Question

Explain the differences between routine-intensive, technology-intensive, contact-intensive, and knowledge-intensive services. Provide a specific example of each type, considering physical and digital channels. Does the type of consumer differ for each type of service business? Why or why not?

Answer 1

Differences are as; Routine intensive-focuses on the daily operations - technology intensive-relies more on the modern technology - contact intensive-focuses on customer relations - knowledge-intensive-focuses on the new ideas and innovation.

Yes, the type of consumer differ for each service business.The consumers have different preferences.

Explanation:

Differences are as;

Routine intensive-The routine intensive services focuses on the daily operations within the firm. Such types of services relies on the lower level employees who provide them on a daily basis. The absence of the service for a day can heavily impact on the clients. For example restaurant services.

technology intensive-These types of services relies more on the modern technology.The firm develop their competencies for the various services and operations based on the levels of technology. The modern technology is thus the basis for their operations. An example is software maintenance services.

contact intensive-customer contacts and relationship is very crucial for the operations of an enterprise. The contact intensive services thus focuses on customer relations. The firm relies on closer customer relations to realize optimal sales. Contact intensive example is the B2B e-commerce services.

knowledge-intensive-focuses on the new ideas and innovation .The services relies on the innovation and improvement in knowledge by the various firms in order to create new versions of the product or services. The knowledge intensive service is seen in the cloud computing services as an example.

Based on the differences in their strategies and approaches in the operations, the type of consumer differ for each service business.This is mainly due to the different tastes and preferences of the customers. That implies the different forms of services have to be uniquely positioned within the market in order to realize optimal performance and returns.