Product

Brand Image

The identity of a product that helps customers recognize it

• Higher Prices can be charged

• Customer Loyalty

• Helps customer recognize the product

Role of Packaging

• To help customers recognize the product

• To provide information about the product

• To protect the product

• To promote the brand

Product Life Cycle

• Introduction

• Growth

• Maturity

• Decline

Extension Strategies

• Find new markets

• Find uses for the product

• Advertise the product

• Improve the product/packaging

Develop New Product

Advantages

• Appeal to a wider customer base

• Charge Higher Prices

• Spreads risks

• Economies of scales

Disadvantages

• Product might fail

• Market research takes time and money

• High Advertising Costs

Price Skimming

Setting a High price for a product newly introduced into the market

Dynamic Pricing

Setting Different prices based on different customers

Competitive Pricing

Setting Price similar to customers

Cost Plus Pricing

Adding a mark up to the price of the product

Penentration Pricing

Setting a price below the market price level