ch 8 Flashcards
(24 cards)
What is a product?
Anything that can be offered in a market for attention, use, or consumption that might satisfy a need or want.
Examples include soap, toothpaste, and clothes.
What is a service?
A form of product that consists of activities, benefits, or satisfactions offered for sale that are essentially intangible and do not result in ownership of anything.
Examples include banking, hotel services, and home repair.
What do experiences represent in marketing?
What buying the product or service will do for the customer, often memorable.
Examples include experiences at Disneyland and Toys “R” Us.
What is the core benefit of a product?
The core problem-solving benefits that the customer seeks when they buy a product or service.
Example: Buyers of BlackBerry seek freedom and connectivity.
What are the five characteristics of an actual product?
- Quality level
- Features
- Design
- Brand name
- Packaging
Example: The BlackBerry as an actual product with specific features and packaging.
What does an augmented product include?
Additional services or benefits of the actual product, such as warranty, installation, delivery, and after-sales service.
Example: BlackBerry providing warranty and repair services.
What are consumer products?
Products and services for personal consumption, classified by how consumers buy them.
Includes convenience, shopping, specialty, and unsought products.
Define convenience products.
Consumer products that the customer usually buys frequently, immediately, and with minimal comparison and buying effort.
Examples: Newspapers, candy, fast food.
What are shopping products?
Consumer products that the customer compares carefully on suitability, quality, price, and style.
Examples: Furniture, clothing, used cars.
What are specialty products?
Consumer products with unique characteristics or brand identification for which a significant group of buyers is willing to make a special purchase effort.
Examples: Medical services, designer clothes.
What are unsought products?
Consumer products that the consumer does not know about or does not normally think of buying.
Examples: Life insurance, blood donations.
What are industrial products?
Products bought by individuals or organizations for further processing or for use in conducting a business.
What are the three levels of product and service decisions?
- Individual product decisions
- Product line decisions
- Product mix decisions
What is product line length?
The number of items in a product line.
Define product line stretching.
When a company lengthens its product line beyond its current range.
Includes downward and upward stretching.
What is downward product line stretching?
Used by companies at the upper end of the market to plug a market hole or respond to a competitor’s attack.
Example: Mercedes launching the C class.
What is upward product line stretching?
Used by companies at the lower end of the market to add prestige to their current products.
Example: Toyota launching Lexus.
What is product line filling?
Occurs when companies add more items within the present range of the line for goals like more profits or satisfying dealers.
What is a product mix?
All the products and items that a particular seller offers for sale.
List the four important dimensions of a product mix.
- Product mix width
- Product mix length
- Product line depth
- Consistency
What does product mix width refer to?
The number of different product lines the company carries.
What does product mix length refer to?
The total number of items the company carries within its product lines.
What does product line depth refer to?
The number of versions offered of each product in the line.
What does consistency in product mix mean?
How closely the various product lines are in end use, production requirements, or distribution channels.
