Thursday, August 7, 2014

Service or purchase bundle

The service or purchase bundle is a  term used to describe the service commodity. A commodity is a thing purchased by a consumer. A commodity can include both intangible services and tangible goods. For example, you can buy a physical product like a toaster, but you also purchase intangible things like a warranty and the knowledge of the sales representative who might advise you as to the purchase (as opposed to buying one at the supermarket where you are unlikely to get any advice). The purchase of your toaster is mainly tangible product (goods) and a small amount of service.

So, remember that a ‘purchase or service bundle’ is a combination of both service and product. For any commodity, there can be different proportions of intangible service and tangible product (or goods). The image below shows different ways that the commodity 'petrol' can be bought, showing a full-service station (includes an attendant to help you at the petrol pump, a cafe and a supermarket) and a station where the purchase is simply petrol. 

In another example on the same chart, we can see that a haircut is almost completely service, but some goods are involved (e.g. shampoo). 


Notes on group fitness regimes and music as organisational technology

Photo license:   Flickr image by cooyutsing at http://www.flickr.com/photos/25802865@N08/6853984341/      Introduction The purpose of this a...