mktg7 chapter10

8/11/2019 MKTG7 chapter10

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Lamb, Hair, McDaniel

Chapter 10

Product

Concepts

2012-2013


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2013 by Cengage Learning Inc. All Rights Reserved. 2

What Is a Product?

Everything, both favorable and

unfavorable, that a person receives in anexchange.

Tangible Good

Service

Idea

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What do we receive in the following exchange?


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What do we receive in the following exchange?


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Just as important are:

Service i.e. a restaurant

The sellers image i.e. LV

Manufacturers Reputation

i.e. BMW

Others perceptions i.e.

Fashion


8/44 2013 by Cengage Learning Inc. All Rights Reserved. 8

Types of Consumer Products

UnsoughtProducts

SpecialtyProducts

ShoppingProducts

ConvenienceProducts

ConsumerProducts

BusinessProducts

Products



Convenience Products

Relatively inexpensive item

Little shopping effort

Buy regularly without planning

Wide distributions



How can brand names

aid the consumption

of Convenience

products?Recall and

Recognition

Perceived Quality

Familiarity and

Knowledge


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May come down to consumers subjective

perceptions

Value may be INTANGIBLE

Shopping Products


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Unsought Products

Unknown to the potential buyer

Buyer does not actively seek info

New products and innovations

Products consumers do not like to think

about

Company must go direct to them ie

personal selling, direct marketing etc


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Is MyBotto a:

Convenience Product

Shopping Product

Specialty Product

Unsought Product


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Product Items,

Lines, and Mixes

Product Item

Product Line

Product Mix

A specific version of a productthat can be designated as adistinct offering among anorganizations products.

A group of closely-relatedproduct items.

All products that anorganization sells.

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http://www.hyundai.com.au/?ppc=1&gclid=CLnevp3avbkCFUZyQgodNE

0Akg&gclid=CLnevp3avbkCFUZyQgodNE0Akg

Hyundai


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Procter and Gamble


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Benefits of Product Lines

Advertising economies

Package uniformity

Standardized components

Efficient sales and distribution

Equivalent quality



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Adjustments

ProductModification ProductRepositioning

Product Line

Extension orContraction

Adjustments to

Product Items ,

Lines, and Mixes

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Product Modification

FUNCTIONAL modification

Change in a products versatility, effectivenessor convenience

Computers and computer technology haveundergone enormous functional modifications



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Product Modification

STYLE modification

Aesthetic product change, rather than qualityor functional

Use modifications to encourage consumers to

purchase new versions i.e. Cars, clothing, iPods



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Branding

BrandName

Brand

Mark

Brand

Equity

That part of a brand that can be spoken,including letters, words, and numbers

The elements of a brand that

cannot be spoken

The value of company and brand names

Global

Brand

A brand where at least a third of theearnings come from outside its home

country

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http://www.bing.com/videos

/search?q=value+of+brand

s&view=detail&mid=97E4FFDD7148013F925497E4F

FDD7148013F9254&first=0

&FORM=NVPFVR

Brand Logos
http://www.bing.com/videos/search?q=value+of+brands&view=detail&mid=97E4FFDD7148013F925497E4FFDD7148013F9254&first=0&FORM=NVPFVRhttp://www.bing.com/videos/search?q=value+of+brands&view=detail&mid=97E4FFDD7148013F925497E4FFDD7148013F9254&first=0&FORM=NVPFVRhttp://www.bing.com/videos/search?q=value+of+brands&view=detail&mid=97E4FFDD7148013F925497E4FFDD7148013F9254&first=0&FORM=NVPFVRhttp://www.bing.com/videos/search?q=value+of+brands&view=detail&mid=97E4FFDD7148013F925497E4FFDD7148013F9254&first=0&FORM=NVPFVRhttp://www.bing.com/videos/search?q=value+of+brands&view=detail&mid=97E4FFDD7148013F925497E4FFDD7148013F9254&first=0&FORM=NVPFVRhttp://www.bing.com/videos/search?q=value+of+brands&view=detail&mid=97E4FFDD7148013F925497E4FFDD7148013F9254&first=0&FORM=NVPFVRhttp://www.bing.com/videos/search?q=value+of+brands&view=detail&mid=97E4FFDD7148013F925497E4FFDD7148013F9254&first=0&FORM=NVPFVRhttp://www.bing.com/videos/search?q=value+of+brands&view=detail&mid=97E4FFDD7148013F925497E4FFDD7148013F9254&first=0&FORM=NVPFVRhttp://www.bing.com/videos/search?q=value+of+brands&view=detail&mid=97E4FFDD7148013F925497E4FFDD7148013F9254&first=0&FORM=NVPFVRhttp://www.bing.com/videos/search?q=value+of+brands&view=detail&mid=97E4FFDD7148013F925497E4FFDD7148013F9254&first=0&FORM=NVPFVRhttp://www.bing.com/videos/search?q=value+of+brands&view=detail&mid=97E4FFDD7148013F925497E4FFDD7148013F9254&first=0&FORM=NVPFVRhttp://www.bing.com/videos/search?q=value+of+brands&view=detail&mid=97E4FFDD7148013F925497E4FFDD7148013F9254&first=0&FORM=NVPFVR


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Name the brand?

Eat Fresh

Im loving it

Finger lickin good

Have a break, have a .

Lifes good!

Keep calm and carry on

Make tomorrow better


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http://www.youtube.com/wa

tch?v=FrHkKXFRbCI

Keep Calm and Carry On


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Benefits of Branding

ProductIdentification

Repeat Sales

New ProductSales

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Branding Strategies

Manufacturers

Brand

PrivateBrand

The brand name of amanufacturer.

A brand name owned by awholesaler or a retailer. Alsoknown as a private label or store

brand.

CaptiveA brand manufactured by a thirdparty for exclusive retailer,without evidence of a thatretailers affiliation.

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Coles Private Label

Mercedes Captive Brand


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Individual Brands Versus

Family Brands

Individual

Brand

Family

Brand

Using different brandnames for different

products.

Marketing several different

products under the same

brand name.

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Cobranding

IngredientBranding

CooperativeBranding

ComplementaryBranding

Types of

Cobranding

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http://www.youtube.com/watch?v=prImvDVHzTM

Apple and Intel


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Trademarks

A Trademark is th e exc lusive r igh t touse a brand.

Many parts of a brand and associatedsymbols qualify for trademark protection.

Trademark right comes from use rather thanregistration.

To renew the trademark, the company mustprove use of the mark.

Rights continue for as long as the mark isused.

Trademark law applies to the online world.4


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Coca Cola Packaging


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Functions of Packaging

Contain and Protect

Promote

Facilitate Storage, Use,and Convenience

Facilitate Recycling

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Global Issues in Packaging

Aesthetics

GlobalConsiderationsfor Packaging

ClimateConsiderations

Labeling

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Labeling

Persuasive labeling

Informational labeling

GREENWASHING



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http://www.ifyoucare.com/

If You are


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Global Issues in Branding

Adaptations &Modifications

Global Optionsfor Branding

One Brand NameEverywhere

Different BrandNames in Different

Markets

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Product Warranties

Warranty

Express

Warranty

Implied

Warranty

A confirmation of the quality orperformance of a good or service.

A written guarantee.

An unwritten guarantee that the good

or service is fit for the purpose forwhich it was sold.

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