Revel Flashcards Chapter 6: Product.
The basic anatomy of a product as 4 concentric rings…
Core product, tangible product, augmented product and potential product.
Core product (part of the anatomy of a product) and tangible product:
- Represents the main reason for its existence and purchase.
- Core benefit may be functional or psychological.
- The definition of the core benefit affects the tangible product, which is where the marketer communicates the offer of the core benefit through maybe branding or packaging.
Augmented product (part of the anatomy of a product):
- Represents the add ons that do not themselves form an intrinsic element of the product.
- May be used to increase the products/service benefits and attractiveness.
Potential product (part of the anatomy of a product):
- Acknowledges the dynamic and strategic nature of the product.
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How the layers work within the model?
- All 4 layers contribute to the buyers satisfaction.
- But the outer 2 augmented and potential depend on the definition of the core product to determine how they are realised.
What is product based classification?
- Groups together products which have similar characteristics.
There are 3 main categories:
- Durable products e.g cars, capital machinery.
- Non-durable products e.g. food and office stationary.
- Service products e.g. financial services, holidays and travel.
User-based classifications: consumer goods and services.
Convenience goods.
- Correspond to the routine response buying situation.
- inexpensive and frequent purchases.
User-based classifications: consumer goods and services.
Shopping goods.
- Rational assessment of alternative products.
- Pre-existing loyalty to certain brands.
User-based classifications: consumer goods and services.
Speciality goods.
- Equate with customers extensive problem solving situation.
- Emotive pull of brand name has an affect on buyers decisions.
User-based classifications: consumer goods and services.
Unsought goods.
Within the unsought category there are 2 types of situation:
1) The sudden emergency
2) Situation arises with the products that people wouldn’t normally buy without aggressive selling techniques.
User-based classifications: B2B goods and services.
Capital goods.
- Usually regarded as high risk as they are long term substantial investments.
- Thus they tend to use extensive decision making.
User-based classifications: B2B goods and services.
Accessory goods.
- Give peripheral support to the production process but without direct involvement.
- Low risk factor
User-based classifications: B2B goods and services.
Raw materials
Go onto further processing.
User-based classifications: B2B goods and services.
Semi-finished goods
Still need further processing until incorporation of the final product
User-based classifications: B2B goods and services.
Components and parts
- Are finished goods in their own rights, which have to be incorporated into assembly of the final product.
User-based classifications: B2B goods and services.
Supplies and services.
The product family:
- Product mix
- Product line
- Product item
- Product line length
- Product line depth
- Product mix width
What is the product mix?
Is the total sum of all the products and variants offered by an organisation
What is the product line?
A product line is a group of products that are closely related to each other.
This relationship may be product-orientated or market-orientated.
What is the product item?
- A product line consists of a number of product items.
- They are individual products or brands, with own features, benefits and price.
What is product line length?
The total numbers of products in the product line.
What is the product line depth?
The number of different variants of each item within a product line defines its depth.
A deep product line has many item variants.
What is product mix width?
The width of the product mix is defined by the number of product lines offered.
What is the most important function of branding:
The creation and communication of a 3 dimensional character for a product that is not easily copied or damaged by competitors efforts.
