Commodity Vs.

Brand
• Widely available  Exclusive
• Cheap and getting  Expensive
cheaper
• Standard  Unique
• Low status  Status
• Undifferentiated  Differentiated
• Goes by generic name  Goes by brand name
• Meets needs  Meets wants
Branding

Consistency
Consistency Quality
Quality && Value
Value

Attributes
Attributes Advantages
Advantages Identification
Identification
of
of
Brand
Brand Names
Names
High
High Brand
Brand Brand Strong
Brand Strong Brand
Brand
Loyalty
Loyalty Equity
Equity Association
Association

Name
Name Awareness
Awareness Perceived
Perceived Quality
Quality
 Four Brand Strategies
Product Category
Existing New

Existing Line Extension Brand Extension

Palmolive Shower Gel Kingfisher airlines
Brand Name

New Multibrands New Brands

Coke, Fanta, Sprite CK’s Foodstaurant
Packaging
 Activity of designing and
producing the container or
wrapper for a product.
 Packaging used to just contain
and protect the product.
 Packing now has promotional
value
 Some innovative packaging
 Shampoo sachets
 Pringle’s chips
 Tamper-proof packs
 A classic labeling example .

Labeling What about thi s l abe l he lps to se ll the pr oduc t?

Click or pres s s pacebar to r et urn.

 Printed information appearing

on or with the package.
 Performs several functions:
 Identifies product or brand
 Describes several things about
the product
 Promotes the product through
attractive graphics.
Product - Support Services
Companies should design its support services to
profitably meet the needs of target customers and
gain competitive advantage.
How?
- Maruti network
- MyTVS
- Helplines, call centres
- On-the-road service teams
Product Line Decisions

Product
Product Line
Line Length
Length
Number
Number of
of Items
Itemsin
inthe
theProduct
Product Line
Line

Stretching Filling
Lengthen beyond Lengthen within
current range current range

Downward
Two-Way

Upward
 Product Mix Decisions
Width
Width--number
number of
of
different
different product
product
lines
lines
Consistency

Length
Length-- total
total Product
Product Mix
Mix --
number
number ofof items
items all
allthe
theproduct
product
in
inproduct
product lines
lines lines
lines&&items
items
offered
offered
Depth
Depth-- number
number ofof
versions
versions of
of each
each
product
product
Unilever’s product portfolio
Product Vs. Service

Can’t be seen, tasted, felt, heard,

Intangibility
Intangibility or smelled before purchase.

Can’t be separated from service

Inseparability
Inseparability providers.

Quality depends on who provides

Variability
Variability them and when, where and how.

Perishability
Perishability Can’t be stored for later sale or
use.
Stages in New-Product
Development
Marketing Business
Strategy Analysis

Concept
Product
Development
Development
and Testing

Idea Test
Screening Marketing

Idea Commercialization
Generation
 Product Life Cycle – 4 stages

Sales and
Sales
Profits ($)

Profits

Time
Product Introduction Growth Maturity Decline
Develop-
ment
Losses/
Investments ($)

Egg Beaters had to first convince people that they needed an egg
substitute (overcoming a strong negative response t o “fake eggs”)
then demonstrate that their product was a perfect solution.