Professional Documents
Culture Documents
What is a product? Levels of product and services Product classification Product decisions Branding Packaging Labeling Product support services
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What is a Product?
Anything that can be offered to a
market for attention, acquisition, use, or consumption and that might satisfy a want or need.
Includes: physical objects, services, events, persons, places, organizations, ideas, or some combination thereof.
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Service Education
Event Wedding
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What is a Service?
A form of product that consists of
activities, benefits, or satisfactions offered for sale that are essentially intangible and do not result in the ownership of anything.
Examples: banking, hotel, airline, retail, tax preparation, home repairs.
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College Education
Pure Service
All the values are intangible do not have the ownership of anything
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Activity 1: Identify the service and physical product combinations of the following products.
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Krispy Kreme
Levels of a Product
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Augmented product: The product that exceeds customer expectations. Differentiation arises on the basis of product augmentation. E.g fresh flowers, and TV facilities, swimming pool etc.. . Product augmentation adds costs. Those augmented after sometimes becomes customer expectations. Today hotel guests expect satellite TVs. Potential product: It encompasses all the possible augmentations and transformations the product or offering might undergo in the future. Company search new ways to satisfy customers prefer.
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Product classification
Products Consumer Pro. Final consumption Convenience Shopping Specialty Unsought Industrial products To manufacture products for final consumption. Capital items
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Consumer Products
Products and
services bought by final consumers for personal consumption.
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Convenience Products
Purchased frequently and immediately, little
or no planning/comparison / shopping effort Low priced Wide spread distribution/ convenient location Mass advertising Many purchase locations Examples: candy, soda, newspapers
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Shopping Products
Bought less frequently much
planning/comparison / shopping effort Higher price Selective distribution in fewer outlets Advertizing and personal selling Fewer purchase locations Examples: furniture, clothing, cars, appliances
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Specialty Products
Special purchase efforts, strong brand preference,
loyalty, low price sensitivity High price Exclusive distribution in one or few outlets Unique characteristics Brand identification Few purchase locations Examples: Lamborghini, Rolex Watch
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Unsought Products
Little product awareness, negative
interest, New innovations Products consumers do not want to think about Aggressive advertising and personal selling Examples: life insurance, cemetery plots, blood donation
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Industrial Products
Those purchased for
further processing or for use in conducting business.
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Industrial Products
Materials and Parts
Capital Items
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Product Decisions
Quality Design Package Labeling Branding
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Product quality
Freedom from defects Two dimensions :
performance quality level :high, low, medium conformance quality :freedom from defects and continuously deliver on the same quality level
BMW
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Product Design
The innovative Discover 2GO card is a gotta-have-it accessory for people who want to dash off to the gym, the mall, or a restaurant with nothing more than their keys and a credit card.
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Branding
Creating, maintaining, protecting, and
enhancing products and services.
design, or a combination of these, that identifies the maker or seller of a product or service.
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Branding
Advantages to buyers: Advantages to sellers:
Product identification Indicator of Product quality Basis for products quality story Provides legal protection Helps to segment markets
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Packaging
Designing and producing the container or
wrapper for a product. Developing a good package: Packaging concept Customer identification Product safety Environmental concerns
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Innovative Packaging
Dutch Boy recently came up with a long overdue innovationpaint in plastic containers with twist-off caps.
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Labeling
Printed information appearing on or
with the package. Performs several functions:
Identifies product or brand Describes several things about the product Promotes the product through attractive graphics
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Innovative Labeling
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Discussion Question
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