Chapter 8: Products, Services And Brands

Front 1

Define: Product.

Back 1

Anything which can be offered to the market to satisfy a want or need

Front 2

How does a service relate to a product?

Back 2

A form of (subset of) products consisting of activities, benefits or satisfactions which do not result in ownership.

Front 3

Apart from product, service, channel, people and image, how else can a company differentiate its market offering?

Back 3

Brand Experience

Front 4

Define: Core Customer Value

Back 4

"What is the customer really buying?"

Front 5

What are the three levels of products? And, what are their characteristics?

Back 5

1. Core Customer Value

2. Actual Product: brand name, features, quality, packaging, design

3. Augmented Product: Warranty, after-sales service, product support, delivery and credit

Front 6

What are the 4 types of Product types?

Back 6

1. Convenience Product

2. Shopping Product

3. Specialty Product

4. Unsought Product

Front 7

What are the characteristics of convenience products?

Back 7

• Low customer involvement
  
• Low price
• Intensive distribution
• Mass promotion
• Frequent purchase

Front 8

What are the characteristics of shopping products?

Back 8

• Complex Buying Behavior
• Higher Price
• Selective Distribution
• Ads and personal selling by producer and reseller

Front 9

What are the characteristics of specialty products?

Back 9

• Strong brand preference and loyalty
• High customer involvement
• Low brand comparison
• High Price
• Exclusive distribution
• Carefully targeted promotion

Front 10

What are the characteristics of unsought products?

Back 10

• Low product awareness
• Varying price and distribution
• Aggressive promotion
• Rare need
• E.g. Red Cross blood donations

Front 11

On what 3 levels do marketers make decisions for product and services?

Back 11

1. Individual products

2. Product Lines

3. Product Mix

Front 12

What are the decisions for individual products?

Back 12

1. Product Attributes

2. Branding

3. Packaging

4. Labeling

5. Product support services

Front 13

Define: Brand

Back 13

A name, term, sign, symbol or design which identifies the products or services to the minds of consumers.

Front 14

Define: Brand Equity

Back 14

The differential effect of a brand name, product or marketing on customer responses

Front 15

What are the attributes of a product?

Back 15

1. Quality: characteristics that have the ability to satisfy customer needs

2. Features

3. Style and Design: combination of aesthetics combined with its benefits

Front 16

Define: packaging

Back 16

Design of a product's container

Front 17

In what ways can brand help?

Back 17

• Benefit identification to consumers
  
• Product line (or mix) quality expectation transfer
• Segmentation: targeting different segments

Front 18

How can labels help?

Back 18

• Brand identification
  
• Operation (who, what, how) description
• Quality Level
• Brand positioning communication
• Image differentiation

Front 19

What are product support services and how can they help?

Back 19

They are augmented products such as warranty, after-sales service, delivery and credit, etc. They help by improving brand experience, which can potentially create customer delight.

Front 20

Define: Product Line

Back 20

A group of products that have similar functions sold to the same target market and have similar marketing programs.

Front 21

What are product line decisions?

Back 21

1. Line filling: adding items in a line. It can be susceptible to cannibalization

2. Line stretching: upward (luxury), downward (low-end products)

Front 22

Define: Product Mix

Back 22

The set of all product lines

Front 23

What are the four characteristics of a product mix?

Back 23

1. Width: number of product lines

2. Length: number of products in a line

3. Depth: number of versions of products in a line

4. Consistency: product function, type, distribution channel, etc.

Front 24

What does streamlining a product mix entail?

Back 24

Removing individual products or entire lines that don't perform well to regain consistency and focus.

Front 25

What are the 4 characteristics of a service?

Back 25

1. Intangibility

2. Inseparability: same time of production and consumption

3. Variability: quality depends on who, when, where and how service is provided

4. Perishability: cannot be stored for later consumption

Front 26

Define: Brand Value

Back 26

The total financial value of a brand

Front 27

What are the major decisions in building a brand?

Back 27

1. Brand positioning

2. Name Selection

3. Sponsorship

4. Development

Front 28

What are the 3 levels comprising a brand positioning?

Back 28

1. Attributes

2. Benefits

3. Beliefs and Values (emotional level)

Front 29

What are the various decisions in brand name selection?

Back 29

1. Suggestive of brand positioning

2. Promotes brand recall and recognition

3. Distinct

4. Extendable (product attributes)

5. Capable of legal protection

Front 30

What are the four brand sponsorship options?

Back 30

1. National brands

2. Store Brand (manufacturer)

3. Licensed Brands: licensing names previously created by other manufacturers (e.g. characters, celebrity names)

4. Co-brands: using established brands of different companies on the same product

Front 31

What is a benefit of co-branding?

Back 31

It can achieve greater brand equity due to wider brand categories

Front 32

What are the 4 choices to develop a brand? What are the dimensions of its grid?

Back 32

1. Line extension

2. Brand Extension

3. Multibrand

4. New Brand

Grid dimensions: brand name and product category

Front 33

Define: line extension. How can it be good or bad?

Back 33

Extending an existing brand name of an existing product category in terms of its product attributes. It can be good if it increases market share; bad if it cannibalizes other brands, similar to product line filling.

Front 34

Define: brand extension. What are the benefits?

Back 34

Extending a brand name to a new product. It can aid in faster adoption for new products and instant recognition, saving promotional costs (brand awareness)

Front 35

Define: Multi-brands

Back 35

Creating new brand names on existing product categories

Front 36

Define: new brands

Back 36

Creating new brand names using new products

Front 37

How is a brand managed?

Back 37

• Increased promotional effort
  
• Improving brand experience
• Improving information legitimacy*