Module 7: Products, Brands, and New Product Development Flashcards
(126 cards)
1
Q
involves managing and developing products and brands, and is a key function of marketing
A
product strategy
2
Q
marketers need to understand how products and brands are _____ and ______ in order to develop effective marketing programs
A
defined
categorized
3
Q
important to understand how new products are _______ and _______ by consumers
A
developed
adopted
4
Q
goods/services or ideas consisting of tangible and intangible attributes
A
products
5
Q
physical attributes like colour, size, material
A
tangible attributes
6
Q
non-physical characteristics like quality, style, reliability
A
intangible attributes
7
Q
products are divided into 3 main categories
A
non-durable goods
durable goods
services
8
Q
consumed quickly (ex: food, gas)
A
non-durable goods
9
Q
last for extended period of time (ex: cars and appliances)
A
durable goods
10
Q
intangible activities, benefits, or satisfaction offered for sale (ex: baking, visits to doctor, taking vacation, going to movies)
A
services
11
Q
often allow products to differentiate their offerings from comp while also adding value to consumers
A
supplementary services
12
Q
offer a combination of both tangible and intangible services
A
middle of service continuum
13
Q
means that services cannot be held, touched or seen before purchase
A
intangibility
14
Q
means that services can vary based on the service provider and are harder to standardize
A
inconsistency (or variability)
15
Q
means that services cannot be separated from the service provider
A
inseperability
16
Q
the consumer is involved in the production of the service if they provide ______ or _______
A
guidance
feedback
17
Q
means that there is fluctuating demand for services and they can’t be stored for times when demand exceeds capacity
A
inventory
18
Q
expensive and arises when a service is available when there is little demand
A
Idle production capacity
19
Q
formally defined as a situation when the supply of a service exceeds its demand
A
Idle production capacity
20
Q
to deal with idle production capacity issue, the service industry uses
A
part-time employees
21
Q
products are comprised of different elements, including (3)
A
- total product concept
- packaging and labelling
- product lines and mixes
22
Q
marketers view products as having 3 different layers
A
core product
actual product
augmented product
23
Q
total product concept =
A
core product
actual product
augmented product
24
Q
the benefit a consumer derives from having the product
A
core product
25
the physical g/s and includes the product's branding, design and features
actual product
26
includes the additional features, attributes that accompany a product
augmented product
27
warranty, service contract, delivery options, installation assistance, or an app for download are examples of
augmented product
28
source of competitive advantage, provides functionality, communication and reinforcement of brand image
packaging and labelling
29
provide a function in terms of ease of use, storage and transport
packaging and labelling
30
what % of food/drink purchase decisions are made at point of sale
over 75%
31
what % of consumers make a purchase after only examining the front pack
90%
32
what % of consumers make a purchase without having picked up an alternative
85%
33
marketers often manage products in groups based on their
similarities
34
group of similar products that are closely related because they satisfy a similar need and are marketed to same general target market
product line
35
includes all the product lines marketed by a company
product mix
36
in small companies the product mix might be _____, while in larger orgs it may be more _______
simple
| complex
37
the number of different product lines offered by the company
product mix width
38
the number of products or brands in the product line
product line length
39
the number of different versions of each product sold within its product lines
product line depth
40
products are classified as either consumer or business products depending on their
usage
41
4 consumer product categories
convenience products
shopping products
specialty products
unsought products
42
inexpensive items that are purchased frequently with minimal shopping effort or risk
convenience products
43
products where the consumer comparison shops, assessing attributes and prices of different products and brands
shopping products
44
products are more expensive then convenience products and require more time and greater assurance of purchase saisfaction
shopping products
45
products that require considerable time and effort to purchase
specialty products
46
tend to be expensive products from specialty brands that require high purchase satisfaction
specialty products
47
products that the consumer does not know about or isn't interested in purchasing
unsought products
48
insurance, funeral services, fire extinguisher, and insulin are examples of
unsought products
49
major characteristic of business products is that their sales are often the result of
derived demand
50
business products are classified based on their use, and include (2)
production goods
| support goods/services
51
used in the manufacturing process
production goods
52
used to assist in production
support g/s
53
4 types of support goods and services
installations
accessory equipment
supplies
services
54
name or phrase uniquely given by a company to a product to identify and distinguish it in the market
brand
55
brands can be legally protected using (3)
patents
copyrights
trademarks
56
a right, granted by the gov to exclude others from making, using, or selling an invention
patents
57
used for protecting technologies, processes, formulations
patents
58
used to protect written material, music and performance
copyrights
59
used to protect brand names, logos, colours, etc.
trademarks
60
term used to describe the value of a brand that results from the favourable exposure, interactions, associations, and experiences that consumer have with a brand overtime
brand equity
61
degree consumers insist on purchasing a specific brand
brand loyalty
62
marketers try to form ______ between brands and consumers so that brand loyalty remains high
connections
63
association of human characteristics with a brand
brand personality
64
brands play a role in
economies and societies
65
help consumers by easing the purchase decision process, being consistent and allowing customers to quickly associate a product with a company name
brands
66
should be memorable, distinctive, and positive
brand name
67
should fit the company/ product image, suggest product benefits, be legally protected and be simple to spell
brand name
68
brands can be based on (3)
- product line and mix
- brand owner
- how they market the brand
69
brands are classified as either
individual brands
| family brands
70
their brand name has been extended to cover more than 1 product
family brand
71
refers to only one product or product line
individual brands
72
includes a product mix with a variety of product lines
family brands
73
when new g/s are introduced under an existing brand name
brand extension
74
when g/s uses both family brand name and its own name (often used in automobile industry)
sub-brand
75
owned and produced by the manufacturer and are distributed through various marketing channels
manufacturer's brand (national brands)
76
owned by retailers who contract their manufacturers and sell products under their own label, exclusively at their own store
private label brands
77
essentially unbranded products produced as cheaper altnertives to manufacturers or private label brands
generic brands
78
most commonly found in the pharmaceutical industry
generic brands
79
most important element of a brand
trustworthiness
80
encompasses the consistently dependable image that consumers have for a brand and fosters confidence recommending it to others
trustworthiness
81
encourage brand loyalty by creating interactions
engagement
82
brands that stand out are often unique, innovative, and forward-thinking
learning edge
83
brands that are caring have the ability to connect with consumers by installing pride
corporate citizenship
84
brands need to have a high profile with consumer and stand out from the crowd
presence
85
brand elements: (5)
```
trustworthiness
engagement
learning edge
corporate citizenship
presence
```
86
describes the stages a new product goes through in the market place
product life cycle
87
4 stages of the product life cycle
introduction
growth
maturity
decline
88
marketing objective is to create consumer awareness and get customers to try the product for first time
introduction stage
89
in the introduction stage, companies spend heavily on
marketing
90
building relationships with _____ takes time
stakeholders
91
characterized by increased competition and a rapid increase in sales
growth stage
92
profits peak during this stage
growth stage
93
profits peak during the growth stage as a result of (2)
economies of scale
| increased demand
94
product and promotional efforts in the growth stage focus on
brand and product differentiation
95
characterized by a slow-down in growth and increased focus on price competition to differentiate products in the market
maturity stage
96
promotional efforts in maturity stage focus on
price
97
weaker competitors tend to start leaving the market at this stage
maturity stage
98
category sales begin to decline and many competitors fall out of the market
decline stage
99
little promotional support other than price discounts during this stage
decline stage
100
where there is an extended introductory period due to significant efforts required to educate customer on usage and benefits of product
high-learning product
101
short introductory stage
low-learning product
102
benefits of purchasing these products are self-evident and very little learning is required
low-learning products
103
the product life cycle is cyclical
fashion products
104
a product with a very short product life cycle
fad
105
experiences immediate rapid growth, followed by equally rapid decline (no real maturity stage)
fad
106
4 strategies used to extend the product life cycle
1. modifying the product
2. modifying the market
3. repositioning a product
4. introducing new product
107
approach used by marketers for products with strong brand equity and a loyal customer base
modifying the market
108
once product reaches this stage it if often in need of some newness
maturity stage
109
categorized depending on degree of newness involved, and how much time a consumer need to learn to use the product
new products
110
3 types of innovations
minor innovations
continuous innovations
radical innovations
111
product mods that require no adjustments by the consumer
minor innovations
112
marketers work to build awareness of the innovation and market along current lines
minor innovation
113
new products that include minor improvement but don't require radical changes by consumers
continuous innovation
114
require extensive product development by the company
continuous innovation
115
involve the introduction of products that are entirely new to the market
radical innovation
116
extensive advertising and public relations efforts are often needed for these products
radical innovation
117
the acceptance of a new product in the market can be explained using the
adoption curve
118
most common approaches to product innovation are (2)
market penetration
| product development
119
focusing on current market with existing products
market penetration
120
developing a new product for current consumers (existing market)
product development
121
targeting new markets with current products
market development
122
moving into new market with new products
diversification
123
suggests that a business attempts to grow depend on whether it markets new or existing products in new or existing markets
Ansoff Matrix
124
looks at new and existing markets for possible growth opportunity
Ansoff Matrix
125
selling the product on a limited basis to determine potential sucess
test marketing
126
launching the product with full sales and marketing support
commercialization
