7/31/2019 6. Product and Brand

http://slidepdf.com/reader/full/6-product-and-brand 1/21

1

 

Product and Services Strategy

Branding and Packaging…

7/31/2019 6. Product and Brand

http://slidepdf.com/reader/full/6-product-and-brand 2/21

2

What is a Product?

 A PRODUCTPRODUCT is anything that can be offered to amarket for attention, acquisition, use, or consumption and that might satisfy a want or need.

Includes: Physical Objects Services Events Persons Places Organizations Ideas Combinations of the above

7/31/2019 6. Product and Brand

http://slidepdf.com/reader/full/6-product-and-brand 3/21

3

What is a Service?

 A SERVICESERVICE is a form of product that consistof activities, benefits, or satisfactions

offered for sale that are essentiallyintangible and do not result in the ownershipof anything.

Examples include: Banking Hotels Tax preparation

Home repair services

7/31/2019 6. Product and Brand

http://slidepdf.com/reader/full/6-product-and-brand 4/21

4

Products, Services, and Experiences

PureTangible

Good

PureService

Soap

Tangible GoodWith

 Accompanying

Services

 Auto With Accompanying

RepairServices

Hybrid Offer

Restaurant

Service With Accompanying

Minor Goods

 Airline TripWith

 AccompanyingSnacks

Doctor’sExam

7/31/2019 6. Product and Brand

http://slidepdf.com/reader/full/6-product-and-brand 5/21

5

Levels of Product

7/31/2019 6. Product and Brand

http://slidepdf.com/reader/full/6-product-and-brand 6/21

7/31/2019 6. Product and Brand

http://slidepdf.com/reader/full/6-product-and-brand 7/217

Product Classifications: Industrial

7/31/2019 6. Product and Brand

http://slidepdf.com/reader/full/6-product-and-brand 8/218

Product Classifications:

Other Marketable Entities

 Activities undertaken to create, maintain, or change the

attitudes and behavior toward the following:

Organizations - Profit (businesses) and nonprofit (schoolsand churches).

Persons – Politicians, entertainers, sports figures, doctors,

and lawyers.

Places - Business sites, new residents, and tourism. Ideas (social ideas marketing) – Public health campaigns,

environmental campaigns, and others such as family

planning, or human rights.

7/31/2019 6. Product and Brand

http://slidepdf.com/reader/full/6-product-and-brand 9/219

Individual Product Decisions

(Fig. 8-2)

7/31/2019 6. Product and Brand

http://slidepdf.com/reader/full/6-product-and-brand 10/21

7/31/2019 6. Product and Brand

http://slidepdf.com/reader/full/6-product-and-brand 11/2111

Branding

 Advantages to

Branding

Buyers: Identification

Quality and value

Sellers Tells a story

Provides legal protection

Helps segments

markets

Brand Equity Higher brand loyalty

Name awareness Perceived quality

Strong brand

associations

Patents, trademarks,channel relationships

7/31/2019 6. Product and Brand

http://slidepdf.com/reader/full/6-product-and-brand 12/2112

Major Branding Decisions

(Fig. 8-3)

7/31/2019 6. Product and Brand

http://slidepdf.com/reader/full/6-product-and-brand 13/2113

Line Extension

Multibrands

Brand Extension

New Brands   B  r  a  n   d

   N  a  m  e

Existing New

Product Category

Existing

New

Four Brand Strategies (Fig. 8-4)

7/31/2019 6. Product and Brand

http://slidepdf.com/reader/full/6-product-and-brand 14/2114

Brand Strategy

Line Extension Existing brand names extended to new forms, sizes, and

flavors of an existing product category.

Brand Extension Existing brand names extended to new or modified

product categories.

Multibrands New brand names introduced in the same product

category.

New Brands New brand names in new product categories.

7/31/2019 6. Product and Brand

http://slidepdf.com/reader/full/6-product-and-brand 15/21

15

The Concept of Brand Equity

The brand equity concept stresses theimportance of the brand in marketing

strategies. Brand equity is defined in terms of the

marketing effects uniquely attributable

to the brand. Brand equity relates to the fact that different

outcomes result in the marketing of a product orservice because of its brand name, as comparedto if the same product or service did not have that

name. 

7/31/2019 6. Product and Brand

http://slidepdf.com/reader/full/6-product-and-brand 16/21

16

Packaging

Designing and producingthe container or wrapper for a product.

Steps in developing agood package: Packaging concept,

Develop specific elements of the package,

Elements must supportproduct’s position and

marketing strategy.

7/31/2019 6. Product and Brand

http://slidepdf.com/reader/full/6-product-and-brand 17/21

17

Labeling

Printed informationappearing on or with the

package. Performs several

functions: Identifies product or brand Describes several things

about the product Promotes the product

through attractive graphics

7/31/2019 6. Product and Brand

http://slidepdf.com/reader/full/6-product-and-brand 18/21

18

Product Support Services

Companies use product support services as a majortool in gaining competitive advantage.

How?Step 1. Survey customers to assess the value of current services and to obtain ideas for new services.

Step 2. Assess costs of providing desired services.

Step 3. Develop a package of services to delightcustomers and yield profits to the company.

7/31/2019 6. Product and Brand

http://slidepdf.com/reader/full/6-product-and-brand 19/21

19

Stretching

Lengthen beyondcurrent range

Product Line LengthProduct Line LengthNumber of Items in the Product Line

BothDirections

Downward

Upward

Filling

Lengthen withincurrent range

Product Line Decisions

7/31/2019 6. Product and Brand

http://slidepdf.com/reader/full/6-product-and-brand 20/21

20

Product Mix Decisions

Procter & Gamble's Product Mix

Baby Care Beauty Care Fabric & Home

Care

Food &

Beverage

Crest Tartar 

Protection

Crest Cavity

Protection

Crest Multicare

Six Toothpastes

in Line

Health Care

Width – number of different product lines

Length – total number of items thecompany carries within product lines

Depth – number of versions offered of each product in line

7/31/2019 6. Product and Brand

http://slidepdf.com/reader/full/6-product-and-brand 21/21

21

Nature and Characteristic of a

Service (Fig. 8-5)