POM

• Product


  Anything that can be offered in a market for attention, acquisition, use, or consumption
• Product (Kotler)


  Anything that can beyond meet a need or want
• Five Product Levels (Kotler)


  • Core Benefit
  • Generic Product
  • Expected Product
  • Augmented Product
  • Potential Product
• Core Benefit


  Fundamental need or want that the customers satisfies when they buy a product
• Generic Product


  Basic version of the product made up only those features necessary for it to function
• Expected Product


  The set of features that the customers expect when they buy the product
• Augmented Product


  Any product variations, extra features, or services that help differentiate the product from its competitors
• Potential Product


  All augmentations and transformations the product might undergo in the future
• Product Classification According to Use

  • Consumer Goods
  • Industrial Goods
• Consumer Goods


  Purchased for personal consumption
• Industrial Goods


  Purchased in order to make other goods
• Product Classification According to Differentiation

  • Undifferentiated Goods
  • Differentiated Goods
• Undifferentiated Goods


  Physical characteristics are so identical
• Differentiated Goods


  Characteristics and features are distinguishable from one another
• Product Classification According to Durability

  • Consumable Goods
  • Semi-durable Goods
  • Durable Goods
• Consumable Goods


  Used by a consumer for a short period of time
• Semi-durable Goods


  Longer period of time
• Durable Goods


  Manufactured to last a long time. Capable of providing consumers with years of beneficial use
• Product Classification According to Type

  • Convenience Goods
  • Shopping Goods
  • Specialty Goods
  • Unsought Goods
• Convenience Goods


  Purchased frequently, usually inexpensive, and do not require much purchase effort and evaluation
• Shopping Goods


  Purchased less frequently. Consider features, evaluates attributes, and compare prices
• Specialty Goods


  Require an unusually large effort
• Unsought Goods


  Seldom actively look for, and are usually purchased for extraordinary reasons
• Service


  Production that consist of activities, benefits, or satisfaction offered for sale that are essentially intangible and do not result in the ownership of anything
• Four Major Attributes of Services


  • Intangibility
  • Variability
  • Inseparability
  • Perishability
• Intangibility


  Services are intangible
• Variability


  No one can render the same service in exactly the same way every single time
• Inseparability


  Services are rendered and consumed simultaneously
• Perishability


  Unconsumed services cannot be stored or warehoused
• Capacity Management


  The management of the limits of an organization's resources
• Types of Experience


  • Product Experience
  • Customer Experience
• Product Experience


  Overall value of a product or service to customers
• Customer Experience


  The impression your customers have of your brand as a whole throughout all aspects of the buyer's journey
• Importance of Customer Experience - critical to the sustained growth of any business
• Price


  The amount of money charged for a product or service
• Price (definition)


  The sum of all the values that consumers exchange for the benefits of having or using the product or service
• Price is the only element in the marketing mix that produces revenue
• Factors to Consider When Setting Prices


  • Internal Factors
  • External Factors
• Internal Factors

  • Marketing Objectives
  • Marketing-mix Strategies
  • Costs
  • Organizational Considerations
• Marketing Objectives


  The company must decide on its strategy for the product