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What Is a Product ?
Week 1O
Developing and Features : qualities, tangible and intangible

Pricing Products Value package
: the want-satisfying value

: bundle of value-adding attributes

Features ?
Benefits ?

Presented by : Anna Riana Putriya
Convenience Goods

Capital Items Shopping Goods

Goods &
Expense Items Specialty Goods

The Product Mix
Product mix is a group of products that a firm makes available for

sale (e.g. )

Product line is a group of similar products intended for a similar

group of buyers who will use them in similar ways

1. Nutrisi untuk Anak : Nestlé Dancow Instant, Nestlé Dancow Instant Coklat, Nestlé
Dancow Full Cream, Nestlé Dancow 1+, Nestlé Dancow 3+, Nestlé Dancow 6+,
Nestlé MILO, Nestlé MILO 3in1, Nestlé Nutren Junior, Nestlé Fizz.
2. Nutrisi untuk Kesehatan : Nestlé Omega, Nestlé Calcium Plus Non Fat , Nestlé
Nesvita, Nestlé Bear Brand, Nestlé Nutren Fibre, Nestlé Nutren Diabetik, Nestlé
Peptamen, Nestlé Nutren 1.0, Nestlé Bonus.
3. Minuman : Nescafé Classic, Nescafé Ice, Nescafé Black Ice, Nescafé Gold
Blend, Nescafé Gold Blend Decaf, Nescafé 3in1.
4. Produk Kuliner : Nestlé Milkmaid, Maggi Sup, Maggi Bumbu Komplit, Maggi
Bumbu Kaldu, Maggi Saus Tiram, Maggi Seasoning, Maggi SiSedap.
5. Permen dan Coklat : FOX’S, FOX’S Oriental, FOX’S Sugar Free, KitKat, POLO,
Smarties, Nestlé Classic, Nestlé Eclairs, Nestlé MILO Nugget.
6. Makanan Bayi : Nestlé Bubur Susu dan Nestlé Bubur Bergizi.
7. Sereal Sarapan : Nestlé Koko Krunch, Nestlé Honey Stars, Nestlé Honey Gold,
Nestlé Milo Cereal, Nestlé Corn Flakes, Nestlé Trix.
8. Bisnis Food Services : Nestlé Coffee-mate, Nestlé Carnation Coffee-mate,
Nestea, Nestlé Lemonade, Maggi Vegetarian Stock, Maggi Tom Yam Paste,
Maggi Beef Stock, Maggi Sup, Maggi Seasoning, Maggi Saus Tiram, Maggi
Chefs Master Stock, Nescafé, MILO.

Products Life Cycle (PLC) The New Product Development Process

Product Mortality

Speed to market

The Seven-Step Development Process Extending Product Life :
An Alternative to New Products

Product Ideas Commercialization • Product extension is an existing product that is
marketed globally

Testing &
• Product adaptation is the product modified to
have greater appeal in foreign markets

Prototype • Reintroduction is the process of reviving for new
Concept Testing markets products that are obsolete in older ones


Branding Products

Branding is the process of using symbols to communicate

the qualities of a product made by a particular producer

1. Brand equity
2. Brand awareness

Types of Brand Names

1. National brand
2. Licensed brand
3. Private brand or Private label

Packaging and Labeling Products



How much your cost ?
What Is Pricing ?

Process of determining
what a company will receive
in exchange for its products

Berapa harga minyak goreng ini menurut anda?

Spesifikasi produk :
FILMA Minyak Goreng Refil
2 Liter/kantong
Non kolesterol

Pricing to Meet Business Objectives

1. Profit-
Profit-Maximizing Objectives

2. Market Share Objectives

3. Other Pricing Objectives

Simple Price-setting tools

1. Cost-
Cost-oriented pricing
2. Break Event Analysis
 Variable cost
 Fixed cost
 Break event point (BEP)

Pricing Tactics
1. Price lining
- Dynamic pricing Existing Product 2. Psychological pricing
Odd-even pricing
- Fixed pricing

3. Discount
Pricing Strategies

New Product

- Price skimming
- Penetration pricing

Price Lining Psychological Pricing

Discount International Pricing

Pricingproducts for other countries is
complicated because additional factors are
One strategy calls for increasing foreign market
share by pricing products below cost.