Product Decision
Product decisions are critical aspects of a company's marketing and management strategy, influencing the design, development, and marketing of products.
These decisions encompass a wide range of considerations, including:
1. Product Design and Features:
Deciding on the functionality, appearance, and features of the product to make it appealing and useful to customers.
2. Quality Level:
Setting the standard of performance and durability, which impacts customer satisfaction and brand reputation.
3. Product Line:
Determining the range of products or services to be offered, considering the depth (variations of a product) and width (different types of products) of the line.
4. Branding:
Developing a unique name, symbol, or design that identifies the product and differentiates it from its competitors.
5. Packaging:
Designing the packaging for functionality and appeal, considering protection, convenience, and promotional aspects.
6. Services:
Deciding on the additional services to be provided with the product, like installation, warranties, and customer support, which can enhance product value.
7. Product Life Cycle Management:
Planning for the introduction, growth, maturity, and decline phases of a product's life, adapting strategies accordingly.
Level of Product
The concept of the level of product refers to the layered composition of a product, considering what the consumer actually buys.
This concept is typically broken down into three levels:
1. Core Product:
This is the fundamental benefit or purpose that the consumer seeks from the product.
It's not the tangible product itself but the solution or benefit it provides (e.g., convenience, entertainment).
2. Actual Product:
This includes the physical item or service. It encompasses the design, brand name, features, quality level, and packaging – essentially, what people think of when they consider the product.
3. Augmented Product:
This level includes additional services and benefits that accompany the actual product, such as customer service, warranties, and after-sales support.
These augmentations are meant to enhance customer satisfaction and differentiate the product from competitors.