketing outsourcing
* Avoid Spamming
* Newsletters
* Blogs and Articles
Email Marketing
* Visiting Cards
* Traditional cards
* Mention your website, email, facebook,
linked, skype links
* eVisitng Cards--- Your introduction
* Profile
* Products and services
* Contact details
Visiting Cards
* Web portal
* Selling Globally
* Online payments
* Home Delivery
* Events, contests
* Referral Schemes
* Online meetings and Video Conferencing
* Offer something free
Other Strategies
Online Consulting/ Outsourcing
* Blogging
* Articles Writing
* Online response to queries
Write Online
International Affiliations
always Pays
* Employees are your Assets
* Motivate them
* Reward them
* Teach Them
Take Care of Your Team
* Develop personal relationship with clients…
make client your FRIEND
* Discuss about business and related issues he is
facing
* Visit them frequently… have a cup of tea or
coffee with him
* Invite clients to your office
* Know and share new developments and
resulting requirements of clients
Other Tips
Always be sincere to
yourself and your clients.
Give them best advice
* Reward yourself
* Focus on Your Family
* Avoid Tensions
* Be HAPPY
BECAUSE
YOU are the Most Important Person
And FINALLY
Thank You