Inseparability

Services are typically produced and consumed simultaneously, unlike physical goods, which are manufactured, put into inventory, distributed through resellers, and consumed later. If a person renders the service, then the provider is part of the service. Because the client is also present as the service is produced, provider-client interaction is a special feature of services marketing—both provider and client affect the outcome.

Often, buyers of services have strong provider preferences. Several strategies exist for getting around this limitation. One is higher pricing in line with the provider's limited time. Another is having the provider work with larger groups or work faster. A third alternative is to train more service providers and build up client confidence, as H&R Block has done with its national network of trained tax consultants.

Continue reading here: Accumulated Production

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