MARKETING MANAGEMENT 1 4 th edition

1. MARKETING MANAGEMENT14th edition 12 Setting Product Strategy Kotler Keller

2. At the heart of a great brand is a great product

3. Product Anything that can be offered to a market to satisfy a want or need.

4. Augmented Product Installation Packaging Features Brand Name Delivery & Credit After- Sale Service Core Benefit or Service Quality Level Design Warranty Core Product Actual Product Levels of Product

5. Product Classification Schemes Durability Tangibility Use

6. Durability and Tangibility Nondurable goods Durable goods Services

7. Shopping Products • Buy less frequently • Higher price • Fewer purchase locations • Comparison shop • i.e Clothing, appliances Convenience Products • Buy frequently & immediately • Low priced • Mass advertising • Many purchase locations • i.e Candy, newspapers Unsought Products • New innovations • Products consumers don’t want to think about these products • Require much advertising & personal selling • i.e Life insurance, blood donation Specialty Products • Special purchase efforts • High price • Unique characteristics • Brand identification • Few purchase locations • i.e can be anything Product ClassificationsConsumer Products

8. Industrial Goods Classification Materials and parts Capital items Supplies/ business services

9. Product form Features Performance Conformance Durability Reliability Reparability Style Design Ordering ease Delivery Installation Customer training Customer consulting Maintenance Product Differentiation

10. The Product Hierarchy Item Product type Product line Product class Product family Need family

11. The Product Hierarchy • Product line • A group of products that are closely related because they may: • function in a similar manner • be sold to the same customer groups, • be marketed through the same types of outlets • fall within given price ranges • Product line length • Line stretching: adding products that are higher or lower priced than the existing line • Line filling: adding more items within the present price range

12. The Product Hierarchy • Product mix • Also known as product assortment • Consists of all the product lines and items that a particular seller offers for sale • Product mix width: • Number of different product lines carried by company • Product line/mix depth: • Number of different versions of each product in the line • Product mix consistency

13. Line Stretching Down-Market Stretch Up-Market Stretch Two-Way Stretch

14. Line Filling

15. Packaging: The 5th P All the activities of designing and producing the container for a product.

16. Packaging has been influenced by… Self-service Consumer affluence Company/brand image Innovation opportunity

17. Innovations in Packaging

18. Functions of Labels Identifies Grades Describes Promotes

19. MARKETING MANAGEMENT14th edition 13 Designing and Managing Services Kotler Keller

20. Service Any act of performance that one party can offer another that is essentially intangible and does not result in the ownership of anything; its production may or may not be tied to a physical product.

21. Service Sectors Government Private nonprofit Business Retail Manufacturing

22. Categories of Service Mix Pure tangible good Good w/ accompanying services Hybrid Service w/ accompanying goods Pure service

23. Continuum of Evaluation for Different Types of Products

24. Nature and Characteristic of a Service Intangibility Inseparability Can’t be seen, tasted, felt, heard, or smelled before purchase. Can’t be separated from service providers. Quality depends on who provides them and when, where and how. Can’t be stored for later sale or use. Variability Perishability

25. Physical Evidence and Presentation Place People Equipment Communication material Symbols Price

26. How to Increase Quality Control Invest in good hiring and training procedures Standardize the service-performance process Monitor customer satisfaction

27. Demand side Differential pricing Nonpeak demand Complementary services Reservation systems Supply side Part-time employees Peak-time efficiency Increased consumer participation Shared services Facilities for future expansion Matching Demand and Supply

28. Service-Quality Model

29. Determinants of Service Quality Reliability Responsiveness Assurance Empathy Tangibles

30. MARKETING MANAGEMENT14th edition 9 Creating Brand Equity Kotler Keller

31. Brand A name, term, sign, symbol or design, or a combination of them, intended to identify the goods or services of one seller or group of sellers and to differentiate them from those of competitors.

32. The Role of Brands Identify the maker Simplify product handling Organize accounting Offer legal protection

33. The Role of Brands Signify quality Create barriers to entry Serve as a competitive advantage Secure price premium

34. Improved perceptions of product performance Greater loyalty Less vulnerable to competition Less vulnerable to crises Larger margins Inelastic consumer response to price increases Elastic consumer response to price decreases Greater trade cooperation Increase in effectiveness of IMC Licensing opportunities Brand extension opportunities Marketing Advantages of Strong Brands

35. Brand Promise The marketer’s vision of what the brand must be and do for Consumers.

36. Brand Elements Brand names URLs Slogans Elements Logos Characters Symbols

37. Brand Elements

38. Brand Elements Companies often create product icons to develop anidentity for their products. Many made-up creaturesandpersonalities, such as Çelik (and now Çeliknaz), Sütaş İnek andYumoş Ayı, are widelyrecognized figures inpopular culture.

39. Memorable Meaningful Likeability Transferable Adaptable Protectible Brand Element Choice Criteria

40. Like a good neighbor, State Farm is there Just do it Nothing runs like a Deere Help is just around the corner Save 15% or more in 15 minutes or less We try harder We’ll pick you up Nextel – Done Zoom Zoom I’m lovin’ it Innovation at work This Bud’s for you Always low prices Slogans

41. Adını unutabilirsiniz, tadını asla! “Hayaaaatın tadıııı!” Farkı, fiyatı! Yok aslında birbirimizden farkımız, ama biz Osmanlı Bankası’yız. Ne biçim lastik buuu? Honda, hayat onda. Çakar çakmaz çakan çakmak. Bira bu kapağın altındadır. Citroen gelir, hayat değişir. Türkiye’nin motosikleti. Erkek sünnet olur, askerlik yapar, Permatik kullanır! Philips hayatımızı kolaylaştıracak. Kirlenmek güzeldir. Tefal, ne varsa sende var. Arçelik demek yenilik demek. Kalebodur, seramik budur. Slogans

42. Brand Equity The differential effect that brand knowledge has on consumer response to the marketing of that brand.

43. The 10 Most Valuable Brands(Source: Millward Brown)

44. Product Category Line Extension Arçelik New Refrigerators Brand Extension Arçelik TV-A/C Existing New Existing Multibrands Arçelik - Beko New Brands OYAK - Tukaş Brand Name New Four Brand Strategies

45. MARKETING MANAGEMENT14th edition 20 Introducing New Market Offerings Kotler Keller

46. Categories of New Products New-to-the-world New product lines Additions Improvements Repositionings Cost reductions

47. The New Product-Development Decision Process

48. Consumer-Adoption Process Adoption is an individual’s decision to become a regular user of a product.

49. Stages in the Adoption Process Awareness Interest Evaluation Trial Adoption

50. Adopter Categorization