Marketing Concepts Quiz: Products & Services

Products, Services & Brands

• A product is any market offering designed to fulfill a want or need.
• A service is an intangible product that doesn't result in ownership.
• An experience is a product combining a service or physical good with a memorable experience.

Product Levels

• Core Product: The fundamental benefit the buyer receives.
• Actual Product: Packaging, features, design, quality, and brand name.
• Augmented Product: Warranty, delivery, credit, installation, and service.

Consumer Product Classifications

• Convenience Products: Frequently purchased, readily available, and inexpensive (e.g., candy, soda).
• Shopping Products: Less frequent purchases requiring comparison based on suitability, quality, price, and style (e.g., furniture, clothing).
• Specialty Products: High-priced, unique, and have considerable buyer effort to acquire (e.g., luxury cars, designer watches).
• Unsought Products: Products consumers don't initially want or know about but might be persuaded to consider. (e.g., insurance, funeral arrangements).

Industrial Products Types

• Materials and Parts: Raw and manufactured materials, parts.
• Capital Items: Buildings and equipment used in buyer's production or operations with a long lifespan.
• Supplies and Services: Operating supplies, repair, and maintenance items and services.

Building Strong Brands

• Brand Positioning: Positioning a brand at levels of product attributes, benefits and consumer values.
• Brand Names Selection: Brand names should be easy to pronounce, recognize, remember, distinctive, and translatable.
• Brand Sponsorship: Types of brand sponsorship include Manufacturer's brand, Private brand, Licensed brand, and Co-brand.
• Brand Strategy: Involves New Brands, Line/Brand Extensions, and Multi-brands.

Brand Development

• Line extension: Introduction of new products within an existing product category using the same brand name (e.g., new flavors or sizes of a product)
• Brand extension: Using a successful brand name to launch a new product in a different product category.
• Multi-brands: Using different brands within the same product category (e.g., competing brands under a parent company).
• New brands: New brands are developed based on a belief that the current brand isn't powerful enough, or that a new brand name is needed for a new product category.

Services

• Intangibility: Services cannot be seen, tasted, felt, heard, or smelled before purchase.
• Inseparability: Services cannot be separated from their providers.
• Variability: Service quality depends on who provides it, and on when, where and how it is delivered.
• Perishability: Services cannot be stored for later use.