Difficulty in displaying or communicating services
The intangibility of services presents special challenges for the promotion of
services. How do you get customers to take notice of your product when they
cannot see it? For example, consider insurance services. Customers cannot
see insurance, they are unable to sample it prior to purchase, and many do not
understand it. Insurance seems to cost an awful lot of money and the benefits of its
purchase are not realised until some future time, if at all. In fact, if we do not use
our insurance, we are supposed to consider ourselves lucky. Why should spending
thousands of dollars a year on something we never use make us feel lucky? Due
to the intangibility of insurance, the task of explaining the product’s merits to
consumers is highly challenging.