Setting

Product Strategy

How can companies use packaging, labelling, warranties, and guarantees as marketing tools

Packaging as a marketing tool

Factors contributing to growing use of packaging as a marketing tool

• Self-service– growing number of products

• Consumer affluence– pay a little more for overall impression

• Company and brand image– Instant recognition Ex: Garnier fructis

• Innovation opportunity– benefit to both consumer and producer

E; resealable spouts

Objectives of Packaging

Packaging must achieve a number of objectives:1. Identify the brand. 2. Convey descriptive and persuasive

information. 3. Facilitate product transportation and

protection. 4. Assist at-home storage. 5. Aid product consumption

Packaging- examples

Labelling as a marketing tool

Objectives of labelling

• Identifies the product/brand – ex: Arctic apples

• Describes the product – ex: virgin oil, mfg. date etc

• Promotes the product

Warranty as a marketing tool

Warranties

• Formal statements of expected product performance by the manufacturer

• Legally enforceable

Guarantee as a marketing tool

Why Guarantees?

• Guarantees reduce the buyer's

perceived risk.

• They suggest that the product is of high quality and the company and

its service performance are dependable.

When Guarantees?

• When the company or product is not well known

or

• when the product has superior quality to that of competitors.

Why guarantees and warranties?

• Increase in sales by promoting the product

• Win customer loyalty and good will• Helps in creating a brand

Thankyou!

ByVishnupriya AryabhumiIITMadras

CreditsBackground

www.flickr.com

7 krazyclippers.comwww.arcticapples.comwww.walmart.com

5 www.creativeguerrillamarketing.com

9 www.simplyglas.co.ukwww.foundationrepairservices.comwww.unifiedav.com

11 swift-publishing.comwww.scoreguarantee.inwww.roofingandroofers.com

Based on Chapter 12 of Marketing Management by Kotler Keller Koshy Jha 14th edition Disclaimer"Created by Vishnupriya Aryabhumi, IITMadras, during an internship by

Prof. Sameer Mathur, IIMLucknow.www.IIMInternship.com"