Product Management

PRODUCT MANAGEMENT:

PRODUCT MANAGEMENT Prepared by: Ambili. G. S Faculty , IMK University of Kerala

Roles and responsibilities of product manager:

Roles and responsibilities of product manager Creating a product plan on an annual basis Developing demand planning and forecasting for the product category Discussing the forecast with production dept. and agreeing on schedules Knowledge of the industry where he’s working Creating innovative marketing strategies Discussing about packaging Responsible for product line extensions or stretching

Cont…:

Cont… New product identification and working on the development process Preparing communication strategies Proposing sales promotion plans Establishing sales force training management Conducting marketing research with the agency concerned Setting up controls to monitor performance

product:

product a product is anything that can be offered to a market that might satisfy a want or need It includes physical goods,services,experiences,events,persons,places,properties, organisations, information &ideas.

Product concept:

Product concept accessories utility product or service Installation After- Sale service Delivery and credit Warranty Brand image Quality Design safety Package 8-1

Levels of a product:

Levels of a product Core product Basic product Expected product Augmented product Potential product

Product classifications:

Product classifications On the basis of characteristics :- Durability& tangibility use

Durability & tangibility:

Durability & tangibility Non –durable goods : consumed in one or few uses. Durable goods : normally survive many uses. Services : intangible, inseparable, variable & perishable.

Consumer products:

Consumer products Convenience products : frequently buy with minimum comparison Staples Impulse Emergency Shopping products : less frequently purchase, consumers compare carefully on suitability, quality, price &style.

Cont…:

Cont… Speciality products : with unique characteristics or brand identification for which a significant group of buyers is willing to make a special purchase. Unsought products : consumer either does not know about or does not normally think of buying. it is unsought, until the customer become aware of it.

Industrial products:

Industrial products Materials & parts : goods that enter the manufacturers product completely Capital items : that aid in the buyers production or operations including installation & accessory equipment. Suppliers & services : includes operating supplies(lubricants,coal,paper…) & repair & maintenance items(paint,nails,brooms…) Business service includes maintenance & repair service (legal,mgt consulting, advertising..)

Product mix decisions:

Product mix decisions Width : Length Depth Consistency These permits the co to expand its business in 4 ways: it can add new pdt lines, thus widening its pdt mix. it can lengthen each pdt line. it can add more pdt variants to each pdt& deepen its pdt mix.

Product Mix Strategies:

Product Mix Strategies Product Mix Expansion . Trading Up and trading down Alteration of existing products Product Mix Contraction

Product mix:

Product mix Factors influencing changes in product mix

Product Attributes:

Product Attributes Quality Features Sizes Design

Demand forecasting:

Demand forecasting Market demand Company demand

Market segmentation :

Market segmentation WENDELL SMITH “MS consists of taking the total heterogeneous market for a product & dividing it in to several sub-markets on segments, each of which tends to be homogeneous in significant aspects”.- WILLIAM .J. STANTON

MS LEVELS:

MS LEVELS Mass marketing Segment marketing Niche marketing Local marketing Individual marketing Self marketing

Bases for segmenting markets:

Bases for segmenting markets

Bases for segmenting Business markets:

Bases for segmenting Business markets

Product planning:

Product planning “The act of marking out & supervising the search; screening, development & commercialization of new products, the modification of existing lines & the discontinuance of marginal or unprofitable items”.

Advantages of product planning:

Advantages of product planning Products tailored to customers needs Improved product resolution process Reduced product configuration overhead Up-to-date product information for the customer.

Components of a product plan:

Components of a product plan Executive summary & Table of contents Current marketing situations Opportunity & issue analysis Objectives Marketing strategy Action programmes Projected profit & loss statement Control

Product differentiation:

Product differentiation “Is the act of designing a set of meaningful difference to distinguish the company’s offering from competitor’s offerings”. Examples are different flavored ice creams, customized automobiles (e. g. Mercedes)

Differentiation variables:

Differentiation variables Form Features Performance Conformance Durability Reliability Repairability Style Design

Characteristics of Differentiation strategies:

Characteristics of Differentiation strategies Generate customer value Provide perceived values Be difficult to copy.

Product Line:

Product Line Product line is a collection of products, offered by a firm, that satisfy similar needs for different target audiences. Thus all products within a product line are related, but may vary in terms of size, color, quality etc.

Product Line Additions:

Product Line Additions New items or variants are added to the same product category. E. g. various pack sizes or fragrances for soaps, fuzzy logic and automatic washing machines etc.

Product deletion :

Product deletion Declining sales When companies merge Declining prices Declining product profitability When a product’s profitability continuously declines & cannot be reviewed Increasing effective alternatives or substitutes Devotion of excessive attention to otherwise weak-link product due to emotional influences.

Product deletion stages:

Product deletion stages Recognize weak products Analysis of weak products Cause & effect evaluation Implementation of deletion decision