Association of Chartered Certified Accountants (ACCA) Certification Practice Test

What additional elements are included in the marketing mix for the service sector?

1. People, Process, Products

2. Physical evidence, People, Promotions

3. People, Physical evidence, Process management

4. Process management, Price, Product

The correct answer is: People, Physical evidence, Process management

The additional elements included in the marketing mix for the service sector are People, Physical evidence, and Process management. In the context of services, the involvement of people is crucial because services are often delivered through personal interactions between employees and customers. These interactions can significantly influence customer satisfaction and experience. Employees' skills, attitudes, and appearance can impact perceptions of service quality. Physical evidence refers to the tangible aspects that customers encounter when engaging with a service. This could include the environment where the service is delivered, such as the decor of a restaurant or the layout of a bank branch. These physical clues help shape customers’ perceptions and expectations of the service quality. Process management involves the procedures, mechanisms, and flow of activities that deliver a service. Effective process management is vital for ensuring consistency in service delivery, minimizing wait times, and enhancing customer experiences. It outlines how services are created and delivered, thus contributing to overall customer satisfaction. While other options might contain relevant concepts, they do not encompass the full range of essential elements for the service marketing mix in the same comprehensive way as the chosen answer.