What is a critical aspect of services that differentiates them from goods?

The defining characteristic that sets services apart from goods is intangibility. Services are inherently experiences or performances that cannot be touched, owned, or stored in the same way physical goods can. This intangibility means that customers cannot evaluate a service prior to purchase in the same way they would a product; they cannot see it, feel it, or try it out before committing. As a result, services often rely on different marketing strategies, such as showcasing testimonials, quality reassurances, and the expertise of service providers to demonstrate value and build trust with consumers.

Intangibility influences how services are marketed and delivered, emphasizing the importance of customer experience, service quality, and relationship management. This distinguishes the marketing approach for services compared to tangible goods, where physical attributes and direct comparisons can play a more significant role in influencing customer decisions.