Product is one of the four Ps of the marketing mix, and it refers to the goods or services that a company offers to its target market. The product aspect of the marketing mix is essential because it is what the customers pay for, and it is the primary way that a company creates value for its customers.
Here are some important aspects of a product that companies need to consider:
1. Product design and features: Product design and features are very important, because they determine the perceived value of the product. Companies need to ensure that their product design is aesthetically pleasing, user-friendly, and meets the needs of their target audience.
Example, Apple’s product design is known for its sleek and minimalist design, which caters to a premium market.
2. Quality: Product quality is essential because it directly impacts customer satisfaction and loyalty. Companies need to ensure that their products meet or exceed customer expectations in terms of quality and reliability.
Example, Toyota is known for producing high-quality cars that are reliable and have a low maintenance cost.
3. Branding: Branding is the process of creating a unique identity for a product or service. A strong brand can create brand loyalty, which can help companies retain customers and differentiate themselves from competitors.
Example, Nike’s branding emphasizes its values of inspiration and motivation, which resonates with its target audience.
4. Packaging: Packaging is an essential aspect of a product because it is the first point of contact between the product and the customer. Packaging needs to be visually appealing, functional, and informative.
Example, Coca-Cola’s iconic bottle design has become synonymous with the brand and is instantly recognizable to customers worldwide.
Conclusion, product is a most important aspect of the marketing mix because it is the primary way that companies create value for their customers. By focusing on product design, quality, branding, and packaging, companies can develop products that meet the needs and preferences of their target audience, differentiate themselves from competitors, and create brand loyalty.
NEW PRODUCT DEVELOPMENT
New product development is a most important process that involves identifying, developing, and launching new products or services.
The new product development process typically involves several stages, which are discussed below:
1. Idea Generation: The first stage in the new product development process is idea generation, which involves generating ideas for new products or services. This can be done through various methods such as brainstorming, customer feedback, market research, and employee suggestions.
2. Idea Screening: In the second stage, the ideas generated in the first stage are evaluated to determine their feasibility, potential, and alignment with the company’s goals and objectives. Ideas that are not feasible or do not align with the company’s goals are eliminated.
3. Concept Development and Testing: In the third stage, the selected ideas are further developed into concepts, and their feasibility and market potential are tested through market research, surveys, and focus groups.
4. Business Analysis: In this stage, the company evaluates the potential financial implications of the new product, including the costs of development, production, and marketing, as well as the potential revenue and profit margins.
5. Product Development: Once the idea has been evaluated and found to be viable, the company moves into the product development stage, where the product or service is designed, tested, and refined until it meets the desired specifications.
6. Test Marketing: In this stage, the company tests the product in a limited market to assess consumer acceptance and gather feedback that can be used to improve the product.
7. Commercialization: Finally, the product is launched into the market, and the company implements a marketing and sales strategy to promote and sell the product to the target audience. The new product development process is a structured approach that companies use to identify, develop, and launch new products or services.
EXAMPLE:
Patanjali Ayurved Limited successfully launched its Ayurvedic FMCG products. Patanjali, founded in 2006, is an Indian consumer goods company that produces Ayurvedic products such as personal care, food, and medicinal items.
Patanjali identified a gap in the market for natural and Ayurvedic products that were affordable and easily accessible to the Indian population. The company invested in research and development to create products that were made using traditional Ayurvedic techniques and natural ingredients. They also focused on marketing their products as a healthier and more sustainable alternative to mainstream FMCG brands.
With their innovative approach, Patanjali launched a range of new products that quickly gained popularity among Indian consumers. For example, Patanjali’s Dant Kanti toothpaste, made with natural herbs, became a top-selling toothpaste in India,
challenging established brands like Colgate and Pepsodent. Similarly, their Ayurvedic skincare and hair care products, including Patanjali Aloe Vera Gel and Kesh Kanti hair oil, became popular choices among Indian consumers.
Patanjali’s success in new product development and innovation has made it one of India’s fastest-growing FMCG brands. Today, the company’s products are available in over 5,000 retail stores across India and have expanded into international markets as
well.
Conclusion, Patanjali’s success in new product development is an excellent example of how Indian companies can leverage traditional knowledge and techniques to create innovative products that resonate with consumers. By investing in research and development and focusing on marketing their products as a healthier and sustainable alternative, Patanjali has been able to differentiate itself from established brands and build a loyal customer base in India and beyond.
PRODUCT LIFE CYCLE
The product life cycle is a theoretical model that describes the stages that a product goes through from its introduction to its eventual decline. The new product life cycle is the first stage of the product life cycle, and it is a crucial phase for the success of the product. Here are the stages of the new product life cycle.
1. Development: The development stage is the first stage of the new product life cycle, and it involves the conceptualization, design, and development of the new product. This stage may take months or even years, depending on the complexity of the product. During this stage, companies invest heavily in research and development to ensure that the product meets the needs of the target audience.
2. Introduction: The introduction stage is the second stage of the new product life cycle, and it involves the launch of the new product into the market. During this stage, companies focus on building awareness and generating interest in the product. Companies typically invest heavily in marketing and advertising during this stage to ensure that the product gains traction in the market.
3. Growth: The growth stage is the third stage of the new product life cycle, and it involves the rapid growth of sales and profits. During this stage, the product gains widespread acceptance among the target audience, and sales begin to increase significantly. Companies may expand their distribution networks and increase their production capabilities to meet the growing demand for the product.
4. Maturity: The maturity stage is the fourth stage of the product life cycle, and it involves a slowdown in the growth of sales and profits. During this stage, the product has reached its peak level of market penetration, and sales growth begins to slow down. Companies may adjust their marketing strategies or introduce product variations to maintain sales.
5. Decline: The decline stage is the final stage of the product life cycle, and it involves a decline in sales and profits. During this stage, the product has reached the end of its life cycle, and sales begin to decline. Companies may choose to discontinue the product or reduce their marketing efforts to minimize losses. In conclusion, the new product life cycle is a most important aspect in the overall product life cycle. By understanding the stages of the new product life cycle, companies can develop effective marketing strategies that allow them to maximize the potential of the product and achieve long-term success.
Example
Tata Nano, a compact city car produced by Tata Motors. The product life cycle of Tata Nano can be divided into four stages:
1. Introduction: Tata Motors launched the Nano in 2009 with the aim of providing an affordable and compact car to Indian consumers. The Nano was initially marketed as the “world’s cheapest car,” and it generated a lot of buzz and media attention. The introduction stage saw high demand for the Nano, with thousands of bookings and long waiting periods.
2. Growth: During the growth stage, Tata Motors expanded the distribution network of Nano, and the car became available in more cities across India. The company also launched different variants of the Nano, such as the Nano Twist, Nano GenX, and Nano AMT, to cater to the varying needs and preferences of customers. The Nano’s growth stage saw increasing sales, and it became a popular choice among first-time car buyers and those looking for an affordable and practical city car.
3. Maturity: The maturity stage of the Nano began around 2015, when the sales of the car started to decline. The reasons for the decline included issues with quality, safety concerns, and competition from other brands such as Maruti Suzuki and Hyundai. Despite Tata Motors’ efforts to improve the quality and features of the Nano, sales continued to decline, and the car lost its market share to other brands.
4. Decline: The decline stage of the Nano began around 2017 when Tata Motors announced that it would discontinue the Nano. The reasons for the discontinuation included low sales, increased competition, and changing consumer preferences. Tata Motors stopped production of the Nano in 2018, marking the end of the product life cycle.
Conclusion, the product life cycle of Tata Nano is an example of how a brand’s product can go through different stages, from introduction to decline. While the Nano had a successful introduction and growth stage, issues with quality, safety, and competition led to its decline and eventual discontinuation. The product life cycle of the Tata Nano highlights the importance of continuous innovation and adaptation to changing market conditions to remain competitive and relevant
PRODUCT POSITIONING
Product positioning refers to the process of creating an image or identity for a product or brand in the minds of target consumers. It involves defining the unique characteristics and benefits of a product and communicating them effectively to the target audience.
Example.
Consider the brand Volvo, which has positioned itself as the safest car on the road. This positioning is supported by the fact that Volvo cars have advanced safety features such as airbags, anti-lock brakes, and blind-spot detection. By positioning itself as the safest car on the road, Volvo has created a distinct identity that sets it apart from other car brands and appeals to consumers who value safety.
Another example of effective product positioning is Apple’s iPhone, which has positioned itself as a premium smartphone that offers exceptional design, user experience, and technological innovation. Apple has achieved this positioning by creating a sleek and stylish product design, providing intuitive software features, and continuously introducing new technological advancements such as facial recognition and augmented reality.
In conclusion, product positioning is an essential aspect of marketing that can make or break a product’s success in the market. By defining a product’s unique characteristics and benefits and effectively communicating them to the target audience, companies can create a distinct identity that appeals to their ideal customers.
PRODUCT POSITIONING STRATEGY
The following are the steps involved in developing a product positioning strategy:
1. Identify the target market: The first step is to identify the target market for the product. This involves understanding the needs, wants, and preferences of the customers who are most likely to buy the product.
2. Conduct market research: Once the target market is identified, market research is conducted to gather information about the target market’s needs, wants, and preferences. This can be done through surveys, focus groups, and other research
methods
3. Analyze the competition: An analysis of the competition is conducted to identify the strengths and weaknesses of the competing products. This information helps to identify areas where the product can be positioned to differentiate it from the competition.
4. Identify unique features and benefits: The next step is to identify the unique features and benefits of the product that will appeal to the target market. This could include product features, quality, price, or any other attribute that makes the product different from the competition.
5. Develop a positioning statement: A positioning statement is a brief statement that communicates the product’s unique features and benefits to the target market. The statement should be clear, concise, and memorable.
6. Test the positioning statement: The positioning statement should be tested with the target market to ensure that it resonates with them and effectively communicates the product’s unique features and benefits.
7. Implement the positioning strategy: Once the positioning statement is finalized, the product positioning strategy is implemented through various marketing channels, such as advertising, social media, and other promotional activities.
8. Monitor and adjust: The final step is to monitor the effectiveness of the product positioning strategy and make adjustments as needed based on customer feedback and changes in the market.
Example: Apple’s “Think Different” campaign. Apple’s products, particularly the Macintosh computer, had been struggling to compete with Microsoft’s dominant Windows platform in the early 2000s. In response, Apple launched the “Think Different” campaign, which positioned the Mac as the computer for creative individuals who think outside the box.
The campaign featured advertisements that showcased famous historical figures such as Albert Einstein, Mahatma Gandhi, and Martin Luther King Jr., alongside the tagline “Think Different.” The idea was to associate the Mac with people who are innovative, creative, and unconventional, and to appeal to customers who share those values.
Apple’s “Think Different” campaign was a huge success and helped to establish the Mac as a unique and desirable product in the minds of consumers. The campaign not only increased sales of the Mac but also helped to create a strong brand identity for Apple that continues to this day.
BRANDING
Branding refers to the process of creating a distinct and recognizable identity for a product, service, or company. It involves defining the brand’s values, personality, and visual identity and communicating them effectively to the target audience.
Product – Brand Positioning Strategy:
Product branding is a marketing strategy that involves creating a unique name, design, symbol, or other feature that distinguishes a product from its competitors.
The following are the different steps involved in product branding strategy:
1. Conduct market research: The first step in product branding is to conduct market research to understand the target audience, their preferences, and their buying behaviors. This helps in creating a brand that resonates with the target audience.
2. Develop a brand positioning statement: A brand positioning statement is a short statement that defines the unique value proposition of the product. It should communicate the benefits of the product to the target audience and differentiate it from its competitors.
3. Choose a brand name and logo: A brand name and logo should be chosen that align with the brand positioning statement and resonates with the target audience. The name and logo should be memorable, easy to pronounce, and unique.
4. Develop brand guidelines: Brand guidelines should be developed that define the brand’s visual identity, including the colors, typography, and imagery to be used. This helps to ensure consistency across all marketing materials and reinforces the brand’s identity.
5. Create brand messaging: Brand messaging includes the tone, voice, and language used in all marketing materials. It should align with the brand positioning statement and appeal to the target audience.
6. Launch the brand: The brand should be launched through various marketing channels, including advertising, social media, and other promotional activities. It is important to create a buzz around the brand and generate excitement among the target audience.
7. Monitor and evaluate: The success of the branding strategy should be monitored and evaluated regularly to ensure that it is resonating with the target audience and achieving the desired results. Adjustments should be made as needed based on customer feedback and changes in the market.
Product branding is a crucial aspect of marketing and requires careful planning and execution. The steps involved in product branding, including conducting market research, developing a brand positioning statement, choosing a brand name and logo, creating brand guidelines, developing brand messaging, launching the brand, and monitoring and evaluating its success, all contribute to creating a strong and recognizable brand that resonates with the target audience.
Example One of the most recognizable and successful brands in the world is Coca-Cola. Coca-Cola has built a strong brand identity based on its distinctive red and white color scheme, its iconic logo, and its memorable tagline, “Taste the Feeling.” This branding strategy has helped Coca-Cola become a household name and a leader in the beverage industry. Another example of effective branding is Nike, which has positioned itself as a premium athletic brand that inspires and empowers its customers. Nike’s brand identity is built around its famous “swoosh” logo, its “Just Do It” tagline, and its association with successful athletes and sports teams. This branding strategy has helped Nike become one of the most recognizable and valuable brands in the world.
In conclusion, branding is a critical component of any successful business strategy. By defining a brand’s values, personality, and visual identity and communicating them effectively to the target audience, companies can create a distinct and recognizable brand that resonates with their customers and helps them stand out in a crowded marketplace
PACKAGING
Packaging decisions play a vital role in attracting consumers and can significantly impact a product’s success in the market.
Product packaging decisions refer to the choices made regarding the design, material, shape, size, and labeling of a product’s packaging. Effective packaging decisions can enhance a product’s visual appeal, create a unique brand identity, and provide functional benefits such as protection and convenience.
Example, let’s consider the packaging of Coca-Cola. Coca-Cola has a distinctive, curvaceous bottle shape and a bright red color that immediately catches the consumer’s attention. The design of the bottle has remained relatively unchanged for over a century, creating a strong association with the Coca-Cola brand and helping it stand out on store shelves.
Another example of effective packaging decisions is Apple’s packaging for its products. Apple’s packaging is sleek and minimalistic, emphasizing the company’s focus on design and functionality. The packaging provides a premium feel that aligns with Apple’s brand identity and enhances the overall user experience.
In addition to visual appeal and brand identity, packaging decisions can also provide functional benefits. For example, cereal boxes are designed to protect the product from damage and maintain freshness. The design of the box also provides convenience to consumers, with easy-to-use pour spouts and resealable packaging options.
One of the best Indian Brand packaging:
Haldiram’s Aloo Bhujia, a popular snack produced by Haldiram’s, a leading Indian snack and sweets brand. Haldiram’s Aloo Bhujia is packaged in a bright yellow and red bag with the brand’s logo prominently displayed. The packaging is designed to catch the consumer’s attention with its bright colors and bold font, making it stand out on the shelf. The packaging also features a clear window through which the consumer can see the product, giving them an idea of the quality and quantity of the product inside.
The USP of Haldiram’s Aloo Bhujia packaging is its convenience and ease of use. The bag is resealable, allowing the consumer to store the product for later use without worrying about it getting stale. The packaging is also easy to carry, making it an ideal snack for on-the-go consumption.
Another USP of the packaging is its ability to preserve the freshness and flavor of the product. The bag is made of high-quality, food-grade material that protects the snack from moisture, air, and other contaminants that can affect its taste and texture. The packaging ensures that the Aloo Bhujia remains fresh and crispy, even after being opened and stored for some time.
Conclusion: Effective packaging decisions enhances a product’s visual appeal, create a unique brand identity, and provide functional benefits that appeal to consumers. Companies must carefully consider their packaging decisions to ensure
they align with their brand identity and resonate with their target audience
2 comments
Ver helpfull 👍👍
Very helpfull