What is the difference between a product and a service?
Well, let’s start by saying that it depends on who you ask. If you are in the business of selling products to other people then you need to know the difference.
A product is tangible – something you can touch, feel, hold and try before buying. It’s not an intangible thing like a service or information.
A service is intangible – something you cannot see, feel or touch. It’s also not a tangible thing like a product. A service is something you pay for, but it’s not something you own.
If you sell a product then you will need to have a place where you can store it. This could be your home, a warehouse or a retail outlet. You will need to have packaging and labels for the product. You will need to have marketing materials for the product. You will also need to have a place to ship the product to your customers.
You will also need to have a way to deliver the product to your customer. You will need to have some sort of payment system in place so that your customer can pay you. You will also need to take care of any returns and refunds.
If you sell services you don’t need all these things. All you need is a website. You don’t need to have a physical location to store anything. You don’t need to package anything. You don’t need labels or marketing materials. You don’t need a payment system. You don’t need a shipping method. You don’t need to take care of returns or refunds.
Now, I’m sure you’re wondering what the difference is between a product and a service. The answer is: a product is something you can buy from someone else, and a service is something you can get from someone else.
If you have a product then you will need a company to manufacture it for you. That’s why you need to have a physical location. That’s why you need packaging and labels. That’s why you need a payment system. That’s why you need shipping. That’s why you need returns and refunds.
On the other hand if you sell a service then you don’t need a company to manufacture it. You don’t need a physical location. You don’t need packaging or labels. You don’t need a sales system. You don’t need shipping. You don’t need returns or refunds.
The only thing you need is a website.
So, what’s the difference between selling a product and selling a service? It’s a website.