Ch7product產(chǎn)品決策

1、Products, Services, and BrandsBuilding Customer ValueChapter 71Define product and the major classifications of products and services.Describe the decisions companies make regarding their individual products and services, product lines, and product mixes.Identify the four characteristics that affect

2、the marketing of services.Discuss branding strategythe decisions companies make in building and managing their brands.Rest Stop: Previewing the ConceptsProduct Anything that can be offered to a market for attention, acquisition, use, or consumption and that might satisfy a want or need.Service Any a

3、ctivity, benefit, or satisfaction offered for sale that is essentially intangible and does not result in the ownership of anything.4What Is a Service?Services:Services are intangible. Examples include banking, hotel accommodations, airline travel, legal services and others.5Marketing offerings:Inclu

4、des both tangible goods and services, as well as combinations of both.Pure good: soap.Pure service: Legal representation.Combination: Restaurant meal.Products, Services and Experiences6Marketing in ActionCreating and managing customer experiences differentiates marketing offers from competitors. Ump

5、qua Bank designs its “stores to make banking a pleasurable experience. Their banks feature a cozy coffee bar, big-screen TVs showing investment news, comfy seating, WiFi access, and an online music store.7Figure 7.1: Three Levels of ProductLevels of Product and ServicesCore customer value:What the c

6、onsumer is really buying.Actual product:Includes the brand name, features, design, packaging, and quality level.Augmented product:Additional services and benefits such as delivery and credit, instructions, installation, warranty, and service.When developing products, marketers first must identify th

7、e core customer value that consumers seeks from the product. They must then design the actual product and find ways to augment it in order to create this customer value and the most satisfying customer experience. Marketing in ActionPeople who buy a BlackBerry device are buying more than a cell phon

8、e. They are buying the ability to “Connect to everything you through the power of the BlackBerry smartphone.Consumer products:Products and services bought by final consumers for personal consumption.Also included are other marketable entities.Classified by how consumers buy them:Convenience, shoppin

9、g, specialty, and unsought goods.Product and Service Classification Convenience goods:Purchased frequently and immediately with little comparison shopping.Low priced.Mass advertising and promotion.Widespread distribution with many convenient locations.E.g., candy, soda, newspapers.Types of Consumer

10、GoodsTypes of Consumer Goods Shopping products:Bought less frequently, more planning and effort, brand comparisons on basis of price, quality, style.Higher price.Selective distribution in fewer purchase locations.Advertising and personal selling is undertaken by both producer and reseller.E.g., furn

11、iture, clothing, cars.Specialty products:Strong brand preference and loyalty, special purchasing effort, little comparison shopping.High price.Exclusive distribution in only one or a few outlets per market area.Carefully targeted promotion by both producer and reseller.E.g., Lamborghini, Rolex watch

12、es.Types of Consumer GoodsUnsought products:Little product awareness or knowledge of the brand, sometimes negative interest.Pricing strategies vary.Distribution strategies vary.Require aggressive advertising and personal selling by both producer and resellers.E.g., life insurance, cemetery plots, bl

13、ood donation.Types of Consumer GoodsFuel for ThoughtThink about high-definition televisions for a moment. Are products likely to change classification categories over time? 17Industrial products:Those purchased for further processing or for use in conducting business.Distinction between consumer and

14、 industrial products is based on the purpose for which an item is bought (e.g., home or business use).Product and Service ClassificationMaterials and parts:Raw materials, manufactured materials, and parts.Capital items:Products that aid in buyers production or operations.Supplies and services:Operat

15、ing supplies, maintenance, and repair items.Types of Industrial GoodsOther Market OfferingsOrganizations: Profit and nonprofit (schools and churches).Persons: Politicians, sports figures, doctors, etc.Places: Create, maintain, or change attitudes or behavior toward particular places.Ideas (social ma

16、rketing): Public health campaigns, environmental campaigns, family planning, or human rights.20Marketing in Action Social marketing is designed to influence individuals behavior to improve their well-being and that of society. Figure 7.2: Individual Product DecisionsProduct quality dimensions:Produc

17、t feature considerations:Product style and design:Shapes the buyers usage experience.Product and Service AttributesMarketing in ActionOXO approaches product design by focusing on the desired end-user experience, and then translating its notions into eminently usable gadgets.Brand A name, term, sign,

18、 symbol, design, or a combination of these, that identifies the products or services of one seller or group of sellers and differentiates them from those of competitors.Branding involves building and managing brands. BrandingAdvantages to buyers:Helps identify products.Cue to product quality and con

19、sistency.Advantages to sellers:Basis for products quality story.Provides legal protection.Helps to segment markets.PackagingPackaging:Involves designing and producing the container or wrapper for a product.PackagingIdeally, good packages should:Help to market the brand.Protect the contents.Provide c

20、onvenience and ease of use.Ensure product and user/child safety.Address environmental concerns.Marketing in ActionA has launched a multi-year initiative to create “frustration-free packaging for many toys, electronics, and other manufactured items in order to eliminate “wrap rage. Visit the web page

21、 where this is explained. A short video (1:36) demonstrates how Amazons repackaging efforts save buyers time.LabelingLabeling refers to printed information appearing on or with the package, including the product name.Performs several functions:Identifies product or brand.Describes several things abo

22、ut the product.Promotes the product through attractive graphics.Labeling is regulated by the government.Fuel for ThoughtTake an up-close look at the label for the Tabasco brand hot pepper sauce.How well does it fulfill its functions of identifying the brand, describing product, and promoting the bra

23、nd via attractive graphics? Marketing in ActionLogos are easily recognizable symbols, signs, or stylized written portrayals of business brand names. Logos provide a short-cut to product and firm identification. But just how good are you at recognizing the letterforms used in corporate logos? Find ou

24、t by visiting this Web site, and playing the retail alphabet game!Marketing in ActionLabeling and logos can enhance a brands positioning and personality. Pepsis new logo is “more adventurous, more youthful, with a bit more personality to it. Product Support ServicesMonitoring of support services is

25、key:Talk with customers to assess the value and quality of current services and to obtain ideas for new services.Fix problems and put together a package of new services that delights the customers and yields profits for the company.New technologies can often enhance many support service offerings. M

26、arketing in ActionThe Lexus Covenant promises that dealers will “treat each customer as we would a guest in our own home and “go to any lengths to serve them better. Product Line A group of products that are closely related because they function in a similar manner, are sold to the same customer gro

27、ups, are marketed through the same types of outlets, or fall within given price ranges.Product Line DecisionsProduct line length is a major decision.Filling (adding more).Stretching (downward, upward or both ways).Many auto manufacturers may have filled and stretched their lines too far, particularl

28、y in light of recent economic problems. Product Mix The set of all of the product lines and items that a particular seller offers for sale.Product Mix DecisionsProduct mix dimensions include:Width: the number of different product lines the company carries.Length: the number of items in a line.Depth:

29、 the number of versions offered of each product in the line.Consistency: how closely related various lines are.Marketing in ActionSony has a large and diverse product portfolio, divided into four primary product businesses, each of which has hundreds of products in its mix. Figure 7.3: Four Service

30、CharacteristicsMarketing in ActionThe intangible nature of services creates buyer uncertainty. To combat this, service providers often practice “evidence management tactics that show customers honest evidence of their capabilities. Mayo Clinic is a stellar example as its Sharing Mayo Clinic blog let

31、s web site visitors hear directly from workers and former patients.The Service-Profit ChainThe service profit chain links employee and customer satisfaction to firm profits.Five links exist within the chain:Internal service quality.Satisfied and productive service employees.Great service value.Satis

32、fied and loyal customers.Healthy service profits and growth.Marketing in ActionZappos knows that happy customers begin with happy, dedicated, and “perpetually chipper employees. Employees “tweets to customers bear that out.Figure 7.4: Three Types of Service MarketingServices MarketingExternal market

33、ing:Traditional marketing via the 4 “Ps.Internal marketing:Orienting and motivating customer-contact employees and the supporting service people to work as a team to provide customer satisfaction.Interactive marketing:Training service employees in the fine art of interacting with customers to satisf

34、y their needs.Marketing in ActionFour Seasons has perfected the art of internal and interactive marketing to its employees.The Four Seasons hires only the best people with the right attitude who will follow the golden rule. Employees receive 3 months of training, including improvisation exercises to

35、 help them understand customers. Salaries are among the 75th 90th percentile for the industry. All employees, regardless of position, eat together regularly for free in the hotel. Plus employees are allowed free nightly stays at any Four Seasons resort or hotel. Major Service Marketing TasksManaging

36、 service differentiation:Develop a differentiated offer, delivery, and image.PetSmart is a one-stop shop for all pet needs, including boarding.Major Service Marketing TasksManaging service quality:Set high service quality standards, have good service recovery, empower front-line employees.Service re

37、covery is critical.Managing service productivity:Train current employees or hire new ones, increase quantity and sacrifice quality, harness technology.Reinventing Las VegasBackground: Old-timers think of Las Vegas as “Sin City. Yet casino gaming now accounts for less than 50% of the citys revenues.

38、Las Vegas has been reinvented as a luxury destination.How was it done? Extensive consumer research studied the brand experience. Findings indicated that people were a little naughtier when they came to Las Vegas. People associated Las Vegas with adult freedom.Las Vegas Building the BrandPromoting th

39、e BrandAdvertising: The “Only VegasWhat Happens Here, Stays Here $75 million ad campaign captured the brand experience and promoted the image that Las Vegas represents freedom. Results: Las Vegas is the #2 brand behind Google and Las Vegas tourism is booming.What is Las Vegas selling? And what are v

40、isitors really buying? 50Brand Equity The differential effect that knowing the brand name has on customer response to the product or its marketing.Discuss the brand equity of Las Vegas. Las Vegas has positive brand equity and forges an emotional connection with visitors. It is a valuable asset. High

41、 brand equity of Las Vegas provides the company with many competitive advantages and high level of consumer brand awareness and loyalty. It forms the basis for building strong and profitable customer relationships. Building Strong BrandsBrand equity:Measures the brands ability to capture consumer pr

42、eference and loyalty.Is a valuable asset that offers many competitive advantages.Builds strong and profitable customer relationships that result in loyal customers (customer equity).Figure 7.5: Brand Strategy DecisionsBrand PositioningMarketers can position brands clearly in customers minds at any o

43、f three levels:Product attributesProduct benefitsBeliefs and valuesMarketers should create a brand mission and vision of what the brand must be and do when positioning the brand.Brand Name SelectionDesirable qualities for a brand name:It should suggest the products benefits and qualities.It should b

44、e easy to pronounce, recognize, and remember.It should be distinctive.It should be extendable.It should translate easily into foreign languages.It should be capable of registration and legal protection.Brand SponsorshipBrand sponsorship options include:National brands Also called manufacturer brands

45、Store brands Also called private brandsLicensed brandsName or character licensingCo-brandingCreates broader appeal and brand equityPrivate labels are growing rapidly.Marketing in ActionNickelodeon has developed a stable full of hugely popular characters which can be licensed by marketers such as SpongeBob SquarePants that generate billions of dollars of retail sales each year