Characteristics of services
1. Intangibility: Services are intangible, meaning they cannot be seen, touched, or felt before they are purchased or consumed. Unlike physical products, services cannot be stored or physically possessed.
2. Inseparability: Services are typically produced and consumed simultaneously. The production and delivery of services usually involve the active participation of both service providers and customers.
3. Perishability: Services are perishable in nature and cannot be stored for future use. Once a service is provided, it cannot be reused or offered to another customer. This characteristic makes it challenging for service providers to manage supply and demand effectively.
4. Heterogeneity: Services are highly variable and often customized to meet the specific needs and preferences of individual customers. Due to the involvement of human interactions, each service encounter may differ from one customer to another or even from one employee to another.
5. Lack of ownership: Unlike physical products, services do not result in the ownership of any tangible assets. Customers pay for the benefits or experiences derived from the service, rather than acquiring a physical object.
6. Perceived quality: The quality of a service is often determined by customers' perceptions and experiences. Service providers must invest in managing and enhancing the perceived quality of their services through factors such as reliability, responsiveness, assurance, empathy, and tangibles.