mar 3023 chapter 11 learnsmart
________ can create customer value by offering communication, functional, and perceptual benefits.
packaging
Which type of product has benefits that are easily understood by customers and, therefore, has a very short introductory stage?
low learning products
Match the following barriers to new product adoption to the correct type.
usage barriers- the product is not compatible with existing habits value barriers- the product provides no incentive to change risk barriers- the consumer has fears regarding physical, economic, or social effects psychological barriers- there are cultural differences or image problems
Packaging refers to which two of the following?
It is any container in which a product is offered for sale & it has a label on which information is conveyed.
Product ________ refers to the entire product category or industry, often illustrated in a product life cycle curve.
class
Product deletion is defined as ______.
dropping a product from the company's product line
Which group of consumers is crucial to the success of new products because of its social influence over later categories of adopters?
early adopters
One advantage of a product line _______ is that the company can spend less money to develop brand awareness.
extension
Select two key characteristics of the maturity stage.
marketing costs are directed at holding market share & intense competition on price occurs
When a firm markets products under its own name and that of a reseller because each attracts different segments, it is called a ________ strategy.
mixed branding
Early adopters are ______.
leaders in social settings
What is mixed branding?
when a company markets products under its own name and that of a reseller
Which is an example of a brand extension?
Cosmopolitan magazine and Cosmopolitan clothing line
What often occurs when a product line extension is very similar to the other products of a company?
It reduces the sales of other products in the company's product line.
A company that employs a trading up strategy will add value to a product by which two methods?
adding additional features & using higher quality materials
The diffusion of innovation refers to the rate at which consumers ______ a given product or service
adopt
The innovators and early ________ belong to the critical groups of consumer that act as social leaders and influence others to accept a new product.
adopters
Match the following types of benefits provided by packaging and labeling with the correct example.
communication- nutritional and dietary information functional- stackable food containers perceptual- graphics to convey a brands positioning
Which statement is true regarding the length of the product life cycle?
consumer products often have shorter life cycles than business ones
A new bottled juice container that fits neatly in the refrigerator door would be considered to have which kind of benefit added by packaging and labels?
functional
Storage and protection of the product are considered which kind of benefits added by packaging and labels?
functional
A long introduction stage in the product life cycle is characteristic of a _______-learning product.
high
Because it takes longer for consumers to see the benefits of them, ______ have an extended introductory period.
high learning products
Because ______ can be easily imitated by competitors, the marketing strategy for this type of product is to broaden distribution quickly to move rapidly into the growth stage of the product life cycle.
low learning products
In terms of diffusion of innovation, innovators are likely to ______.
sleep outside bestbuy for the latest version of a smartphone
The practice of marketing two or more brands together on the same package or promotion is known as ______.
cobranding
Brand equity is defined as the added value a brand name gives to a product
beyond the functional benefits provided
When a brand extension confuses consumer perceptions about the brand and results in consumers thinking less favorably about the brand, it is known as ______.
brand dilution
Men's and women's apparel often have which type of product life cycle curve?
fashion
Cobranding can benefits firms by allowing ______.
a brand to enter a new product class, partnering with an existing well-known quality brand in it
Packaging and labeling not only provides benefits for the consumer, but if done successfully in a way that puts a firm in a favorable position compared to its competitors, it can provide ______ for the firm.
a competitive advantage
A company will resort to harvesting or deletion when ______.
a product begins to consume a large amount of resources compared with its future potential
An example of a trading up repositioning strategy is ______.
a tire manufacturer offering more value by adding "run-flat" technology
An example of a company connecting with customers to add value in its package redesign strategy is ______.
creating a resealable package in response to consumer habits
Along the diffusion of innovation curve, _______ make up the second group of consumers to adopt an innovation; they tend to be leaders in a social setting.
early adopters
Which two are criteria often used in naming successful brands?
emotional names & names without legal restrictions
Match the following market modification methods with the correct example.
finding new customers- LEGO is appealing to consumers outside its traditional market (boys) with a new product line for young girls called LEGO Friends increasing a product's use- The Florida Orange Growers Association advocates drinking orange juice throughout the day rather than for breakfast only. creating a new use situation- Originally intended as a single pant for every activity, Dockers now promotes different looks for different occasions: work, weekend, dress, and golf.
There may be several variations of product ________ within one product class, such as cassette tapes, compact discs, and digital music as variations of prerecorded music.
form
Product repositioning means changing the product's position ______.
in the minds of consumers
The diffusion of innovation curve shows the typical distribution of adoption for five different categories of consumers. Rank the order of these consumers, starting with the first group on the top and ending with the last adopter group on the bottom.
innovators, early adopters, early majority, late majority, laggards
Private-label branding is popular because ______.
it results in high profits for manufacturers and resellers
Promotional expenditures in the introduction stage are often made to stimulate ________ demand.
primary
Easy Off, Glass Plus, Cling Free are good brand names because they
suggest the product benefits
Brand equity is ______.
the added value a brand name gives to a product beyond the functional benefits provided
Often stimulated during the introduction stage, primary demand represents ______.
the desire for the product class
Which of the following is an advantage of multibranding?
The failure of another product will not affect this brand.
When Nestle or McDonald's modify their packaging to use more recyclable material, they are responding to what challenge regarding packaging and labeling?
environmental concerns
In the ________ stage for the product life cycle, advertising and promotional spending is used to stimulate primary demand and build awareness.
introduction
In the ________ stage of the product life cycle, most consumers who would buy the product are either repeat purchaser of the item or have tried and abandoned it, making it more challenging to acquire new customers.
maturity
Private brands are also known as _______ brands.
reseller
While innovators are crucial to the success of a new product or service, this category of consumers is actually very small. Approximately what percentage of a total market does this category of consumers represent?
2.5%
Marriott International owns several brands of hotels at different price ranges, such as Marriott, Courtyard, and Fairfield Inn, in what is called a ________ strategy.
multibranding
Multiproduct branding is also called which two of the following?
family branding & corporate branding
A product line extension benefits from ______.
the brand equity of the multiproduct brand
When Harley-Davidson advertises to reinforce the perception that the brand is masculine, rugged, and individualistic, it is building brand ______.
personality
When a company allows other organizations such as Walmart, Costco, or Target to resell its product under their own names it is called a ______ strategy.
private branding
Developing a positive brand awareness and an association with a product class or need is the first step in ______.
building brand equity
Hershey Foods teaming with General Mills to offer a breakfast cereal called Reese's Peanut Butter Puffs, where both brand names are used on the packaging, is known as ______.
cobranding
While early adopters are crucial to the success of a new product, they still only make up a relatively small percentage of the total consumers in a given product market. This percentage is approximately how big?
13.5 percent
One of the advantages of building strong brand equity is that ______.
consumers are often willing to pay a higher price for a product with brand equity
The first step in creating a strong brand equity is to build strong brand ______.
awareness
A product manager is sometimes called a(n) _______ manager.
brand
Who is responsible for managing existing products through the stages of the life cycle?
brand manager
The set of human characteristics, such as physical traits associated with a brand, is the definition of ______.
brand personality
Products in the ________ stage of the product life cycle tend to consume a disproportionate share of management and financial resources relative to their future worth.
decline
When a product goes into the _______ stage of the product life cycle, the company may eventually stop producing and selling it.
decline
Put the following steps for building brand equity in order, with the first step on top.
develop positive brand awareness, establish a brands meaning in consumers minds, elicit proper consumer responses to a brands identity & create a consumer brand connection
What two things shorten a product's life cycle?
greater use of mass communication & more technological change
During the introduction stage sales are ______ and profit is ______.
growing slowly; minimal
The diffusion of innovation curve illustrates the typical rate of adoption for a product or service among consumers. According to the diffusion of innovation curve, when would marketers expect to see highest frequency of adoption for a given product?
in the middle of the curve
What are two key characteristics of the growth stage of the product life cycle?
increasing competition & rapid increase in sales
Paul has an MBA and seems to always know what new technology gadget is coming to the market. He reads many online blogs, and magazines and is willing to be the first one to try any new product that comes on the market. What kind of adopter is Paul?
innovator
The product life cycle is ______.
made up of the stages a product goes through in the marketplace, from introduction to decline
The _______ stage of the product life cycle is characterized by a slowing of growth in total industry sales or product class revenue.
maturity
A ________ extension is the practice of using a current brand name to enter a new market segment in its product class.
product line
Product bundling is one approach that may be used in a product _____ strategy to increase a product's value to customers.
modification
What are the three primary ways to manage a product through its life cycle?
modifying the product, modifying the market, & repositioning the product
When a firm uses a distinct name for each of its products, it is called a ________ strategy.
multibranding
With ________ branding, a company uses one name for all its products in a product class.
multiproduct
Market modification strategies include finding new customers, increasing a product's ______, and creating new use situations.
use
A package label fulfills what two functions?
conveys information to the consumer & satisfies legal requirements
The component of the product package that provides the information consumers need to make their purchase decisions and for proper consumption of the product is known as the ______.
label
A firm using multiproduct branding typically spends _______ to develop consumer brand awareness when introducing a product line extension.
less
When a firm uses branding to identify its products and distinguish them from its competitors, its uses what elements to do so?
packaging design, unique symbols, & product names
The benefits packaging and labeling provide a product include which of the following?
perceptual, functional, & communication
Based on the diffusion of innovation curve, which two traits would innovators most likely have?
venturesome & highly educated
_______ can create customer value by offering communication, functional, and perceptual benefits.
packaging
The decline stage for a product occurs when ______.
sales for the product drop
What are two disadvantages of multibranding?
Advertising and promotion are typically more expensive & Awareness will have to be built from scratch.
Product modification consists of altering the product's quality, performance, or ______.
appearance
A new product that is not compatible with existing habits and provides no incentive to change is likely to ______.
be resisted by consumers
Marketing programs that forge strong, favorable, and unique customer associations and experiences with a brand help to create ______.
brand equity
The use of the same brand name for new products being introduced into a different product class is known as ______.
brand extension
What are two responsibilities of a product manager?
developing and executing a marketing program for a product line & managing existing products through the stages of the life cycle
The way a product spreads through the population is known as ______.
diffusion of innovation
Creating brand ________ begins with establishing brand awareness and also includes establishing brand meaning and eliciting consumer judgments and feelings, and culminates with a consumer-brand connection
equity
The added value a brand name gives to a product beyond the functional benefits the product provides is called brand ______.
equity
Which two of the following are steps in building brand equity?
establish a brand's meaning in the consumers' minds & create a consumer-brand connection
When a firm sells all its products under one ______, such as Pepperidge Farm, the individual products benefit from the overall brand awareness associated with it.
family brand
Because ______ are introduced, decline, and then return again, their life cycle curves fluctuate up and down.
fashion products
Product ________ pertains to variations within the product class, where each may have its own product life cycle curve.
form
Drag and drop the correct description against the methods for managing a product through its life cycle.
modifying the product- Altering one or more of a product's characteristics to increase its value to customers and increase sales modifying the market- Trying to find new customers, increase a product's use among existing customers, or create new use situations repositioning the product- Changing the place a product occupies in a consumer's mind relative to competitive products, sometimes by changing marketing mix elements to bolster sales
Brand ______ is the reason why a brand exists, the place it has in consumers' life, the solution it provides to consumers, and the brand's role in making society better off.
purpose
The growth stage of product life cycle is characterized by more competition and a ______.
rapid increase in sales
The process of changing the place a product occupies in a consumer's mind relative to competitive products is referred to as product ______.
repositioning
What are two key characteristics of the introduction stage of the product life cycle?
slow growing sales & minimal profit
Combining a corporate or family brand with a new brand to distinguish a part of its product line from others is a tactic called ______.
subbranding
Some firms use ______ for each of their products, in addition to the family brand, to distinguish different parts of the product line.
subbranding
The different stages a product goes through during its existence is known as ______.
the product life cycle
After Josh bought his first pair of Nike basketball shoes he was pleased that he did. He likes how the shoes provide support and the way they fit. Even though there are many brands to choose from, Josh is convinced that no other shoes compare to Nike. In terms of brand equity, this exemplifies the fact that _______.
brand equity increases a firm's ability to gain a competitive advantage
When an organization uses a name, phrase, design, symbols, or a combination of these to identify products and distinguish them from its competitors it is engaged in ______.
branding
Discontinuing a product in the decline stage is known as a product ________ strategy
deletion
What two options are possible for firms who have products in the decline stage of the product life cycle?
deletion & harvesting
