Product and Brands (Ch. 7) Flashcards
What is a product?
anything that can be offered to a market for attention, acquisition, or consumption that might satsify a want or a need
- objects, services, places, persons, idea
Characteristics of Services
Intangible: can’t be seen, tasted, felt before purchasing
Inseparable: consumed when it’s provided and can’t be separated
Variable: quality depends on provider
Perishable: can’t be restored/resold
3 Product Levels
Core value: need satisfied
Actual Product: brand name, features, packaging and quality of product
Augmented product: after sale service, warranty or product support
4 Product Types
Convenience: staples, impulse, emergency products
Shopping: homogenous, heterogenous
Specialty: unique characteristics that a buyer values
Unsought: new unsought, regular unsought
Describe Convenience Products
not much time taken to decide
- anything you could buy in a grocery store
Describe Shopping Products
Consumer purchase process in full effect
Homogenous: similar product features, but differs on price (flights, printers)
Heterogenous: needs to meet certain consumer criteria: size, color, design (clothes, furniture)
Describe Specialty Products
minimal comparison with other products
- people go out of their way to purchase
(Rolls Royce, Chanel bag)
Describe Unsought Products
goods/services marketed to consumers who may not yet recognize need
- life/pet insurance, cemetary spot
Product Mix
set of all product lines and items that a company offers
Product Line
group of products that are closely related and function in a similar manner
Define Product Width, Length and Depth
Width: number of product lines
Length: number of different products in a product line
Depth: variations in each product that a firm markets in its mix
Campbells Soup: Name the product width, length and depth
Width: soups, sauces and crackers
Length of soup: condensed, ready made
Length of sauce: chunky, invisible,
Length of crackers: goldfish, pepperridge
Depth of soup: mushroom, bean&bacon
Depth of sauce: Alfredo, tomatoe basil
Depth of crackers: cheddar, pizza
What are product Line and Mix decisions
What are product level decisions
Line & Mix: width, length, depth
Level: attributes, packaging and product support
Role of Packaging
protects against product damage, assists in marketing product (coca cola bottle shape)
- can enhance quality (Orville pop-up)
- Packaging can help or harm companies (Special K Cereal example)
Role of Labelling
identifies, describes and promotes product
- best before date
Role of Branding
identifies the product of a seller and differentiates it from competitors
- brands help with legal protection of products, creates customer loyalty, gives bargaining power with retailers
- brands help consumers identify products
Brand equity
dollar amount attributed to the value of a brand, based on intangible value
- awareness, loyalty, associations
- Powerful brands have lots of equity
Brand Features - Personality
The set of human characteristics associated with a brand
- includes traits & demographic characteristics transferred from the people associated with the brand, ads and product attributes
- we see brands like people
Naming and Phonetics
name sounds influence product perceptions
“i”, “e”: small, light, lively, sharp
“o”, “a”, “u’”: big, slow, heavy, dull
Losing Brand Names
Pros
Cons
when you become a category name, you lose legal protection and trademark
Pros: product is first in consumers minds
Cons: other brands can use your name to market their own products
Protecting Brands
Trade Dress
brands are trademarked so ideas aren’t stolen and consumers aren’t misled
Trade dress: visual cues used in branding to create an overall look
(recognizing coke bottle without the logo or Heinz bottle without logo)
Brand sponsorship: 5 Brand Types
Manufacturer: created & owned by manufacturer/producer
Private brand: created & owned by reseller (Safeway, President’s Choice)
Generic: cheap alternative with no brand name attached (pharmaceuticals)
Licensing: selling rights to apply brand name and logo to product (Batman gum)
Co-branding: using established brand of two companies on a product (Timbiebs)
Brand Development
- line extension
- multi brands
- brand extension
- new brands
existing product/existing brand: line extension
existing product/new brand: multi brands
new product/existing brand: brand extension
new brand/new product: new brands
Example of Line extension
Campbells Soup introducing a new clam chowder flavour of soup, or low sodium edition
