PRODUCT ITEM
specific version
product line
closely related items
product mix
all products
category of new product discontinous/radical innovation
New to the world
category of new product Continuous innovation
improvements revisions
new product development process
new product strategy idea generation screening and evaluation business analysis development market testing commercialization
Five categories of product adopters
innovators2.5 early adopters13.5 early majority34 late majority34 laggards16
brand equity
the perceived worth of your brand
branding strategies
multiproduct brainding brand extension multibranding cobranding private branding
Market segmentation
1 common needs 2 respond similarly to marketing action
market segments
relatively homogenous groups of prospective buyers that result from the market segmentation process
steps in segmenting and targeiting markets
1 group buyers into segments 2 select target market 3 advertise to target market
step 1 group buyers into segments
simple and cheap profit potential similiar needs difference of needs of of buyers among segments
ways to segment
geographic segment and demographic segment: age gender income education psychographic segmentation group by personality traits values attitudes interest behavioral segmentation when they pruchase use or think of buying a product usage rate segmentation geodemographic segmentation
80-20 rules
20 percent of customers generate 80 of demand
criteria in selecting target market
Size Growth Competition Cost org objective and resources
Positioning
creates a image or perception of brand
repositioning
changes the way a brand looks like old spice
two approaches to product positioning
head to head or differentiation
positioning statement
for target market brand x is the only brand amongst all the competitive set that unique value claim because reason to believe
perceptual map
is the map like the one we did with cars classy old economic ex. has to do with where consumers see a product
Product
a product is a good service or idea consisting of a bundle of tangible and intangible attributes that satisfies consumers needs and is received in exchange for money or something else of vlaue
product types
business product product used to manufacture to facilitate org operation or to resell to other consumers consumer product product bought by ultiate consumer
types of consumer products
convenience products shopping products specialty products
New product development process
1 new product strategy dev 2 idea generation 3 screening and evaluation 4 business analysis 5 development 6 market testing 7 commercialization
step 1
new product strategy dev identifies strategic role in firms portfolio protocol 1 defined target 2 cust specific needs and wants 3 what product is
stage 2`
idea generation pool of concepts for new product
stage 3
screening and evaluation internal tech difficulty if it meets objectives in step 1 external concept test preliminary consumer testing of product idea for resonation
stage 4
business analysis specifics of marketing strategy
stage 5
alpha and beta testing of product
stage 6
market testing test market offers product for limited basis in defined are controlled test market contracts entire test program to outside service simulated test markets are test that simulate full scale test market
stage 7
commercialization full scale production and sales
stages of product lifecycle
intro growth maturity decline
intro stage
small amount of sales minimal profit primary demand: demand for category and selective demand demand for brand
growth
rapid increase in sales increase in competitors and substitutes
Maturity
sales slow intense price competition and need to differentiate
decline
Profits drop either harvest offer product reduce marketing cost or delete exit market
product diffusion
the rate at which the idea goes from one consumer to the next
multiproduct branding
branding strategy where company uses one name for al its products
brand equity
the perceived worth of a brand like jordans
brand personality
personalit associated with a brand
branding
uses a name logo slogan
brand extensions
uses brand for different product risk of brand dilution
co branding
two prands one product like clorox with bleach
multibranding
different brand names aimed at different segments cant use brand equity of other brand
private branding
product sold under brand name of wholesaler
label
product or brand who made it how it is used when it was made ingredients
retailing
includes all activities involved in selling, renting, and providing goods and services to ultimate consumers for personal, family, or household use.
classification of retail operation
ownership level of service merchandise
category killers
category specialist stores like toys r us
non store retailing
direct selling telemarketing online retailing relevision home shopping direct mail and catalogs automatic vending
product line depth
limited line stores single line stores specialty outlets
product line breadth
general merchandise scrambled merchandising hypermarket supercenter
automatic vending
serve customers where stores cant prices are higher
types of retailers
inderpendent retailers chains stores and franchises