Marketing: 4 Ps Marketing Mix Product Price Promotion Place of distribution Productis defined as everything that one receives in an exchange,

nge, including all tangible and intangible attributes, and expected benefits, it may be a good, service, or idea. It is anything that is capable of satisfying a want. he Product !ife "ycle #P!"$ %. Market introduction&sales are low as a new idea is first introduced to a market. '. Market growth&industry sales grow fast, but industry profits rise and then start falling. (. Market maturity&occurs when industry sales level off and competition gets faster. 4. )ales decline&new products replace the old price competition from dying products becomes more vigorous, but firms that successfully differentiated their products may make profits until the end. *xtending Product !ife "ycle Promoting more fre+uent use of the product by current customers. ,inding new target markets for the product Pricing the product below the market -eveloping new distribution channels .dding new ingredients or deleting old ingredients Making a dramatic new guarantee Brandis a name, term, symbol, design or combination thereof that identifies a sellers products and differentiates them from competitors product. Brand nameis the part of the brand that can be spoken including letters, words and number. Brand markscannot be spoken. Purposes of branding %. identification '. repeat sales (. new product sales "haracteristics of a /ood 0rand 1ame %. )uggest something about the product, particularly its benefits and use. '. *asy to pronounce, spell and remember. (. 0e distinctive. 0e adaptable to additions to the product line. 2. 0e capable of registration and legal protection. Trademarksa legal term indicating the owners exclusive right to use a brand or part of a brand. Generic Product Nameidentifies a product by class or type and cannot be trademarked.

Corporate Branding.341 5family, individual, private6house branding. Packagingcontainer used for protecting and promoting a product. Important functions of packaging7 %. o contain and protect products '. o promote products

%. '. (. 4.

3. 4.

,acilitate product convenience

storage,

use,

and

.wareness&advertisers must first achieve awareness with the target market. <nowledge&next step to inform the target market about the products characteristics. !iking&the advertiser must generate a favorable attitude. Preference&marketer should create brand preference by explaining why the product has a differential advantage over the competition.

,acilitate recycling and reducing environmental damage Labelingan integral part of any package. ' forms of label7 %. Persuasive labeling&promotional theme or logo rather than consumer information. '. Informational labeling&to help consumers make a proper product selection and lower their cognitive dissonance after the purchase. he 1ew Product -evelopment Process 1ew product strategy&links the new product development process with the ob8ectives of the marketing department, the business unit, and the corporation. Idea /eneration&new product ideas come from many sources

)creening&product development process that eliminates ideas inconsistent with the organi9ations new product strategy or inappropriate for some other reason. 0usiness .nalysis&where demand, cost, sales, and profitability estimates are made. -evelopment&the research and develop:ment or engineering department may develop a prototype of the product.

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esting or est Marketing&a product is in: troduced in a limited way to determine the reactions of potential customers in a market situation. "ommerciali9ation&final stage in the new product development process. Unworkable ideasthe funnel shaped illustration shows how each stage acts as a screen. Adopterconsumer who was happy enough with his or her trial experience with a product to use it again. Model in the .doption Process .ttention Interest -esire .ction ; )tages

"onviction&the marketer should offer additional reasons to buy the new product. ;. Purchase&buy new product but have yet to make the purchase. nno!ationproduct perceived as new by a potential adopter. "i##usionthe adoption of an innovation spreads. "i##usion processthe spread of a new idea from its source of invention or creation to its ultimate users as adopters. 2 .dopters in diffusion Process7 %. Innovators&they are eager to try new ideas and products, almost as an obsession. '. *arly adopters&they adopt early in the products life cycle. (. *arly ma8ority&group of consumers to adopt a new idea or product, characteri9ed by ideas deliberation 4. !ate ma8ority&they adopt a new product or product, characteri9ed by their reliance on group norms. 2. !aggards&group of consumers to adopt a new idea or product, characteri9ed by ties and tradition. Brand managerresponsible for a single brand. Product managerhas responsibility for several brands within a product line or product group. Categor$ managerhas responsibility for multiple product lines within a product category. "ategories of 1ew Product %. new:to:the:world products '. new product lines (. additions to existing product lines 4. improvements or revisions of existing products 2. repositioned products ;. lower:cost products =. replacement >. innovating6 innovative ?. imitative

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