Chapter 10 Flashcards
Convenience products
Relatively inexpensive, frequently purchased items for which buyers exert minimal purchasing effort
Shopping products
Items for which buyers are willing to expend considerable effort in planning and making purchases
Specialty products
Items with unique characteristics that buyers are willing to expend considerable effort to obtain
Unsought products
Products purchased to solve a sudden problem, products of which customers are unaware, and products that people do not necessarily think about buying
Installations
Facilities and nonportable major equipment
Accessory equipment
Equipment that does not become part of the final physical product but is used in production or office activities
Raw materials
Basic natural materials that become part of a physical product
Component parts
Items that become part of the physical product and are either finished items ready for assembly or products that need little processing before assembly
Process materials
Materials that are used directly in the production of other products but are not readily identifiable
MRO supplies
Maintenance, repair, and operating items that facilitate production and operations but do not become part of the finished product
Business services
The intangible products that many organizations use in their operations
product item
A specific version of a product that can be designated as a distinct offering among a firm’s products
product line
A group of closely related product items viewed as a unit because of marketing, technical, or end-use considerations
product mix
The total group of products that an organization makes available to customers
width of product mix
The number of product lines a company offers
depth of product mix
The average number of different product items offered in each product line
product life cycle
The progression of a product through four stages: introduction, growth, maturity, and decline
introduction stage
The initial stage of a product’s life cycle—its first appearance in the marketplace—when sales start at zero and profits are negative
growth stage
The stage of a product’s life cycle when sales rise rapidly and profits reach a peak and then start to decline
maturity stage
The stage of a product’s life cycle when the sales curve peaks and starts to decline as profits continue to fall
decline stage
The stage of a product’s life cycle when sales fall rapidly
product adoption process
Awareness. Interest. Evaluation. Trial. Adoption.
five major adopter categories
innovators, early adopters, early majority, late majority, and laggards
brand mark
The part of a brand not made up of words
trade name
Full legal name of an organization
Brand equity
The marketing and financial value associated with a brand’s strength in a market
Brand insistence
The degree of brand loyalty in which a customer strongly prefers a specific brand and will accept no substitute
Manufacturer brands
Brands initiated by producers
Private distributor brands
Brands initiated and owned by resellers
Individual branding
A policy of naming each product differently
family branding
Branding all of a firm’s products with the same name
brand extension
Using an existing brand to brand a new product in a different product category
Co-branding
Using two or more brands on one product
brand licensing
An agreement whereby a company permits another organization to use its brand on other products for a licensing fee
family packaging
Using similar packaging for all of a firm’s products or packaging that has one common design element
Labeling
Providing identifying, promotional, or other information on package labels
