MKT Chapter 8

product

the need-satisfying offering of a firm;
idea of product as potential customer satisfaction or benefits is very important

quality

a product's ability to satisfy a customer's needs or requirements;
focuses on the customer

individual product

a particular product within a product line

product line

a set of individual products that are closely related

product assortment

the set of all product lines and individual products that a firm sells

service

an intangible offering a deed, performance, or effort

branding

the use of a name, term, symbol, or design to identify a product;
use of brand names, trademarks

service mark

the same as a trademark expect it refers to a service offering

brand familiarity

how well customers recognize and accept a company's brand;
degree of this affects the planning for the rest of the marketing mix

brand rejection

potential customers won't buy a brand unless its image is changes, or if customers have no other choice

brand nonrecognition

final consumers don't recognize a brand at all

brand recognition

customers remember the brand

brand preference

target customers usually choose the brand over other brands (out of habit or favorable past experience)

brand insistence

customers insist on firm's branded product and are willing to search for it;
most likely to exhibit positive word of mouth

brand equity

the value of a brand's overall strength in the market

Lanham ACt

spells out what kinds of marks can be protected and the exact method of protecting them

family brand

the same brand name for several products

licensed brand

a well-known brand that sellers pay a fee to use

individual brands

separate brand names for each product

generic products

products that have no brand at all other than identification of their contents and the manufacturer or intermediary

manufacturer brands

brands created by producers

dealer brands

brands created by intermediaries

battle of the brands

competition between dealer brands and manufacturer brand

packaging

promoting, protecting, and enhancing the product

warranty

explains what the seller promises about its product

Magnuson-Moss act

producers must provide a clearly written warranty if they choose to offer any warranty

consumer products

products meant for the final consumer

business products

products meant for use in producing other products

convenience products

products a consumer needs but isn't willing to spend much time or effort shopping for

staples

products that are bought often, routinely, and without much thought

impulse products

products that are bought quickly, unplanned purchases, because of a strongly felt need

emergency products

products that are purchased immediately when the need is great

shopping products

products that a customer feels are worth the time and effort to compare with competing products

homogeneous shopping products

items the customer sees as basically the same and wants at the lowest price

heterogeneous shopping products

items the customer sees as different and wants to inspect for quality and suitability

specialty products

consumer products that the customer really wants and makes a special effort to find

unsought products

products that potential customers don't yet want or know they can buy

new unsought products

products offering really new ideas that potential customers don't know about yet

regularly unsought products

products that stay unsought but not unbought forever (tombstones, life insurance, nursing homes)

derived demand

the demand for business products derives from the demand for final consumer products

expense item

a product whose total cost is treated as a business expense in the year it's purchased

capital item

is a long-lasting product that can be used and depreciated for many years

installations

buildings, land rights, major equipment;
important capital items

accessories

short-lived capital items;
tools and equipment used in production or office activities

raw material

unprocessed expense items that are moved to the next production process with little handling

farm products

grown by farmers

natural products

products that occur in nature

components

processed expense items that become part of a finished product

supplies

expense items that do not become part of a finished product

professional services

specialized services that support a firm's operations