products, services, and brands final

Products, Services, and

Brands

PRODUCT Product – is anything that can be offered to a market for

attention,acquisition, use or consumption that might satisfy a want or need.

Service – is a form of product that consists of activity, benefit or satisfaction offered for sale that is essentially

intangible and does not result in the ownership of anything.

MARKET OFFERINGProducts are key element in the overall market offering.

This offering becomes the basis on which the company builds profitable customer relationships.

Pure tangible goods – are market offering with no services accompany the product.

Pure service- market offering consists of primarily of a service.

LEVELS OF PRODUCT AND SEVICESCore Customer Value- most basic level, which addresses the question What is the buyer really buying? * Marketers must first define the core, problem-solving benefits or consumers seek.Actual Product- develop product and service features, design, quality level, brand name and packaging.

Augmented Product- offering additional consumer services and benefits.

PRODUCT AND SERVICE CLASSIFICATIONSCONSUMER PRODUCTS Consumer product- product bought by final consumers for personal consumption.

Convenience product- product that customers usually buy frequently, immediately and with minimal comparison and buying effort.

Shopping product- less frequently purchased products and services that customers compare on such attributes as suitability,quality, price and style.

PRODUCT AND SERVICE CLASSIFICATIONS

Unsought product- product that the consumer either does not know about or knows about but does not normally consider buying.

INDUSTRIAL PRODUCTIndustrial product- product bought by individuals and organizations for further processing or for use in conducting a business.

PRODUCT AND SERVICE CLASSIFICATIONS

Three Groups of Industrial Product1.Material and Parts- include raw materials and manufactured materials and

parts.

2.Capital Items-products that aid in the buyer’s production or operations, including installations and equipment.

3.Suppliers and Services- include operating supplies and repair and maintenance items

ORGANIZATIONS,PERSONS,PLACES AND IDEAS

ORGANIZATION MARKETING – consists of activities undertaken to create, maintain or change the attitudes and behavior of target consumers toward an organization.

PERSON MARKETING- activities undertaken to create, maintain or change the attitudes and behavior toward particular person.

PLACE MARKETING- activities undertaken to create,maintain or change the attitudes and behavior toward particular lace.

PRODUCT AND SERVICES DECISION

INDIVIDUAL PRODUCT AND SERVICE DECISION

Product attributes Product quality-the characteristics of a product or service that

bear on its ability to satisfy stated or implied customer needs

Two dimensions of product quantity:1. Quality level (performance quality)-a product to perform its

functions.2. Conformance quality- freedom from defects and consistency

Product features

Features are a

competitive tool for differentiating the company’s product from competitors’ product.

Product Style and DesignStyle- appearance of

the product

Design- good design contributes to a products usefulness as well as to its looks

Branding

Branding- A name, term, sign , symbol, design or a combination of these, that identifies the product or services of one seller or group of seller and differentiates them from those of competitors.

Packaging

• Involves designing and producing the container or wrapper for a product.

`

Labeling

• Labels ranges from simple tags attached to products to complex graphics that are part of the packaging

• Identifies the product or brand• Describe several things about the product• Promotes the products

Product Support Services

• A company’s offer usually includes some support services, which can be a part or a major part of the total offering.

Product Line Decisions

• Product line- a group of product that are closed related because they function in a similar manner, are sold to the same customer groups, are marketed through the same type of outlets, or fall within given price ranges.

Major product line decision involves: Product line length- the number

of items in the product line.

• Company can expand its product line in two ways:

product line filling- involves adding more items within the present range of the line.

product line stretching- occurs when a company lengthens its product line beyond its current range.

Product Mix Decision

• Product mix- consist of all the product lines and items that a particular seller offer for sale.

Four important dimensions:• Width• Length• Depth• Consistency

Services Marketing

The Nature and Characteristics of a Service

• Service Intangibility– Services cannot be

seen, tasted, felt, heard, or smelled before they are bought.

• Service Inseparability– Services are

produced and consumed at the same time and cannot be separated from their providers.

• Service Variability– The quality of

services may vary greatly depending on who provides them and when, where, and how.

• Service Perishability– Services cannot be

stored for later sale or use.

• Internal Marketing – Orienting and

motivating costumer-contact employees and supporting service people to work as a team to provide costumer satisfaction.

Requirements of Service Marketing

• Interactive Marketing– Training service

employees in the fine art of interacting with customers to satisfy their needs.

Three Major Marketing Task

• Managing Service Differentiation

• Managing Service Quality

• Managing Service Productivity

Brand Equity

the differential effect that knowing the brand name has no response to the product and its marketing.

it's the measure of the brand's ability to capture consumer preference and loyalty.

Positive and Negative Brand Equity

•Positive when consumers react more favorably to it than to a generic or unbranded version of the same product

•Negative if consumers react less favorably than to an unbranded version.

Four Consumer Perception Dimensions

• Differentiation -what makes the brand stand out.

• Relevance -how consumers feel it meets their needs.

• Knowledge -how much consumers knows about the brand.

• Esteem -how highly consumers regard and respect the brand.

Brand Valuation-is the process of estimating the total financial value of brand.

Customer Equity-the fundamental asset underlying brand equity

Major Brand Strategy Decisions

BRAND POSITIONING- an activity of creating a brand offer in such a manner that it occupies a

distinctive place and value in the target customer’s mind.

BRAND NAME SELECTION-a good name can add greatly to a product's success. - finding te best brand name is a difficult task.

Qualities For A Brand Name

1.It should suggest something about the product's benefits and qualities.

2.It should be easy to pronounce,recognize and remember.3.The brand name should be distinctive.4.It should be extendable5.The name should translate easily into foreign languages.6.It should be capable of registration and legal protection.

BRAND SPONSORSHIP(Brand Sponsor) the manufacturer, wholesaler or retailer

who owns the brand.Sponsorship Options for Manufacturer 1.National Brand/ Manufacturer's brand -have long dominated in retail scene. - are those product/service names that are promoted

nationally, or even globally.

2.Private brand -also called a store brand or distributor brand. -a brand created and owned by a reseller of a product or

service.3.Licensed brand

-Licensing means renting or leasing of an intangible asset. -most manufacturer take years and spend millions to create

their own brand names.

4.Co-branding -the practice of using the established brand names of

two different companies on the same product. -it also allows a company to expand its existing brand

into category it might otherwise have difficulty entering alone.

BRAND DEVELOPMENT

A plan to improve the performance of a particular product or service.

For example, as part of brand development a firm may initiate a new advertising campaign that includes free samples.

Choices when it comes to developing brands

1.Line Extensions -extending an existing brand name to new

forms,colors,sizes,ingredients,or flavors of an existing product category.

2.Brand Extensions - extending an existing brand name to new product

categories.

3.Multibrands-Marketing of two or more similar and competing

products by the same firm under different and unrelated brands.

- it offers a way to establish a different features that appeal to different customer segments,lock up more reseller shelf space,and capture a larger market share.

4.New brands

-The development of a new brand and often a new offering for a product class that has not been previously served by the organizations.

Managing Brands

companies must manage their brands carefully. the brand's positioning must be continuously

communicated to consumers. major brand marketers often spend huge amounts on

advertising to create brand awareness and build preference and loyalty.

advertising can help customers come to know a brand through a wide range of contacts and interactions.

the company must put as much care into managing this points as it does into producing it ads.

company must periodically audit their brand's strengths and weaknesses.