Chapter 8 - Summary Principles of Marketing PDF

Preview

Summary

Professor Terry Paul- Textbook Chapter 8...

Description

Chapter 8 

09/28/2015

Product- anything that can be offered to a market for attention,

acquisition, use, or consumption that might satisfy a want or a need  Services- a form of product that consist of activities, benefits, or satisfactions offered for sale that are essentially intangible and do not result in the ownership of anything      

1st level- core customer value  What is the buyer really buying? 2nd level- actual product 3rd level- augmented product core benefit and actual product Consumer products- Products and services bought by financial

consumers for personal consumption  Convenience products- consumers buy frequently, immediately, and with minimal comparison o Laundry detergent, candy, magazines, fast food o Low priced, many locations 

Shopping products- less frequently purchased consumer products and services that consumers compare carefully on suitability, quality, price and style o Furniture, clothing, used cars, appliances, hotel, airline o Fewer outlets, deeper sales support



Speciality products- products and services with unique characteristics or brand identification for which a significant group of buyers is willing to make a special purchase effort o Designer clothes, gourmet foods, legal services



Unsought products- consumer products that the consumer either does not know about or knows about but does not normally consider buying

 

Industrial products- products purchased for further processing or for

use conducting business  Materials and parts  Capital items  Supplies and services 



Organizational marketing- activities undertaken to create, maintain, or

change the attitudes and behavior of target consumers toward an organization l   Social marketing- the use of commercial marketing concepts and tools in programs designed to influence individuals’ behavior to improve their well being and that of society   Individual Product and Service Decisions  Product and service attributes – developing a product or service and defining the the benefits it will offer o Quality o Features o Style and design

 



Branding- name, term, symbol, and/or design that identitifies the



maker or seller of a product or service Packaging- designing and producing the container or wrapper for a



produt Labeling



Product support services

Product Line Decisions  Product line- a group of products that are closely related because they function in a similar manner, are sold to the same customer groups, are marketed through the same outlets, or fall within a give price range o Product line filling and product line stretching

 

Product Mix decisions  Product mix- all the product lines and items that a particular seller  

offers for sale Width- number of product lines Length- total number of items a company carries within its product



lines Depth- number of versions offered for each product in the line



Consistency- how closely related the various product lies are in end use, production requirements, distribution channels, or some other way

 

Characteristics of a service  Service intangibility- services cannot be seen, tasted, felt, heard, or 

smelled before they are bought Inseparability- services cannot be separated from their providers,



whether the providers be people or machines Variability- the quality of service depends on who provides them as



well as when, where and how they are provided Perishability- cannot be stored for later use

 

Service-proft chain- links service firm profits with employee

satisfaction  Internal service quality  Satisfied and productive service employees  Greater service value  Satisfied and loyal customers 

Healthy service profits and growth

 

Brand equity- differential effect that knowing the brand name has on

customer response to the product and its marketing   1) Brand positioning  attributes, benefits, beliefs and values 

2) Brand name selection  selection, protection



3) Brand sponsorship  manufacturer’s brand, private brand  licensing  co branding



4) brand development  line extensions, brand extensions  multibrands  new brands

 

09/28/2015 

09/28/2015 ...