10.2 Develop Effective Products and Services
services
activities that are consumed at the same time they are being produced
product features
additions and improvements to the basic product
secondary research
analyzing existing information gathered for another purpose but used to solve a current problem
perishable
availibility of a service must match the demand for that service at a specific time
brand name
unique identification for a company's product
guarantee/warranty
way to build customer confidence in a company's product; will repair, replace, or give a refund if an item doesn't meet expectations
options
choice of features
observations
collect information by recording the actions of consumers rather than asking them questions
full scale production
competitors are watched
inseparable
consumed at the same time they are produced
surveys
gather information from people using a carefully planned set of questions
idea development
generating new product ideas; come from customer surveys, employees, scientists, salespeople; usually made to existing products
intangible
having no physical form
production and financial planning
identify people, facilities, and equipment needed; cost and marketing are determined; will a profit be made?
experiment
presents 2 carefully controlled alternatives to subjects in order to determine which is preferred or has better results
packaging
provides protection and security for the project before it is used
basic product
simplest form of a product
focus groups
small number of consumers take part in group discussion
primary research
studies carried out to gather new information specifically directed at a current problem
strategy development
target market is studied - must be a strong need
limited production and test marketing
tested in a small part of the market; makes sure the product can be produced and marketed as planned before a lot of money has to be spent
heterogeneous
differences in the type and quality of service provided
marketing research
finding solutions to problems through carefully designed studies involving consumers
idea screening
evaluate ideas to determine which have the best chance to be successful; does a demand exist? are there similar products? is the price reasonable? is it safe and legal?
product
everything a business offers to satisfy a customer's needs