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A Product is anything that can be offered to a market to satisfy a want or need. Product that are marketed include: Physical goods, services, experiences, events, persons, places, properties, organizations, information, and ideas.

There are five levels of the product. Each level adds more customer value, and the five constitute a customer value hirarchy.
The most fundamental level is the core benefit: The fundamental service or benefit that the customer is really buying. Ex: A hotel guest is buying rest and sleep.

At the second level, the marketer has to turn the core benefit into a basic product . Ex: A hotel room includes: a bed, bathroom, towels, desk, etc. At the third level, the marketer prepares an expected product. a set of attributes and conditions buyers normally expect when they purchase this product. Ex: A hotel guests expect a clean bed, fresh towels, working lamps, and a relative degree of quiet.

At the fourth level, The marketer prepares an augmented product, that exceeds customer expectations. EX: A hotel can include a remote-control television set, fresh flowers, rapid check-in, express checkout, etc. At the fifth level is Potential product, which encompasses all the possible augmentations and transformations the product might undergo in the future.

Successful companies add benefits to their offering that not only satisfy customers but also surprise and delight them. Delighting is a matter of exceeding expectations. Ex: The hotel guest finds candy on the pillow or a bowl of fruit, etc.

Marketers classified products on the basis of characteristics: - Durability - Tangibility - Use Each product type has an appropriate marketing-mix strategy.


Products can be classified into three groups, according to durability and tangibility: 1. Nondurable goods Nondurable goods are tangible goods normally consumed in one or a few uses : beer and soap. Because these goods are consumed quickly and purchased frequently, the appropriate strategy is to make them available in many locations, charge only a small markup, and advertise heavily to induce trial and build preference.

2. Durable Goods Tangible goods that normally survive many uses: refrigerators, machine tools, clothing. Normally require more personal selling and service, and require more seller guarantees 3. Services are intangible, inseparable, variable, and perishable. Normally require more quality control, supplier credibility and adaptability. Ex: raircuts and repairs.

Consumer-Goods Classification
1. Convenience Goods are goods that the customer usually purchases frequently, immediately, and with a minimum of effort. Ex: Tobaco products, soap, newspapers. 2. Shopping Goods are goods that the customer, in the process of selection and purchase, characteristically compares on such bases as suitability, quality, price and style. Ex: Furniture, clothing, and major appliance.

3. Specialty Goods are goods with unique characteristics or brand identification for which a sufficient number of buyers is willing to make a special purchasing effort. Ex: Cars, stereo components, photographic equipment, etc 4. Unsought Goods are goods that the customer doesn`t know about or doesn`t normally think of buying. Ex: life insurance, gravestones, encyclopedias.

Is the set of all products and items that a particular seller offers for sale. A company`s product mix has a certain Width, Length, Depth and consistency. The width of product mix refers to how many different product lines the company carries. The length of product mix refers to the total number of items in the mix.

The depth of a product mix refers to how many variants are offered of each protduct in the line. The consistency of a product mix refers to how closely related various the product line are in end use, production requirement , distribution channels. These four dimensions are the tools for developing the company`s marketing strategy, and deciding which product lines to grow, maintain, harvest and divest.

A Brand is: a name, term, sign, symbol or design or
a combination of them or group of sellers , intended to identify the goods or services of one seller or group of sellers and to differentiate them from those of competitors The best brands convey a warranty of quality.

Brand can can convey up to six levels of meaning:

1. Attributes A brand brings to mind certain attributes. Ex: Mercedes suggests expensive, wellbuilt, well-engineered, durable, high-prestige automoblies. 2. Benefits Attributes must be translated into functional and emotional benefits. The attributesDurable could translate into the functional benefit I won`t have to buy another car for several years. The attribute expensive translates into the emotional benefit The car makes me feel important and admired.

3. Values The brand also says something about theb producer`s values. Ex: Mercedes stands for high performance, safety, and prestige. 4. Culture The brand may represent a certain culture. The Mercedes represent German culture: organized, efficient, high quality. 5. Personality The brand can project a certain personality. Ex: Mercedes may suggest a no-nonsense boss (person), a reigning lion. 6. User The brand suggest the kind of consumer who buys or uses the product. Ex: We would expect to see a 55- year-old top executive behind the wheel of the mercedes, not a 20-year-old secretary.

The degree of brand name recognition,

perceived brand quality, strong mental and emotional associations, and other assetssuch as: patents, trademarks, and channel relationships

High brand equity provides a number of competitive advantage

1. The company will enjoy reduced marketing costs because of consumer brand awareness and loyalty 2. The company will have more trade leverage in bargaining with distributors and retailers becuase customers expect them to carry the brand 3. The company can charge a higher price than it`s competitor because the brand has higher perceived quality.

4. The company can more easily launch extensions because the brand name carries high credibility. 5. The brand offers the company some defense againts price competition.

The Major Purpose Of Brand

1. The brand name makes it easier for the seller to process orders and track down problems 2. The seller`s brand name and trademark provide legal protection of unique product features 3. Branding gives the seller the opportunity to attract a loyal and profitable set of customers. Brand loyalty gives sellers some protection from competition.

4. Branding helps the seller segment markets. Each formulated differently and aimed at specific benefitseeking segments. 5. Strong brands help the corporate image, making it easier to launch new brands and gain acceptance by distributors and consumers.

The Desirable Qualities For A Brand Name:

1. It should suggest something about the product`s benefits. 2. It should suggest product qualities such as action or color 3. It should be easy to pronounce, recognize, and remember. Short names help 4. It sholud be distinctive . Ex: Mustang, Kodak, Exxon 5. It sholud not carry poor meanings in other countries and languages. Ex. Nova is a poor name for a car to be sold in spanish-speaking countries; it means doesn`t go.

1. Line Extensions Existing brand name extended to new sizes, or flavors in the existing product category 2. Brand extensions Brand names extended to new product categories. 3. Multibrands New brand names introduced in the same product category) 4. New brands New brand name for a new category product 5. Cobrands Brands bearing two or more wellknown brand names.