L5: Products, Services and Brands Flashcards
What are the original 4 p’s of the marketing micx (McCarthy 1960)?
Price
Product
Place
Promotion
What are the 4 C’s (Lauterborn’s 1990)?
Cost’
Consumer
Convenience
Communication
What is customer perceived value?
How a firm’s offering is perceived by a customer. Based on their needs, values, psycjology, behavior as well as functional and economic factors
Psychological
- Feeling of luxury
- Appeals to sense of style
Functional
- Performance
- Comfort
Economic
- Retain market value
What is cocreation?
Cocreation is the process of the organization creating value for the customer, together with the customer.
What is a product?
anything that can be offered to a market for attention, acquisition, use or consumption that migjt satisfy a want or need
What are the three levels of a product?
- Core product –> level that provides the perceived/real core benefit or service
- Actual product –> features and capabilities offered in a product, quality and durability, design and product styling, packaging and brand name
- Augmented product –> Support aspects of a product, including customer service, warranty, delivery & credit, personnel, installation and after sales support
The value of the product increases with each step
What are the different consumer product types?
- Convenience
- Shopping
- Specialty
- Unsought
What are the characteristics of a convenioence product?
- Frequent purchase
- low customer involvement
- low price
- Widespread distribution
- Mass promotion
–> toothpaste, magazines
What are the characteristics of a shopping product?
- Less frequant purchase
- much planning + shopping effort
- Higher price
- Selective distribution
- Advertising and personal selling by both the producer and resellers
–> televisions, clothing
What are the characteristics of a specialty product?
- Strong brand preference and loyalty
- low price sensitivity
- High price
- Exclusive distribution
- More carefully targeted promotion by both producers and resellers
–> luxury goods - Rolex watches, crystals
What are the characteristics of an unsought product?
- Little product awareness
- price varies
- Distribution varies
- aggressive advertising and personal selling by the producer and resellers
–> Life insurance, blood donations
What are services?
A service is an intangible product involving a deed, a performance or an effort that cannot physically be possessed.
What are the characteristics of services?
- Intangibility
- Inseperability of production and consumption
- Perishability
- Heterogenity
What are the charcteristics of intangibility?
Intangibility = the ability to touch or hold
- Difficult to evaluate before purchase
- No physical possession
- Challenging to advertise the real value
- Pricing can vary
- Service process can be copied
What are the characteristics of inseperability of production and consumption?
o Separating production and consumption - as services are immaterial, consumption cannot be separated from production
o No mass production
o Other customers often interact
o Difficult to replicate
What are the characteristics of perishability?
Services cannot be mass-producedm re-used, returned or stored
What are the characteristics of heterogenity?
No 2 services are alike
- Standardisation vs empowerment of staff
- People may not always perform consistently
What are brands?
A brand is a name, term, sign, symbol or design (or combitnation) that identifies the products or services of one seller or group of sellers and differentiates them from those of competitors
A brand;
- is a differentiator
- Tells a story
- Enlists feelings of previous customer experiences
What is brand equity?
The marketing and financial value associated with a brand's strength in a market. Consists of; brand awareness Brand loyalty brand quality brand association
What is brand awareness?
Awareness = the recognition of the brand
What is brand loyalty?
Do you stick to the brand or are you likely to chose another brand
What is brand quality?
Quality of the product - lindt vs kitkat
What are brand associations?
The feelings, memories, and qualities associated with a brand
What are different brand types?
- Manufacturer (A-merken)
- Own label (AH eiegn merk)
- Generic brand (no brand)
