DEPARTMENT OF EDUCATION

Region V (Bicol)
Province of Albay

LIBON COMMUNITY COLLEGE

Libon, Albay
SENIOR HIGH SCHOOL DEPARTMENT
S/Y 2020-2021
2nd Semester

QUARTER 3: MODULE 3 WEEK 5-6

KNOWING YOUR PRODUCTS AND SERVICES
 MR. BENJAMIN S. TADURAN JR.
Instructor

QUARTER-3 LESSON 5 and 6

Lesson KNOWING YOUR
PRODUCTS AND
5 and 6 SERVICES
INTRODUCTION:
Mabuhay! welcome back future Entrepreneur, since you all know the background
of the course last modular discussion. Now let’s have a new exciting activity that we’re
going to master in the new edition of our modular discussion namely Knowing your
products and services.

LESSON OVERVIEW
Product knowledge is an essential sales skill. Understanding your products' features
allows you to present their benefits accurately and persuasively. Customers respond to
enthusiastic sales staff who are passionate about their products and eager to share the
benefits with them.

OBJECTIVES:
Here are the learning objectives that will help you to explore, relate, and perform the
task easily.
1. Determine the possible product/s or service/s that will meet the need.
2. Select the best product or services that will meet the market need.
GUIDE QUESTIONS:
1. What is product and services?
2. Why do we need to choose appropriate product and services?
3. How does selecting good product and services meet the customers and market
needs?
LESSON CONTENT
INFORMATIOIN SHEET 3:1
POSSIBLE PRODUCT AND SERVICES
WHAT ARE PRODUCTS AND SERVICES?

A product is a tangible item that is put on the market for acquisition, attention,
or consumption, while a service is an intangible item, which arises from the output of
one or more individuals. Although it seems like the main distinction between the two
concepts is founded on their tangibility, that is not always the case. In most cases
services are intangible, but products are not always tangible.

One thing to keep in mind is that products and services are closely aligned. In
fact, a majority of products carry with them an element of service. For example, when
a consumer buys a car, the product comes with a lot of other service responsibilities,
such as tune-up and maintenance.

Nonetheless, there is a clear difference between the two concepts, and it’s
imperative for one to understand their working definitions.

TANGIBLE VS. INTANGIBLE

Assessing the quality of a tangible product is very easy. Since most

products are countable, touchable, and visible, a consumer can assess its
durability by examining it. A good case in point is when an individual is
buying a home. The buyer will check every nook and cranny of the house,
including the attic, basement, foundation, each individual room, and more.

In contrast, a service is not something that one can feel or try out
before paying for it. Say an individual needs a professional inspector to
identify any hidden issues before deciding to purchase a home. Just how
experienced is the inspector with regard to plumbing, roofing, and other
structural matters?

In a nutshell, the client lacks sufficient knowledge about the

inspector’s expertise until the task is already in progress. The customer can
read online reviews, ask for the inspector’s credentials, as well as before
and after pictures of his previous work, but there’s no definite way of
evaluating the quality of a service until it’s rendered.

PRODUCTION VS. INTERACTION

A potential car buyer usually checks the car’s body lines, feels the
leather used on the seats, and takes the car for a test drive before deciding
whether to buy the car or not. Since it’s a product, the buyer is aware of the
specific production line the vehicle hails from, and there are many more like
it. In fact, there are other cars identical to the one being bought.

But what about the service the car buyer receives from the car dealer?
The way a car salesperson interacts with one buyer is not the same way he
interacts with another buyer. If the car buyer is lucky, he may find a
 salesperson who is well-informed, courteous, and is willing to negotiate. If
he’s not, the car salesperson might be one who lacks information or
behaves in a nonchalant way.

PERISHABLE VS. IMPERISHABLE

The best way to illustrate perishable products is to consider a

restaurant owner. If such an individual does not understand the concept
of spoilage and waste reduction, he risks ruining his business since most
fresh foods spoil within a few days. Another example is technology. Even
some intangible products like software become obsolete at some point.
Imperishable products include items like jewelry and automobile parts.

However, does the distinction between perishable and imperishable

exist in services? Services can be described as perishable but not
imperishable. A perishable service simply means that it’s short-lived.
Ideally, such a service is consumed as soon as it is produced. Unlike
products, the service cannot be stored for later use.

Perishable services are such as airline flights, auto repair, theater

entertainment, and manicures. If an individual purchases an air ticket for a
particular day, and then he suffers a cold and is not able to travel, the
ticket expires. The perishable attribute of some services makes it hard to
balance supply and demand.

THE GROWING DEMAND FOR PRODUCTS AND SERVICES

Based on history, it is evident that producers need to adapt or replace

products once they become outdated. Consider the way websites and e-
books have replaced paper books or how compact discs have replaced
cassettes and DVDs. In other instances, services have also become a
substitute for certain products. For instance, the streaming services offered
by entertainment firms like Netflix are now preferred by many to DVD and
cable or satellite television programs.

 INFORAMTION SHEET 3.2

PRODUCT/SERVICE FEATURES AND BENEFITS

The distinction between the terms benefits and features is an important
concept in developing and marketing a product or service. Features are
characteristics that your product or service does or has. For example, some ovens
include features such as self-cleaning, smooth stovetops, warming bins, or
convection capabilities.
 Benefits are the reasons customers buy the product or service. For example,
the benefits of some ovens to buyers include safety, ease of use, affordability, or—in
the case of many ovens that feature stainless steel casings—prestige.

Just like products, services differ from one another in having distinctive
features and benefits, though these differences may not always be so obvious to
potential customers. One building contractor may use master painters while a second
uses laborers to paint. Both will tell you they do painting, but one has master
painters (a feature) and produces a better-looking paint job (a definite benefit).

Every product or service has a purpose. For example, the purpose of an oven is to
bake raw food, but not all ovens have the same features and benefits.

The uniqueness of a product or service can set it apart from the competition.
Features can communicate the capability of a product or service. But features are only
valuable if customers see those particular features as valuable. You want products or
services with features which customers perceive as valuable benefits. By highlighting
benefits in marketing and sales efforts, you’ll increase your sales and profits.

It’s important to remember that customers buy products and services because they
want to solve a problem or meet a need. Consciously or unconsciously, your customers will
always be asking the question, “What’s in it for me?” Your product and service offerings
have to deliver solutions and satisfy needs, or they won’t be successful.

Given that benefits are ultimately more important to your customers than features, it
is imperative that you understand the benefits your products and services provide,
emphasize these benefits in your sales efforts, and update your products and services when
new or additional benefits are desired by your customers.

Think about how automotive manufacturers advertise. To sell minivans, they don’t
emphasize the layout of the vehicle or it carrying capacity. They show images of happy
families loading their kids, sports equipment, and toys into the vehicle. They emphasize the
benefits above and beyond the features.

Here are some other examples emphasizing benefits beyond the features:

A Web site shopping cart vendor who offers hosted solutions to medium-sized
businesses can emphasize the convenience and time-savings of not having to
maintain a Web site. It’s selling convenience, not software.
A carpet company might be more successful if it illustrated how its carpets could
help create attractively decorated interiors. Pictures of beautiful rooms could be
more beneficial than a stack of carpet samples or a list of fabric features. It’s selling
beauty, not carpets.
A consulting company might focus its marketing efforts by highlighting its end
product—improved performance and increased profits—not its consulting methods.
It’s selling profitability, not consulting.
A manufacturer of computer printers might emphasize less hassle or less wasted
time rather than emphasizing reliability or quality. It’s selling ease-of-use, not
printers, and not quality.
A salmon fishery might emphasize the health benefits of eating salmon. It’s selling
health, not fish.
When Do Features Matter the Most?

Features always matter because they provide your customers with hints about
how well your product or service will deliver its benefits. Although benefits are
generally more important than features, there are some times when features make all
the difference:

When all the products in a category provide the same basic benefits, a unique feature
may provide a competitive advantage. For example, when all boom boxes played
tapes and CDs, the one with the bass booster stood out even though the benefit to
the consumer was minimal. As another example, when all leadership consultants
referred to similar performance improvement outcomes, the ones who developed
online diagnostic tools distinguished their work from competitors.
When products or services can be easily compared with competitors’—as the Internet
makes increasingly possible—consumers can choose products and services with
the most features. Thus, even though most cell phones will provide its owner with
the same general benefits for communication, a person considering which cell
phone to buy may not choose a certain model if it is missing a feature not found on
a competitor’s phone. For example, if one phone has Bluetooth connectivity and a
second one does not, consumers may choose the one with this extra feature even if
they don’t even know what Bluetooth connectivity is. It’s not that such connectivity
is important, it’s just that it is so easy to compare the feature sets.
 JOBSHEET 3:1:1

Title: Products Innovators in Digital Era

Performance Objective: Given required supplies and materials you
should be able to select product and services.

Supplies/ Materials: Pencil, Paper

Equipment: Computer, Internet, Cellphone
Steps/ Procedure:
1. Create sample product in your own ideas and preferences.
2. Make a video documentation on making/preparing the product.
3. Discuss the process on creating/ innovating the products on a
camera.
4. Maximum documentation requirements 3-5 minutes.
5. Apply artistic video documentation on your product innovation.
 6. Label your videos and send it on our official google classroom.

Assessment Methods

1. Research, Demonstration, Utilization of gadget, Application.

PERFORMANCE CRITERIA CHECKLIST 3:1:1

CRITERIA
YES NO
Did you….
1. Prepare the material that is needed for
product video
innovation/documentation?
2. Capture the process of product
innovation?
3. Discuss the information/process of
product innovation on video
documentation?
4. Follow the safety procedures on
creating the video product
innovations?
5. Demonstrate the whole process of
product innovation on video
documentation?

NOTE: Deadline of submission of documentation is on Aril 6, 2021.

REFERENCES:
Online link:

1. https://www.business.qld.gov.au/running-business/marketing-
sales/sales/skills/know-product.
2. https://corporatefinanceinstitute.com/resources/knowledge/economics/con
sumer-products/
3. https://www.entrepreneurship.org/articles/2007/01/productservice-
features-and-benefits.