The document provides an overview of product planning and development. It discusses key concepts like the features of a product, different types of products, product levels, and the product life cycle. It also covers topics like packaging, labeling, branding, and the new product development process. The main points are: 1) It defines what a product is and lists its essential features like being tangible, providing value, and satisfying customer needs. 2) Products are classified as consumer products or industrial products. Consumer products are purchased for direct use while industrial products are used as inputs. 3) A company manages its product mix using three product levels - core, actual and augmented. Packaging, labeling, warranties are part of

1. 1

2. AGENDA
INTRODUCTION
3
FEATURES OF PRODUCT
6
PRODUCT
9
PRODUCT LEVELS
14
PRODUCT PLANNING
18
PACKAGING AND LABELLING
22

3. INTRODUCTION

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MEANING
A product may be defined as a set of
tangible, intangible and associate
attributes capable of being
exchanged for a value with the ability
to satisfy consumers and business
needs. It is anything that can be
offered to a market to satisfy the needs
or wants of the customer. The products
that are marketed include physical
goods, services, experiences, events,
person,
place, properties, organization,
information and ideas

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DEFINITION
Philip Kotler: “A product is anything that can be offered to a
market for attention, acquisition, use or consumption. It includes
physical objects, services, personalities, place, organizations
and ideas.”
Alderson: “A product is a bundle of utilities consisting of
various features and accompanying services.”
Schwartz: “A product is something a firm markets that will
satisfy a personal want or fill a business or commercial need
and includes all the peripheral factors that may contribute to
consumer’s satisfaction.”

6. FEATURES OF
PRODUCT

7. FLOW CHART
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FEATURES OF
PRODUCT
ASSOCIATED
ATTRIBUTES
EXCHANGE
VALUE
CUSTOMER
SATISFACTION
TANGIBILITY
INTANGIBLE
ATTRIBUTES

8. ESSENTIAL FEATURES
1) Tangible attributes:To be called a product, an item should be tangible, i.e. it may be
touched, 2 seen its presence felt. It has precise specifications and is offered under a
given description or model number. It denotes color, style, size, weight, durability, quality,
and price features Ex: TV, scooter, mobile, toothpaste, pressure cooker.
2) Intangible attributes: Intangible attributes in a product are those that cannot be
perceived right away or one that is not so very apparent. Ex: repairing, hair-dressing,
banking or insurance. These services may be bought independently or associated with
tangible products.
3) Peripheral or associated attributes: These help in identification of a product and
acceptance by buyers. Ex: Brand, package, warranty, credit delivering terms.
4) Exchange value: Every product should have an exchange value and should be capable
of being exchanged between buyer & seller for a mutually agreeable consideration.
5) Consumer satisfaction: Products should be able to deliver satisfaction to consumers,
which could be real or psychological. Ex: When a girl buys a lakme lipstick, she not only
buys a chemical compound which is real but also buys ‘beauty’ which has some
psychological value.
6) Business need satisfaction: Any product should be able to satisfy a business need. A
very basic business need is to earn profit. Another one is societal need. Ex: Cholesterol
free edible oil is a product that satisfies social need
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9. PRODUCT

10. 20XX presentation title 10
CLASSIFICATION OF PRODUCT

11. CONSUMER PRODUCTS
Products are broadly classified into two categories – consumer products and industrial
products. Consumer products are products that the ultimate consumer purchases
himself for direct use. The consumer purchases these consumer products to satisfy his
personal needs and desires. Some examples of consumer products are toothpaste,
eatables, textiles, computers etc and various such products. Now there are many types
of consumer products as well. Let us take at the classification of consumer goods based
on the shopping effort involved.
 Convenience Products: These are consumer goods that are very
convenient to purchase. They are bought frequently and with very little
effort. Examples include medicines, toiletries, newspapers etc. Such
convenience products have ongoing and continuous demand. Such goods
are also bought in small quantities and are also generally lowly priced.
 Shopping Products: To shop for these consumer products, consumers
devote considerable time and effort. They compare prices and features
and a lot of thought is involved before making the decision to buy. Some
such examples are electronics, furniture, jewelry etc. These products
generally fall in the higher price range. Such products are pre-planned
purchases.
 Specialty Products: For specialty products, consumers make special
efforts to buy them. They are not your regular run of the mill consumer
products. The buyer is willing to go through a lot of effort to purchase
such products. Take for example any artwork, paintings, sculptures etc.
The demand for such specialty products is usually pretty limited and the
prices are high
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12. INDUSTRIAL PRODUCTS
These are products which are used as input for manufacturing other
products. Unlike consumer goods, these are not for direct consumption.
These are meant for business and nonpersonal use. Some examples of
industrial products are raw materials, machines, tools etc. Here the demand
for industrial products is limited. Since they are not consumer goods the
demand for them is not vast. The three broad categories of Industrial goods
are as follows.
 Machine and Machine Parts: These goods are used entirely in the
manufacturing process. These include raw materials like cotton, lumber,
petroleum etc. They also include manufactured products like glass,
rubber etc.
 Capital items: These are goods/products used to manufacture finished
goods. They include installations (lifts, mainframe computers etc) and
equipment (hand tools, personal computers etc)
 Business Services and Supplies: These are industrial goods and
services that facilitate the manufacturing process. They include services
such as painters, technicians, maintenance, and repairs. And products
such as lubricants, stationary etc.
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13. PRODUCT LEVELS

14. 20XX presentation title 14

16. MANAGEMENT OF PRODUCT MIX THROUGH PLC
EFFECTS AND
RESPONSE
INTRODUCTION GROWTH MATURITY DECLINE
COMPETITION NOT IMPORTANT SOME EMULATOR MANY COMPERTITORS
ENTERING THE FIELD
FEW IN NUMBER WITH
RAPID SHAKEOUTOF WEAK
MEMBERS
PROFIT PROFIT IS NEGLIGIBLE
BECAUSE OF HIGH
PRODUCTION AND
MARKETING COST
PROFIT REACHING PEAK
LEVEL AS A RESULT OF
HIGH PRICES AND
GROWING DEMAND
STIFF COMPETITION EATING
INTO PROFITN MARGIN
AND IMPACTING TOTAL
PROFIT ADVERSELY
DECLINING VOLUME
PUSHES COSTS UP TO THE
LEVELS THAT ELIMINATE
PROFITS ENTIRELY
DISTRIBUTION SELECTIVE DISTRIBUTION DEPLOYMENT OF SALES
PROMOTIONAL TOOLS
TARGETED AT WINNING
DEALER SUPPORT
USING SALES
PROMOTIONAL TOOLS
TARGETED AT DEALERS SO
THAT THEIR SUPPORT IS
SUSTAINED
PHASING OUT UN
PROFITABLE OUTLES
ADVERTISING
STRATEGY
TARGETED AT EARLY
ADOPTERS
RAISING AWARNESS
ABOUT THE BENEFITS OF
PRODUCT AMONG
CONSUMING PUBLIC
HIGHLIGHTING PRODUCT
DIFFERENTIATION
USING
ADVERTISEMENT
HIGHLIGHTING LOW PRICES
TO REDUCE STOCK PILE UP
THROUGH
ADVERTISINGAND SALES
PROMOTIONAL TOOLS
OVERALL
STRATEGY
PERSUADING EARLY
ADOPTERS TO TRY THE
PRODUCT
PERSUADING THE MASS
TO PREFER THE BRAND
THROUGH MARKET
PENETRATION STRATEGY
POPULARIZING BRAND
THEREBY CHECKING THE
INROAD OF COMPETION
PREPARINGTO DROP THE
BRAND AFTER
EXHAUSTINGALL POSSIBLE
AVENUES OF ADVERTISING
REVENUE. 16

17. PRODUCT PLANNING

18. DEFINITION
Product planning is a technique of planning all the aspects of a product in its relationship with the
market. The aim of product planning is to avoid designing of unsuitable products and all the related
expenses. The present day customer will not accept any product which does not suit his requirements
in any way-price, style, designing, features, distribution etc. Product planning is always done keeping in
mind the market or consumer expectations.
“Product planning is the act of managing and supervising the search, screening, development and
commercialization of new products; the modification of existing lines; and the discontinuance of
marginal or unprofitable items. – Carl H. Titgen
IMPORTANCE
a) Development and introduction of new products.
b) Modification of existing lines as may be needed in terms of changing customer needs and
preferences.
c) Discontinuance or elimination of marginal or unprofitable products.
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THE NEW PRODUCT DEVELOPMENT PROCESS (NPD)

20. BRAND
 Brand means a name, term, sign, symbol, design, or a mix thereof used
to identify the product of one firm and to distinguish if from the
competitive products. A brand is usually composed of a name and a mark
or a mnemonic. A brand name is a part of a brand which can be
vocalized. It consists of words, letters, and / or numbers.
 Branding is the process of creating a distinct identity for a business in
the mind of your target audience and consumers. At the the most basic
level, branding is made up of a company's logo, visual design, mission,
and tone of voice.
 Benefits of a strong brand include:
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INCREASED SALES
HELPING CREATE A
CLEAR AND INSPIRING
MISSION OR PURPOSE
COMPANY WIDE.
HELPING CREATE A
STRONG COMPANY
CULTURE WHERE YOUR
EMPLOYEES LOVE
WHAT THEY DO.
ATTRACTING TOP-
QUALITY TALENT TO
HELP GROW YOUR
BUSINESS EVEN
FURTHER.
CUSTOMER LOYALTY
AND RECOGNITION.
DEVELOPING STRONG
BRAND EQUITY
HELPING YOU STAND
OUT FROM YOUR
COMPETITION.

21. PACKAGING AND LABELLING

22. MEANING AND CHARACTERISTICS
 Packaging is the process of providing a protective and
informative covering to the product in such a way that it protects
the product during material handling, storage, and 11 movement
and also provides useful information to all the concerned parties
about the content of the package.
Characteristics of Good Packaging
Packaging is more than just your product’s pretty face. Your
package design may affect everything from breakage rates in
shipment to whether stores will be willing to stock it. These are the
characteristics of good packaging
 Labeling - include certain information on the label of your
product when it is distributed in specific ways.
 Opening - product is one that will be distributed in such a way
that customers will want to–and should be able to–sample or
examine it before buying, your packaging will have to be easy to
open and to reclose
 Size - product must be shipped a long distance to its distribution
point, then bulky or heavy packaging may add too much to
transportation costs.
 Durability - Many products endure rough handling between their
production point and their ultimate consumer.
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23. FUNCTION OF PACKAGING
Packaging plays a crucial role from the time a product is developed to the time a product
is fully consumed. These functions of packaging include:
Contains the product: Most products need to be contained either during transportation, storage, or consumption.
Packaging makes sure the product is contained as and when required.
Protects the product: Packaging protects the product and its quality, features, utility, etc. from being damaged or
contaminated during transportation, storage, and consumption.
Aids product handling and usage: Proper packaging aids product handling and makes it easy to transport, ship,
and even use the product.
Differentiates the product and makes it stand out: Packaging makes it easier for the customer to identify and
differentiate it from other products. Moreover, attractive packages have a property to stand out and attract customers
towards it.
Forms a part of product marketing strategy: An attractive and/or informative package makes the product stand
out and have a promotional appeal. Packaging also acts as the final touchpoint that helps in product promotion and
sale.
Provides customer convenience: Packaging is also a convenience tool that makes it convenient for the customer
to carry, transport, and use the product.
Acts as a communication medium: Packaging along with labelling helps communicate the brand identity, brand
message, and product and company information to the customer.
Adds to the aesthetic value: Packaging can make a simple product look attractive or a unique product look
ordinary. It’s an important aesthetic touchpoint that can make or break a sale.
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24. LABELLING
Labelling is a part of branding and enables product identification. It is a printed information that
is bonded to the product for recognition and provides detailed information about the product.
Customers make the decision easily at the point of purchase seeing the labelling of the
product.
FUNCTIONS OF LABELLING:
 Defines the product and its contents: A label is informative about the
product’s usage and caution to be taken while using the product.
Example, Red Label Natural Care tea mentions five ingredients in its
label that provide immunity.
 Recognition of product: Labeling assists in the identification of the
product. Example, the brand name of a chocolate will help one choose
from the rest of the confectionery items available.
 Assorting of products: It means classification or grading of products
according to different categories in the market. Example, shampoos
are categorized as dry hair, normal hair and oily hair types and cater to
consumers in the market with the dry, normal and oily scalp,
respectively.
 Assists promotion of products: It gives the customer the reason to
purchase the product. Example, it attracts the attention of the
consumer by displaying messages such as ‘20% free’ or ‘save rupees
15’ message in potato chips packet.
 In compliance with the law: Labels should strictly abide by the law.
Example, for tobacco, the label should mention ‘Tobacco is injurious to
health’. Cigarettes also should have ‘Smoking is injurious to health’ as
the statutory warning on its package
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