Monthly Archives: May 2013

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Service vs. Product

Services produce products.  Products can contain services.  The two terms are different, but also closely aligned.  When we buy a software package, we get the program (product) to install on our computers and receive a bundle of services such as online backup, data management, or file sharing.  While services and products do share some common grounds, the two terms are in fact different.

Services:

  • Are things you will do on behalf of your clients
  • When clients need a service, they ask “what can you do for me?”
  • Clients like services to be customized to their needs
  • Are actions performed by an organization
  • Examples: consulting, web design, haircut, car washing, software development, electronics repairing, house painting, etc.

Products:

  • Are things your clients will use themselves
  • When clients need a product, they ask “what can you make for me?”
  • Clients like their products to be standardized
  • Are tangible and discernible items that an organization produces
  • Examples: computers, shoes, bread, courses, ebooks, apps, CD/DVDs, USB keys, digital files, etc.

Reference:

  • http://www.archives.gov/preservation/products/definitions/products-services.html
  • http://www.dailyblogtips.com/services-vs-products-are-focusing-on-the-wrong-side/
  • http://marketing-list.blogspot.ca/2011/05/5-differences-between-products-and.html

Mission. Vision. Strategy.

A recent discovery of a well-put distinction of the three terms:

Mission – what is our purpose?

Vision – where should we be headed?

Strategy – how do we get there?

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