1. 10 Product Concept
Professor Close

2. Service (def) deed for another
Product Planning
Product:
- Anything a customer gets in an exchange (good, bad)
Need satisfying offerings (Hallmark)
Can be a good or a service
Services are “products” too
Good
Tangible
In advance
Possible
Consistent
Some Characteristics
Nature
Production simultaneity
Storage/ Perishability
Transport
Quality/ Heterogeneity
Service (def) deed for another
Intangible
“Close” to the customer
Impossible
Inconsistent

3. Product Planning Quality (What does it mean?)
Product’s ability to satisfy customer’s needs/requirements.
Consistency (McDonalds and what other companies?)
Relative quality – similar products
against each other
What do you think are some
quality products? Why?

4. Consumer Products
General classification: what types of customers will use them?
Businesses B2B or consumers B2C
Consumer products:
For “final” users
Classifying consumer products
How consumers shop
How consumers think about them
Perception usage varies (among food items and what other product categories?)

5. 4 Types of Consumer Products
1. Convenience
Little time/effort; frequent purchase
Intense distribution
Substitutes acceptable
Low price (grocery products)
2. Shopping: time comparing alternatives; less frequent purchase, low loyalty
Homogeneous: seen as same; want bargain
Heterogeneous: seen as different; want quality; salespeople help desired
Marketing: fewer outlets, higher markups

6. 4 Types of B2C Products, cont.
3. Specialty: is shopping an end, pleasurable; willingness makes it specialty
Planned purchase: strong desire and effort (collectors); alternatives unacceptable
Amount of search (Beanie Babies; xmas toys)
Limited availability is OK; high markups
4. Unsought (tombstones; towing; dentists)
Only want “in a pinch;” infrequent and no effort; lack knowledge or desire
Promotion; sales (Dentists for phobic patients)
What are your unsought products?

7. What type of product?

8. What type of product?

9. B2B Products Businesses (B2B): Use to make other products
Bought and resold
Used for corporate or organization’s use
Less shopping is involved (vs. B2C)
Classify via:
How buyers think about the product
What type of customer will use the product
How the product is used

10. Product Items, Lines, and Mixes
Item: version of a product (Diet Coke)
Line: group of closely related products (Coca-Colas soft drinks)
Mix: all the products a company offers (water, energy drinks, soda)
Modify and reposition (Old Navy)

11. Should Old Navy Reposition???

12. Branding Identify product via letters, terms, designs
Branding strategies:
Brand name – letters associated with product
Trademark/servicemark – words, symbols for one firm (legally protected)
Co-brand (apple ipod and coach)
Family – one brand, many products (Hershey’s, Campbell’s)
Generics – no brand (signal of savings)
Dealer/private label: by store
National/manufacturer: by vendor

13. Hot or not…What are the most equitable brands?

14. Equitable Brands Apple Blackberry Google Amazon Yahoo eBay Red Bull
Starbucks
9. Pixar
10. Coach
11. Whole Foods
12. EA Sports/Games
13. MTV
14. Samsung
15. Victoria’s Secret
16. Nike

15. Branding Brand equity: financial value of the brand name
Value (are we just paying for the name?)
Consumer – familiarity
Seller- be authentic, true to your people
Less promotion (Reese’s)
Legal protection (Coke; Olympic rings)

16. Better Branding; Less Promotion

17. Packaging Defined as: Container or wrapping Elements:
Function (fridgepack; pill bottles)
Promotion (L’eggs pantyhose; square Chanel)
Issues:
- UPC codes needed
Information: government guidelines (good or bad??)
Waste (kids lunches)
Size (changing??)

18. Labeling Ethics (size of drink and sodium, calories) Warrantees
Persuasive labeling (little information; focus on logo)
Informational labeling (helps your buying decision; lessens cognitive dissonance)
Your examples of each type of labeling?

19. Summary Global branding issues Cobranding Trademarks/service marks
Brand equity
Branding strategies
Product packaging/labeling