Chapter 11

Question 1

What is core product (total product)?

Answer 1

Products fundamental utility or main benefit.

Question 2

What are supplemental features (total product)?

Answer 2

Provide added value or additional attributes.

Question 3

What are symbolic and experiential benefits (total product)?

Answer 3

Additional benefits gained only when using or experiencing the product to attaching symbolic meaning to it.

Question 4

What is a convenience consumer product?

Answer 4

Cheap frequently bought, little effort.

Question 5

What is a shopping consumer product?

Answer 5

Compare stores and brands, much effort, compare price/features/quality/service.

Question 6

What is a specialty consumer product?

Answer 6

Unique characteristics, plan for purchase, no substitutes, considerable effort.

Question 7

What is an unsought consumer product?

Answer 7

Sudden problem, unaware products exist, do not typically think of these.

Question 8

What are business products?

Answer 8

Installations (facilities/ non-portable equipment), accessory equipment (for operations), raw materials (natural materials), component parts (identifiable parts in product).

Question 9

What are the OTHER business products?

Answer 9

Process materials (unidentifiable parts), MRO supplies (maintenance, repair, operating items), business services (intangible like financial).

Question 10

What are the things firms sell?

Answer 10

Product item (specific, distinct vison), product line (group of related products), product mix (total group of products sold).

Question 11

What is width and depth of product mix?

Answer 11

Width is number of product lines and depth is number of products in each product line.

Question 12

What is product life cycle?

Answer 12

Introduction, growth, maturity, decline.

Question 13

What is the introduction stage of product life cycle?

Answer 13

Product first appears, sales start at zero, negative profits, large promotion expenses, large distribution expenses, high costs/risks, educate consumers, promote awareness, sales move toward break even.

Question 14

What is the growth stage of product life cycle?

Answer 14

Sales rise rapidly, profits peak, competitors respond, promote to combat competition, need to differentiate, need to create unique positioning, reduce price after recouping costs, segment the market, find additional outlets.

Question 15

What is the maturity stage of product life cycle?

Answer 15

Sales curve peaks, profits decline, intense competition, emphasize differences and improvements, weak competitors drop out, consumers are experienced and may loose interest, more advertisements and B2B efforts, adjust marketing strategy, consider going global, consider new packaging, generate cash flow, maintain market share, increase share of customers.

Question 16

What is the decline stage of product life cycle?

Answer 16

Sales fall rapidly, loss of distinctiveness, consider pruning, cut promotional spending, cut unprofitable distributors, may phase out product, may liquidate inventory, may revitalize or reposition, may sell brand, keep if adds to product mix.

Question 17

What is the product adoption process?

Answer 17

Awareness, interest, evaluation, trial, adoption.

Question 18

What are the types of consumer adopters?

Answer 18

Innovators, early adopters, early majority, late majority, laggards.

Question 19

What is product failure?

Answer 19

80-90% of new products fail, firms fail to match product to consumer needs, observable advantages help products succeed.

Question 20

What is relative and absolute product failure?

Answer 20

Relative is does not meet objectives, absolute is loses money.

Question 21

What is identifying products brand?

Answer 21

Name, term, design, symbol, or other feature that identifies one seller’s product as distinct from those of other sellers.

Question 22

What is brand name and brand mark of identifying products?

Answer 22

Name is part of brand that can be spoken (letters, words, #’s), mark is part of brand that is not made up of words such as symbol or design.

Question 23

What is trademark and trade name of identifying products?

Answer 23

Trademark is legal designation of exclusive use of brand, trade name is full legal name of an organization.

Question 24

What is the value of branding for buyers?

Answer 24

Indicates quality level, familiarity with brand, form of self-expression, brand communities.

Question 25

What is the value of branding for sellers?

Answer 25

Signs that help create repeat customers, promotion of one item indirectly promotes other items within brand.

Question 26

What is brand equity and recognition of brand equity?

Answer 26

Brand loyalty favorable attitude toward brand, brand recognition is awareness of brand existence views it as alternative purchase.

Question 27

Brand preference and insistence of brand equity?

Answer 27

Preference is preference for one brand over competitors, insistence is strongly prefers and accepts no substitutes.

Question 28

What is manufacturer brands?

Answer 28

Producer is involved in distribution, promotion, pricing (levis apple).

Question 29

What are private distributor brands?

Answer 29

Grown considerably (Kirkland, great value).

Question 30

What are generic brands?

Answer 30

Compete on basis of price and value, decreased over time (sugar, salt).

Question 31

What are brand extensions?

Answer 31

When an organization uses a brand to brand a new product.

Question 32

What is co-branding?

Answer 32

The use of two or more brands on one product.