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Part four : Product Strategy

Part four : Product Strategy

( Chapter9-Charpter10)( Chapter9-Charpter10)

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• What Is Product? (P.276)

• Product:Anything that can be offered to a market for attention,acquisition,use,or consumption that might satisfy a wants and needs .

• Service: Any activity or benefit that one party can offer to another that is essentially intangible and does not result in the ownership of anything.

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• Tree Lever of Product (P.279)

Augmented product

Actual product

Core productCore

benefitCore

benefit

Packaging

Brandname

Qualitylever Design

Features

Installation

Delivery and

credit

Warranty

Aftersale

service

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Corebenefit

Expected product

Augmented product

Potential product

Five product levels

Basic product

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Product Classification (P.280)

Consumer Products

ConvenienceProducts

ConvenienceProducts

ShoppingProducts

ShoppingProducts

Specialtyproducts

Specialtyproducts

Unsoughtproducts

Unsoughtproducts

Materialsand

parts

Materialsand

parts

Capitalitems

Capitalitems

Industrial Products

Suppliesand

services

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Individual Product Decisions (P.283)

Product attributes

Product attributes Branding Branding Packaging Packaging Labeling Labeling

Product support services

Product support services

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• Product Attributes (P.284)

Product attributes

Product attributes

Product quality

Productfeatures

ProductStyle &Design

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Product line & Product Mix Decisions

• Product line : (P.289)

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 types of outlets, or

fall within given price ranges.

• Product mix: (P.290)

the set of all product lines and items that a particular

seller offers for sale.

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Product mix matrix

Product Line A

Product Line B

Product Line C

Product Items (depth ）

A1 A2 A3

B1 B2 B3 B4 B5

C1 C2（ width ）

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• Branding (P.285)

• Brand :A name ,term,sign,symbol,or design,or a combination of these intended to identify the goods or services of sellers ,and to differentiate them from those of competitors.

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• Branding

The meaning of

brand

The meaning of

brand

Attributes

Benefits Personality

Values

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• Major branding decisions (P.292)

Line extensions

Brand extensions

Multi brand

New brand

Line extensions

Brand extensions

Multi brand

New brand

Manufacturer’sBrand

Private brand

Licensing

Co-branding

Manufacturer’sBrand

Private brand

Licensing

Co-branding

Branddevelopment

Brandsponsorship

Brandname selection

Brandpositioning

Manufacturer’sBrand

Private brand

Licensing

Co-branding

Manufacturer’sBrand

Private brand

Licensing

Co-branding

Attributes

Benefits

Beliefs and values

Attributes

Benefits

Beliefs and values

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Brand Sponsor (P.293)

• Manufacturer’s brand(Natio0nal brand):

A brand created and owned by the producer of a product or service .

• Private brand (or middleman,distributor,or

store brand):

A brand created and owned by a reseller of a product or service.

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Brand Sponsor (P.294-295)

• Licensing: to be licensed brand previously created by other manufacturers or the well-known names and symbols owner.

• Co-brand: the practice of using the established brand names of tow different companies on the same product.

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• Brand Strategy （ P.296)

• Product Category

•

• Existing New

• • Existing

• Brand

• name

• New

Line extension

Multi-brands

Brandextension

New

brand

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Services marketing• Characteristics of a service (P.299)

ServicesServices

Intangibility （无形性）

Services cannot be seen,tasted, felt, heard or

smelled before purchase

Intangibility （无形性）

Services cannot be seen,tasted, felt, heard or

smelled before purchase

Variability （可变性）Quality of service dependson who provides them and

When,where ,and how.

Variability （可变性）Quality of service dependson who provides them and

When,where ,and how.

Inseparability （不可分性）Services cannot be

separated from their providers

Inseparability （不可分性）Services cannot be

separated from their providers

Perishability （易逝性）Services cannot be stored

For later sales or use.

Perishability （易逝性）Services cannot be stored

For later sales or use.

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Service marketing strategies mix

Pricingstrategy

Pricingstrategy

Productstrategy

Productstrategy

PeoplePeople

ProcessProcess

Placingstrategy

Placingstrategy

Physicalevidence

Physicalevidence

Promotionstrategy

Promotionstrategy

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Types of marketing in service industries

Company

Employees Customers

Internalmarketing

Externalmarketing

Interactivemarketing

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The New-product Development Process (316)

• Idea

Generation

IdeaGeneration

ConceptDevelopment

andTesting

ConceptDevelopment

andTesting

MarketingStrategydevelop-

ment

MarketingStrategydevelop-

ment

BusinessAnalysis

BusinessAnalysis

Testmarketing

Testmarketing

Commer-cialization

Commer-cialization

Idea Screening

ProductDevelopment

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• Major Idea Resources

InternalSources

InternalSources

CustomersCustomers

Competitors

Distributors& Others

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Product Life Cycle (P.330)

Sales & Profit Sales

Profit

ProductDevelopment Introduction Growth Maturity Decline

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The Strategies in The Product Life Cycle

• Introduction Stage:

High priceHigh price

Low promotionLow promotion

Low priceLow priceHigh promotion High promotion

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The Strategies in The Product Life Cycle

• Growth Stage:

High market

share

High marketshare

High currentprofit

High currentprofit

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• The Strategies in The Product Life Cycle

• Maturity Stage:

Modifyingthe

Market

Modifyingthe

Market

Modifyingthe

Product

Modifyingthe

Product

Modifyingthe

Marketing Mix

Modifyingthe

Marketing Mix

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• The Strategies in The Product Life Cycle

• Decline Stage:

MaintainMaintain HarvestHarvest DropDrop

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产品生命周期各阶段基本策略：

•导入期 —— 突出一个“快”字；•成长期 —— 强调一个“好”字；•成熟期 —— 抓住一个“优”字；•衰退期 —— 明确一个“转”字。