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The Heart IS the PRODUCT
Karen P. Lorenzo, MD
Ateneo Graduate School of Business
MBA-H
V88 Marketing Management
Setting Product Strategy
Components of the market offering
Outline
Product as a key element in the market offering
What are the customers really buying?:
Customer-value hierarchy
Differentiation: How a product create a
competitive advantage
Local application: The Black Nazarene Hospital
Components of the market offering
Product as a key element in the market offering
What are the customers really buying?:
Customer-value hierarchy
Differentiation: How a product create a
competitive advantage
Local application
What is a product?
-anything that can be offered to a market
to satisfy a want or a need
-physical goods, services, experiences, events, information
persons, places, properties, organizations, ideas
-key element to a market offering
Product as a key element in the market offering
Components of the market offering
Components of the market offering
Product as a key element in the market offering
Local application
Components of the market offering
Product as a key element in the market offering
What are the customers really buying?:
Customer-value hierarchy
Differentiation: How a product create a
competitive advantage
Local application: The Black Nazarene Hospital
Product as a key element in the market offering
What are the customers really buying?:
Customer-value hierarchy
Components of the market offering
Outline
Product as a key element in the market offering
What are the customers really buying?:
Customer-value hierarchy
Differentiation: How a product create a
competitive advantage
Local application: The Black Nazarene Hospital
How can a product create a competitive advantage?
How to be BRANDED? How to be UNIQUE?
Means for DIFFERENTIATION:
Form- size or shape, or the physical structure
Features- supplement a product’s basic function
DESIGN is an important means of differentiation
How can a product create a competitive advantage?
How to be BRANDED? How to be UNIQUE?
Means for DIFFERENTIATION:
Conformance Quality- degree to which all units are
identical and meet promised specifications
Performance Quality- level at which the product’s
primary characteristics operate
How can a product create a competitive advantage?
How to be BRANDED? How to be UNIQUE?
Means for DIFFERENTIATION:
Durability- measure of the product’s expected
operating life under natural or stressful conditions
Reliability- measure of the probability that a
product will not malfunction or fail within a
specific time period
How can a product create a competitive advantage?
How to be BRANDED? How to be UNIQUE?
Means for DIFFERENTIATION:
Repairability- ease of fixing when it fails
Style- product’s look and feel to the buyer;
creates distinctiveness that is hard to copy
Customization- ability to meet each customer’s
requirements
How can a product create a competitive advantage?
How to be BRANDED? How to be UNIQUE?
“Cars that refuse to die…”
“If I don’t show up, call a
search team party because
something happened to me
and not my Toyota.”
-Toyota owner
Durability
Reliability
Ease of maintenance
Availability of parts
Customization
Components of the market offering
Outline
Product as a key element in the market offering
What are the customers really buying?:
Customer-value hierarchy
Differentiation: How a product create a
competitive advantage
Local application: The Black Nazarene Hospital
Product as a key element in the market offering
Local application
“Where proficient care made accessible”
Components of the market offering
Summary
Product as a key element in the market offering
What are the customers really buying?:
Customer-value hierarchy
Differentiation: How a product can create a
competitive advantage
Local application: The Black Nazarene Hospital
17
The Heart IS the PRODUCT
Karen P. Lorenzo, MD
Ateneo Graduate School of Business
MBA-H
V88 Marketing Management
Setting Product Strategy

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Ch 13 setting product strategy by karen lorenzo v88

  • 1. 1 The Heart IS the PRODUCT Karen P. Lorenzo, MD Ateneo Graduate School of Business MBA-H V88 Marketing Management Setting Product Strategy
  • 2. Components of the market offering Outline Product as a key element in the market offering What are the customers really buying?: Customer-value hierarchy Differentiation: How a product create a competitive advantage Local application: The Black Nazarene Hospital
  • 3. Components of the market offering Product as a key element in the market offering What are the customers really buying?: Customer-value hierarchy Differentiation: How a product create a competitive advantage Local application
  • 4. What is a product? -anything that can be offered to a market to satisfy a want or a need -physical goods, services, experiences, events, information persons, places, properties, organizations, ideas -key element to a market offering Product as a key element in the market offering Components of the market offering
  • 5. Components of the market offering Product as a key element in the market offering Local application
  • 6. Components of the market offering Product as a key element in the market offering What are the customers really buying?: Customer-value hierarchy Differentiation: How a product create a competitive advantage Local application: The Black Nazarene Hospital
  • 7. Product as a key element in the market offering What are the customers really buying?: Customer-value hierarchy
  • 8. Components of the market offering Outline Product as a key element in the market offering What are the customers really buying?: Customer-value hierarchy Differentiation: How a product create a competitive advantage Local application: The Black Nazarene Hospital
  • 9. How can a product create a competitive advantage? How to be BRANDED? How to be UNIQUE? Means for DIFFERENTIATION: Form- size or shape, or the physical structure Features- supplement a product’s basic function DESIGN is an important means of differentiation
  • 10. How can a product create a competitive advantage? How to be BRANDED? How to be UNIQUE? Means for DIFFERENTIATION: Conformance Quality- degree to which all units are identical and meet promised specifications Performance Quality- level at which the product’s primary characteristics operate
  • 11. How can a product create a competitive advantage? How to be BRANDED? How to be UNIQUE? Means for DIFFERENTIATION: Durability- measure of the product’s expected operating life under natural or stressful conditions Reliability- measure of the probability that a product will not malfunction or fail within a specific time period
  • 12. How can a product create a competitive advantage? How to be BRANDED? How to be UNIQUE? Means for DIFFERENTIATION: Repairability- ease of fixing when it fails Style- product’s look and feel to the buyer; creates distinctiveness that is hard to copy Customization- ability to meet each customer’s requirements
  • 13. How can a product create a competitive advantage? How to be BRANDED? How to be UNIQUE? “Cars that refuse to die…” “If I don’t show up, call a search team party because something happened to me and not my Toyota.” -Toyota owner Durability Reliability Ease of maintenance Availability of parts Customization
  • 14. Components of the market offering Outline Product as a key element in the market offering What are the customers really buying?: Customer-value hierarchy Differentiation: How a product create a competitive advantage Local application: The Black Nazarene Hospital
  • 15. Product as a key element in the market offering Local application “Where proficient care made accessible”
  • 16. Components of the market offering Summary Product as a key element in the market offering What are the customers really buying?: Customer-value hierarchy Differentiation: How a product can create a competitive advantage Local application: The Black Nazarene Hospital
  • 17. 17 The Heart IS the PRODUCT Karen P. Lorenzo, MD Ateneo Graduate School of Business MBA-H V88 Marketing Management Setting Product Strategy