Marketing Classification of Products

Podcast

Play an AI-generated podcast conversation about this lesson

Questions and Answers

What is the main classification of products based on durability?

On the basis of durability (correct)

On the basis of tangibility

On the basis of time and effort

On the basis of convenience

What is the main characteristic of non-durable goods?

They are intangible products

They are used for many years

They are supported by guarantee and warranty programs

They are purchased regularly and consumed frequently (correct)

What is the main purpose of advertising for non-durable goods?

To provide after-sales service

To provide guarantee and warranty programs

To provide personal selling

To increase the purchase and build brand preference (correct)

What are examples of non-durable goods?

Food items and toiletries Signup and view all the answers

What is the main characteristic of durable goods?

They can normally be used for many years Signup and view all the answers

What is the main characteristic of services?

They are intangible, inseparable, and inconsistent products Signup and view all the answers

What is the main characteristic of convenience products?

They are purchased frequently, with minimum effort and time Signup and view all the answers

What is an example of a staple good?

Bread Signup and view all the answers

What determines a consumer's decision to buy a product?

Putting the item on the list of regular purchases Signup and view all the answers

What type of goods are chocolates and magazines?

Impulse Goods Signup and view all the answers

Why are impulse products placed in easily noticeable locations?

Because the consumer desires it during the shopping trip Signup and view all the answers

What is a characteristic of convenience goods?

They are easily available and require minimum time and effort Signup and view all the answers

What is the primary focus of consumers when buying heterogeneous shopping products?

All of the above Signup and view all the answers

How do manufacturers distinguish their products in a price war?

By offering additional services or freebies Signup and view all the answers

Where are convenience goods often made available?

In vending machines and check-out stands Signup and view all the answers

What is the primary goal of mass promotion in marketing convenience goods?

To create brand awareness Signup and view all the answers

Study Notes

Classification of Products

Products can be classified on the basis of durability and tangibility.
Durability classification: non-durable products and durable products.
Tangibility classification: physical products and services.

Non-Durable Goods

Consumed in one or a couple of uses.
Purchased regularly and consumed frequently.
Requirements for success: smooth distribution and easy availability.
Marketer must advertise heavily to increase purchase and build brand preference.
Examples: food items, toiletries.

Durable Goods

Can be used for many years.
Require personal selling, after-sales service, and guarantee/warranty programs.
Examples: LCD TVs, mobile phones, washing machines, microwaves.

Services

Intangible, inseparable, and inconsistent products.
Essentials: quality control, credibility of supplier, and adaptability to changing consumption behavior.
Examples: hospitality services, airlines services, insurance, and banking services.

Classification of Consumer Goods

Based on the time and effort the buyer is willing to take for purchase.
Divided into two parts: convenience products and shopping products.

Convenience Products

Purchased frequently with minimum effort and time.
Examples: soft drinks, soaps, bread, milk, etc.
Classified into three categories:
- Staple Goods: regularly purchased products (e.g., bread, milk, eggs).
- Impulse Goods: purchased without planning or search efforts (e.g., chocolates, magazines).
- Emergency Goods: purchased to fulfill urgent needs (e.g., toothbrushes, shaving blades at tourist destinations).
Main Features:
- Easily available and require minimum time and effort.
- Low prices.
- Continuous and regular demand.
- High demand and competition.
- Easily substitutable.
- Heavy advertising and sales promotion schemes.

Marketing Strategy of Convenience Goods

Price: low priced and widely available.
Promotion: mass promotion by the producer.
Place: widely distributed and at convenient locations (e.g., vending machines, schools, offices).

Shopping Products

Goods where customers make comparisons on the basis of quality, price, style, and suitability.
Can be homogenous or heterogeneous.
Homogeneous Products: alike products with sellers engaging in price wars.
Heterogeneous Shopping Products: unlike or non-standardized products where consumers shop for the best quality buy.

Studying That Suits You

Use AI to generate personalized quizzes and flashcards to suit your learning preferences.

Description

Classification of products based on durability and tangibility into non-durable goods, physical products, and services. Learn about marketing concepts and product categorization.