INTRODUCTION

Service-
Definition

A type of economic activity that is intangible, is not stored and does not result in ownership.
A service is consumed at the point of sale. Services are one of the two key components
of economics, the other being goods. Examples of services include the transfer of goods,
such as the postal service delivering mail, and the use of expertise or experience, such as
a person visiting a doctor.

As for this report we have chosen Etihad Airways in the Transport service category. See the
attached brief company profile on page.

Here you we have an idea how we can relate All the characteristics of service and the
service marketing mix of the 7Ps that can be used to strategizing for the airline service
market.
Four Factors/Characteristics That Distinguish
Services Marketing: Etihad Airways.

1. Intangibility
Services are not physical and cannot be "possessed." Because they can't be seen,
touched, or made tangible in some way, assessing their quality and value is difficult.

Etihad Airways is under transportation service category. Customer can’t actually see the
product but they can experience the journey through different thing like the way she/he
is treated through the whole and journey. As service cannot be patented several airline
can give similar experience e.g. Emirates, Qatar, Lufthansa etc. Therefore pricing is
very difficult and across different airline of same type of service.
EXPANDED MIX FOR SERVICES:
We now look at the 3 new elements of the services marketing mix - people, process
and physical evidence - which are unique to the marketing of services.

5. People: People are a defining factor in a service delivery process, since a service is
inseparable from the person providing it.
Thus, Etihad Airways is known as much for its spacious lounge, bigger seats and tastier
food as for the service provided by its staff. The people from the ground crew, engineers to
flight crew they altogether bring and deliver the service to the customer.They are the factor
that decide how good or worse the service is. The same is true of banks and department stores.
Consequently, customer service training for staff has become a top priority for many
organizations today.

6. Process: The process of service delivery is crucial since it ensures that the same standard of
service is repeatedly delivered to the customers. Therefore, most companies have a service blue
print which provides the details of the service delivery process, often going down to even
defining the service script and the greeting phrases to be used by the service staff.
In terms of Etihad from the very moment the customer from the business or First class
enters the airport they are treated and greeted then are guided by a personal assistant to
clear there check in, then after that they are moved to the executive lounge, then they are
called to do the board the aircraft and showed to their respective seats and then they are
given the safety briefing then followed by food etc. The whole thing is repeated again and
again to give that quality service that differentiates them.
7. Physical Evidence: Since services are intangible in nature most service providers
strive to incorporate certain tangible elements into their offering to enhance customer
experience.
Thus, Etihad has Executive lounge in airports for its passengers that have well
designed interiors often with magazines and plush sofas, cafe for them to read
and relax while they await their turn to board the aircraft. Similarly, they invest in
Inflight catering and comfortable seats to offer a tangible and unique experience
to their guests.