marketing test #2 - chapter 7

Convenience product

A consumer product that customers usually buy frequently, immediately, and with minimal comparison and buying effort.

Unsought product

A consumer product that the consumer either does not know about or knows about but does not normally consider buying.

Shopping product

A consumer product that the customer, in the process of selecting and purchasing, usually compares on such attributes as suitability, quality, price, and style.

Specialty product

A consumer product with unique characteristics or brand identification for which a significant group of buyers is willing to make a special purchase effort.

Product line

A group of products that are closely related because they function in a similar manner, are sold to the same customer groups, are marketed through the same types of outlets, or fall within given price ranges.

Consumer product

A product bought by final consumers for personal consumption.

Industrial product

A product bought by individuals and organizations for further processing or for use in conducting a business.

social marketing

The use of commercial marketing concepts and tools in programs designed to influence individuals' behavior to improve their well-being and that of society.

internal marketing

orienting and motivating customer-contact employees and supporting service employees to work as a team to provide customer satisfaction (company and employees)

service profit chain

the chain that links service firm profits with employee and customer satisfaction

levels of product and services

1. core customer value 2. actual product (brand name, quality level, features, design, packaging) 3. augmented product (after sales service, delivery and credit, warranty, product support)

product mix

The set of all product lines and items that a particular seller offers for sale. -Product mix width refers to the number of different product lines the company carries. -Product mix length refers to the total number of items a company carries within its product lines. -Product mix depth refers to the number of versions offered for each product in the line. -consistency of the product mix refers to how closely related the various product lines are in end use, production requirements, distribution channels, or some other aspect.

store brand (private brand)

a brand created and owned by a reseller of a product or service -generic

brand strategy decisions

brand positioning (attributes, benefits, beliefs and values), brand name selection (selection and protection), brand sponsorship (manufacturer's brand, private brand, licensing, co-branding), brand development (line extensions, brand extensions, multi brands, new brands)

external marketing

company and customers

Product line filling

involves adding more items within the present range of the line. There are several reasons for product line filling: reaching for extra profits, satisfying dealers, using excess capacity, being the leading full-line company, and plugging holes to keep out competitors.

brand development

line extensions (extending an existing brand name to new forms, colors, sizes, ingredients, or flavors of an existing product category) brand extensions (extending an existing brand name to new products and categories) multi brands (e new brands

Product line stretching

occurs when a company lengthens its product line beyond its current range. The company can stretch its line downward, upward, or both ways. Companies located at the upper end of the market can stretch their lines downward. A company may stretch downward to plug a market hole that otherwise would attract a new competitor or to respond to a competitor's attack on the upper end. Or it may add low-end products because it finds faster growth taking place in the low-end segments. Companies can also stretch their product lines upward. Sometimes, companies stretch upward to add prestige to their current products. Or they may be attracted by a faster growth rate or higher margins at the higher end.

Services characteristics

perishability (cannot be stored for later use), intangibility (cannot be seen, tasted, or heard before they are bought), variability (quality of services depends on who provides them and when, where, and how they are provided), and inseperability (produced and used at the same time and cannot be separated from their providers)

important decisions for development of marketing

product attributes, branding, packaging, labeling, and product support services.

brand equity

the differential effect that knowing the brand name has on customer response to the product or its marketing

co-branding

the practice of using the established brand names of two different companies on the same product

interactive marketing

training service employees in the fine art of interacting with customers to satisfy their needs (customers and employees)