PowerPoint Presentation by Sixit Bhatta Products, Services and Branding Strategy Session-5

PowerPoint Presentation by Sixit Bhatta

PowerPoint Presentation by Sixit Bhatta

Products, Services and Branding StrategyProducts, Services and Branding Strategy

Session-5

ProductProduct

Products, Services, and Experiences– Market offerings may consist of a

combination of goods and services– Experiences are used to differentiate

offeringsLevels of Product and Services

– Core benefit, Basic, Expected and augmented and Potential product

Product and Service Classifications– Consumer products and industrial products

Product LevelsProduct Levels

1. CORE PRODUCT

2. BASIC PRODUCT

3. EXPECTED PRODUCT

4. AUGMENTED PRODUCT

5. POTENTIAL PRODUCT

PRODUCT LEVELS

ExampleExample

Product or service or brand

Core Product Actual Product Augmented Product

Ford Ikon Freedom to travel

A motor car ?

Budget/No Frills Airline e.g. Jetlite, Go Air

? An airline journey Food bought during your flight

Nike Association with the best in sports.

? Nike online allows you to personalise your trainers

Example: HotelExample: Hotel

Product ClassificationProduct Classification

Consumer products:– Durability & Tangibility

•Non Durable: eg. Soap, beer•Durable: TV, Refrigerator.•Services: Intangible, eg: Air Travel,

Hotel, Telecom

–Consumer-Goods Classification•Convenience •Shopping•Specialty•Unsought

Industrial Goods ClassificationIndustrial Goods Classification

– Materials and parts :• Raw Materials [ farm & natural] and

Manufactured materials and parts [ component material and component parts

– Capital items• Installation and Equipments

– Supplies and services• Operating Supplies and Maintenance and

repair items• Maintenance and repair service &

business advisory service

Product DifferentiationProduct Differentiation

Form- Shape Size Features Customization Performance Conformance Durability Reliability Reparability

Product Line AnalysisProduct Line Analysis

Product Mix Product Line Product Width Consistency

Product Line AnalysisProduct Line Analysis

Two Aspects– Sales and Profit– Market Profile

Product Line LengthProduct Line Length

Profits can increase either if product line is shorten or added. It can be lengthens in two ways :1. Line Stretching : Down market stretch, Up Market stretch, Two way stretch2. Line Filling :by adding more items on product line

Product Line ModernizationProduct Line Modernization

Part Basis/OverallModernization is carried

rapidly, eg micro-processor companies

Too early might damage sale of current line and too late competition might take advantage.

Vox Wagan Beatle

Featuring and PruningFeaturing and Pruning

Line Featuring – Establishing Image driver for the

line[ Surya classic for Surya brand]– Issue to promote weak items or safe

guard strong ones

Pruning– Weak items– Production demands

BrandingBranding

Coke, Toyota, Surya: What comes to your mind?AttributesBenefitsValuesCulturePersonalityUser

Marketing is also converting simple products and Services into brands.

Why BrandingWhy Branding

Brands with strong equity have many competitive advantages:– High consumer awareness will reduce

marketing cost – Strong brand loyalty– Helps when introducing new products– Less susceptible to price competition– More Trade Leverage in bargaining with

distributors and retailers [Bajaj Bikes in Nepal]

Brand Name DecisionBrand Name Decision

Product benefits Product Qualities Easy to pronounce recognize and

remember Distinctive Should not carry poor meanings in other

countries and languages Blanket Family Names

Brand Strategy DecisionBrand Strategy Decision

Line Extension: Minor Changes to Existing Products

Brand Extension: Successful brands help introduce new products

Multibrands: Multiple brands into a product category

New brands: New product brandCo brands

Labeling and PackagingLabeling and Packaging

Identifies the product Describes the product Promotes the product Legal requirement

PackagingPackaging

A Marketing Tool. Garnishing the product. Important Marketing Tool