Exam Flashcards
Three-level product structure
Core product: basic benefits
Actual product: features, style, quality, brand, packaging
Augmented product: delivery, after-sales service, warranty etc.
Stages of product life cycle
Introduction, growth, maturity, decline
Elements of packaging communication
Non-verbal: colour, size, shape, material, smell
Verbal: name, brand, manufacturer, information, origin
Packaging perception: simplicity, ergonomics, innovation, design
Packaging levels
Primary: for sales/marketing purposes
Secondary: can be removed w/o affecting product
Transit: for protection during transport
Packaging functions
Protective, logistical, informative, promotional
Degrees of innovation
Creative: R&D, new product/process
Imitating: based on existing product/process
Apparent: not real innovation, only minor change
Innovation strategies
Innovative leadership vs. imitation of product innovations
Positioning strategies
One vs. multiple market segments – market size
Imitation vs. defensive – stealing customers
Anticipative vs. adaptive – buyer’s needs
Characteristics of distinguishing features
Important, better than competition, can be communicated, protected against copying, address the right buyers
Positioning process
Define target market/competitors, identify differentiating features –> choose distinctive features –> position based on features
Product modification strategies
Improvement, simplification, line extension, line renewal
Ansoff’s market strategy matrix
Market penetration, market development, product development, diversification
Brand equity vs. brand value
Equity: value to customers, permanent market power of brand
Value: value to enterprise, financial value of future benefits of brand equity
Brand strength vs. statute
Strength: differentiation and relevance
Statute: buyer’s esteem and knowledge
Product range width vs. dept
Width: different product categories/types
Depth: assortment within same product category
