5. How Do We Develop Customer Service Strategies?

In most product/market situations logistics service will be a key element in a company's marketing mix — as important in its effects as say, advertising or price. Like any other marketing activity the provision of this service will cost money and therefore the company must be concerned with a quantification of the costs and benefits of the various levels and type of service available. Given that service offered implies customers' costs absorbed, will the customer response be worthwhile?