You are on page 1of 24

SETTING PRODUCT STRATEGY

By Sonakshi Radhika Vighnesh Sameer Kunal Navya

FIVE PRODUCT LEVELS

PRODUCT CLASSIFICATIONS
Durability and Tangibility

Nondurable goods

Durable goods

Services

PRODUCT CLASSIFICATIONS
Staples Impulse goods Emergency goods

Consumer-Goods
Specialty goods

Convenience goods

Shopping goods

Unsought goods

PRODUCT CLASSIFICATIONS
Materials and Parts Industrial-Goods Capital Items
Installations Manufactured materials

Raw materials

Supplies and business Services

Equipment

PRODUCT AND SERVICES DIFFERENTIATION

PRODUCT DIFFERENTIATION
Form
Customization

Features Durability Conformance Repairability Style

Performance Reliability

SERVICES DIFFERENTIATION
Customer Consulting
Ordering Ease

Delivery & Returns

Training

Installation

Maintenance & Repair

DESIGN

BENEFITS OF DESIGN
To Manufacturer: Easy to produce Easy to distribute

To Consumer: Pleasant to look Easy to open Quick installation Comfortable use Dispose of

PRODUCT AND BRAND RELATIONSHIPS


Product Hierarchy Product Systems/Mixes

Product Line Analysis


Product Line Length Product Mix Pricing Co-Branding

PRODUCT HIERARCHY
Need Family Product Family

Product Class
Product Line Product Type Item

His first product was soap. In order to sell the soap, he offered free baking powder. The baking powder became more popular than the soap so he switched to that. To help sell his baking powder, he began offering something else for free. Well, that became even more popular then and today he leads in the production of that particular product. Who am I talking about and what product?

PRODUCT SYSTEMS
A product system is a group of diverse but related items that function in a compatible manner.

Product System

PRODUCT MIXES

PRODUCT MIXES
Width

Consistency

Product Mix

Length

Depth

PROCTOR & GAMBLE PRODUCT MIX


Product Mix Width

Detergents Ivory Snow Dreft


Product Line Length

Toothpaste Gleem Crest

Bar Soap Ivory Camay Zest Safeguard

Disposable Paper Diapers Products Pampers Luvs Charmin Puffs Bounty

Tide Cheer

Dash
Bold Gain

Oil of Olay

Era

PRODUCT LINE ANALYSIS


Sales and Profit

Market Profile

PRODUCT-ITEM CONTRIBUTIONS

PRODUCT MAP

PRODUCT LINE LENGTH


Up-market stretch

Line stretching
Down-market stretch

Line modernization, featuring, and pruning


Twoway stretch

Line filling

PRODUCT MIX PRICING

Product line pricing

Captive-product pricing

Optional-feature pricing
By-product pricing

Two-part pricing
Product-bundling pricing

CO-BRANDING AND INGREDIENT BRANDING

Co-Branding
Same-company Joint venture Retail co-branding

Ingredient Branding

PACKAGING AND LABELING


Packaging Objectives
1. 2. 3. 4. 5. Brand identification Persuade Protection At-home storage Aid consumption Labeling Objectives 1. 2. 3. 4. Identify Grade Describe Promote