Unit 4.5.1 Product

Brand

Brand

A brand is the registered name used to identify a product of a particular business organization.

Brand awareness

The degree of customer knowledge and recognition of a particular brand in order to gain more customers.

Brand development

Part of a firm’s marketing strategy in communicating the value of a brand and what the brand stands for.

Brand loyalty

The degree of customer devotion to a particular brand.

Brand switching

This is the opposite of brand loyalty and occurs when consumers turn to alternative brands, mainly because the original brand has lost some of its former appeal.

Brand value

The expected earning potential of a brand.

Branding

This is the practice of using an exclusive name (brand), symbol, or design which identifies a specific product or business.

Consumer goods

These are products bought for personal consumption, rather than for business use.

Customer loyalty schemes

These are marketing strategies used to attract customers to remain devoted to a brand or business by offering rewards and other incentives for repeat purchases.

Extension strategies

Marketing approaches used to prolong or lengthen a product’s life cycle, e.g., price reductions or new promotional strategies.

Genericised brands

These are brand names that become synonymous with the name of the product itself due to their popularity.

Global brands

These are highly recognized brands in overseas markets. Firms use a unified approach to their global brand strategy to increase its brand recognition as well as to support its brand awareness and brand development in new markets.

Innovators

The name given to the group of consumers who are the first to own a certain product, usually due to the prestige associated with being first and/or customer loyalty to a particular brand or product.

Logo

A form of branding that uses a visual symbol to represent a business, brand, or product.

Marketing myopia

This exists when a business becomes complacent about its product strategy, thereby failing to keep up with market changes

Multi-brand strategy

This marketing strategy involves a business developing more than one brand as part of its overall product strategy.

Producer goods

These are products purchased by a business for its commercial use, rather than for private consumption, e.g., machinery, equipment, tools, fixtures and fittings, and office stationery.

Product

This refers to both physical (goods) and non-physical (services) items sold by a business or purchased by a customer.

Product differentiation

This refers to marketing strategies used to make a product distinct from its rivals

Product life cycle

Marketing theory showing the different stages that most products go through from their research and development (R&D) stage to their final removal from the market.

Product portfolio

The range and mix of products sold by a business, including the various brands of all the products it owns.

Prototype

This is a trial product, used during the pre-launch stage of the product life cycle, to evaluate the potential commercial success of the product.

Services

Intangible products or non-physical products offered by a business, e.g., education, entertainment, healthcare, as well as travel and tourism.

Slogans

These are corporate catchphrases used as a marketing strategy to signify the or represent a brand, product, or business in a favourable and memorable way.

Test marketing

This is part of the pre-launch stage in a product’s life cycle, when a business trials a new product with a small number of customers, usually in a specific geographical location prior to the official launch.

Trademark

A form of legal protection for the intellectual property (IP) of a business by giving the owner of the IP to have exclusive use of the brand name.