Products Services and Branding Strategy Session5 Power Point
Products, Services and Branding Strategy Session-5 Power. Point Presentation
Product Ø Products, Services, and Experiences – Market offerings may consist of a combination of goods and services – Experiences are used to differentiate offerings Ø Levels of Product and Services – Core benefit, Basic, Expected and augmented and Potential product Ø Product and Service Classifications – Consumer products and industrial products
Product Levels PRODUCT LEVELS 1. CORE PRODUCT 2. BASIC PRODUCT 3. EXPECTED PRODUCT 4. AUGMENTED PRODUCT 5. POTENTIAL PRODUCT
Example Product or service or brand Core Product Actual Product Ford Ikon Freedom to travel A motor car Budget/No Frills Airline e. g. Jetlite, Go Air ? Nike Association with ? the best in sports. Augmented Product ? An airline journey Food bought during your flight Nike online allows you to personalise your trainers
Example: Hotel Core • Rest • Sleep Basic • Bed • Bathroom Expected Augmented Potential • Hygiene • Service • Beech Hotel, Brand, Star Hotel • Future Product
Product Classification ØConsumer products: – Durability & Tangibility • Non Durable: eg. Soap, beer • Durable: TV, Refrigerator. • Services: Intangible, eg: Air Travel, Hotel, Telecom
– Consumer-Goods Classification • Convenience • Shopping • Specialty • Unsought
Industrial Goods Classification – Materials and parts : • Raw Materials [ farm & natural] and Manufactured materials and parts [ component material and component parts – Capital items • Installation and Equipments – Supplies and services • Operating Supplies and Maintenance and repair items • Maintenance and repair service & business advisory service
Product Differentiation Ø Ø Ø Ø Form- Shape Size Features Customization Performance Conformance Durability Reliability Reparability
Product Line Analysis Ø Ø Product Mix Product Line Product Width Consistency
Product Line Analysis ØTwo Aspects – Sales and Profit – Market Profile
Product Line Length Profits can increase either if product line is shorten or added. It can be lengthens in two ways : 1. Line Stretching : Down market stretch, Up Market stretch, Two way stretch 2. Line Filling : by adding more items on product line
Product Line Modernization Ø Part Basis/Overall Ø Modernization is carried rapidly, eg micro-processor companies Ø Too early might damage sale of current line and too late competition might take advantage. Ø Vox Wagan Beatle
Featuring and Pruning Ø Line Featuring – Establishing Image driver for the line[ Surya classic for Surya brand] – Issue to promote weak items or safe guard strong ones Ø Pruning – Weak items – Production demands
Branding Coke, Toyota, Surya: What comes to your mind? Attributes Benefits Values Culture Personality User Marketing is also converting simple products and Services into brands.
Why Branding Ø Brands with strong equity have many competitive advantages: – High consumer awareness will reduce marketing cost – Strong brand loyalty – Helps when introducing new products – Less susceptible to price competition – More Trade Leverage in bargaining with distributors and retailers [Bajaj Bikes in Nepal]
Brand Name Decision Product benefits Product Qualities Easy to pronounce recognize and remember Distinctive Should not carry poor meanings in other countries and languages Ø Blanket Family Names Ø Ø Ø
Brand Strategy Decision Line Extension: Minor Changes to Existing Products Brand Extension: Successful brands help introduce new products Multibrands: Multiple brands into a product category New brands: New product brand Co brands
Labeling and Packaging Ø Ø Identifies the product Describes the product Promotes the product Legal requirement
Packaging Ø A Marketing Tool. Ø Garnishing the product. Ø Important Marketing Tool
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