Term
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Definition
A product is anything, desired or not, that a person or organization receives in an exchange.
The basic goal of purchasing decisions is to receive the tangible and intangible benefits associated with a product.
Tangible aspects include packaging, style, color, size, and features. Intangible qualities include service, the retailers image, the manufacturer's reputation, and the social status associated with a product.
An organization's product offering is the crucial element in any marketing mix. |
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Term
| Classify consumer products. |
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Definition
Consumer products are classified into four categories:
1. Convenience products are relatively inexpensive and require limited shopping effort.
2. Shopping products are of two types: homogenous and heterogeneous. Because of the similarity of homogenous products, they are differentiated mainly by price and features. In contrast, heterogenous products appeal to consumers because of their distinct characteristics.
3. Speciality products possess unique benefits that are highly desirable to certain consumers.
4. Unsought products are either new products or products that require aggressive selling because they are generally avoided or overlooked by consumers. |
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Term
| Define the terms: product item, product line, and product mix. |
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Definition
A product item is a specific version of a product that can be designated as a distinct offering among an organization's products.
A product line is a group of closely related products offered by an organization.
An organizations product mix includes all the products it sells.
Product mix width refers to the number of product lines an organization offers.
Product line depth is the number of product items in a product line.
Firms modify existing products by changing their quality, functional characteristics, or style. Product line extension occurs when a firm adds new products to existing product lines. |
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Term
| Describe marketing uses of branding. |
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Definition
A brand is a name, term, or symbol that identifies and differentiates a firm's products. Established brands encourage customer loyalty and help new products succeed.
Branding strategies require decisions about individual, family, manufacturers', and private brands. The table below compares manufacturers' and private brands. |
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Term
| Describe marketing uses of packaging and labeling. |
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Definition
Packaging has four functions:
1. Containing and protecting products
2. Promoting products
3. Facilitating product storage, use, and convenience
4. Facilitating recycling and reducing environmental damage.
As a tool for promotion, packaging identifies the brand and its features. It also serves the critical function of differentiating a product from competing products and linking it with related products from the same manufacturer. The label is an integral part of the package, with persuasive and informational functions.
In essence, the package is the marketer's last chance to influence buyers before they make a purchase decision. |
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Term
| Discuss global issues in branding and packaging. |
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Definition
| In addition to brand piracy, international marketers must address a variety of concerns regarding branding and packaging, including choosing a brand name policy, translating labels and meeting host-country labeling requirements, making packages aesthetically compatible with host-country cultures, and offering the sizes of packages preferred in host countries. |
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Term
| Describe how and why product warranties are important marketing tools. |
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Definition
Product warranties are important tools because they offer consumers protection and help them gauge product quality.
Express warranty = written guarantee
Implied warranty = unwritten guarantee |
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