2. Product and Services Strategy What is a product? One more time…

3. More on product… Goods Services Experiences

4. A Product Dissected: Core benefit Actual product Augmented Product Brand Name Quality Packaging Features Warranty Delivery Service Installation

5. Other product terms Brand: name, symbol, term, design or combination that distinguishes competitors products Brand name Brand mark Product line Product mix

6. Branding To brand or not to brand –Paul McCartney applies to trademark his name –George Foreman: $137.5 Million from Salton (Foreman Grills) “Foreman is a brand, not a grill” wsj 2/2 Brand sponsor: manufacturer, private, or licensed –Brand Equity: positive differential effect brand has on customer response (e.g. price premium) Family brand? Multibrand?

7. Brand Strategies Product Category ExistingNew Brand Name Existing New Line Extension Brand Extension Multibrands New Brands

8. Packaging Benefits for manufacturer, consumer, and reseller –communications –storage –convenience –protection –perception “From a packaging viewpoint, Reser's most successful branding effort has been its nationwide rollout, last year, of Salad Ovals. Purely through packaging, Reser's has added value to its flagship product. The company's sales of prepackaged salads are 27% ahead of last year, attributable solely to the new package”

9. Product Classifications Durables Non-durables

10. Product Classifications: Consumer Convenience Products –staples, unplanned, and emergency Shopping Products Specialty Products Unsought Products

11. Product Classifications: Industrial Materials and Parts: become part of the product Capital Items: aid in production or operations –installations and accessories Supplies and Services

12. Services are… Intangible Inseparable Variable Perishable