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Chapter 3: Products and Services - Coggle Diagram
Chapter 3: Products and Services
Product
Anything that we can offer to a market for attention, use or consumption that could satisfy a need or want
Types of Consumer Products
1) Convenience products
Products that are frequently purchased by customers
Requires very little buying efforts
Low priced
Available in different convenience locations according to their wants and needs
2) Shopping products
Products that are less frequently purchased
Need shopping efforts and planning to decide and compare
Higher prices and distribute through fewer outlets
Consider product quality price and design
3) Specialty products
Need serious efforts to make a purchase
Goods having distinctive characteristics and brand identification for which a significant group of buyers is ready to make a specific purchase effort
Highly priced and follow exclusive distribution and available in fewer outlets
4) Unsought products
Products that consumers do not know and do not buy under normal circumstances even if they know the products
Need aggressive marketing efforts
Pricing and distribution varies
Service
A special form of product which consists of activities offered for sale that are intangible
1) Intangibility
Services cannot be experienced or consumed until the purchase is made
2) Inseparability
Services are usually provided and consumed at the same time in the same location
3) Perishability
Services are often perishable, meaning that unused capacity cannot be stored for future use or sale
4) Variability
The quality of a service varies by many factors, including who provides it, where, when and how it is provided
Product line vs Product mix
Product line is a group of products that a company creates under a single brand
Product mix is the total number of product lines a company offers to its customers
Branding
A marketing practice in which a company creates a name, symbol or design that is easily identifiable as belonging to the company
Branding methods
Individual brands
Family brand
Store brands
Corporate branding
Generic brands
Licensing
Co-branding
Ingredient branding