350 Ch 7 - Branding + Products

marketers definition of products

an offering to a consumer for attention, acquisition, use, or consumption that might satisfy a want or need

• tangible/intangible

• events, people, places, organizations, ideas

levels of product

• core customer value

• actual product

  • designs, features, quality

• augmented product

  • after-sale service, warranty, delivery

consumer products

Bought by final consumers for personal consumption

industrial products

Bought for further processing / for use in conducting a business

• Materials and parts, capital items, and supplies and services

Homogeneous products

customer thinks product options basically the same

• wants the lowest price

Heterogeneous

customer thinks differences in product options

• considers other attributes in addition to price

organization marketing

person marketing

place marketing

social marketing

individual product decisions

• product attributes

• branding

• packaging

• labeling

• product support services

product mix

encompasses different product lines

product line

related products that

• have similar functions and customer groups

• sold through similar outlets or fall within given price ranges

product line length

• # of items in the line

  • line filling

  • line stretching

product mix decisions

• width

  • # of different product lines in a company

• length

  • # of items a company carries within each line

• depth

  • # of versions offered for each product in the line

• consistency

  • relativity of various product lines in end use, product requirements, distribution channels, etc

service characteristics

• intangibility

  • services cant be seen/smell/heard/tasted/felt before purchase

• inseparability

  • cannot be separated from their providers

• variability

  • quality of service depends on who provides them + where/how they are performed

• perishability

  • services cannot be stored for later sale or use

Managing Service Differentiation

Developing a differentiated offer, delivery, and image

Managing Service Quality

Delivering consistently higher quality than comp

Managing Service Productivity

• training current employees or hiring new ones

• increasing the quantity of service by giving up some quality

• harnessing the power of technology

Brand

• symbol/name/sign/design that identifies the p/s of sellers; differentiates them from those of competitors

• brands have meaning WAY beyond physical product attributes

Consumers Perception of Brand

• brand is an important part of a product, and can add value to a consumer’s purchase

• consumers attach meaning to brands and develop brand relationships

brand equity

• effect that knowing a brand name has on customer response to the product or its marketing

brand valuation

estimation of the total financial value of a brand

customer equity

value of customer relationships that the brand creates

brand positioning (1/4 strategy decisions)

• attributes

• benefits

• beliefs and values

brand name selection (2/4 strategy decisions)

• selection

• protection

brand sponsorship (3/4 strategy decisions)

• manufacturers’ brand

• private brand

• licensing

• co-branding

brand development (4/4 strategy decisions)

• line extensions

• brand extensions

• multibrands

• new brands