Tag: difference between product and service

Product Vs. Service Usually, the tangible item is called the product, and an intangible item is a service. The products and services are the core concepts of marketing. In fact, both products and services are the same. Here is how - traditionally products and services are treated differently. But the modern marketing concept suggests that a product includes a service, an idea, an organization, and even a person too. However, there is a huge difference between product and service. Let's differentiate between products and services. What is a Product? A product is an item that can be offered to consumers and that holds the capacity to satisfy their needs. Usually, products are those which are tangible or can be touched. Product is the first and foremost significant part of the marketing mix. It is the starting point of all the marketing activities of any organization. Products have mainly three levels: core, actual, and augmented. The core product is the main benefit the products assure to offer to its buyers. Actual, as the name suggests, is the product that has been produced now and can be touched and used. And an augmented product means the extended version of the actual product. It is the addition of additional features to the actual product. What is Service? Services can be defined as any activity or task that a company offers to another entity, which may involve providing facilities or products. These services may or may not be connected to a physical product. When a company's primary focus is on offering services rather than physical goods, the services themselves become the core product of the company. Examples of such services include repair and maintenance, healthcare and medical services, insurance, banking, research, consultancy, transportation, communication, and more. Difference Between Product and Service The followings are the main difference between products and services. ProductServiceProducts are tangible in nature.Services are intangible in nature.Products are homogeneous in nature.Services are heterogeneous in nature.Products are created in the factory.Services are created in buyer-seller interaction.Products can be stored.Services can not be stored.Transfer of ownership is possible.Transfer of ownership is not possible.Product quality can be easily measured.Services quality can not be easily measurd.

Tag: difference between product and service

Product Vs. Service – 6 Key Differences [Explained]

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