MKT 300 Eaton Exam 3 ASU

Continuous

small low degree of change

Levels of a product

- Augmented product - actual product - core product

Brand Earnings

- Brand sales - cost of sales - Marketing costs - Overhead expenses - Remuneration of captial charge - Taxation

Innovation Continuum

- Discontinuous - Dynamically Continuous - Continuous

Intensity of market coverage

- Intensive distribution (everywhere) - selective distribution (some places) - exclusive distribution (exclusive places)

Brand Strength

- Leadership - Stability - Market - Geographic Spread - Trend - Support - Protection

Marketing and Branding

- Marketing creates intangible value - If marketing value / tangible asset > 1 then we've created Intangible Value - We measure intangible value through Brand equity

Product life cycle

- Sales curve is above the profits per product curve - peaks around the growth or maturity stage - as soon as you make profit, you enter the growth stage

Brand benefits to consumer

- Search cost reducer - Signal of quality - Risk reducer - Symbolic device

Actual product

- Tangible features that are necessary for the product to function - the physical experience of the product, does it fit in your hand? is it beautiful?

Brand Equity benefits

- Value of a brand based on loyalty, awareness, perceived product quality and brand association - Can be so strong that brand name becomes the category name (master brand)

Value Proposition

- What does the brand deliver hat customers value - Must be competitively superior

Core benefit

- What is the customer really buying

Product Line Deepening

- adding a different kind of a product they already have - Line extension

Retailing

- all the activities involved in selling goods directly to the final consumer for their use - could be non-store retailers

Atmospherics and shopping Behavior

- atmosphere - emotional response - Behavior

convenience products

- cheap and needed and convenient - ex water, anything you'd find in a convenience store - well distributed

functions of packaging

- contain and protect - promote - facilitate storage, use, convenience, - ???

Types of consumer products

- convenience products - shopping products - specialty products - unsought products

Market factors

- customer profiles - size of market - consumer or industrial customer - geographic location - competition - environmental forces

Types of direct marketing

- direct mail - telemarketing - catalogs and mail order

Direct retailing

- door to door - office to office - home sale parties

Categories of New Product Adoption

- innovators - early adopters - early majority - late majority - laggards

Distinguishing Characteristics of Services

- intangibility - variability - Inseperability - perishability

Service Quality

- managers learn what customers want - responsiveness - assurance - empathy - tangibles -

Factors affecting channel choice

- market factors - product factors - producers factors

Why new products fail

- no discernible benefits - poor feature match - overestimation of market size - price too high or too low - inadequate distribution - poor promotion - inferior product

+labeling

- persuasive: focuses in promotion and theme consumer info is secondary - Informational: helps make proper selections, lowers cognitive dissonance, includes use/care

Producer factors

- producer resources - number of product lines - desire for channel control

Brand benefits to manufacturers

- source of competitive advantage - predictability and security of demand - barriers to entry - financial returns

Dynamically Continuous

forms or creates a new product category (a new way to listen to music, ipod, tablet)

branding Strategies: No brand

private brand > individual, family, combo brands

comparability

is it compatible with your lifestyle

trial-ability

risk free or low risk?

persuasive is

subjective

Market Testing

the limited introduction of a product and a marketing program to determine the reactions of potential customers in a market situation

brand archetypes

the personalities associated with a certain thing (mac/pc, types of beer)

Diffusion

the process by which acceptance of an innovation is spread by communication to members of social system over a period of time (ability to go viral)

Pull strategy

- advertising and promotional strategies geared toward consumers to increase desire for the product (B2C)

Push strategy

- advertising toward distributors to advertise their product (B2B)

factors of managing physical surroundings

- image -safety - temperature - parking - spacing - crowding (+/-)

Widening the mix

adding a different kind of product - Brand extension

Coke example?

Taking the stock price of Coke, multiplying that by the shares of Coke and dividing that by Coke's tangible assets = 5

Augmented product

all of the extra features of the product that might no be necessary fro the product to work but that can enhance the experience

Packaging size and shape

big package = more consumption and vice versa (15%-40%)

Branding strategies

brand vs no brand

relative advantage

cell phone to home phone, has a clear advantage

Adoption

- The stages through which an individual tries, uses, and continues to use a new product - Five stages: - awareness - interest - evaluation - trial - adoption

Discontinuous

(talking about an invention) Really innovative, changes or replaces a thing or invents it

Building Brands

- starts with positioning - How do marketers strategically attempt to create a stronger brand in the marketplace? Concepts such as brand image, brand personality, and co-branding will be investigates to illustrate this process. - (higher emotional connection) value <- benefits <- attributes

Core product

- this is the need that the product fulfills - why you buy it? What is the need it fulfills? communication, information, sustenance

Aaker's five levels of customer attitude toward a brand

- top - devoted to brand - values the brand (brand as friend) - satisfied and switch costing - satisfied customer (no reason to change) - bttm - no brand loyalty (cust. loyalty will change)

Brands

-Are the touch points to consumers -Promise to deliver specific benefits with products of services to consumers

Branding

-Core benefit -Value Proposition

Brand Elements

-Understand essential aspects of a brand -Elements that help distinguish one brand - Brand Names, website, characteristics, logos, slogans, Color Schema

Understanding the Service Experience

-encapsulaiton of services benefits in consumers mind

Attributes of strong brands

1 Consistent Brand Message 2 Focus on Long-term growth 3 Manage customer experience 4 Meaningful, memorable, likeable

The role of brands (branding components)

1 Higher perceived quality 2 price premium 3 greater market share 4 financial strength 5 brand extension

Gap Model

1. consumer and manager 2. mgt and service 3. service quality and delivery 4. service delivery and external comm 5. expected and experienced service

Three Additional P's of Services

1. people 2. process 3. physical evidence product, price, place, promotion

Factors that influence the Rate of Diffusion

1. relative advantage 2. complexity 3. compatibility 4, trial-ability 5. observa-ability

Early adoption occurs at what percent?

13.5% (50%)

Innovators adoption?

2.5%

early majority adoption?

34.4%

Marketing Channel

A group of individuals and organizations directing the flow of products from producers to customers

Brand Definition

A name, team, sign, symbol, or design, ot combination of them, intended to identify the goods or services of one seller or group of sellers and to differentiate them from those of competitors.

Attributes of strong Brands

A strong brand occupies a distinct position in consumers minds based on a relevant benefits and creates an emotional connection between business and consumers.

Brand Asset Valuator (BAV)

Brand equity || Differentiation, relevance, esteem , knowledge

Brand Image/personality

Brand image - salient and feeling-related associations Brand personality - specific "personality-type" traits or characteristics ascribed by consumers to different brands Masculine/feminine Calm/exciting

Brand Extension

Current brand adding a new product class

Line Extension

Improvement, new and improved, new colors

Brand Equity

Whats the value of the brand to you. - Brand Equity is the marketing and financial value associated whit a brands strength. - components of brand equity include brand name awareness, brand loyalty, perceived brand quality and brand associations.

shopping products

items for which the consumer compares points of difference between products

specialty products

items that are expensive, brand loyal, don't buy that often

Distribution

making it available to customers

Branding strategies: Brand

manufacturers brand > individual, family, combo brands

informational is

objective

packaging and labeling

packaging - offers protection and image labeling - used for identification , promotion, information, and legal purposes.

unsought products

things you don't often need to buy (vacuum) (not gonna be on the test)