Setting Product Strategy

Maica Sy

Ateneo Graduate School of BusinessV60 Marketing Management

Professor Bong De UngriaMay 9, 2013

6 Key Concepts

Product1. Purpose is to satisfy wants and needs2. Following a hierarchy with a sequence3. To be classified in 5 different levels4. Determined in ways to classify the products5. Emerging to different categories6. And sets objectives to identify the brand

What is Product?

• Most important element of marketing mix• Anything offered to the market to satisfy

customers’ needs, wants, & demands.

Concept 1

SM Products

• Products can be goods, services, entertainments, events, places and ideas.

EventsGoods Services

Example 1

Product Hierarchy

Item

Product Type

Product Line

Product Class

Product Family

Need Family

Concept 2

SM Dept. Store Product HierarchyExample 2

5 Product LevelsConcept 3

5 Product Levels

• Core Benefit : Transportation from one place to another.

• Actual Product : Brand of the car, looks and design of the car.

Example 3

5 Product Levels

• Expected Product : Decent mileage, proper engine, inflated tires.

• Augmented Product : After-sale services, insurance policy.

Example 3

5 Product Levels

• Potential Product : May run more smoothly as it wears off a little.

Example 3

Product Classification

• For marketing mix strategy

Concept 4

Product Classification

• Organizes products for a variety of purposes.

Durable- a good that does quickly

wear out

Non-durable- goods that are immediately consumed.

Service- an intangible commodity

Example 4

Product Mix

• Is an array of all products a particular seller is putting up for sale.

Concept 5

Emerging to Fashion TrendsExample 5

Packaging

• Used as a marketing tool• Includes all activities of designing and

producing the container of the product

Concept 6

Selling the Product by Packaging

• To identify brand

• Convey descriptive

Concept 6

Selling the Product by Packaging

• Facilitate product transportation & protection

• Aid product & consumer consumption

Concept 6

Selling the Product by PackagingExample 6

Remember This!

Mastering Marketing Concepts through Stories, Images, & Diagrams

Concept 5: Emerging to different categories

• To cope up with the current trends to be able to make it on top.

6 Key Concepts

Product1. It’s main purpose is to satisfy wants and needs2. Following a hierarchy with a sequence3. To be classified in 5 different levels4. That is determined in ways to classify the

products5. That are differentiated by 9 factors6. And sets objectives to identify the brand

Setting Product Strategy

Maica Sy

Ateneo Graduate School of BusinessV60 Marketing Management

Professor Bong De UngriaMay 9, 2013