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actual product
product available for purchase
augmented product
product having unseen aspects essential to customers
brand
an intangible asset with tangible value; made up of promotion efforts and customer meaning
brand engagement
measure of how deeply the customer identifies emotionally with a brand
brand equity
the additional value that a brand has over a substitute
brand extensions
products that leverage the brand name to new product categories
brand lift
measure of customer and noncustomer perception of a product over time
brand name
the official name of a brand
brand positioning
the way a brand signals emotions in consumers’ minds
brand preference
measure of the degree to which a brand is preferred over others in the category
brand value
the financial asset associated with a brand
branding
the process of developing a brand
capital items
assets valuable to a business that also have tangible value
co-brand
to bring the equity of two brands together for greater value
convenience products
products that consumers can purchase easily, quickly, and without a lot of thoughtful decision-making
core product
product solution that the customer is actually buying: convenience, ego, ease, flexibility, etc.
cost of goods sold
expenses directly attributable to the product or service
cradle-to-cradle packaging design
product design that eliminates waste from the life cycle of package
customer experience
the overarching impression that customers have of a brand
decline stage
part of the product life cycle characterized by a significant decrease in sales and profitability
divest
to sell a brand or discontinue a product to protect a portfolio
gross profit margin
comparison of profit before expenses to total revenue
growth stage
part of the product life cycle characterized by increasing sales; stage when copycat brands may enter the market
hard-core loyals
tried-and-true customers who will generally only purchase one brand in a category
harvest
to reduce all unnecessary expenses to retain any remaining revenue
introduction stage
part of the product life cycle when consumer awareness is building and sales are starting to grow
licensed brands
brands that provide the likeness of their brand as a fee for use
line extensions
products that create new opportunities for an existing product and brand
manufactured materials and parts
products used to create a product
market modification
an extension of a product to new customers
maturity stage
part of the product life cycle when sales growth slows and profitability levels off
multibrands
new brand names within a company’s existing product category
national brands
name brands that sell a product or service under its corporate name and identity
net profit margin
calculation that deducts all expenses from profitability
new brands
an entirely different brand entity from a parent company
private-label brands
store brands that are similar products to a national brand and labeled privately
product item
a particular good that a company sells
product life cycle
the stages a product goes through, tracking its sales and profitability
product line
a set of products that are similar or complementary
product line depth
the number of products in a line
product line filling
products added to a product line to keep competitors from entering the market
product line stretching
addition of product lines
product mix
all the products a company sells
product mix width
the number of product lines a brand carries
product modification
alteration of products to fit the market
products
tangible items that are part of an exchange between a buyer and a seller
profit margins
a widely used financial measure to determine the profitability of a business; considers costs to manufacture and sell a product or service
rapid penetration pricing strategy
strategy that sets a lower-price strategy; appropriate when volume sales will increase market share quickly
rapid skimming strategy
strategy that sets a high price along with extensive advertising and sales promotion to establish a product in the marketplace
raw materials
products that a business needs to purchase in order to make a consumer good
services
intangible solutions that are an exchange between buyer and seller
shifting loyals
customers who are loyal to one product or service for a time, then turn their loyalty to a different product or service at another time
shopping products
products that require more thought from the consumer as they seek the best quality or price
slow penetration pricing strategy
strategy that sets low prices and little promotion to capture market share slowly in a market not susceptible to promotion
slow skimming strategy
strategy that sets high prices with low advertising and sales promotion investment
specialty products
products that have unique qualities that consumers will make an extra effort to seek out
split loyals
customers who have a consideration set of two or three products or services in a category
supplies and services
goods and services that are typically disposed of and do not contain a tangible value
switchers
customers who continually change their purchasing behaviors
trademarks (service marks)
symbols that show legal ownership of a brand name or brand mark
unsought products
consumer goods that a buyer doesn’t anticipate purchasing
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