1. Product Mix Chapter 7 Overview

2. Segmentation Not Proliferation

3. One Size Doesn’t Fit Anybody Very Well Consumers buy benefits, and products that BEST address their SPECIFIC need will get purchased. Segmentation Analysis can help you determine where you need products to address consumer needs.

4. What It’s Not It’s not just line-extensions….(Dove Soap and Dove Shampoo). It’s usually distinct, stand alone brands that address specific consumer needs.

5. Cleans, Whitens and Sanitizes Cleans & Keeps Colors Vibrant Ground in dirt & Stains Everyday Dirt Cheer Tide All Dreft Tide w/ Bleach

6. Generic Quality Premium Quality Low Priced High Priced

7. Product Mix Covers All the IMPORTANT Bases It’s all about SALES. If the number of consumers that want a product to fulfill that need is significant, offer it. Don’t be a flea on an elephant’s behind. (I.e. toothpaste for those with braces).

8. Fighter Brands Protect the premium brands. Are hard to detect as a consumer. Are almost always found as “in-store specials”. Work particularly well in “commodity” categories.

9. The Phone Wars History My crystal ball from 1997…… MCI / Worldcom: Bankrupt Sprint: now mostly a wireless phone company. AT&T: Still slugging away and losing money.

10. Linked Benefits Great taste & low calories. Clean, white teeth, fresh breath, tartar control, fights gum disease. Clean, comfortable shave.

11. NEVER try to segment and unlink LINKED BENEFITS

12. Usage Occasion Can be an effective way of segmenting and creating a reason to own multiple versions of your product: Chapstick Regular Healing w/ Vitamin E Sunblock Protection Flavored Winter Protection