Kortler (1991) refers to services as Any act or performance that one party can offer to another that is essentially intangible and does not result in the ownership of anything. Its production may or may not be tied to a physical product. This definition can be linked to the activities of the Leith Agency. A similar definition was offered by Collins and Payne (1991) when the researchers stated that services are any primary or complementary activity that does not directly. Produce a physical product – that is, the non-goods part of the transaction between customer and provider. This paper, therefore, addresses four important questions within the service marketing literature focusing on the case Leith Agency.
The traditional marketing mix originated from the marketing of goods for consumer markets and consists of the well known 4P’s: Price, Promotion, Place, and Product. The marketing mix approach has been criticized for being incomplete because it does not bear in mind customer-needs and its industrial marketing (Bitner, 1995, Gronroos, 1990. Gummesson, 1997). Judd (1997) proposes the fifth element as People and takes thereby the human resource factor into account. Booms and Bitner (1981) on their part created 7P’s by adding Participants, Physical Evidence, and Process to the original 4P’s.
The first P-The product refers to like the service and satisfaction offered by the Leith Agency to their customers. Here these are the various forms of advertisement refered to as creative output they offer. The second P-The price of the service is the compensation they received in the form of a fee or 15% commission while the place is the office location were exchange takes place. At Leith Agency, the Edinburgh and London offices are the place. The fourth element refers to as Promotion. At Leith Agency, they use both above the line and below the line strategies. Corporate brand building through sponsors. Here the marketing budget is kept at a minimum
In the marketing mix literature, the last three elements were added to take care of the service dimension of the product service mix continuum. No wonder, many commentators have referred to the additional three Ps as the Service Ps.
This position was supported by Payne amp. Clark (1995) who proposed one minor modification which leads to their expanded marketing mix for services.