New Product Development The Need for New Products In dynamic markets companies must constantly introduce new products and services to keep up with changing consumer wants and needs. LEARNING OBJECTIVES Discuss the common challenges of developing successful new products KEY TAKEAWAYS Key Points A company must establish a series of successful products over time if it wants to maintain a consistent stream of sales, or grow sales over time. New… Read More »New Product Development

When to Modify Products While the decision to modify products happens ideally at the design stage, products can be changed during any phase of the life cycle. LEARNING OBJECTIVES Name the external factors that can influence product development KEY TAKEAWAYS Key Points Products are modified to compete more effectively in the market, and appeal to evolving consumer and business demands. Multiple stakeholders ranging from employees and customers can influence product… Read More »When to Modify Products

Managing Existing Products When to Extend Product Lines A company can extend its product line using a down-market stretch, an up-market stretch, or a move both ways. LEARNING OBJECTIVES Describe the nature of a product line extension KEY TAKEAWAYS Key Points A line extension should only be considered when the producer can profitably produce a product that compares well with the base product. Changing market environmental factors often indicate when… Read More »Managing Existing Products

Impact of the Product Life Cycle on Marketing Strategy The stage of the life cycle of the product affects how it is marketed. LEARNING OBJECTIVES Summarize marketing strategies that apply to product life cycles KEY TAKEAWAYS Key Points During the introduction stage, the product is promoted to create awareness and develop a market for the product. In the growth stage, the firm seeks to build brand preference and increase market… Read More »Impact of the Product Life Cycle on Marketing Strategy

Product Life Cycles The Product Life Cycle Every product goes through the various life cycle phases of introduction, growth, maturity and decline. LEARNING OBJECTIVES Discuss the rationale behind the marketing concept of product life cycles KEY TAKEAWAYS Key Points Depending on its current stage in the product life cycle, a product will have different marketing, financing, manufacturing, purchasing and human resource requirements. In the market introduction stage (following product development… Read More »Product Life Cycles

Product Line and Product Mix Adjustments to Products Marketers must often make product adjustments in order to keep the product competitive and continue to provide satisfaction to the buyer. LEARNING OBJECTIVES Discuss strategies for adjusting products in response to changes in consumer taste and the marketplace KEY TAKEAWAYS Key Points There are risks involved with product adjustment: changing the price of the product may price some buyers out, while changing… Read More »Product Line and Product Mix

Business Products Business products are sold to other businesses, as opposed to convenience, shopping, and specialty products, which are sold to consumers. LEARNING OBJECTIVES Distinguish between the different types of business products KEY TAKEAWAYS Key Points Business products are marketed differently than convenience, shopping and specialty products, due to their different nature as well as the different nature of the prospective buyers. A useful way to divide business products is… Read More »Business Products

Unsought Products An unsought good is one that is not actively sought out by a consumer, but is instead purchased due to fear, precaution, need, etc. LEARNING OBJECTIVES Discuss the concept of unsought goods as a type of product KEY TAKEAWAYS Key Points As opposed to convenience, shopping, and luxury goods, consumers do not actively seek out unsought goods. Marketers must actively and aggressively market such goods in order to… Read More »Unsought Products

Specialty Products Specialty goods are those considered unique by the buyer, who will go to great lengths to get them. LEARNING OBJECTIVES Illustrate the characteristics and consumer motivation connected to specialty products KEY TAKEAWAYS Key Points Price is almost never a determining factor in choosing between specialty goods. Consumers instead choose specialty goods primarily based on quality, style, scarcity, or personal preference. Sellers of specialty goods need not be conveniently… Read More »Specialty Products

Shopping Products Convenience goods are those that require little effort on the part of the buyer, while shopping goods require research and comparison. LEARNING OBJECTIVES Discuss the characteristics of shopping products as a specific type of product KEY TAKEAWAYS Key Points Since little planning or effort goes into buying convenience goods, markets need to establish a high level of brand awareness and recognition. Since shopping goods are highly researched, and… Read More »Shopping Products