how to add windows service in a installer

Using Developer Command Prompt
You can install a service using following command in Visual Studio Developer Command Prompt

installutil.exe YourService.exe

You can find Visual Studio Developer Command Prompt in
Start -- Visual Studo XXXX -- Visual Studio Tools -- Developer Command Prompt for VSXXXX

Make sure that you have opened this with "Run as administrator" (Right click -- Run as administrator)

Using Windows Command Prompt

"C:\Windows\Microsoft.NET\Framework\v4.0.30319\installutil.exe" YourService.exe

Note: v4.0.30319 can be different on your machine

Using Setup Project
But if you want to install the service through setup project then follow these steps-
1. Open your service file (ex. Service1.cs) in Design Mode, right click and click Add Installer. Note that 2 controls will be visible now with name like serviceProcessInstaller1 and ServiceInstaller1
2. n the Properties pane, change the Account property to LocalSystem
3. Right click on ServiceInstaller1 and change StartType property to Automatic
4. Do the changes as per you requirement, if any (like service name etc.)
5. Add a Setup Project to your solution
6. In Solution Explorer, right-click on your setup project, select Add and then click Project Output
7. In the Add Project Output Group dialog box, in the Project box, click YourServiceName. Click Primary Output, and then click OK.
8. Build the whole solution.

Your setup should be ready.

UPDATE:

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Using Batch File
1. Open Notepad
2. Paste following code and change the service name (& framework version if required)

@ECHO OFF

REM The following directory is for .NET 4.0 & you may change according to framework version installed in your system
set DOTNETFX2=%SystemRoot%\Microsoft.NET\Framework\v4.0.30319
set PATH=%PATH%;%DOTNETFX2%

"C:\Windows\Microsoft.NET\Framework\v4.0.30319\InstallUtil" "YourService.exe"

3. From File click SaveAs. Save it with a name and with extension .bat
4. Execute this batch file from the same location where your service exe is placed.

Hope, it helps :)