Marketing 333 Chapter 8 Elements of Product Planning for Goods
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Transcript Marketing 333 Chapter 8 Elements of Product Planning for Goods
Marketing 333
Chapter 8
Elements of Product
Planning for Goods
and Services
What is a Product?
A bundle of benefits
What the buyer
gets…not what the seller
sells
Tangible items, services,
ideas
The Total Product
A wide range of tangible and intangible benefits
that a buyer might gain from a product after
purchasing it
A product might have:
–
–
Primary characteristics
Auxiliary characteristics
Augmented
product
Primary
Core
product
Characteristics
Product Strategy
Planning and development of a mix of the
primary and auxiliary dimensions of a product’s
attributes.
Classifying Consumer Products
Three Types of Consumer Products:
Durable
goods
Services
Nondurable
goods
Goods-Services Continuum
Shovel
Restaurant’s
offering
Employment
agency service
Good
Good/service
Service
Classifying Products by Consumer
Behavior
Convenience
products
Specialty
products
Shopping
products
Convenience Products
Inexpensive
Purchased regularly
Easily accessible
Shopping Products
Make comparisons
Shop around
Not purchased
frequently
Specialty Products
Usually expensive
Special effort to
purchase
Classifying Organizational Products
Three types:
Operating
Products
Production
Products
Capital
Products
Capital Products
Installations
Accessory equipment
Examples: buildings,
forklifts, copying
machines
Production Products
Raw materials
Manufactured
materials
Component parts
Process materials
Operating Products
Routinely Purchased
Used in daily operations
Services
Instrumental Services
Consummatory Services
Characteristics of Services
Intangibility
Inseparabilit
y
Perishability
Heterogeneity
Product Line and Mix
Product line: group of products that are
fairly closely related
Product Mix: All the product offerings of an
organization, no matter how unrelated
Dimensions of the Product Mix
Breadth or width
Depth or length
Branding
Brand name
Brand mark
Logo
Trademark
Service Mark
Brand Name and Brand Marks
Brand name: verbal part of the brand
Brand mark: unique symbol that is part of
the brand
Logo: brand name or company name written
in a distinctive way
Trademarks and Service Marks
Trademark: legally protected brand name or
brand mark for goods
Service mark: symbol that identifies
services
What makes a good brand name?
A good brand name:
–
–
–
–
Is easy to pronounce
Has mnemonic quality
Suggests a positive image
Reinforces product concept
–
–
Communicates product benefits
Says something about the user
Avoids linguistic traps
Manufacturer and
Distributor Brands
Manufacturer brand: owned by the maker of
the product
World (global) brand: distributed and
recognized around the world
Distributor brand: owned by a retailer or
wholesaler
Generic Brands
Carries neither a
manufacturer nor a
distributor brand
–
–
Plain packaging
Stark lettering
Family Brands
The same brand name is used in different
categories of products
–
E.g. Healthy Choice
Individual Brand
Example: Mar’s candies
Example:P & G’s laundry
detergents
Co-Branding
Use of two brands on a single product
Pizza Hut
Tostitos
Pizza Hut
Pizza flavored
Tostitos
Brand Equity
Value associated with a brand
–
–
–
Crayola
Harley-Davidson
Disney
Functions of Packaging
Contain product
Protects product
Facilitates storage and use of product
Promotes product
Recycling issues
Labeling
Label: Paper or plastic sticker attached to a
container to carry product information
UPC (universal product code): permits
computerization of checkout and compilation
of sales and inventory information