Chapter 09

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Slide 1: 

CHAPTER 9 Product Concepts

Learning Outcomes : 

2 Learning Outcomes LO3 LO2 Define the term product Classify consumer products Discuss the importance of services to the economy Discuss the differences between services and goods LOI LO4

Learning Outcomes : 

3 Learning Outcomes Define the terms product item, product line, and product mix Describe marketing uses of branding Describe marketing use of packaging and labeling Describe how and why product warranties are important marketing tools LO5 LO6 LO7 LO8

What Is a Product? : 

4 Define the term product What Is a Product? LO1

What Is a Product? : 

5 LOI What Is a Product?

What Is a Product? : 

6 LOI What Is a Product? Product is the starting point ofMarketing Mix

REVIEW LEARNING OUTCOME : 

7 REVIEW LEARNING OUTCOME LOI Define the term product

Types of Consumer Products : 

8 Classify consumer products Types of Consumer Products LO2

Types of Products : 

9 LO2 Types of Products

Types of Consumer Products : 

10 LO2 Types of Consumer Products

Types of Consumer Products : 

11 LO2 Types of Consumer Products

REVIEW LEARNING OUTCOME : 

12 REVIEW LEARNING OUTCOME LO2 Consumer Products

The Importance of Services : 

13 Discuss the importance of services to the economy The Importance of Services LO3

Service : 

14 LO3 Service

REVIEW LEARNING OUTCOMEThe Importance of Services : 

15 REVIEW LEARNING OUTCOMEThe Importance of Services LO3

Slide 16: 

16 Biz Flix LO3 Intolerable Cruelty

How Services Differ from Goods : 

17 Discuss the differences between services and goods How Services Differ from Goods LO4

How Services Differ from Goods : 

18 LO4 How Services Differ from Goods

How Services Differ from Goods : 

19 LO4 How Services Differ from Goods Intangibility Search Qualities Experience Qualities Credence Qualities

Product Items, Lines, and Mixes : 

20 Define the terms product item, product line, and product mix Product Items, Lines, and Mixes LO5

Product Items, Lines, and Mixes : 

21 LO5 Product Items, Lines, and Mixes

Campbell’s Product Lines and Mix : 

22 LO5 Campbell’s Product Lines and Mix

Benefits of Product Lines : 

23 LO5 Benefits of Product Lines

Product Mix Width : 

24 LO5 The number of product lines an organization offers. Product Mix Width Diversifies risk Capitalizes on established reputations

Product Line Depth : 

25 LO5 The number of product items in a product line. Attracts buyers with different preferences Increases sales/profits by further market segmentation Capitalizes on economies of scale Evens out seasonal sales patterns Product Line Depth

Adjustments : 

26 LO5 Adjustments

Types of Product Modifications : 

27 LO5 Types of Product Modifications

Planned Obsolescence : 

28 LO5 Planned Obsolescence

Repositioning : 

29 LO5 Repositioning

Product Line Extension : 

30 LO5 Product Line Extension

Product Line Contraction : 

31 LO5 Product Line Contraction

REVIEW LEARNING OUTCOMEProduct item, product line, and product mix : 

32 REVIEW LEARNING OUTCOMEProduct item, product line, and product mix LO5

Branding : 

33 Describe marketing uses of branding Branding LO6

Brand : 

34 LO6 Brand

Branding : 

35 LO6 Branding

Benefits of Branding : 

36 LO6 Benefits of Branding

Slide 37: 

37 Biz Flix 37 LO6 Josie and the Pussycats

Top Five Global and North American Brands : 

38 LO6 Top Five Global and North American Brands SOURCE: Deborah L. Vence, “Not Taking Care of Business,” Marketing News, March 15, 2005, p. 19.

Branding Strategies : 

39 LO6 Branding Strategies

Generic Brand : 

40 LO6 A no-frills, no-brand-name, low-cost product that is simply identified by its product category. Generic Brand

Manufacturers’ Brands VersusPrivate Brands : 

41 LO6 Manufacturers’ Brands VersusPrivate Brands Manufacturers’ Brand Private Brand The brand name of a manufacturer. A brand name owned by a wholesaler or a retailer. Also known as a private label or store brand.

Advantages of Manufacturers’ Brands : 

42 LO6 Advantages of Manufacturers’ Brands Heavy consumer ads by manufacturers Attract new customers Enhance dealer’s prestige Rapid delivery, carry less inventory If dealer carries poor quality brand, customer may simply switch brands and remain loyal to dealer

Advantages of Private Brands : 

43 LO6 Advantages of Private Brands Earn higher profits on own brand Less pressure to mark down price Manufacturer can become a direct competitor or drop a brand/reseller Ties customer to wholesaler or retailer Wholesalers and retailers have no control over the intensity of distribution of manufacturers’ brands

Individual Brands Versus Family Brands : 

44 LO6 Individual Brand Family Brand Using different brand names for different products. Marketing several different products under the same brand name. Individual Brands Versus Family Brands

Cobranding : 

45 LO4 Cobranding

Trademarks : 

46 LO6 Trademarks TM Many parts of a brand and associated symbols qualify for trademark protection. Trademark right comes from use rather than registration. The mark has to be continuously protected. Rights continue for as long as the mark is used. Trademark law applies to the online world.

REVIEW LEARNING OUTCOMEMarketing Uses of Branding : 

47 REVIEW LEARNING OUTCOMEMarketing Uses of Branding LO6

Packaging : 

48 Describe marketing uses of packaging and labeling Packaging LO7

Functions of Packaging : 

49 LO7 Functions of Packaging Contain and Protect Promote Facilitate Storage, Use, and Convenience Facilitate Recycling http://www.levesquedesign.com/ http://www.design4packaging.com Online

Labeling : 

50 LO7 http://www.fda.gov Labeling

Universal Product Codes : 

51 LO7 Universal Product Codes

REVIEW LEARNING OUTCOMEPackaging and Labeling : 

52 REVIEW LEARNING OUTCOMEPackaging and Labeling LO7

Product Warranties : 

53 Describe how and why product warranties are important marketing tools Product Warranties LO8

Product Warranties : 

54 LO8 Product Warranties

REVIEW LEARNING OUTCOMEProduct Warranties : 

55 REVIEW LEARNING OUTCOMEProduct Warranties LO8 Express warranty = written guarantee Implied warranty = unwritten guarantee