Chapter 7: Product, Services and Branding Strategy

Question 1

Product:

Answer 1

anything that can be offered to a market for attention, acquisition, use, or consumption and that might satisfy a want or need.
- includes: physical objects, services, event, persons, places, organizations, ideas or some combination thereof.

Question 2

Service:

Answer 2

form of product that consists of activities, benefits, or satisfaction offered for sale that are essentially intangible and do not result in the ownership of anything. (eg: banking, hotel, airline, retail, tax preparation, home repairs)

Question 3

Levels of product:

Answer 3

1. core product- benefit
2. Actual product- brand name, packaging features, design, quality
3. Augmented product- delivery, installation, after-sale-service, warranty

Question 4

Consumer products:

Answer 4

Products and services bought by final consumers for personal consumption.

Question 5

Product classification: consumer

Answer 5

1. convinience-
2. shopping-
3. Specialty-
4. unsought-
   -produtc

Question 6

Convenience product characteristics:

Answer 6

• buy frequently and immediately
• low priced
• mass advertising
• many purchase locations
• eg: candy

Question 7

Shopping product characteristics

Answer 7

• buy less frequently
• higher price
• fewer purchase locations
• comparison shop
• eg: cars

Question 8

Specialty product characteristics

Answer 8

• special purchase efforts
• high price
• unique characteristics
• brand identification
• few purchase locations

Question 9

unsought product characteristics

Answer 9

• new innovations
• products consumers don’t want to think about
• require much advertising and personal selling

Question 10

Industrial Products:

Answer 10

• Materials and parts (raw component)
• Capital items (products that aid in buyer’s production or operations)
• Suppliers and services (operating activities, repair and maintenance items.)

Question 11

Other Market Offerings:

Answer 11

> Organizations: profit (business) and nonprofit (schools and churches)
Persons: politicians, entertainers, sports figures, doctors and lawyers.
Places: create, maintain or change attitudes or behavior toward particular places.
Ideas (social marketing): public health campaigns, family planning or human rights.

Question 12

Individual product decisions

Answer 12

1.product attributes
2.Branding
3. Packaging
4. labeling
5. Product support services

Question 13

Product and Service Attributes:

Answer 13

1. Quality- includes consistency
2. Features- differentiates: assessed based on value and costs
3. Design and style- design is hard style is appearance

Question 14

Branding refers to

Answer 14

Name, term, sign, symbol, design, or a combination of these that identifies the maker or seller of a product or service. An idea, reputation.

Question 15

Branding advantages to buyers

Answer 15

• Communicate about the self
• Socialization needs
• Product identification
• Product quality
• After purchase assurance

Question 16

Branding advantages to sellers

Answer 16

• Basis for product’s story
• Provides legal protection
• Helps to segment markets
• Help create and strengthen other brands
• Intangible value: withstand challenging periods
• Smooths partnerships and negotiations
• Allow for abstraction

Question 17

4 brand developement strategies:

Answer 17

1. line extension
2. Brand extension
3. Multibrand
4. new brand

Question 18

Line extension:

Answer 18

Extending an existing brand name to new forms, colors, sizes, ingredients, or flavors of an existing product category.

Question 19

Brand extention:

Answer 19

Extending an existing brand name to new product categories.

Question 20

Multibrands:

Answer 20

Companies often market many different brands in each product category

Question 21

New brand:

Answer 21

company might believe that the power of its existing brand name is waning, so a new brand name is needed

Question 22

Brand strategy positioning

Answer 22

1. Brand positioning
2. Brand name selection
3. Brand Sponsorship
4. Brand developement

Question 23

Brand positioning:

Answer 23

Marketers need to position their brands clearly in target customers’ minds
- product attributes
- product benefits
- beliefs and values

Question 24

Brand name selection:

Answer 24

begins with a careful review of the product and its benefits, the target market, and proposed marketing strategies. After that, naming a brand becomes part science, part art, and a measure of instinct.

Question 25

Brand sponsorship 4 options:

Answer 25

1.launched as a national brand (or manufacturer’s brand)
2. the manufacturer may sell to resellers who give the product a private brand (also called a store brand or distributor brand).

Question 26

Packaging:

Answer 26

designing and producing the container or wrapper for a product

Question 27

Labeling:

Answer 27

printed info appearing on or with the package to:
- identifies product or brand
- describes several things about the product
- promotes the product through attractive graphs

Question 28

Product Line:

Answer 28

A group of products that are closely related because they function in a similar manner, are sold to the same customer groups, are marketed through the same types of outlets, or fall within given price ranges.

Question 29

Product Line Decisions:

Answer 29

Stretching- Lengthen beyond current range. Can be: upward, downward, both directions
Filling- Lengthen within current range

Question 30

Product Mix Decisions:

Answer 30

> Width: number of product lines
Length: number of items within product lines
Depth: number of versions offered of each product.

Question 31

Nature and characteristics of a service:

Answer 31

1. Intangibility- cant see touch or smell before purchase
2. Inseparability- cant be seperated from providers
3. Perishability- cant be stored for later sale or use
4. Variability- quality depends on who, where, when and how

Question 32

Major service marketing tasks:

Answer 32

> Managing service DIFFERENTIATION: develop a differentiated offer, delivery and image.
Managing service QUALITY: be customer obsessed, set high quality standards, have good service recovery, empower front-line employees.
Managing service PRODUCTIVITY: train current employees or hire new ones, harness technology.