Marketing Mix - Product Overview

Products that can be physically touched or held, such as mobile phones, cars, and TVs.

Products that cannot be physically touched or held, such as software, ideas, and services.

Goods purchased by businesses to produce other products. These are not directly consumed by individuals.

Goods purchased by individuals for personal use. These are not bought for commercial purposes.

Goods bought frequently, with minimal effort and comparison. Examples include cigarettes, soap, and toothpaste.

Goods consumers compare carefully based on attributes like price, quality, and model. Examples include household appliances and clothing.

Products with unique features that customers are willing to put extra effort into buying. Examples include designer brands or specialty items.

Products consumers are unaware of or don't actively seek. They are often purchased due to a sudden need.

Setting prices to cover production costs and ensure business survival, especially in competitive markets.

Charging higher prices due to superior quality and brand positioning.

Starting with high prices to capture early adopters, then gradually lowering prices to attract more customers.

Setting low prices to quickly gain market share, often used for new products or entering new markets.

Calculating prices based on production costs, labor, and overheads, with a markup for profit.

Setting prices based on what competitors are charging, aiming to match, beat, or differentiate.

Pricing based on the perceived value of the product or service to the customer, ignoring production costs or competitors.

Introducing a product prototype and its marketing plan to validate the whole concept before launch.

Adjusting prices in real-time based on demand changes, competitor pricing, or market factors.

The final stage of a product's journey, where it's officially released to the market.

The initial release of a product with a lower price to attract customers.

Costs that remain the same regardless of how much is produced or sold.

Costs that vary depending on the amount of production or sales.

The sum of fixed costs and variable costs.

The amount customers pay for a product or service.

Factors that influence pricing decisions, divided into internal (company-specific) and external (market-related) factors.

A pricing strategy where products are priced slightly below whole numbers to make them appear more affordable to consumers. For example, $9.99 instead of $10.

Offering a group of products or services together at a discounted price, encouraging customers to buy more and driving higher sales.

Temporary price reductions to increase sales. These can include discounts, coupons, or special offers.

The network of organizations involved in getting goods from the producer to the consumer. It can be direct (producer to consumer) or indirect (producer to intermediaries to consumer).

Wholesalers or retailers who act as intermediaries in the distribution chain, facilitating product flow to consumers.

Breaking down large quantities of goods into smaller units that are suitable for individual consumers.

Intermediaries are more efficient than producers or consumers in performing specific tasks, like storing and moving goods and providing a wider selection of products for consumers.

The act of communicating with the public to influence them to buy a product. It involves coordinating methods such as advertising, personal selling, sales promotion, and public relations.

A combination of tools used to communicate with customers and promote a product. It includes advertising, personal selling, sales promotion, and public relations.

Any paid form of non-personal communication by an identified sponsor to promote ideas, goods, or services. Used for standardized products, large markets, easily communicated features, low-priced products, new products, and independent distribution channels.

Advantages include building a long-term brand image, generating quick sales, influencing customer decisions, reaching a wide market, and reminding customers about existing brands.

Disadvantages include being impersonal, lacking immediate response, being costly, and potentially being very expressive.

A personal presentation by a company's sales force to make sales and build relationships with customers. It involves persuasive communication between a sales representative and potential buyers.

Personal selling focuses on building relationships with customers, providing personalized information and customized solutions, and creating trust and loyalty.

Personal selling can be time-consuming, high-cost, and requires specific skills and training.

The final stage of the sales process, where the salesperson asks the buyer to make a purchase.

Activities aimed at ensuring customer satisfaction and encouraging repeat business. This can include follow-up calls, surveys, or offering additional support.

A sales force structure where each salesperson is assigned a specific geographical area to manage and sell products.

A sales force structure organized based on the specific product lines each salesperson handles.

A sales force structure organized based on different types of customers. Salespeople specialize in serving specific customer segments.

A combination of territorial, product, and customer-based sales structures. This approach provides flexibility depending on the specific needs of the business.

Short-term incentives designed to encourage immediate purchase or sale of a product or service. Examples include discounts, coupons, or contests.

The process of building positive relationships with the public and stakeholders, including media, customers, and investors.