Products,
Services, and
Brands: Building
Customer Value
Introduction
• Products, services, and brands are
essential for creating customer
value.Focus on defining products,
understanding classifications, and
building strong brands.Example:
• Tesla combines sustainable
innovation with premium
branding.
What Is a
Product?
Definition: Examples:
Anything offered to satisfy a Physical (Coca-Cola),
need or want. Experiential (Disney World).
Levels of 1. Core Value: The benefit
customers seek
Features, design,
packaging (e.g.,
Product and (e.g., Lipstick =
confidence).2.
iPad design).3.
Augmented
Services Actual Product: Product:
Additional services (e.g.,
Apple’s Genius Bar).
Product Classifications
• Consumer Products:
Convenience (toothpaste),
Shopping (furniture), Specialty
(Rolex), Unsought
(insurance).Industrial Products:
Used in businesses (e.g.,
factory machines).
Individual Product
Decisions
• Attributes: Quality, features
(e.g., Nike’s innovative
designs).Branding: Identity and
trust (e.g., Coca-Cola).Packaging
and labeling: Protection and
information.Support Services:
After-sales (e.g., Dell’s technical
support).
Product Line Decisions
• Definition: Group of related
products (e.g., Nike’s running
and basketball
shoes).Strategies:Filling: Adding
products (Oreo
flavors).Stretching: Expanding
up/down (Toyota → Lexus).
Product Mix Decisions
• Definition: Total range of
products a company
offers.Dimensions: Width
(categories), Depth
(variations).Example: P&G
offers grooming and cleaning
products.
Characteristics of
Services
• 1. Intangibility: Can’t be
touched (e.g., consulting).2.
Inseparability: Linked to
provider (e.g., hairstylist).3.
Variability: Quality depends on
provider (e.g., hotels).4.
Perishability: Can’t be stored
(e.g., missed flights).
Services Marketing
Strategies
• Focus: Service differentiation,
quality, and
productivity.Example: Amazon
excels in speed and reliability.
Building Strong Brands
• Definition: Branding creates
emotional
connections.Example: Coca-
Cola represents happiness and
trust.
Brand Positioning
• Definition: Positioning in the
customer’s mind based on
attributes or values.Examples:
Nike = Fitness; Volvo = Safety.
Brand Name Selection
• Criteria: Memorable,
meaningful, easy to
pronounce.Example: Google –
simple and distinctive.
Brand Sponsorship
• Types:Manufacturer (e.g.,
Samsung).Private (e.g., Amazon
Basics).Co-branding (e.g., Nike
+ Apple).
Brand • 1. Line
Development Extensions: New
Strategies flavors (KitKat
Green Tea).2.
Brand Extensions:
New categories
(Dove skincare).3.
Multibrands:
Multiple brands in
one category
(PepsiCo).
Managing Brands
• Ensure consistency and monitor
customer perceptions.Example:
McDonald’s adapts locally but
maintains core branding.
Product and
Social
Responsibility
Focus: Safety, sustainability, and
transparency.Example: Tesla
promotes eco-friendly vehicles.
International Product
Marketing
• Adapt to local preferences (e.g.,
McDonald’s vegetarian menu in
India).
Summary
• Products, services, and brands
create customer value.Strong
brands ensure customer loyalty
and profitability.
