topic 3

Created by

Balatar, Lorejane L.

Cards (63)

can be defined as a business strategy where the firm plans to expand its established product brand name with the new range of items in the product category
product line extension
this is an important product strategy which refers to the value adding modifications to already existing products 
product modification
the accurate moment to make modifications in already existing product is in the stage called "_"
maturity
3 key marketing information
preferences, buying habits, lifestyle habits
2 types of modifications
retention type, conquesting type
this is focused on the firm's loyal customers and its goal is to increase the product's attractiveness for them
retention type
this is focused on the competitor's loyal customers and it allows to increase the product's attractiveness for them
conquesting type
who is responsible for changes in the existing products?
product manager
3 main characteristics of a product which may be changed
quality modification, functional modification, style modification
this refers mostly to the change in product's durability.
quality modification
two quality modifications
reducing quality of a product to decrease price & increase quality to compete with other
this focuses more on the product's versatility, effectiveness, and safety, and convenience
functional modification
this is combined with the aesthetic of a product and is connected more to the visual side
style modification
these are essentially the new products that didn't exist in the world before
new-to-the-world products or really-new products
these are new products that didn't exist in the firm's portfolio before.
new-to-the-firm products or new product line
these products are supplements to the company's established product lines.
additions to existing product lines
these are the upgrades that replace current products.
improvements and revisions of existing products
this is changing the existing image of the product in front of the existing target market and relaunching or taking it to a new market.
repositionings
these are new products that provide performance similar to the existing products but at a lower cost to the company
cost reductions
it is the broader term that incorporates the complete process of idealing, designing, developing, etc.
product development
introducing a unique and out-of-the-box idea and launching it in the market
new product development
companies use a range of internal and external sources to identify new product ideas.
idea generation
a _ might expose a hole in the company's product portfolio
competitive analysis
they use the products
employees
uses the firm's products or services
customers
brokers, manufacturers, distributors, etc
resellers
manufacturers and producers
suppliers/vendors
opposite of the firm
competitor
includes venture capital firms, inventor's schools, attorneys, trademarks, etc
invention industry
such as consultants, advertising agencies, marketing research firms, etc
miscellaneous
the first stage of PD process 
idea generation
the second stage of PD
screening
at this early stage, much is not known about the product and its market opportunity
screening
at this early stage, product ideas may simply be screened through some of internal rating process
screening
this is a synthesis or a description of a product idea that reflects the core element of the proposed product
product concept
third PD process
concept testing
concept testing is a _ procedure that allows a company to determine customers' initial reactions
low-cost
the purpose of concept testing is to _ the very poor concept so it can be eliminated, _ the sales or trial rate, help _ the idea, not just test it
identify, eliminate, develop
during this stage, the product is evaluated to determine its potential contribution to the firms' sales
business analysis
5th stage. a product that has passed the business analysis stage is ready for _
technical and marketing development