chapter 9: product, branding, and packaging decisions Flashcards
complexity of products: core customer value
the basic problem-solving benefits that consumers are seeking
complexity of products: associated services
includes non-physical aspects (product warranty, product support, financing)
types of products: specialty products/services
targeted towards which customers show a strong preference and for which they will expend considerable effect to search for the best suppliers
types of products: shopping products/services
products/services that consumers will spend a fair amount of time comparing alternatives (furniture, appliances etc)
types of products: convenience goods/services
products or services for which the consumer is not willing to spend any effort to evaluate prior to purchase
types of products: unsought products/services
products consumers don’t think of buying, or dont know about (funeral services, fire extinguishers)
product mix
the complete set of all products offered by a firm, consists of
product lines: group of products associated items, that consists of
product categories: assortment of items that consumers see as reasonable substitutes for each other
brand equity
set of assets and liabilities linked to a brand that add to or subtract from the value provided by the product or service
brand awareness
how many consumers are familiar with the brand, what it stands for, and have an opinion about it
brand ownership: manufacturer vs private-label brands
manufacturer brands: owned and managed by the manufacturer
private-label brands: brands developed and marketed by a retailer and only available from them
brand extension
use of same brand name for new products being introduced to the same or new markets
pros: well-established name boosts sales, lowers marketing costs
cons: too many extensions=brand dilution
brand dilution
evaluate the fit between the product class of the core brand and the extension
-evaluate consumer perceptions of the attributes of the core brans and seek extensions with similar attributes
-stop extending brand name to too many products
co-branding
marketing 2+ brands together on the same package or promotion
brand licensing
contractual arrangement between firms where one firm allows aother to use its brand name, logo, symbols for a negotiated fee
packaging
-important brand element with physical benefits
-attracts consumer’s attention
