Which of the following statements regarding service branding is MOST accurate?
A) Because the classification of services is so complex, it is far more difficult to find a brand name that hasn't already been taken.
B) Services must include the word "service" in all their brand names to assure that customers understand they are not purchasing a product.
C) Service firms with a well-established brand reputation will also find it easier to introduce new services than firms without a brand reputation.
D) Many consumers are suspicious of companies that offer too many services under the same brand name.
E) Many service organizations, such as banks, hotels, and restaurants do not rely heavily on branding because of the extent to which they are people-dominated services.

Question

Quizplus · Accepted Answer

Service firms with a well-established brand reputation will find it easier to introduce new services than firms without a brand reputation because consumers are more likely to trust and be loyal to a brand they already know and have had positive experiences with. This can result in a lower perceived risk for consumers when trying new services offered by the same brand.

Which of the Following Statements Regarding Service Branding Is MOST