The Product

By
Anuradha Gaikwad

What is a product ?
A

product is anything that can

offered to market for attention,
acquisition ,use, consumption that
might satisfy a want or need.

PRODUCTS

Tangible
products

GOODS

Intangible
products

SEVICES

Features of product
tangibility
Associated
attributes
Features of
product

Exchange
value

Intangible
attributes

Customer
satisfaction

Levels of product
Unexpected features

Luxury features
Expected features
Basic features

Basic product

Potential
product
Augmented
product
Expected
product
Generic
product
Core benefit

Example of a product: car

Core benefit: the need to get from one place to

another.
Basic product: a car on its own; on this level this
basically means that the car has 4 wheels :). Eg Tata
Nano, Maruti Alto
Expected product: a car that is in working condition,
so the owner can use it for transportation, it has decent
mileage, etc. Tata Manza
Augmented product: a Ford (or any other brand for
that matter) that is in fully working condition, has an
attractive design, passed allsafetytests, has 4-wheel
steering, built-in alarm and air condition, etc. The car is
also accompanied by other benefits provided by the
motor company like warranty, installments, etc.
Skorpio
Potential product: the car is much safer than the

Classifying Products

Durable products
Consumer products,
Business products

Durable products
Durable

Non-durable

Services

Consumer Products
Shopping
Products

Convenience
Products

Unsough
t
Products

. . To satisfy information needs & buying motives

Specialty
Products

CONVENIENCE GOODS
Convenience goods consumers use minimal effort
for frequently purchased low cost items

Staples Emergency goods

Impulse purchases

Shopping Products
Shopping

goods - consumers
make a considerable effort to
evaluate

Consumers make product comparison(s),

They seek information before purchase,
they are not impulsive
Moderate substitutions are made
Products last a considerable time
Monetary & social costs may be high

Product Mix & Product Line

Product Item

Product mix

Widt
h
Lengt
h Dept
h
Consistenc
y

Product Mix
The assortment of products that a

company offers to a market

Width how many different product
lines?
Length the number of items in the
product mix
Depth The no. of variants offered in a
product line
Consistency how closely the product
lines are related in usage

Product Line
& Product Mix
Product Line
LAMPS
Table
Ceiling
Track
Desk

 Product Mix
Product
Line 1
LAMPS
Table
Ceiling
Track
Desk

Product
Line 2
TABLES
Kitchen
Dining Room
End
Coffee
Outdoor
Conference
Computer

Product
Line 3
CHAIRS
Dining Room
Living Room
Bedroom
Outdoor
Desk

CONCEPTUALIZATION OF
PRODUCT MIX
WIDTH

Home
Depot,
Lowes

Tata Motors Tata Steel

BUS

of lines = 4
LORRY
of items = 12

BARS

Tata Tea Tata DTH

GEMINI
TEA

PLATES

CARS

A wide product mix facilitates one stop shopping

D
E
P
T
H

Factors influencing change in product

mix
Changes in market demand
Cost of production
Quantity of production
Changes in company desire
Competitors actions and reactions

Importance of new product

To meet consumer needs and wants
To meet competition
To increase profits
To avoid threats from substitutes