Product

• What is the definition of a product?

  Any good or service offered for sale
• What is a brand?

  Unique design, sign, symbol, or words
• What are the characteristics of branded products?

  • Trusted by consumers
  • Usually have a high price
  • Unique and recognized
  • Customers show brand loyalty
• Why do businesses brand their products?

  To differentiate from rivals and build recognition
• How does branding help in advertising?

  It promotes a range of products effectively
• What is the benefit of brand/customer loyalty?

  It leads to continued sales and repeat purchases
• How does branding enable higher prices?

  Customers are willing to pay for recognized brands
• What is a product portfolio?

  The collection of all goods and services offered
• Why sell high-quality products?

  To ensure customer satisfaction and repeat purchases
• How do high-quality products differentiate from rivals?

  They are more competitive in the market
• What is the benefit of selling a wide range of products?

  It spreads risk and attracts more customers
• What is product differentiation?

  Distinguishing a product from competitors' offerings
• What does USP stand for?

  Unique Selling Point
• What is the purpose of a USP?

  To make a product different from competitors
• How can a USP help a business?

  It can justify a premium price charged
• What is the product life cycle?

  The stages a product goes through until discontinuation
• What are the stages of the product life cycle?

  1. Development
  2. Introduction
  3. Growth
  4. Maturity
  5. Decline
• What typically causes a fall in the product life cycle?

  People buying alternatives and lower prices
• How does technological change affect the product life cycle?

  It can lead to alternatives being preferred
• What is involved in product research and development?

  Investing in creating a new product before launch
• What happens during the product launch phase?

  Products are introduced with high advertising costs
• What characterizes the product growth stage?

  Sales and profits are rising with brand awareness
• What occurs during the product decline stage?

  Sales start to fall, leading to strategic decisions
• What is an extension strategy?

  Methods to prolong a product's life cycle:

  • New features
  • Similar new products
  • Change brand name/packaging
  • New flavors
  • Different quality
  • New markets
  • New promotions
  • New pricing strategies
• What is the product maturity stage?

  Sales peak and start to level off
• What is product saturation?

  The market is full with similar products
• What happens when the market is saturated?

  All potential customers have purchased the product
• What strategies can businesses use to find new markets?

  • Sell overseas
  • Target different geographical areas
  • Utilize the internet for sales