MKT Performance Indicator 3.01 Note Guide
Product/Service Management
· Defined: Product/Service Management is a marketing function that involves a product.
· Factors affecting product/service management:
o Customer Needs and Wants
o Company and Strategies
o Cost and Available
o
o Product Itself
o Government Regulation
o Stages in Life Cycle
o Business and Economic
· Benefits to product/service management:
o Offer products and company’s profits increase
o When developing the right products, a company can gain new customers
o When products are well managed there is
· Role that product/service management plays in marketing:
o Affects of product
§ What image do you want to create about the product in the minds of consumers?
o Improves product success
o Gives product an
§ What impressions do you have of certain brands?
· People responsible for managing product/service management:
o Several of a company, certain , 1 employee or just the .
o Normally depends on of company.
· Three main phases of product service management:
o New Products
o Existing Products
§ Sales, Profit, Market Share
o Eliminate Products
Product Life Cycle
· Defined: Represents the during its life.
· There are 4 Stages of the Life Cycle:
o 1.
o 2.
o 3.
o 4.
· Goals of the Introduction stage:
o To increase product
o Get the customer’s thru promotion
o Lots of special promotion
· During the Growth stage:
o Customers are aware of product,
o Companies focus on customer
o starts from other companies
· During the Maturity stage:
o The product’s sales . More money is spent on competition during this stage.
o . A company must decide to the product, , or discontinue product.
· Product Life Cycle Model
Technology in Product/Service Management
· Applications of technology in marketing:
o
§ Scanners at , touch screens, hand-held devices at checkout
o Interactive Touch Screen Computer
§ Example:
o Interactive TV
§ Where TV is like a - order movies, click on Ragu for recipes, order food
o Customer Relationship Management
§ A customer can . The CRM or business can track customer satisfaction
o Enterprise Resource Planning Systems
§ that allows all parts of the company’s management to be integrated
o Internet
§ Wi-Fi, , , E-commerce
· Use of Interactive TV
o Interactive TV helps marketers to develop a of their uses
o This database analysis helps see the customer’s to products
o They are testing Interactive TV for promotion
Ethical Considerations in Packaging
· Why do you think companies package and label their products?
o Create a
o Help product
o Communicate
· Concerns for Product Packaging
o Product
§ Glass now
§ Tamper-resistant packages
§ containers for foods
§ Wasteful packaging
§ Switching for cans and
· Product labeling must inform customers about a product’s contents and give directions for use.
o Must have
o Quantity of
o Nutritional info
o Health claims are the same on all products; light, fat free, etc.
o on products like alcohol and cigarettes
o How to clothes
· In order for a product to say recycled it must show proof that it is retrieved a certain
· For a food to be must meet certain standards
· What happens when a company fails to inform customers about product risks?
o Company can get
o to customer
· What is Planned Obsolescence?
o Making products that are known to not last long, or change, so that people will them
§ Example: are always coming out with newer functions and it makes consumers want to purchase the new and improved cell phone