Thẻ ghi nhớ: Marketing Ch 7: Products, services and brands creating customer value | Quizlet

A product

Anything that can be offered to a market for attention, acquisition, use, or consumption that might satisfy a want or need

A service

An activity, benefit, or satisfaction offered for sale; it is essentially intangible and does not result in ownership of anything

The concept of Market Offerings

- Includes both tangible goods and intangible services or experiences

- Companies attempt to create market offerings that differentiate what they offer from those being offered by competitors

Three levels of a product

1. Core customer value

2. Actual product

3. Augmented product

Core customer value

Versatility- expressing your creativity or playing an immersive game

Actual product

Next generation performance/capabilities, advanced displays, superfast wireless connectivity, powerful features, more memory, all day battery life

Augmented product

Cases, Apple Pencil, Magic Keyboard, Airpods, Powers and cables, etc

Consumer products

bought by final consumers for personal consumption

Industrial products

Bought by by individuals and organizations for further processing or for use in conducting a business

Distinction

the purpose for which product is purchased

Classification/Types of Consumer Products

Convenience, shopping, specialty, unsought products

Convenience products

Bought frequently, immediately, and with minimal comparison and buying effort

Shopping products

Bought relatively less frequently, compared carefully on attributes like suitability, quality, price, and style

Specialty products

Have unique characteristics or brand identification for which a signifcant group of buyers is willing to make a special purchase effort (money and time)

Unsought products

Either not known to consumers or not normally considered by them for buying

SLIDE 9

Types of Industrial Products

- Materials and parts- price/service

- Capital items- durable/fixed assets

- Supplies and services- usually contracted

Materials and parts

raw materials like farm products (wheat, cotton), and natural products (fish, lumber); manufactured materials and parts include component materials (iron, yarn) and componentsv parts (motors, tires, castings)

Capital items

Aid in buyers productions and operations- installations include buildings (factories and offices) and fixed equipment (generators, computer systems); accessory equipment include portable factory equipment and tools, and office equipment

Supplies and services

Operating supplies, repair and maintenance supplies, and business advisory services

Organization market offerings

Activities undertaken to create, maintain, or change the attitudes and behavior or target consumers toward an organization

- business firms sponsor public relations or corporate image marketing campaigns to market themselves and polish their images

Person Marketing

Activities undertaken to create, maintain, or change attitudes or behavior toward particular people

- Skillful use of marketing can turn a person's name into a powerhouse brand

EX Rare beauty

Place marketing

Involves activities undertaken to create, maintain, or change attitudes or behavior toward particular places

Idea/social marketing

Consists of using traditional business marketing concepts and tools to create behaviors that will create individual and societal well-being and bring about beneficial social change

What is a product (recap)

Products, services, and experiences

3 levels (recap)

core customer value, actual, and augmented value

Consumer products (recap)

convenience, shopping, specialty, and unsought

Industrial products (recap)

materials and parts, capital items, and supplies and services

Product and service attributes

Product quality, product quality dimensions

Product quality

One of the marketers major positioning tools (TQM total quality management)

Product quality dimensions

level (performance quality) and consistency (conformance quality)

Product features (last one style and design)

Stripped down version vs value added features

Customer value vs company cost

Branding

the most distinctive skill of professional marketers that creates meaning beyond just a product's physical attributes

Brand

A name, term, sign, symbol, or design, or a combination of these that identifies the products and services of a seller and differentiates them from those of competitors

Brand help consumers identify products, signal something about product quality, and also offer legal protection

Packaging

Designing the container or wrapper

prime marketing space, wrap rage, over packaging, environmental responsibility

Labeling and logos

- Identification for the product or brand

- Description of who made it

- Logo redesigns

- Legal concerns about labels

A product line

A group of closely related products that...

- have similar functions

- Are sold to the same customer groups

- Are marketed through similar outlets

- Fall within given price ranges

Product line length

The number of items in the product line

- product line filling

- product line stretching

Product line filling

Adding more items within the present rangeof the product line

Line stretching

When a company lengthens its product line beyond its current range, downward, upward, or both ways

Product mix (or product portfolio)

Consists of all the product lines, and items that a particular seller offers for sale

Width (product mix decisions)

Number of different product lines the company carries

Length (product mix decisions)

Total number of items a company carries within its product lines

Depth (product mix decisions)

Number of versions offered for each product in the line

Consistency (product mix decisions)

Relatedness of the various product lines in terms of their end use, production requirements, distribution channels, or some other aspects

Product mix will be convenient if...

all the products in all the product lines are more or less similar

Services marketing 4 key service characteristics

Intangibility, inseparability, variability, perishability

Intangibility

Services cannot be seen, tasted, felt, heard, or smelled before purchase

Inseparability

Services cannot be separated from their providers

Variability

Quality of services depends on who provides them and when, where, and how

Perishability

Services cannot be stored for later sale or use

Service profit chain

The chain that links service firm profits with employee and customer satisfaction, consists of five links

- Internal service quality

- Satisfied and productive service employees

- Greater service value

- Satisfied loyal customers

- Healthy service profits and growth

3 Types of Services marketing

Internal marketing, external marketing, interactive marketing

Managing service differentiation

Developing a differentiated offer, delivery, and image

Managing service quality

Delivering consistently higher quality than the competitors

Managing service productivity

- Training currently employees and honoring new ones

- Increasing the quantity of service by giving up some quantity

- Harnessing the power of technology

Brand Equity (BE)

The differential effect that knowing the brand name has on customer response to the product or its marketing

With positive brand equity...

consumers react more favorably to the brand than to an unbranded version of the same product

Consumer perception dimensions

1. Differentiation (what makes brand stand out)

2. Relevance (how consumers feel it meets their needs)

3. Knowledge (how much consumers know about the brand)

4. Esteem (how highly consumers respect the brand)

Some benefits of high brand equity

- Bargaining power with resellers

- Easy to launch

- Defense against fierce competition

Brand value (power of the brand)

the total financial value of a brand

Customer equity (CE)

The value of customer relationships that the brand creates- how do we calculate this using CLV?

LEARN RELATIONSHIP BETWEEN BE AND CLV

Customer equity (CE)

the value of customer relationships that the brand creates

Brand Positioning

Marketers need to position their brand clearly in target consumers minds

Can position on only 3 levels

1. Product or service attributes

2. Benefits

3. Beliefs values, and feelings

When positioning, marketers should...

Establish a mission for the brand and a vision of what the brand must be and do

Finding a good brand name

Art + science + impact

Desirable qualities for a brand name

Should suggest something about the products benefits and qualities, easily pronounced/remember/recognize (amazon), translate easily into foreign languages, capable and legal protection

National brands

Manufacturers brands

- store brands

- licensing

- co-branding

Store brand not = generic brand

a brand that lacks a widely recognized name or logo bc it isn't advertised

Co branding

occurs when two established brand names of different companies are used on the same product

SLIDE 45

brand development strategies

Line extension

Company extends existing brand names to new forms, colors, sizes, ingredients, or flavors of an existing product category, (different types of doritos or skippy peanut butter)

Brand extension

Company extends a current brand name to a new product or product category

Multibrand

Company markets many different brands in a given, existing product category

New brand

The company creates a new brand name while entering an entirely new product category (Army Hammer or Clorox adding new product types to existing brand)

Managing brands

Brands are actually maintained by customer engagement and experiences

manage brand touchpoints and train employees