What are individual product decisions and why are they important?
Individual product decisions start by deciding on product attributes. This, in turn, means that the development of a product starts by defining the benefits it will offer to consumers. These benefits are communicated as well as delivered by the product attributes.
What are the different types of product decisions?
Individual product decisions required can be sorted into five categories or stages. Firstly, we look at product attributes. Branding and packaging follow. The individual product decisions are completed by labelling and product support services. Individual Product Decisions – Decisions in the development and marketing of individual products
How to make individual product decisions to increase sales?
Individual product decisions start with setting the right product attributes. To make the product stand out from the competition, branding needs to be done properly. Packaging must be good to protect the product in shipping. Labeling should be done uniquely in a way that provides all information about the product and attracts the customers.
What are the steps in the product design process?
The steps start with the design of the product itself – the decisions relating to the product attributes (in particular, product quality, product features and product design/style). Please refer to the separate article on this site regarding product attribute decisions. The second step is a decision in regards to branding.
What is individual product decision?
How many categories of product decisions are there?
What is product attribute?
What is the most important attribute of a product?
Does adding features enhance customer value?
Can poorly designed packages harm a lot?
See 3 more
What is individual product?
Individual branding, also called individual product branding, flanker brands or multibranding, is "a branding strategy in which products are given brand names that are newly created and generally not connected to names of existing brands offered by the company." Each brand, even within a same company, has a unique name ...
What are the 5 individual product decisions?
5 individual product decisions are;product attributes,branding,packaging,labeling, and.product support services.
What are the types of product decisions?
4 Types of Product policy decision1.) Individual product decision:-2.) Product line decision:–3.) Product mix decision:-4.) Product positioning decision:-
How important is product decision in business?
Product decisions are decisions to be made about the product or service a company wants to sell. These decisions are vital to creating a successful marketing mix to meet the company's objectives.
What is individual brand with example?
the part of the brand name which identifies a particular product when it follows a family brand name; for example, in the brand name 'Holden Commodore', Holden is the family brand name, while Commodore is the individual brand name.
Which of the following is not included in the individual product decision?
Solution(By Examveda Team) Warehousing is NOT included in product decisions. Warehousing is the act of storing goods that will be sold or distributed later.
What are different types of product?
There are four types of products and each is classified based on consumer habits, price, and product characteristics: convenience goods, shopping goods, specialty products, and unsought goods....Let's dive into each one in more detail.Convenience Goods. ... Shopping Goods. ... Specialty Goods. ... Unsought Goods.
What is a product and its types?
Products are broadly classified into two categories – consumer products and industrial products. Consumer products are products that the ultimate consumer purchases himself for direct use. The consumer purchases these consumer products to satisfy his personal needs and desires.
What are the essential components of product decision?
Product policies are the objectives and guide lines which determine the nature of the product or services to be marketed.Product Planning and Development: ... Product Line: ... Product Mix: ... Product Branding: ... Product Positioning: ... Product Packaging:
What is the objective of product decision?
The objective of the product decision is to develop and implement a product strategy that meets the demands of the marketplace with a competitive advantage.
How do you make product decisions?
Don't Rush Important DecisionsStep 1: Gather Diverse Perspectives. Make sure that everybody clearly understands the issue to be addressed. ... Step 2: Build Shared Understanding. Help people understand each other's views and encourage them to explore the underlying needs and interests. ... Step 3: Develop an Inclusive Solution.
What is major product decision?
A product is a definitive element of 'marketing planning' and hence decisions related to products are most important for any organisation. Decisions taken to deal with organisational products are called product decisions.
What are the major product decisions in marketing?
Major Product DecisionsNew Product Decision. A new product incorporates the elements of newness and varies from the existing ones. ... Product line. ... Design. ... Changing the product's design may be effective but can be risky too. ... Packaging. ... Labelling. ... Positioning. ... Support.
What are product management decisions?
With every product, regardless of where it is in its lifecycle, there are certain key decisions that must be made, perhaps repeatedly. These decisions include specifying product features, package design, branding decisions, establishing related services, and legal considerations.
What are various Labelling decisions?
Types of Labelling There are different types of labels: Brand label: It plays an important role in labelling as it gives information about the brand. It can be removable or non-removable. Descriptive label: It specifies product usage. Grade label: It describes the aspect and features of the product.
What is product attribute decisions?
Overall product attributes decision The three elements of product attributes – the overall product quality, the actual product features included, and how the features are integrated together and how product looks – are very important decisions to guide the success of the product.
What are the 5 product decisions?
5 individual product decisions are; product attributes, branding, packaging, labeling, and. product support services. 1. Product Attributes. The marketer should clearly define the benefits that can be derived out of his product.
How to make decisions about product features?
To make decisions about product features, consumer opinion should be gathered through a customer survey. This will provide the producer with the needed feature ideas. In practice, only those features should be selected for which the consumers are ready to pay the extra cost involved.
What are the three product attributes that a marketer must ensure?
Product attribute decisions greatly influence consumer reactions to a product. Three product attributes that marketer must ensure are; Product Quality .
What is product quality?
Product quality means the capacity of a product to perform its functions, including durability, reliability, precision, ease of operation, and repair. Quality must be measured in the context of buyers’ perceptions. A marketer is not necessarily required to set the quality of his product at a high level.
Why is product attribute important?
It helps to attract customers’ attention, enhances product performance, reduces the cost of production, and enables the product to cope with competition in a better way. Product attributes must be properly set for both consumer products and industrial products. 2. Branding.
Why should a product be designed?
A product should be designed to make it attractive, easy, safe, and inexpensive to use and service, and simple and economical to produce and distribute. As competition increase, design proves to be a very effective tool for differentiating and positioning a company’s products and services.
Do marketers have to set quality?
A marketer is not necessarily required to set the quality of his product at a high level. Rather a quality level should be chosen, keeping consumer needs into consideration. Besides establishing a quality level, a marketer has to be consistent in maintaining it.
Product Attributes
Benefits are specified that the product will offer during building of a product. Product attributes, like features, quality, design and style, communicate and deliver these benefits. Product attributes further classified into the following categories.
Branding
The most unique skill of professional marketers is to produce, keep, prevent and increase brands of their products and services.
Packaging
The designing and generating the wrapper or container for a product is involved in packaging activity. The primary container of the product may be included in the package.
Labeling
Labels may reach from simple marks linked to the products to the complicated graphics that are component of the package. Many functions are performed by labeling. The product brand is specified by the labels.
Product Support Services
Another component of product strategy is the customer service. Ordinarily some services are contained in the business organization’s offering to marketplace which is either minor or major component of the entire offer.
What is individual product decision?from marketing-insider.eu
Individual Product Decisions – Decisions in the development and marketing of individual products. In the development and marketing of individual products (and services), individual product decisions need to be made. These decisions apply to any kind of product and service and set the base for all other decisions.
What are the 5 product decisions?from iedunote.com
5 individual product decisions are; product attributes, branding, packaging, labeling, and. product support services. 1. Product Attributes. The marketer should clearly define the benefits that can be derived out of his product.
What is a product?from theinvestorsbook.com
Anything of value that fulfils the requirement of the end-user is known as a product. It can be goods or services, tangible or intangible, physical or psychological. The customers and competitors largely depend upon the products offered by the company.
What does the brand of a product mean?from iedunote.com
The brand indicates product quality, increases shopper’s efficiency, and provides information about new products.
What is a new brand?from iedunote.com
New brands, creating a new brand name when entering a new product category for which none of the existing brand names are suitable.
What is a manufacturer's brand?from iedunote.com
Manufacturer’s brand (national brand), the brand selected and owned by the producer of a product or service. Private brand (or intermediaries, distribution, or store brand), the brand selected and owned by a reseller of a product on service.
How to make decisions about product features?from iedunote.com
To make decisions about product features, consumer opinion should be gathered through a customer survey. This will provide the producer with the needed feature ideas. In practice, only those features should be selected for which the consumers are ready to pay the extra cost involved.
What is the purpose of developing a product?
Developing a product or service involves defining the benefits that it will offer . These benefits are communicated and delivered by product attributes such as quality, features, and style and design.
How can a company identify new features and decide which ones to add to its product?
How can a company identify new features and decide which ones to add to its product? The company should periodically survey buyers who have used the product and ask these questions: How do you like the product? Which specific features of the product do you like most? Which features could we add to improve the product? The answers provide the company with a rich list of feature ideas. The company can then assess each feature's value to customers versus its cost to the company. Features that customers value highly in relation to costs should be added.
What is product features?
Product Features. A product can be offered with varying features. A stripped-down model, one without any extras, is the starting point. The company can create higher-level models by adding more features. Features are a competitive tool for differentiating the company's product from competitors' products. Being the first producer to introduce a valued new feature is one of the most effective ways to compete.
What is product quality?
Product Quality. Product quality is one of the marketer's major positioning tools. Quality has a direct impact on product or service performance; thus, it is closely linked to customer value and satisfaction. In the narrowest sense, quality can be defined as "freedom from defects.".
How to add value to a product?
Product Style and Design. Another way to add customer value is through distinctive product style and design. Design is a larger concept than style. Style simply describes the appearance of a product. Styles can be eye-catching or yawn producing. A sensational style may grab attention and produce pleasing aesthetics, but it does not necessarily make the product perform better. Unlike style, design is more than skin deep—it goes to the very heart of a product. Good design contributes to a product's usefulness as well as to its looks.
Product Decisions - Key takeaways
Product decisions are decisions made about a company’s product or service to meet customer demand and ensure business success.
Product attribute decisions
Product decisions are decisions to be made about the product or service a company wants to sell. These decisions are vital to creating a successful marketing mix to meet the company’s objectives.
Product differentiation and USP
A product's unique selling points are features that differentiate it from its competitors. In other words, it is what one business can offer that the other can’t. Let’s say your product can be cheaper, safer, faster, chicer, more friendly, or visually appealing.
Product life cycle and its uses
The product life cycle is the amount of time that a product exists on the market, from the moment is introduced to the end of life. There are four stages of a product life cycle: Introduction, Growth, Maturity, and Decline. (The research and development stage comes before introduction.)
Product portfolio analysis (PPA)
A product portfolio is the range of products and services provided by a company. Product portfolio analysis is the evaluation of the position of these products in the market.
What is individual product decision?
Individual Product Decisions – Decisions in the development and marketing of individual products. In the development and marketing of individual products (and services), individual product decisions need to be made. These decisions apply to any kind of product and service and set the base for all other decisions.
How many categories of product decisions are there?
Individual product decisions required can be sorted into five categories or stages. Firstly, we look at product attributes. Branding and packaging follow. The individual product decisions are completed by labelling and product support services.
What is product attribute?
Product Attributes – Stage one of Individual Product Decisions. Individual product decisions start by deciding on product attributes. This, in turn, means that the development of a product starts by defining the benefits it will offer to consumers. These benefits are communicated as well as delivered by the product attributes.
What is the most important attribute of a product?
One element of the product attributes is the quality of the product. Although quality can be defined in many ways, we can define it as the characteristics of a product or service that determine its ability to satisfy the customer needs. Therefore, the quality is one of the most important individual product decisions. It has a direct impact on the product’s (or service’s) performance. It is directly linked to customer value and satisfaction. So, we could say: Quality is when the customer is satisfied and will come back, while the product does not (come back).
Does adding features enhance customer value?
However, just adding features is not the right way to enhance customer value. A remote control does not provide additional value to a customer if it has 250 buttons and vibrates while playing music. The company always has to assess each feature’s value to customers first. Do customers really need that feature? Also, the feature’s value has to be contrasted to its cost to the company. Only features that add substantial value worth more than the marginal costs should be added.
Can poorly designed packages harm a lot?
In addition, poorly designed packages can harm a lot. For instance, hard-to-open packages such as DVD cases with sticky labels or sealed plastic clamshell containers do not contribute to the buyer’s satisfaction. Indeed, customer frustration is often the result.
Branding – Stage Two of Individual Product Decisions
- Branding is one of the most crucial individual product decisions. Today, people do not buy a product – they buy a brand. A brand is a name, term, sign, symbol, design or a combination of these elements that identifies the products or services of one seller and differentiates them fro…
Packaging – Stage Three of Individual Product Decisions
- Going on with the individual product decisions, we land at packaging. Packaging refers to activities of designing and producing the wrapper or container for a product. The packaging of a product is a more important decision than you would expect it to be. Traditionally, the primary function of a package was to hold and protect the product. However, packaging is nowadays an …
Labelling – Stage Four of Individual Product Decisions
- Labels perform several functions and are therefore one of the important individual product decisions. The most straight-forward function is to identify the product or brand. But the label can also describe several things about the product: who made it, where and when was it made, the contents, how it is to be used etc. Finally, the label can promote a brand. It supports the brand’s …
Product Support Services – Stage Five of Individual Product Decisions
- Individual product decisions also include product support services. Usually, the company’s offer includes some form of customer service, of product support services. This can be a minor part of the product or a major part of the total offering. Product support services contribute to the augmented product, as defined by the three levels of product. Without doubt, support services d…
Product Attributes
Branding
- A brand is a name, term, sign, symbol, or design, or a combination of these intended to identify the products or services of one seller or a group of sellers and to differentiate them from those of competitors. To the consumers, the brand is an important part of the product. For example, most consumers perceive a packet of Benson & Hedges cigarettes as a high-quality, expensive produ…
Packaging
- Most of the products are to be packaged before putting them in the market. Some marketers consider the packaging as the fifth element of the marketing mix, and they treat packaging as a part of product strategy. Packaging refers to the task of designing and producing the container or wrapper for a product. The package may include the product’s primary container (the bottle hold…
Labeling
- A simple example of a label is a tag attached to the product. Complex graphics are also labels that are part of the package. Labels serve various purposes from which the seller has to select the appropriate one. The label identifies the product or brand, grade the product, and also might describe several things about the product, such as who made it, where it was made, when it wa…
Product Support Services
- A product is offered in the market, along with some services. Such services augment the actual products. The producers are increasingly using Product-support services for gaining competitive advantage. A study comparing the performance of the business that had high and low customer ratings of service quality found that the high-service businesses managed to charge more, grow …