Chapter 12 - managing products

16 terms by eeeeee

Create a new folder

Advertisement Upgrade to remove ads

line extension

develop a product that's related to 1+ products in existing product line
designed to meet somewhat diff needs
more common than new products b/c less expensive, lower-risk
may focus on diff market segment
if unsuccessful, can hurt core product

product modification

changing the firm's product
diff from line extension b/c this replaces orig. product
1) customer must be able to notice a change has been made
2) should better match customer needs

quality modification

changing dependability & durability
reducing quality can lower P and direct at a diff target market

functional modification

change in effectiveness, convenience, etc.
can be done to fill in current product shortcomings

aesthetic modifications

changes appeal, can differentiate from competitors

new products

1) expensive & risky
2) failure to intro new products is risky

new-product development process

1) idea generation
2) screening
3) concept testing - sample of potential buyers is presented w/ idea
4) business analysis
5) product development - feasible to produce?
6) test marketing
7) commercialization - fullscale manuf & marketing

product design

how product is conceived, planned, & produced
physical characteristics

product features

characteristics, what product can do/perform

customer services

any human/mech. effort to add product value
delivery, installing, financing, etc

repositioning

requires changes in perception
to avoid cannibalization
can be accomplished by changing any part of marketing mix

product deletion

a weak product drains profitability and time & resources
3 ways:
1) phase-out - let it decline w/o changing marketing strategy
2) run-out - increased marketing efforts, P reductions, to exploit ANY strengths left in the product
3) immediate drop - best when losses are too great to prolong its life

brand manager

responsible for single brand

market manager

responsible for managing the marketing activities that serve A PARTICULAR group of customers

product manager

resp. for product, product line, or several products

venture team

creates entirely new products aimed at new products

Please allow access to your computer’s microphone to use Voice Recording.

Having trouble? Click here for help.

We can’t access your microphone!

Click the icon above to update your browser permissions above and try again

Example:

Reload the page to try again!

Reload

Press Cmd-0 to reset your zoom

Press Ctrl-0 to reset your zoom

It looks like your browser might be zoomed in or out. Your browser needs to be zoomed to a normal size to record audio.

Please upgrade Flash or install Chrome
to use Voice Recording.

For more help, see our troubleshooting page.

Your microphone is muted

For help fixing this issue, see this FAQ.

Star this term

You can study starred terms together

NEW! Voice Recording

Create Set