Products, Services & Brands CH 8 PDF

 Products Defined Product: any market offering that is intended to satisfy a want or need. Service: a type of product that is intangible and does not result in the ownership of anything. Experience: a type of product that combines a...

 Products Defined Product: any market offering that is intended to satisfy a want or need. Service: a type of product that is intangible and does not result in the ownership of anything. Experience: a type of product that combines a service or physical product with a memorable experience. 11/11/2024 MKT201, Suman Saha 2  Product Levels Augmented Product Installation Packaging Brand Features Name Core After- Delivery Customer Value Sale & Credit Service Quality Styling Warranty Core Product Actual Product 11/11/2024 MKT201, Suman Saha 3  Levels of a Product Core product or benefit: (What the buyer is really Buying). Actual product: – Packaging, features, design, quality level, brand name. Augmented product: – Warranty, delivery, credit, installation, service. 11/11/2024 MKT201, Suman Saha 4  Consumer Product Classifications Convenience Shopping Types of Consumer Products Unsought Specialty Goods 11/11/2024 MKT201, Suman Saha 5  Convenience Products Purchased frequently and immediately and minimum purchase effort. Low priced. Mass advertising. Many purchase locations. Examples: candy, soda, newspapers, soft drinks, chocolates 11/11/2024 MKT201, Suman Saha 6  Shopping Products Bought less frequently. Fewer purchase locations. Comparison(Suitability, Quality, Price and Styles). Consumer spend much time and effort in gathering information. Examples: furniture, clothing, cars, appliances. 11/11/2024 MKT201, Suman Saha 7  Specialty Products Special purchase efforts. High price. Unique characteristics. Brand identification. Few purchase locations. Buyers usually do not go for comparison. Examples: Lamborghini, Rolex Watch. 11/11/2024 MKT201, Suman Saha 8  Unsought Products Buyers usually do not know about or know about but do not normally think of buying. New innovations (Until people know about it). Require much advertising and personal selling. Examples: life insurance, preplanned funeral arrangements, blood donation. 11/11/2024 MKT201, Suman Saha 9  Industrial Product Classifications Materials Capital and Types of Items Parts Industrial Products Supplies and Services 11/11/2024 MKT201, Suman Saha 10  Industrial Products Types Materials and parts: Raw and manufactured materials, parts. Capital items: – Buildings and equipment used in buyer’s production or operations, long useful life. Supplies and services: – Operating supplies, repair and maintenance items and services. 11/11/2024 MKT201, Suman Saha 11  Building Strong Brands Brand positioning Brand Name Selection Selection Protection Brand Sponsor Manufacturer’s Brand Private Brand Licensed Brand Co-brand Brand Strategy New Brands Line/Brand Extensions , Multiband 11/11/2024 MKT201, Suman Saha 12 11/11/2024 MKT201, Suman Saha 13  Brand Positioning Can position brands at any of three levels. – Product attributes. – Product benefits. – Consumer beliefs and values. – Position Dove Soap on: » Product Attributes 1/4 moisturizing lotion » Desirable Benefits Softer Skin » Beliefs and Values "A healthier more democratic view of beauty" 11/11/2024 MKT201, Suman Saha 14  Brand Name Selection Desirable qualities 1. Suggest benefits and qualities: Glow & Lovely 2. Easy to pronounce, recognize, and remember: Lux, Head & Shoulder, Radhuni, Mum 3. Distinctive: Lexus, Rolex 4. Extendable: Amazon.com, Fresh 5. Translatable for the global economy: NOVA, Mist-Stick. 6. Capable of registration and legal protection: Burger King, Band-Aid, Xerox, Nylon.  Brand Sponsorship Manufacturer’s brand – Brand sponsored and promoted by the producer of the good, such as Kellogg’s, Maytag or IBM. Private brand – Brand created and owned by a reseller of a product or service. 11/11/2024 MKT201, Suman Saha 18 11/11/2024 MKT201, Suman Saha 19  Brand Sponsorship Licensing – Selling the use of established brand names or identities to companies. Co-branding – Using the established brand names of two different companies on the same product. 11/11/2024 MKT201, Suman Saha 20 11/11/2024 MKT201, Suman Saha 21 11/11/2024 MKT201, Suman Saha 22  Brand Development Product Category Existing New Existing Line Brand Extension Extension Brand Name New Multibrands New Brands 11/11/2024 MKT201, Suman Saha 23  Brand Development Line extension – Introduction of additional items in a given product category under the same brand name (e.g., new flavors, forms, colors, ingredients or package sizes). Ex: Lux, Coke Brand extension – Using a successful brand name to launch a new or modified product in a new category. Ex: Maggi, Fresh, Lux, Axe 11/11/2024 MKT201, Suman Saha 24  Line extension 11/11/2024 MKT201, Suman Saha 25  Brand extension 11/11/2024 MKT201, Suman Saha 26  Brand Development Multi-brands – Using different brands under same product category. Company wants to gain as much market share as possible. Ex: Head & Shoulder, Pantene. New brands – Developed based on belief that the power of its existing brand is waning and a new brand name is needed. Also used for products in new product category. Ex: Lexus, Infinity 11/11/2024 MKT201, Suman Saha 27  Multi-Brands 11/11/2024 MKT201, Suman Saha 28  New Brand 11/11/2024 MKT201, Suman Saha 29  Services Nature and Characteristics of a Service