Chapter 8: Products, Services and Brands

Question 1

Levels of product and services

Answer 1

1. Core customer value
2. Actual product
3. Augmented product

Question 2

Products are anything that can be offered to a market for attention, acquisition, use or consumption that might satisfy a want or need. 2 General categories of products:

Answer 2

1. Consumer products
2. Industrial or business products

Question 3

Consumer products: items purchased to satisfy personal or family needs, name 4 categories:

Answer 3

• Convenience: inexpensive, frequently purchased and rapidly consumed items.
• Shopping: item chosen more carefully.
• Specialty: items that possess one or more unique characteristics (exclusivity, e.g. cartier watch or particular painting).
• Unsought: product that the consumer does not know about or does not normally consider buying.

Question 4

Industrial or business products (items bought for use in a company’s operations or to make other products), consists of:

Answer 4

1. Material and parts: raw materials and manufacturing materials and parts.
2. Capital items: Industrial products that aid in the buyer’s production or operation.
3. Supplies and services: Operating supplies and repair and maintenance items. Aswell as maintenance and repair services and advisory services.

Question 5

Going broader, types of marketing:

Answer 5

• Organization marketing: activities to create, maintain, or change the attitudes and behavior of target consumers toward an organization.
• People marketing: Activities to create, maintain, or change attitudes or behavior toward particular people.
• Place marketing: Activities to create, maintain or change attitudes or behavior toward particular places.
• Ideas  social marketing: Social ideas use the traditional business marketing concepts and tools to encourage behaviors that will create individual and societal well-being.

Question 6

Individual product decisions:

Answer 6

1. Product and service attributes
2. Branding
3. Packaging
4. Labeling and logos
5. Support services

Question 7

Product mix/product portfolio: the set of all product lines and items that a particular seller offers for sales.

Answer 7

• Width
• Length
• Depth
• Consistency

Question 8

Special service characteristics

Answer 8

1. Service intangibility
2. Service inseparability
3. Service variability/heterogeneity
4. Service perishability

Question 9

Service profit chain: the chain that links service firm profits with employee and customer satisfaction. It consists of five links:

Answer 9

1. Internal service quality
2. Satisfied and productive service 3. employees
3. Greater service value
4. Satisfied and loyal customers
5. Healthy service profits and growth

Question 10

Types of marketing service:

Answer 10

1. internal marketing
2. interactive marketing

Question 11

2 kinds of services:

Answer 11

1. consumer services
2. business services

Question 12

To analyze services there are 5 criteria you can use:

Answer 12

1. Type of market
2. Degree of labor intensiveness
3. Degree of customer contact
4. Skill of the service provider
5. Goal of the service provider

Question 13

Brand equity consists of 4 major elements:

Answer 13

1. Brand awareness
2. Brand attribution/associations
3. Brand quality
4. Brand loyalty: important because it reduces a brand’s vulnerability to competitor’s actions.

Question 14

Brand resonance

Answer 14

Helps analyze how strongly a brand connects with its customers by breaking down salience (recognizability), imagery, performance, feelings, judgements, and resonance (overall connection).

Question 15

The brand identity prism is a unique set of brand associations reflecting what a brand stands for and the intended promise to the customer as a relationship is forged. The concept includes:

Answer 15

• Physique, tangible characteristics like shape and color.
• Personality, human characteristics associated with the brand; it’s tone and manner.
• Culture, the underlying values, and behaviors of the organization.
• Relationship, the nature, and quality of the brand-customer relationship.
• Reflection, the brand as a communication tool for instance a premium brand reflecting status, focusing on characteristics of your typical customer.
• Self-image, internal reflection like rewards, benefits and exhibited image. It’s about how your brand helps customer reach their ideal selves.

Question 16

Building strong brands - major brand strategy decisions:

Answer 16

1. brand positioning
2. brand name selection
3. brand sponsorship
4. brand development

Question 17

progression of economic value (needs for customer)

Answer 17

level 1 - commodities
level 2 - goods
level 3 - services
level 4 - experiences

Question 18

Marketing mix (4Ps of marketing) from organization view:

Answer 18

1. Product (what is being sold)
2. Price (how much does it cost?)
3. Place (where is it available?)
4. Promotion (how is it communicated)

Question 19

Marketing mix: you place yourself in the shoes of the customer, 4 C’s:

Answer 19

• Cost (does it solve a real problem or need?)
• Consumer (not just price, but total cost (money, time, effort))
• Convenience (how easily can it be accesses or used?)
• Communication (how effectively is it explained or presented)

Question 20

Customer perceived value: how a firm’s offering is perceived by a customer based on their needs, values, psychology, behavior as well as functional and economic factors.

Answer 20

• Psychological, like feelings of luxury or appeals to sense of style.
• Functional, like performance and comfort.
• Economic, like retained market value.