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Chapter8Product,Services,andBrandingStrategyByLiXuejiaObjectivesDefineproductandthemajorclassificationsofproductsandservicesDescribethedecisionscompaniesmakeregardingtheirindividualproductsandservices,productlines,andproductmixesDiscussbrandingstrategy---thedecisionscompaniesmakeinbuildingandmanagingtheirbrandsIdentifythefourcharacteristicsthataffectthemarketingofaserviceandtheadditionalmarketingconsiderationsthatservicesrequireMajorissuesWhatisaproduct?ProductandservicedecisionsBrandingstrategy:buildingstrongbrandsServicemarketingWhatIsaProduct?Anythingthatcanbeofferedtoamarketforattention,acquisition,use,orconsumptionthatmightsatisfyawantorneed.Broadlydefined,productsincludephysicalobjects,services,events,persons,places,organizations,ideas,ormixesoftheseentities.LevelsofProductandServicesCorebenefit:thecore,problem-solvingbenefitorservicesActualproduct:features,design,aqualitylevel,abrandname,andpackagingAugmentedproduct:additionalconsumerservicesandbenefitsProductandServiceClassificationConsumerproductsIndustrialproductsBroadlydefined---organizations,persons,places,andideasConsumerProductsProductsandservicesboughtbyfinalconsumersforpersonalconsumption.ConvenienceproductsShoppingproductsSpecialtyproductsUnsoughtproductsConvenienceProductsConsumerproductsandservicesthatthecustomerusuallybuysfrequently,immediately,andwithaminimumofcomparisonandbuyingeffort.E.g.Soap,newspapers,fastfoodbackShoppingProductsConsumergoodthatthecustomer,intheprocessofselectionandpurchase,characteristicallycomparesonsuchbasesassuitability,quality,price,andstyle.E.g.Clothing,furniture,householdappliancesbackSpecialtyProductsConsumerproductwithuniquecharacteristicsorbrandidentificationforwhichasignificantgroupofbuyersiswillingtomakeaspecialpurchaseeffort.E.g.Specificbrandsandtypesofcars,servicesofmedicalorlegalspecialists,high-pricedphotographicequipmentbackUnsoughtproductsConsumerproductthattheconsumereitherdoesnotknowaboutorknowsaboutbutdoesnotnormallythinkofbuyingE.g.Lifeinsurance,funeralservices,blooddonationbackIndustrialProductsProductboughtbyindividualsandorganizationsforfurtherprocessingorforuseinconductingabusiness.MaterialsandpartsCapitalitemSuppliesandservicesMaterialsandPartsRawfarmproduct(wheat,cotton,livestock,fruits)naturalproduct(fish,lumber,ironore,crudepetroleum)Manufacturedcomponentmaterials(iron,cement,wires)componentparts(motors,tires,castings)CapitalItemsInstallationsbuildings(factories,offices)fixedequipment(generators,drillpress,elevators)Accessoryequipmentportableequipmentandtools(handtools,lifttrucks)officeequipment(computers,desks,faxmachines)SuppliesandServicesSuppliesoperatingsupplies(lubricants,paper,pencil,coal)repairandmaintenanceitems(paint,nails,brooms)Servicemaintenanceandrepairservices(windowcleaning,computerrepair)advisoryservice(legal,managementconsulting,advertising)Organization,Person,Places,IdeasOrganizationmarketingconsistsofactivitiesundertakentocreate,maintain,orchangetheattitudesandbehavioroftargetconsumerstowardanorganization.Personmarketingconsistsofactivitiesundertakentocreate,maintain,orchangetheattitudesandbehavioroftargetconsumerstowardparticularpeople.Placemarketinginvolvesactivitiesundertakentocreate,maintain,orchangetheattitudesandbehavioroftargetconsumerstowardparticularplaces.ThemarketingofsocialideasSocialmarketing:theuseofcommercialmarketingconceptsandtoolsinprogramsdesignedtoinfluenceindividual’sbehaviortoimprovetheirwell-beingandthatofsociety.backProductandServiceDecisionsIndividualproductdecisionsProductlinedecisionsProductmixdecisionsIndividualProductandServiceDecisionsproductattributesbrandingpackagingproductsupportlabelingservicesProductandServiceAttributesProductquality---Thecharacteristicsofaproductorservicethatbearonitsabilitytosatisfystatedorimpliedcustomerneeds.Productfeatures---Theyarecompetitivetoolsfordifferentiatingacompany’sproductfromcompetitor’sandcaneffectivelyaddvaluetotheproduct.ProductstyleanddesignStylesimplydescribestheappearanceofaproduct.Itdoesnotnecessarilymaketheproductperformbetter.Designismorethanskindeep.Itgoestotheveryheartofaproduct.Gooddesigncontributestoaproduct’susefulnessaswellastoitslooks.BrandingBrandscanbeaname,term,sign,symbol,ordesign,oracombinationofthesethatidentifiestheproductsorservicesofonesellerorgroupofsellersanddifferentiatesthemfromthoseofcompetitors.backPackagingTheactivitiesofdesigningandproducingthecontainerorwrapperforaproduct.Function:holdandprotectproductsattractattention,describeproducts,makesales,andsafetyconcernsbackLabelingLabelsrangefromsimpletagsattachedtoproductstocomplexgraphicsthatarepartofthepackage.Functions:identificationdescriptionpromotionbackProductSupportServiceFirststep:surveycustomersperiodicallytoassessthevalueofcurrentservicesandtoobtainideasfornewones.Secondstep:assessthecostsofprovidingtheseservices.backProductLineDecisionsAproductlineisagroupofproductsthatarecloselyrelatedbecausetheyfunctioninasimilarmanner,aresoldtothesamecustomergroups,aremarke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