Product Marketing Concepts

Flashcards covering key concepts of product marketing, pricing strategies, consumer goods, and marketing communications.

Core Product

The fundamental need or benefit that the consumer is seeking.

Augmented Product

Additional services or benefits that come with a core product, enhancing its value.

Actual Product

The tangible product or service that provides the core benefit.

Convenience Goods

Items that are easily accessible for consumers, usually inexpensive and purchased frequently.

Unsought Goods

Products that consumers do not actively seek out or may not be aware of until needed.

Shopping Goods

Products that consumers spend time comparing before making a purchase, often moderately priced.

Specialty Goods

High-end products with specific brand appeal that consumers are willing to make a special effort to buy.

Pricing Strategy - Cost-Based

A pricing strategy that establishes the price based on the cost of production plus a markup for profit.

Value-Based Pricing

Setting prices based on the perceived value of the product rather than on the cost.

Skimming Pricing Strategy

Setting a high price for a new product to maximize profits from those willing to pay more.

Penetration Pricing Strategy

Setting a low price to attract customers and gain market share quickly.

Product Bundle Pricing

Offering several products for sale as one combined product at a discounted price.

Integrated Marketing Communications (IMC)

A strategy to unify all marketing communication tools to deliver a clear message.

Building Customer Relationships

The process of establishing long-term relationships with customers to enhance satisfaction and loyalty.

Sales Promotion

Short-term incentives to encourage the purchase or sale of a product.

Direct Marketing

Promoting products directly to consumers through various media, often with a call to action.

Supply Chain Management

The management of the flow of goods and services, including all processes that transform raw materials into final products.