Principles of MARKETING ( CHAPTER 7 TITLE: TITLE: PRODUCT,SERVICES, AND BRANDING STRATEGY)
TITLE: PRODUCT,SERVICES, AND BRANDING
• A PRODUCT is anything that can be offered
to a market for attention, acquisition, use, or
consumption and that might satisfy a want or
SERVICES are form of product
that consist of activities ,
benefits, or satisfaction offered
for sale that are essentially
intangible and do not result in
the ownership of anything.
Example of pure services includes:
hotel,banking and foot spa or Barber
SHOP, Catering service.
PRODUCT,SERVICES AND EXPERIENCES
-A company's offer to the marketplace often includes
both tangible goods and services. The continuum
1.pure tangible goods-consist of physical items that can
be touched and seen such as soap, shampoo.
2.tangible goods with accompanying services-such as an
automobile that offers accompanying services.
3.hybrid offers –consist of equal parts of goods and
services such as restaurant.
4.services with accompanying minor goods- such as
airline trips with accompanying snacks.
5.pure services – such as those offered by doctor’s,
6. Product and services
THE PRODUCT-SERVICES CONTINUUM
LEVELS OF PRODUCT
1.The core product - is the core, problem solving
service, or core benefit that consumers are really
buying when they obtain a product or service.
2.Actual Product- may have as five characteristics that
are combined to deliver core product benefits. They
a. Quality level
d. Brand name
3. The Augmented product includes any
additional consumer services and benefits built
around the core and actual products
Marketers have developed several
product classification schemes based on
Consumer Products- are those bought by
final consumers for personal
Convenience Product - are consumer
product and services that the consumer
usually buys frequently, immediately, and
with a minimum of comparison and
Shopping Products- are consumer, in the
process of selection and purchase,
characteristically compares on such bases
as suitability, quality, price and style.
Specialty Product- are consumer products
with unique characteristics or brand
identification for which a significant group
of buyers is willing to make a special
purchase effort. Unsought Product- are
consumer either does not know about or
knows about but does not normally think
-are those bought by individuals and
organizations for further processing or for use
in conducting a business.
Three groups of industrial products are:
1. Materials and part- Most are sold directly to
2. Capital items- these products aid in the buyer's
production or operations, including installations
and accessory equipment.
3. Supplies and services- These could be
operational or repair and maintenance.
Many of these services are supplied under
ORGANIZATIONS, PERSONS, PLACES
• Marketers- has broadened in recent years to cover
marketable entities other than just product and services.
These are the entities:
Organization marketing- consist of activities undertaken to
create, maintain, or change attitudes and behavior of target
audience toward an organization such as churches, colleges,
Person marketing- are activities undertaken to create,
maintain, or change attitudes and behavior toward particular
persons like politicians, entertainers, sports figure, doctors,
• Place marketing- involves activities
undertaken to create, maintain or change
attitudes toward particular places. Market,
commercial market or a selling land property.
• Idea marketing- also called social marketing,
is the marketing of social ideas like public
health campaigns, environmental concerns
campaigns and such other campaigns as
family planning, human rights, animal rights.
EXAMPLE: PAWS ( PHILIPPINE ANIMAL WELFARE
GABRIELA - A NATIONAL ALLIANCE FOR
-Developing a product or service involves defining
the benefits that it will offer. These benefits are
communicated and delivered by product
attributes such as:
1. Product quality- is the ability of a product to
perform its functions.
2. A product can be offered with varying product
3. Product style and design - is another way to
a. Style- simply describes the appearance of a
b. Design- goes to the heart of the product.
Brand- is a name, sign, symbol or design
or a combination of these that identifies
the maker or seller of a product or
Branding- has become so strong that
hardly anything goes unbranded.
Brand Equity- is the value of brand, based
on the extent to which it has high brand
loyalty , name awareness, perceived
quality, strong brand associations.
MAJOR BRANDING DECISION
Line Extension- Existing brand names extended
to new forms, sizes, and flavors of an existing
Brand Extension- Existing brand extended to
new or modified product categories.
Multi brands- New brand names introduced in
the same product category.
New Brands- New brand names in new product
Packaging -decisions are the
third set of decisions that must
be made about individual
- is the activity of
designing and producing the
container or wrapper for a
-is also a part of packaging and
consists of printed information
appearing on or with the package.
Labeling performs several functions:
1. It IDENTIFIES the product or brand.
2. It might DESCRIBE several things
about the product.
3. It might PROMOTE the product
through attractive graphics.
-is a group of products that are closely related
because they function in a similar manner.
-is influenced by company objectives.
Product Line Length- is The number of items in the
Product line stretching- which is increasing the
product line by lengthening it beyond its current
a. Downward stretch
b. Upward stretch
c. Two-way stretch
Product Line Filling- is increasing the
product line by adding more items
within the present range of the line.
Reasons to use this strategy include:
a. Extra profits
b. Attempting to satisfy dealers.
c. Trying to use excess capacity.
d. Trying to be the leading full line
e. Trying to plug holes to keep out
PRODUCT MIX DECISIONS
- ORGANIZATION WITH SEVERAL
PRODUCT LINES HAS A PRODUCT MIX. A
PRODUCT MIX OR PRODUCT
ASSORTMENT CONSISTS OF ALL THE
PRODUCT LINES AND ITEMS THAT A
PARTICULAR SELLER OFFERS FOR SALE.
Nature and Characteristics of a Service
1. Service intangibility- which cannot be stored for later
sale. Services cannot be seen, tasted, felt heard, or
smelled before they are bought.
2. Service inseparability- which are produced and
consumed at the same time and cannot be separated
from their providers, whether the providers are people or
3. Service variability- whose quality may greatly
defending on who provides them and when, where and
4. Service perish ability- which cannot be stored for later
sale or use.