PRODUCT

• Defn: A product is anything that can be offered to a market for

attention, acquisition, use or consumption that might satisfy a want or
need.
e.g. :- Physical Goods :-- Cars, W/M
Services :- Training
Persons :- Michael Jackson
Ideas : - Family Planning

Five Levels of Product

Level 1 : Core Benefit : Fundamental benefit that the

customer is buying . E.g. :- Hotel :-Rest, CTV :- Entertainment
 Product
• Level 2:- Generic Benefit : Basic version of the product.
e.g. : Hotel : consists of a building with rooms.
W/M : Metal/plastic body with console
panel

• Level 3 : Expected Product : A set of attributes and

conditions that buyers normally expect and agree when
they purchase the product.
e.g. : Hotel : Clean Bed, soap, towels,
telephone
CTV : Tuning on remote, cable ready.
 Product

• Level 4 : Augmented Product : includes additional services and

benefits that distinguishes the company’s offer from
competitor’s offers.
e.g. : Hotel : Complimentary breakfast, Flat CTV,
24 Hrs checkout, etc.

• Level 5: Potential Product: All augmentations and

transformations that the product might ultimately undergo in
the future.
e.g. : Computer compatible TV (which can operate at room
temperatures)
 Eight Stages of New Product Development

• Idea Generation
• Idea Screening
• Concept Development & Testing
• Marketing Strategy
• Business Analysis
• Product Development
• Market Testing
• Commercialization
 Eight Stages
• 1) Idea Generation :
Source of New Product Ideas:-
Customers , Employees, Competitor’s Products and services ,

sales team
Idea Generating Techniques :
Brain Storming , Need/Problem Identification , Problem /Need

Identification

• 2) Idea Screening:
Drop Error
Go Error
• 3) Concept Development & Testing:
A product concept is an elaborated version of the idea expressed
in meaningful consumer terms.
• 4) Marketing Strategy Development :
a) Describes the size , structure of the target market,
Positioning, sales, Market share in the first few years.
b) Product, Price, Place, Distribution strategy.
c) Long run sales and profit goals.

• 5) Business Analysis:
Actual costs to R&D, MFG. ,Marketing cost and Profit Projection
• 6) Product Development:
1) Develop Prototype
2) Functional & Consumer Tests

• 7) Market Testing :
Testing in select outlets with actual brand name and
packaging

• 8) Commercialization :
When to enter the market
How to enter the market
• Product width : Different Product categories the company is in
• Product Length : In each product category how many products
are available
• Product depth : Variants that are offered for each product.

Product Strategies

1) Downward Stretch
2) Upward Stretch
3) Two-way Stretch
 BRANDING
• “Products don’t sell , Brands sell”
The ultimate aim of product manager must be to
convert the product into a successful brand.

Japanese Name : TOKYO TSHUSIN KOGYO

KABUSHIKI KAISHA
English name : Tokyo Telecommunications
Engineering company
 BRANDING
• CITIBANK : The citi never sleeps.
• HSBC : The world’s local bank.
• Canara Bank: Growing to serve. Serving to grow.
• L’OREAL: Because you’re worth it.
• Maybelline: May be she’s born with it. May be its Maybelline.
• GO GOA : 365 days on a holiday.
• Kerala : God’s own country.
• Retreat : city ends. Life begins.
• KL : VISION CITY
• Malaysia : Truly Asia.
• Singapore : Singapore Roars
• Hong Kong: Live it up.
 BRANDING
• BPL : Believe in the best.
• Videocon : Bring home the leader
Technology for health and Pleasure.
• Sansui :Better then the best
Born in Japan . Entertaining the world.
• LG :Digitally yours.
• Nokia :Connecting people
• Motorola : Intelligence everywhere.
• Ceat Tyres : Born Tough.
• Femina : For the woman of substance.
For generation W.
 BRANDING

• Orange : Wherever you go, our network follows.

• Reliance India Mobile : Kar lo Duniya Mutthi Mein.
• Aaj Tak : Sabse Tej.
• Chevrolet optra : The new name for luxury.
• Santro Xing : The sunshine car.
• Tata Indigo: Spoil Yourself.
• Mitsubishi Lancer: Always in control.
• Raymond : For the complete man.
• Tata Salt : Desh ka namak.
• Louis Philippe: The upper crest.
 BRANDING
• Defn:- A name ,symbol, design which is intended to
identify the goods ,services of one company and to
differentiate the goods from those of competitors.

BRAND NAME DECISION

• Individual Brand Name : P & G :- Ariel, Pantene
• A Blanket Family Name : Philips
• Company Name combined with individual product names:-
Britannia 50-50
Videocon Bazoomba
 BRANDING

Brand Strategy
• Line Extension
• Brand Extension
• Multi Brand
• New Brands
 Brand Strategies

Existing New
Existing
Brand
Line Extension Brand Extension
Name

New New Brands

Brand Multi brands
Name

Product Category
 Brand Strategies

• Line Extensions : occur when a company introduces

additional items in the same product category under the
same brand name such as new flavors, forms, colors,
added ingredients, package sizes .
e.g : ZEN LXI,ZEN VXI,
SURF, SURF EXCEL, SURF EXCEL BLUE
Splendour , Splendour Plus
Coke, Diet Coke, Vanilla Coke
Clinic AllClear, Clinic Plus
• Brand Extensions : Using an existing brand name to
launch a product in a new category
e.g --- Honda automobiles, motorcycles, lawnmowers etc.
Sony (Handycams, Colour TV, Digital camera etc.)
AMUL, Videocon,LG
• Multibrands : additional brands in the same category

e.g --- Rejoice, Pantene, Head & Shoulders

WagonR, Zen , Alto
Electrolux, Kelviantor, Allwyn
Videocon, Sansui, Akai, Toshiba
• New brands : When a company launches products in a
new category , a new name is given In deciding whether
to give new name , the company should consider the
following- 1) Is the venture large enough2) Will it last long
enough 3) Does the new product require the boost power
of existing powerful brand name4) Is it best to avoid
existing brand name in case the new product fails. 5)
Will the cost of establishing a new brand name be covered by
the probable sales and profits.
• E.g -- Paras Pharmaceuticals
Livon,Krack, Itchguard, RingGuard, Lipguard, Numis,
D’Cold