Intro to Pr Mngt

7/29/2019 Intro to Pr Mngt

1/15

INTRODUCTION TO PRODUCT MANAGEMENT

Definition: Product, Brand 4 Ps of Marketing Overview of product management

Perspective on a Product Managersinteraction Product v/s general marketingmanagement

Types of Organisation Structure forMarketing Skills of a Product Manager


2/15

DEFINITION

Product Anything that can be offered to market for attention,

acquisition and consumption that can satisfy a need or awant.

A product can be ideas, goods or services that can generate

customer satisfaction.

Brand Name, term, sign, symbol or special design that is intended to

identify the goods or services of one seller or group of sellersand to differentiate them from those of the competitors


3/15

4 PS OF M ARKETING

Product

Price:If high competitors product is preferred & If low firm maynot get adequate returns

Place: To make product accessible and available to targetaudience.

Promotion: Activities undertaken to communicate and promoteits products to target market.


4/15

OVERVIEW OF P RODUCT M ANAGEMENT

Who is a Product Manager

Responsibilities of a Pr. Mgr:1. Planning activities related to product or product

line & turning info into strategies and marketingobjectives for the product.

2. To get the organisations support for the marketingprogramme recommended in the marketing plan.

3. Going for internal marketing of the product toobtain help and assistance of senior managementof the firm.


5/15

P ERSPECTIVE ON PRODUCT MANAGER S INTERACTION

Product Manager

In-charge of a single or closely related product line

Tactical decisions as he isinvolved in developingmarketing obj and strategies for their products.

Marketing Manager

In-charge of division or SBU &manages portfolio of product.

Strategic decisions aboutwhich products to add or drop

and he manages to meetoverall divisional financial obj.


6/15

TYPES OF ORGANISATION S TRUCTURE FOR M ARKETING

Product- focused Organisation

Head

Marketing

Market research Product Manager

Finance

Manager of Product A

Manager of

Product B


7/15

P RODUCT - FOCUSED ORGANISATION

Commonly used where different products use the same

distribution channels.Pr. Mgr acts as a mini CEO, and takes care of overallhealth of the brand.Hierarchy gets developed within the productmanagement system as asst pr. Mgr., Asso. Pr. Mgr andPr. Mgr.

Advantages:1. Locus of responsibility is clear which also makes clear

to whom an organization can turn for information aboutthe product.

2. His training, experience and communication skills areinvaluable.


8/15

CONTD

Disadvantages:1. Narrow focus on one product leads to inability to ask

fundamental questions about customer needs.2. Product managers become too myopic by only

concentrating on short-term sales and market share

goals.3. Increase in short term marketing tools like sales

promotion4. For industrial products risk involved is it can result in

several sales persons representing different productsfrom same company and calling same customer


9/15

M ARKET FOCUSED ORGANIZATION

It is useful when there are significant differences inbuyer behaviour among market segment leading todifferences in marketing strategies and tactics usedto appeal them.

Advantages:1. Its focus on customers makes it easier to consider

change in consumer taste, modify or eliminatesome of the products being marketed.

2. Have better knowledge about companys productoffering as compared to product focused pr mgr.


10/15

CONTD

Disadvantages:1. Potential conflict with product management

structure.


11/15

FUNCTIONALLY FOCUSED ORGANIZATION

CEO

AdvertisingSales

PromotionMarketingResearch

Marketing

Decision makers

Decision implementers


12/15

FUNCTIONALLY FOCUSED ORGANIZATION

These organization align themselves by marketingfunctions such as Advertising, sales promotion etc.In this type of organization structure, it is common tohave different functions being performed under a singledepartment.

However, no single person is responsible for day-to-dayoperations of the product. The strategies areimplemented through the coordinated activities.Strategy implementation is done through discussionsand coordination among functional areas.


13/15

CONTD .

Advantages:1. Serves well when the company has only two

products.

2. Simple to administer 3. Functional training is better

Disadvantages:

1. Who is responsible for the product?


14/15

S KILLS OF A PRODUCT MANAGER

Critical Skills:1. Negotiation2. Teamwork

3. Communication skills

Analytical Ability


15/15

CHANGES AFFECTING PRODUCT MANAGEMENT

The webThe data explosionThe increased emphasis on brands

Increased importance of customer retentionprogramsIncreased global competition

Documents

Intro to Pr Mngt