11. analysis of product

• 1. Product, Services, and BrandsBuilding Customer ValueRajeev ShresthaLecture 11 April 5, 2012

2. Product, Services, and Branding Strategy Topic Outline What Is a Product? Product and Services Decisions Branding Strategy: BuildingStrong Brands Services Marketing 3. What Is a Product? Product is anything that can be offered in amarket for attention, acquisition, use, orconsumption that might satisfy a need or want Experiences represent what buying the productor service will do for the customer 4. What is a product? Augmentedproduct Delivery After Sale and credit Service ActualproductFeatures Brand nameCorecustomervalueQualityProduct levelPackagingSupportWarranty 5. What Is a Product? Product and Service ClassificationsConsumer products Industrial products 6. What Is a Product? Consumer products are products and services forpersonal consumption Classified by how consumers buy them Convenience products Shopping products Specialty products Unsought products 7. What Is a Product? Convenience products are consumer products and services that the customer usually buys frequently, immediately, and with a minimum comparison and buying effort Newspapers Candy Fast food 8. What Is a Product? Shopping products are consumer products and services that the customer compares carefully on suitability, quality, price, and style Furniture Cars Appliances 9. Product and ServiceClassifications Specialty products are consumer products and services with unique characteristics or brand identification for which a significant group of buyers is willing to make a special purchase effort Medical services Designer clothes High-end electronics 10. Product and ServiceClassifications Unsought products are consumer productsthat the consumer does not know about orknows about but does not normally think ofbuying Life insurance Blood donations 11. Product and ServiceClassifications Industrial products are products purchasedfor further processing or for use in conductinga business Classified by the purpose for which theproduct is purchased Materials and parts Capital Raw materials 12. Product and ServiceClassifications Materials and parts include raw materialsand manufactured materials and partsusually sold directly to industrial users Capital items are industrial products thataid in the buyers production or operations Supplies and services include operatingsupplies, repair and maintenanceitems, and business services 13. What Is a Product?Organizations, Persons, Places, and Ideas Organization marketing consists ofactivities undertaken tocreate, maintain, or change attitudes andbehavior of target consumers toward anorganization 14. What Is a Product?Organizations, Persons, Places, and Ideas Person marketing consists of activitiesundertaken to create, maintain, or changeattitudes and behavior of target consumerstoward particular people 15. What Is a Product? Organizations, Persons, Places, and Ideas Place marketing consists of activitiesundertaken to create, maintain, or changeattitudes and behavior of target consumerstoward particular places Social marketing is the use of commercialmarketing concepts and tools in programsdesigned to influence individuals behaviorto improve their well-being and that ofsociety 16. Individual Product and ServiceDecisions Product attributes are the benefits of the product or service Quality Features Style and design 17. Individual Product and ServiceDecisions Product quality includes level and consistency Quality level is the level of quality thatsupports the products positioning Conformance quality is the productsfreedom from defects and consistency indelivering a targeted level of performance 18. Individual Product and ServiceDecisions Product features are a competitive tool for differentiating a product from competitors products Product features are assessed based on the value to the customer versus the cost to the company 19. Individual Product and ServiceDecisions Style describes the appearance of theproduct Design contributes to a productsusefulness as well as to its looks 20. Individual Product and ServiceDecisions Brand is the name, term, sign, or designor a combination of thesethat identifies themaker or seller of a product or service Brand equity is the differential effect that thebrand name has on customer response tothe product and its marketing 21. Individual Product and ServiceDecisions Packaging involves designing and producing the container or wrapper for a product Labels identify the product or brand, describe attributes, and provide promotion 22. Product and Services Decisions Product Line Decisions Product line is a group of products that are closely related because they function in a similar manner, are sold to the same customer groups, are marketed through the same types of outlets, or fall within given price ranges 23. Product and Services DecisionsProduct Line Decisions Product line length is the number of items in the product line Line stretching Line filling 24. Product and Services DecisionsProduct Mix Decisions Product mix consists of all the products and items that a particular seller offers for sale Width Length Depth Consistency