Product

PRODUCT

Introduction

·       A product is anything that can be offered to a market to satisfy a want or need.

·       It includes physical goods, services, experiences, events, persons, places, organizations, ideas, or a combination of these.

Types of Products

1. Consumer Products: Bought by final consumers (e.g., food, clothing, appliances).
2. Industrial Products: Bought for further processing or use in business (e.g., raw materials, machinery).

Levels of a Product (According to Philip Kotler):

1. Core Product – The basic benefit or value (e.g., communication in a mobile phone).
2. Actual Product – The tangible product (e.g., brand, design, packaging).
3. Augmented Product – Additional services (e.g., warranty, delivery, after-sales).

Product Line

·       A product line is a group of related products marketed under a single brand, having similar functions or sold to the same customer group.

·       Example:

Apple’s product lines:

·        iPhone (smartphones)

·        Mac (computers)

·        iPad (tablets)

·        Apple Watch (wearables)

Product Line Decisions

1. Product Line Length – Total number of items.
2. Product Line Stretching:
• Downward Stretch – Adding lower-end products.
• Upward Stretch – Adding high-end products.
• Two-way Stretch – Adding both upper and lower-end products.
3. Product Line Filling – Adding more items within the existing range.

Product Additions

·       Adding new products to the existing line to meet changing customer needs or explore new markets.

·       Reasons for Addition

·        Increase sales

·        Respond to competition

·        Meet customer demand

·        Technological innovation

Product Deletion

·       Removing a product that is underperforming, outdated, or no longer profitable.

·       Reasons for Deletion

·        Low sales or declining profits

·        Technological obsolescence

·        Change in consumer preferences

·        High cost of maintenance

Product Deletion Process

1. Review – Analyze performance.
2. Evaluation – Impact on brand and operations.
3. Decision – Discontinue or revamp.
4. Communication – Inform customers and stakeholders.

New Product Development (NPD)

·       New Product Development is the process of bringing a new product to the market—from idea generation to market launch.

·       Stages of New Product Development

Stage	Description
1. Idea Generation	Sourcing new product ideas from internal/external sources.
2. Idea Screening	Filtering unfeasible or unprofitable ideas.
3. Concept Development and Testing	Creating detailed product concepts and testing with target customers.
4. Business Analysis	Estimating sales, costs, and profitability.
5. Product Development	Developing the actual product prototype.
6. Test Marketing	Launching the product in a limited area to observe performance.
7. Commercialization	Full-scale product launch to the market.

Types of New Products

• New-to-the-world (Innovations)
• New product lines
• Additions to existing lines
• Improvements or revisions
• Repositioned products
• Cost reductions

Video Description

·        Don’t forget to do these things if you get benefitted from this article

·        Visit our Let’s contribute page https://keedainformation.blogspot.com/p/lets-contribute.html

·        Follow our page

·        Like & comment on our post

·