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People, Technology, Strategy


Christopher Lovelock Jochen Wirtz


Contents Preface xiii xvii

PART I Understanding Service Products, Consumers, and Markets 2 Chapter 1 New Perspectives on Marketing in the

Service Economy 4

Chapter 2 Consumer Behavior in a Services

Context 35

Chapter 3 Positioning Services in Competitive

Markets 59

PART II Applying The 4 Ps Of Marketing to Services 80 Chapter 4 Developing Service Products: Core and

Supplementary Elements 82

Chapter 5 Distributing Services Through Physical and

Electronic Channels Management 135


Chapter 6 Setting Prices and Implementing Revenue Chapter 7 Promoting Services and Educating

Customers 163

PART III Managing the Customer Interface Chapter 8 Designing and Managing Service

Processes 196


Chapter 9 Balancing Demand and Productive

Capacity 227

Chapter 10 Crafting the Service Environment 253 Chapter 11 Managing People for Service

Advantage 278



Brief Contents

PART IV Implementing Profitable Service Strategies 312 Chapter 12 Managing Relationships and Building



Chapter 13 Complaint Handling and Service

Recovery 349

Chapter 14 Improving Service Quality and

Productivity 379

Chapter 15 Striving for Service Leadership 416 CASES 440

Glossary Credits 596 603 604 612

Name Index Subject Index


Preface xvii

Part I

Understanding Service Products, Consumers, and Markets 2

Economy 4

Chapter 1 New Perspectives on Marketing in the Service

Why Study Services? 5 What Are the Principal Industries of the Service Sector? 8 Powerful Forces Are Transforming Service Markets 10 What Are Services? 10 Four Broad Categories of Services—A Process Perspective 18 Services Pose Distinct Marketing Challenges 21 The Traditional Marketing Mix Applied to Services 22 The Extended Services Marketing Mix for Managing the Customer Interface 25 Marketing Must Be Integrated with...