Reading...
Play button
Play button
Use LEFT and RIGHT arrow keys to navigate between flashcards;
Use UP and DOWN arrow keys to flip the card;
H to show hint;
A reads text to speech;
82 Cards in this Set
- Front
- Back
|
products
|
-the core of every organization
-whether it be a good,service, person, place, or idea -offer customers a bundle of benefits that address a set of needs |
|
|
Features
|
are the way that benefirts are delieverd to customers.
-provide the solution to customer problems |
|
|
Brand
|
The name, representative symbol or design, or any other feature that identifies one firm's product as distinct from another firm's
-can be associated with one product, a family of products, or with all of the products sold by a firm |
|
|
2 classifications of products depending on who the buyer is and for waht purpose the product is being used
|
Consumer or Business to Business
|
|
|
Consumer product
|
if a consumer purchases a product for his or her own household use
|
|
|
Business to business products
|
products purchses by organizations to be used in producing other products or inoperating their businesses
|
|
|
Futher classifications of consumer products
|
how the consumer views and shops for the products
|
|
|
Futher classification of business to business products
|
based on how products will be used (5)catagories
|
|
|
4 types of consumer products
|
convience products
shopping products specialty products unsought products |
|
|
Convenience products
|
-inexpensive items consumers purchase with little effort
-usesd on a frequent basis -consumers spend little time shopping for these products ex. soap,toothpaste |
|
|
Shopping products
|
more expensive than convience products, so decision to purchase them is more important
-consumer will spend more time searchin for information before selecting a particular brand ex. computers,clothing |
|
|
Specialty products
|
-very high involvement consumer purchases, where the product reflects consumers personality or self image
-consumers willin to spend a great deal of time to aquire one -substitutes not an option -brand more imp.then features ex. rolex watch |
|
|
Unsought products
|
either unknown to the buyer or are known but not actively being sought at this point in time.
-do not search untill they need or are made aware of the products ex/ life insurance, medical trama services |
|
|
5 catagories of business to business products
|
1. raw materials
2.supplies 3.accessories 4. component parts and materials 5.installations |
|
|
raw materials
|
unprocessed products taht become part of a company's finsihed goods
-almost all commodities -eggs,corn, milk, oil, gas -little or no differentiation between sellers,buyer-seller transations conducted at arms lenght |
|
|
Supplies
|
used in support of business operations ut are not part of the finished product
-standardized purchases often, inexpensive compared to other products ex.pens,paper,postits,cleaning supplies,lub oils Buyer-seller interations at arms lenghts w/ little or no ongoing relationship between firms |
|
|
Accessories
|
standardized pieces of equipment that support the overall running of factories and businesses
-purchased less frequently than supplies ex.printers,copiers, delivery trucks,display cases -freq.bought at arms lenght, some firms have developed strong relationships with one or two suppliers to reduce overall costs |
|
|
Component Parts and materials
|
products taht are partly assembled or already processed to be ready for assembly into finished product
-ham patties, buns,ketchup, pickles for mcd's and bking -tires,seats,engines for manufacutures -firms tending toward closer buyer/seller relationships with supplier of componet materials using relationship marketing to capture comptetive edge though diffeerentation and product design efficency |
|
|
installations
|
major capital goods. usually, customized,expensive,and purchased infrequently
-buildings,labs,major comp systems -more challanging |
|
|
Product Mix
|
All of the products a company markets
typically includes various iteams taht are related in terms of raw materials used to create them |
|
|
Product Line
|
A group of related items in a company's product portfolio
-is the set of products a firm targes to one general market. These products are likely to share some common features and technology characteristics or be complementary products. They also are likely to share everal elements of the marketing mix, such as distribution channels |
|
|
Product Mix-width
|
number of diff product lines a compnay offerers
ex.Purex's...might include detergents,fabric softerners,cleansers,scouring pads,bleach,dish liquid,soaps,amonia, and toliet bowl cleaners |
|
|
Product Mix debth
|
the number of brands within each product line
ex.purex's detergents...purex powdered,liquid w/fab softners,trend powdered, |
|
|
Benefits of offereing multiple product lines
|
1. protection against competition
2.increase growth and profits 3.offset sales fluctuations 4.enable economical resourse usuage 5.avoid obsolescense |
|
|
To set the stage for new product development, three issues must be throughly examined
|
1. defining the type of new product to launch
2.establishing how its success will be measured 3. anticipating potential reason for possible failure |
|
|
Line Extenstions
|
new products that are developed as variations of existing products
ex. honey nut cherrios...a ....of cherrios |
|
|
"New to the world"
|
products taht create an entirely new market--riskest of all, but presesnt enormous profit potential bc rep.monoply oppurtunities
|
|
|
Dimensions of newness
|
1. how new a product is in the eyes of the market
2.how new the product is to the firm |
|
|
Core Benefit Proposition(CBP)
|
Is the primary benefit or pupose for which a customer buys a product.
-may reside in the physical good or service performance, or it may come from augmented dimensions of the product |
|
|
Average Project Portfolio and what it consists of?
|
10%=new to the world=highest risk
34%=product improvements=lowest risk 23%=adding to existing lines(line extentions)=3rd highest risk 20%=New product lines(new to the firm, but already manufacuted by competitors)=2nd lowest risk overall, 70% on avg.firm products focus on changing or adding to current products |
|
|
Defining Successful products
|
developing new products is time and resource consuming, as great care must be taken to ensure the best decisions are made before the product reaches channel members and final consumers
|
|
|
4 ways NPD project success is evaluated that span these 3 dimensions
|
1. Financial success
2.technical performance success 3.success from the customer's perspective |
|
|
Financial Sucess
|
most firms measure by profitability
others measure include margin improvement and return on investment |
|
|
Technical performance success
|
one of the three diminessions taht NPD project success is evaluated
-new products frequently evaluated on their competitive advantage from this point of view |
|
|
Success from the customer's perspective
|
one of the three diminessions taht NPD project success is evaluated
both market share and customer satisfaction are used to evaulate a products success from this perspective |
|
|
silver bullet
|
the perfect product development project that achieves high levels of success on all three dimensions
|
|
|
product mix
|
the full set of a firm's products across all markets served
|
|
|
Reasons projects are abandoned during development
|
1. Availabile technology is unable to meet desired performance specifications or a desired price point
2. A firm's strategy changes,rendering the product no longer interesting, or a competitor beats the firm to the market 3. firm may uncover info that suggests the product as coneived would not solve customer probelms and thus they would nto purchase it 4. development team is unable to interest marketing or managment in commercialing the product |
|
|
Strategic reason products fail in the marketplace
|
1.failure to provide an advantage or performance iprovement over products available to customers
2.Lack of synergy with the tech and manufacturing processes of the firm requiring taht the firm learn about how to design and make new technologies 3.Marketing synergies lack necessary distribution channels,promotion and selling practices,or pricing policies, often bc they product targets a group to whom the firms has never before marketed a product |
|
|
Project strategy
|
sometimes called a protocol, is a statement of the attributes the project is expected to have, the market to which it is targeted, and the purpose behind commercialiing the product
|
|
|
three activites a firm has to succesfully complete in order for an effective product development
|
1. uncover unmet needs and wants
2. develop a competitvely advantaged product 3. shephert products through the firm |
|
|
Competitively advantaged product
|
a product taht solves a set of customer problems better than any competitor's product. This product is made possible due to this firm's unquie technical,manufacturing,managerial,or marketing capabilities, which are not easily copied by other
|
|
|
Developing a competitively advantaged product requires
|
requires cooperation across multiple departments
1. input from customers on unmet needs 2.input from marketing as to what the competition is doing to address the need 3.input from manufacturing abotu waht the firm can currently build 4.input from engineering as to what additional tech are available 5.input from r&d about new way of potentially adressing need 6.input from finance about costs |
|
|
3 methods useful for gathering customer needs qualitatively
|
1. become the people with the problem
2. critally observe those with the problem 3.talk to people in debth about their problems |
|
|
Tacit Knowledge
|
knowledge that is implied by or inferred from actions or statements
|
|
|
concept
|
a written description or visual depiction of a new product idea.
includes the product's primary feature sand benefits |
|
|
prototype
|
a product concept in physical form
may be a full working model that has been produced by hand or a nonworking physical representation of the final product used to gather customer reation to the physical form or to initial operating capability. Also used in internal performance tests to ensure taht performance goals have been met |
|
|
customer needs are often ascertained initially through ...which kind of research?
|
qualitative market research
|
|
|
anthropological excursions
|
identify tacit information and expose team members to customer language. It is the msot effective means for gathering workflow or process-related information
|
|
|
Voice of Customer (VOC)
|
Is a one-on-one,situational interview technique taht can uncover both general and very detailed customer needs
|
|
|
What does an effective project strategey state?
|
the resason the firm is undertaking a project and identifies specific business goals for the project
|
|
|
project strategy
|
specific plan of how project will proceed and why
|
|
|
project development process
|
outlines the normal way NPD proceeds at the firm
defines what functions are responsibile for performing what tasks,in what order, in conj,with with other tasks and functions |
|
|
stage-gate proces
|
common new product development proess tha divides the repeatable portion of productive development into a timesequenced series of stages, each of which is separated by a management-descion gate
|
|
|
brand equity
|
isthe marketplace value of a brand based on repution and goodwill
|
|
|
product life cyle
|
the cylcle of stages that a produce goes through from birth to dealth: introduction,gorwth,maturity,and decline
|
|
|
3 methods useful for gathering customer needs qualitatively
|
1. become the people with the problem
2. critally observe those with the problem 3.talk to people in debth about their problems |
|
|
Tacit Knowledge
|
knowledge that is implied by or inferred from actions or statements
|
|
|
concept
|
a written description or visual depiction of a new product idea.
includes the product's primary feature sand benefits |
|
|
prototype
|
a product concept in physical form
may be a full working model that has been produced by hand or a nonworking physical representation of the final product used to gather customer reation to the physical form or to initial operating capability. Also used in internal performance tests to ensure taht performance goals have been met |
|
|
customer needs are often ascertained initially through ...which kind of research?
|
qualitative market research
|
|
|
anthropological excursions
|
identify tacit information and expose team members to customer language. It is the msot effective means for gathering workflow or process-related information
|
|
|
Voice of Customer (VOC)
|
Is a one-on-one,situational interview technique taht can uncover both general and very detailed customer needs
|
|
|
What does an effective project strategey state?
|
the resason the firm is undertaking a project and identifies specific business goals for the project
|
|
|
project strategy
|
specific plan of how project will proceed and why
|
|
|
project development process
|
outlines the normal way NPD proceeds at the firm
defines what functions are responsibile for performing what tasks,in what order, in conj,with with other tasks and functions |
|
|
stage-gate proces
|
common new product development proess tha divides the repeatable portion of productive development into a timesequenced series of stages, each of which is separated by a management-descion gate
|
|
|
brand equity
|
isthe marketplace value of a brand based on repution and goodwill
|
|
|
product life cyle
|
the cylcle of stages that a produce goes through from birth to dealth: introduction,gorwth,maturity,and decline
|
|
|
3 methods useful for gathering customer needs qualitatively
|
1. become the people with the problem
2. critally observe those with the problem 3.talk to people in debth about their problems |
|
|
Tacit Knowledge
|
knowledge that is implied by or inferred from actions or statements
|
|
|
concept
|
a written description or visual depiction of a new product idea.
includes the product's primary feature sand benefits |
|
|
prototype
|
a product concept in physical form
may be a full working model that has been produced by hand or a nonworking physical representation of the final product used to gather customer reation to the physical form or to initial operating capability. Also used in internal performance tests to ensure taht performance goals have been met |
|
|
customer needs are often ascertained initially through ...which kind of research?
|
qualitative market research
|
|
|
anthropological excursions
|
identify tacit information and expose team members to customer language. It is the msot effective means for gathering workflow or process-related information
|
|
|
Voice of Customer (VOC)
|
Is a one-on-one,situational interview technique taht can uncover both general and very detailed customer needs
|
|
|
What does an effective project strategey state?
|
the resason the firm is undertaking a project and identifies specific business goals for the project
|
|
|
project strategy
|
specific plan of how project will proceed and why
|
|
|
project development process
|
outlines the normal way NPD proceeds at the firm
defines what functions are responsibile for performing what tasks,in what order, in conj,with with other tasks and functions |
|
|
stage-gate proces
|
common new product development proess tha divides the repeatable portion of productive development into a timesequenced series of stages, each of which is separated by a management-descion gate
|
|
|
brand equity
|
isthe marketplace value of a brand based on repution and goodwill
|
|
|
product life cyle
|
the cylcle of stages that a produce goes through from birth to dealth: introduction,gorwth,maturity,and decline
|
