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Setting Product Strategy

.Chapter Questions • What are the characteristics of products and how do marketers classify products? • How can companies differentiate products? • How can a company build and manage | Setting Product Strategy Marketing Management, 13th ed 12 Chapter Questions What are the characteristics of products and how do marketers classify products? How can companies differentiate products? How can a company build and manage its product mix and product lines? Chapter Questions (cont.) How can companies combine products to create strong co-brands or ingredient brands? How can companies use packaging, labeling, warranties, and guarantees as marketing tools? What is a Product? A product is anything that can be offered to a market to satisfy a want or need, including physical goods, services, experiences, events, persons, places, properties, organizations, information, and ideas. Components of the Market Offering Value based prices Product features and quality Services mix and quality Five Product Levels Core benefit Basic product Expected product Augmented product Potential product Product Classification Schemes Durability Tangibility Use Durability and Tangibility Nondurable goods Durable goods Services Consumer Goods Classification Convenience Shopping Specialty Unsought Industrial Goods Classification Materials and parts Capital items Supplies/business services Product Differentiation Product form Features Customization Performance Conformance Durability Reliability Repairability Style Service Differentiation Ordering ease Delivery Installation Customer training Customer consulting Maintenance and repair Returns The Product Hierarchy Need family Product family Product class Product line Product type Item Product Systems and Mixes Product system Product mix Product assortment Depth Length Width Consistency Product Line Analysis Core product Staples Specialties Convenience items Line Stretching Down-market stretch Up-market stretch Two-way stretch Product-Mix Pricing Product-line pricing Optional-feature pricing Captive-product pricing Two-part pricing By-product pricing Product-bundling pricing What is the Fifth P? Packaging, sometimes called the 5th P, is all the activities of designing and producing the container for a product. Factors Contributing to the Emphasis on Packaging Self-service Consumer affluence Company/brand image Innovation opportunity Packaging Objectives Identify the brand Convey descriptive and persuasive information Facilitate product transportation and protection Assist at-home storage Aid product consumption Functions of Labels Identifies Grades Describes Promotes | Setting Product Strategy Marketing Management, 13th ed 12 Chapter Questions What are the characteristics of products and how do marketers classify products? How can companies differentiate products? How can a company build and manage its product mix and product lines? Chapter Questions (cont.) How can companies combine products to create strong co-brands or ingredient brands? How can companies use packaging, labeling, warranties, and guarantees as marketing tools? What is a Product? A product is anything that can be offered to a market to satisfy a want or need, including physical goods, services, experiences, events, persons, places, properties, organizations, information, and ideas. Components of the Market Offering Value based prices Product features and quality Services mix and quality Five Product Levels Core benefit Basic product Expected product Augmented product Potential product Product Classification Schemes Durability Tangibility Use Durability and Tangibility Nondurable .