Terms in this set (28)
anything that can be offered to a market for attention, acquisition, use, or consumption that might satisfy a want or need.
___ also include services, events, persons, places, organizations, ideas, or a mixture of these.
are a form of product that consists of activities, benefits, or satisfactions offered for sale that are essentially intangible and do not result in the ownership of anything.
Ex: banking, hotel, airline travel, retail, wireless communication, and home-repair services.
pure tangible good
such as soap, toothpaste, or salt; no services accompany the product.
the market offer consists primarily of a service. Examples include a doctor's exam and financial services.
levels of product and services
1. CORE CUSTOMER VALUE: when designing products, marketers must first define the core, problem-solving benefits or services that consumers seek.
2. At the second level, product planners must turn the core benefit into an ACTUAL PRODUCT: they need to develop product and service features, a design, a quality level, a brand name, and packaging.
3. Finally, product planners must build an AUGMENTED PRODUCT: around the core benefit and actual product by offering additional consumer services and benefits. Ex: Apple offering customer service
are products and services bought by final consumers for personal consumption.
Convenience products (falls under consumer products)
are consumer products and services that customers usually buy frequently, immediately, and with minimal comparison and buying effort.
Ex: laundry detergent, candy, magazines, and fast food
Are usually low priced, and marketers place them in many locations to make them readily available when customers need or want them.
Shopping products (falls under consumer products)
are less frequently purchased consumer products and services that customers compare carefully on suitability, quality, price, and style.
When buying shopping products and services, consumers spend much time and effort in gathering information and making comparisons.
Ex: furniture, clothing, used cars, major appliances, and hotel and airline services.
Shopping product marketers usually distribute their products through fewer outlets but provide deeper sales support to help customers in their comparison efforts.
are consumer products and services with unique characteristics or brand identification for which a significant group of buyers is willing to make a special purchase effort.
Ex: include specific brands of cars, high-priced photography equipment, designer clothes, gourmet food.
Buyers normally do not compare specialty products. They invest only the time needed to reach dealers carrying the wanted products.
are consumer products that the consumer either does not know about or knows about but does not normally consider buying.
Most major new innovations are unsought until the consumer becomes aware of them through advertising.
Classic examples of known but unsought products and services are life insurance, preplanned funeral services, and blood donations.
By their very nature, unsought products require a lot of advertising, personal selling, and other marketing efforts.
are those products purchased for further processing or for use in conducting a business.
The distinction between a consumer product and an industrial product is based on the PURPOSE for which the product is purchased.
Three groups of industrial products
1. Material and parts: include raw materials as well as manufactured materials and parts. Most manufactured materials and parts are sold directly to industrial users. Price and service are the major marketing factors; branding and advertising tend to be less important.
2. Capital items: are industrial products that aid in the buyer's production or operations, including installations and accessory equipment.
3. Supplies and Services: supplies include operating supplies and repair and maintenance items.
Supplies are the convenience products of the industrial field because they are usually purchased with a minimum of effort or comparison.
consists of activities undertaken to create, maintain, or change the attitudes and behavior of target consumers toward an organization.
Corporate image marketing
Business firms sponsor public relations or ___ campaigns to market themselves and polish their images.
consists of activities undertaken to create, maintain, or change attitudes or behavior toward particular people. Builds reputations or for organizations use well-known personalities to help sell their products or causes.
involves activities undertaken to create, maintain, or change attitudes or behavior toward particular places.
I <3 NY t-shirts
this are has been called social marketing: as the use of commercial marketing concepts and tools in programs designed to influence individuals' behavior to improve their well-being and that of society.
is one of the marketer's major positioning tools. Quality affects product or service performance; thus, it is closely linked to customer value and satisfaction. Marketers define quality in terms of creating customer value and satisfaction.
Total Quality Management (TQM)
is an approach in which all of the company's people are involved in constantly improving the quality of products, services, and business processes.
Today, companies are taking a return on quality approach, viewing quality as an investment and holding quality efforts accountable for bottom-line results.
Product quality has two dimensions:
level and consistency. In developing a product, the marketer must first choose a quality level that will support the product's positioning. Here, product quality means performance quality- the product's ability to perform its functions.
Companies choose a quality level that matches target market needs and the quality levels of competing products.
Product quality means conformance quality- freedom from defects and consistency in delivering a targeted level of performance.
a product can be offered with varying features. A stripped-down model, one without any extras, is the starting point. The company can then create higher level models by adding more features. Features are a competitive tool for differentiating the company's product from competitor's products.
Product Style and Design
Style simple describes the appearance of a product. A sensational style may grab attention and produce pleasing aesthetics, but it does not necessarily make the product perform better. Unlike style, design is more than skin deep-it goes to the very heart of a product. Good design contributes to a product's usefulness as well as to its looks.
is a name, term, sign, symbol, or design, or a combination of these, that identifies the maker or seller of a product or service. Consumers view a brand as an important part of a product, and branding can add value to a consumer's purchase. Customers attach meanings to brands and develop brand relationships. As a result, brands have meaning well beyond a product's physical attributes.
involves designing and producing the container or wrapper for a product.
range from simple tags attached to products to complex graphics that are part of the packaging.
At the very least, the label: identifies the product or brand, the label might also describe serval things about the product- who made it, where was it made, when it was made, its contents, how it is to be used. Finally the label might help to promote the brand, support its positioning, and connect with customers.
is a group of products that are closely related because they function in a similar manner, are sold to the same customer groups, are marketed through the same types of outlets, or fall within given price ranges
product line length
the major product line decision involves ___: the number of items in a product line. The line is too short if the manager can increase profits by adding items; the line is too long if the manager can increase profits by dropping items.
Expanding product line
by line filling or line stretching. Product line filling: involves adding more items within the present range of the line. There are several reasons for product line filling: reaching for extra profits, satisfying dealers, using excess capacity, being the leading full-line company, and plugging holes to keep out competitors. However, line filling is overdone if it results in cannibalization and customer confusion.