Successfully reported this slideshow.
We use your LinkedIn profile and activity data to personalize ads and to show you more relevant ads. You can change your ad preferences anytime.
Roll No. Name
04 Dhaval Bhoraniya
07 Rohan Brahmbhatt
30 Nidhish Kadia
53 Dhruv Patel
74
80
Bhavesh Tavethiya
Prakash Zala...
Objective of Presentation
• To understand
– What is a Product?
– Five Products levels with Suitable Example.
– Classificat...
What is a Product?
• A product is anything that can be offered to a
market to satisfy a want or need, including
physical g...
Five Product Levels
Transportation from one
place to another.
Brand of the car, looks and
design of the car etc.
Decent mi...
Product Classification
Base on
Durability, Tangibility,
and Use
Non- Durable
Goods
Durable Goods Service
Consumer Goods Classification
Industrial Goods Classification
Industrial
Products
Material &
Parts
Raw
Material
Farm
Products
Natural
Products
Manufactu...
Product Differentiation
• Actually differentiating the company’s market offering from
competitor so that it achieve desire...
Customization
Performance/
Quality
Durability
Reliability
Repairability &
After sale service
Style
Services Differentiation
• When the physical product cannot easily be differentiated,
the key to competitive success may l...
Installation
Customer
Training
Customer
Consulting
Maintenance
& Repair
Return
The Product Hierarchy
Item
Product
Type
Product Line
Product Class
Product Family
Need Family
The product hierarchy
stretc...
Product Systems and Mixes
• A product system is a group of diverse but
related items that function in a compatible
manner....
Product Mix of AMUL
Milk
Bread
Spreads
Cheese Beverage Paneer Dahi Ghee Mithai
Amul gold Amul
butter
Processed
Cheese
Amul...
• Product Line: A group of Product offer by single seller, to
single target customer, to satisfy same kind of need,
throug...
• Product Mix Depth: refers to how many variants are offered
of each product in the line.
– Amul offer 4 Kind of Flavored ...
Product line Decision
• Line stretching: occurs when a company lengthens its product line beyond
its current range, whethe...
• Line Modernization: In rapidly changing
markets, modernization is continuous.
– Companies plan improvements to encourage...
Product Mix Pricing
• Product mix pricing is setting price of Product as Part of
Product Mix.
• Objective is to set prices...
• Optional-feature pricing: Many companies offer optional
products, features, and services with their main product.
Mostly...
• Two-part pricing: Service firms engage in two-part pricing,
consisting of a fixed fee plus a variable usage fee.
– Eg. H...
Product Strategy with Indian Examples
Upcoming SlideShare
Loading in …5
×

Product Strategy with Indian Examples

11,317 views

Published on

Presentation is about setting product Strategy with suitable Indian Examples.

Published in: Marketing
  • Be the first to comment

Product Strategy with Indian Examples

  1. 1. Roll No. Name 04 Dhaval Bhoraniya 07 Rohan Brahmbhatt 30 Nidhish Kadia 53 Dhruv Patel 74 80 Bhavesh Tavethiya Prakash Zala Group Members
  2. 2. Objective of Presentation • To understand – What is a Product? – Five Products levels with Suitable Example. – Classification of Consumer and industrial Products. – Product Differentiation with Suitable Examples. – Service Differentiation with Suitable Examples. – Product hierarchy with Suitable Example. – Product system and Mix with example of AMUL. – Product line decision with example of SUZUKI Cars. – Product mix Pricing with Suitable Example.
  3. 3. What is a Product? • A product is anything that can be offered to a market to satisfy a want or need, including physical goods, services, experiences, events, persons, places, properties, organizations, information, and ideas. • Theordo Levitt: “Every product have service component and Every Service have product component.” – Doctor: Medicine – Car: Maintenance Service
  4. 4. Five Product Levels Transportation from one place to another. Brand of the car, looks and design of the car etc. Decent mileage, proper engine, inflated tyre etc. After-sale services, insurance policy etc. Auto Driving, Interactive etc.
  5. 5. Product Classification Base on Durability, Tangibility, and Use Non- Durable Goods Durable Goods Service
  6. 6. Consumer Goods Classification
  7. 7. Industrial Goods Classification Industrial Products Material & Parts Raw Material Farm Products Natural Products Manufactured Materials Component Parts Component Materials Capital items Installation Equipment Supplies & Services Maintenance and Repair Operating Supplies
  8. 8. Product Differentiation • Actually differentiating the company’s market offering from competitor so that it achieve desire position in consumer’s mind to give more consumer value. Bases of Product Differentiation Form/ Size Features
  9. 9. Customization Performance/ Quality Durability Reliability Repairability & After sale service Style
  10. 10. Services Differentiation • When the physical product cannot easily be differentiated, the key to competitive success may lie in adding valued services and improving their quality. Bases of Service Differentiation Ordering Ease Delivery
  11. 11. Installation Customer Training Customer Consulting Maintenance & Repair Return
  12. 12. The Product Hierarchy Item Product Type Product Line Product Class Product Family Need Family The product hierarchy stretches from basic needs to particular items that satisfy those needs. We can identify six levels of the product hierarchy, using Cooker as an example Cooking Cooking Utensils Boiling Utensils Cooker Nonstick Cooker Prestige Omega
  13. 13. Product Systems and Mixes • A product system is a group of diverse but related items that function in a compatible manner. – For example, the extensive Nokia Lumia 530 product system includes headphones and headsets, cables, cases and car accessories it is Product System for Nokia Lumia 530. • A product mix (also called a product assortment) is the set of all products and items a particular seller offers for sale. – A company’s product mix has a certain width, length, depth, and consistency. These concepts are illustrated Product Mix of AMUL.
  14. 14. Product Mix of AMUL Milk Bread Spreads Cheese Beverage Paneer Dahi Ghee Mithai Amul gold Amul butter Processed Cheese Amul kool Flavored Milk Amul malai Paneer Amul Masti Dahi Amul Ghee Gulab Jamoon Amul Taaza Amul Lite Amul Gouda Cheese Amul kool Café Amul Fresh paneer Amul Probiotic Dahi Sagar Ghee Amul Basundi Amul Slim & Trim Delicious Table Margarine Mozzarella Cheese Amul Kool Koko Amul flaavyo Amul Brown Avsar Ladoo Amul Tea- Specuial Garlic Butter Amul Kool Milk Shaake Amul Yellow (Cow) Ghee Shrikhand Amul Shakti Amul Stamina Can Amul Dimond Amul Buttermilk Amul Lassi Product Mix Width ProductLineLength
  15. 15. • Product Line: A group of Product offer by single seller, to single target customer, to satisfy same kind of need, through same supply chain, at relatively same price is called product Line. – Amul have Different Product line Like Milk, Paneer, Ghee, Dahi, Mithai, Beverages etc. • Product Mix Width: Number of Product line offer by seller. – Amul have 8 Product line so, Product Width = 8 • Product line Length: Number of Item in each Product Line – Amul have 6 Item For Milk category so, Product line Length of Amul Milk = 6
  16. 16. • Product Mix Depth: refers to how many variants are offered of each product in the line. – Amul offer 4 Kind of Flavored Milk. • consistency of the product mix: Describes how closely related the various product lines are in end use, production requirements, distribution channels, or some other way. • Product Mix Assortment: Total Number of Product in Product Mix. – Amul have totally 33 Product in it’s Product Mix.
  17. 17. Product line Decision • Line stretching: occurs when a company lengthens its product line beyond its current range, whether down-market, up-market, both ways and Line Filling. Alto K10 A- Star Wagon R Celerio Ritz Swift A- Star Wagon R Celerio Ritz Swift Ciaz Alto K10 A- Star Wagon R Celerio Ritz Swift Ciaz Down-Market Stretching Up-Market Stretching Both Way Stretching A- Star Wagon R Celerio Ritz Swift Initial Product Line A- Star Wagon R Celerio Stingary Ritz Swift Line Filling
  18. 18. • Line Modernization: In rapidly changing markets, modernization is continuous. – Companies plan improvements to encourage customer migration to higher-valued, higher- priced items. – It’s important to time improvements so they do not appear too early (damaging sales of the current line) or too late (giving the competition time to establish a strong reputation) – Samsung came up with new version of android, Processer in it’s smart phones over period of time.
  19. 19. Product Mix Pricing • Product mix pricing is setting price of Product as Part of Product Mix. • Objective is to set prices that maximizes profits on the total product mix. • Difficulty arise because of demand and cost interrelationships and different degrees of competition of products. Pricing Strategy • Product line pricing: Price of whole line is set to establish perceived quality differences that justify the price differences. Low Price – low Quality Average Price – Average Quality High Price – Superior Quality
  20. 20. • Optional-feature pricing: Many companies offer optional products, features, and services with their main product. Mostly seen in Automobile industry. Maruti Suzuki Ritz Models Price (Ex. New Delhi) [in Lakhs] Lxi 4.39 Vxi 4.79 Zxi 5.03 vdi 5.79 Zdi 6.38 • Captive-product pricing: Base product price is lower where Captive Product price is High. Printer is Base Product Cartridge is captive product for Printer so, it’s price is high relative to printer price.
  21. 21. • Two-part pricing: Service firms engage in two-part pricing, consisting of a fixed fee plus a variable usage fee. – Eg. Hospital have Fix room charge and extra charge for Doctor’s Visit, medicine, Food etc. • By-product pricing: in certain Production Process by Product is resulted from production of main product. – Eg. Molasses By-Product of Sugar so, Price of Molasses is lower than price of Sugar. • Product-bundling pricing: Sellers often bundle products and features. Pure bundling occurs when a firm offers its products only as a bundle. – Eg. Multiplex provide bundle of Film Ticket + Coke + Popcorn at lower price than price of each products individually.

×