All Services are inherently intangible assets. Selling Services does not give you ownership of physical Products. Now we know the definition of a service, let’s move on to the essence of a service
Intangibility is the fundamental nature of services.
You have to offer or provide a service over and over again. They are often inconsistent because different clients have different expectations.
The production and consumption of services are inextricably linked. For example, ATMs can replace bank managers in operations such as withdrawing cash and depositing cheques. But it requires the customer to be present and manage their interaction with the process.
It has not been possible to retain a service. Essentially, you cannot have a service manifest. There may be goods associated with the service that can be stored, but the service itself is not stored because it is intangible.
The key difference between goods and services is that goods are produced and services are provided.
Type of Service
Services are divided into three groups: business services, social services and personal services.
Business services are services that businesses use to carry out their activities. These may be banking, insurance, shipping, etc. Now more than ever, businesses rely on specialised business services.
Social services are services provided by NGOs to achieve specific social goals.
Personalised service refers to a service in which each client has different needs. Examples of personal services are travel, entertainment services and restaurants.
Services are essentially intangible assets. Their purchases do not lead to the possession of any physical objects. For example, you can only consult a doctor, not buy one.
Services are all those intangible economic activities that involve interaction between service providers and consumers.
A service is a separately identifiable, essentially intangible activity that satisfies a need and does not necessarily involve the sale of a product or other service.
Business services are services that businesses use to carry out their activities. For example, banking, insurance, transport, warehousing and communication services.
Now more than ever, businesses rely on specialised business services.