MKT 300 1st Edition Lecture 13 Outline of Last Lecture XXIX Chapter 8 Terms part 1 XXX Chapter 8 Concepts to Apply part 1 Outline of Current Lecture XXXI Chapter 8 Terms part 2 XXXII Chapter 8 Concepts to Apply part 2 Current Lecture XXXI Chapter 8 Terms part 2 Generic Products products that have no brand at all other than identification of their contents and the manufacturer or intermediary Manufacturer Brands brands created by producers Sometimes called national brands because the brand is promoted all across the country or in large regions Many now distributed globally i e Colgate Northwestern Mutual Life MasterCard McDonald s Dealer Brands private brands brands created by intermediaries i e Craftsman and Kenmore Sears Private Brands dealer brands same thing Battle of the Brands the competition between dealer brands and manufacturer brands a question of whose brands will be more popular and who will be in control Packaging promoting protecting and enhancing the product important to both sellers and customers Can make a product more convenient to use or store can prevent spoiling or damage easy to identify and promotes brand in purchase and in use Universal Product Code UPC developed by government and industry representatives to identify each product with marks readable by electronic scanners Federal Fair Packaging and Labeling Act 1966 Requires that consumer goods be clearly labeled in easy to understand terms to give consumers more information also calls on industry to try to reduce the confusing number of package sizes and make labels more useful Warranty explains what the seller promises about its product Magnuson Moss Act 1975 producers must provide a clearly written warranty if they choose to offer any warranty the warranty does not have to be strong These notes represent a detailed interpretation of the professor s lecture GradeBuddy is best used as a supplement to your own notes not as a substitute Consumer Products products meant for the final consumers i e Bertolli Olive Oil to be used in a consumer s kitchen Based on how consumers think about and shop for products Convenience Products products a consumer needs but isn t willing to spend much time or effort shopping for They are bought often require little service or selling don t cost much and may even be bought by habit may be a staple impulse product or emergency product Staples convenience products that are bought often routinely and without much thought i e breakfast cereal canned soup items used almost every day in almost every household Impulse Products convenience products that are bought quickly as unplanned purchases because of a strongly felt need Items that the customers hadn t planned to buy decides to buy on sight may have bought the same way many times before and wants right now i e Candy by the cash register Emergency Products convenience products that are purchased immediately when the need is great I e ambulance service Price not considered Shopping Products products that a customer feels are worth the time and effort to compare with competing products Homogenous or heterogeneous Homogenous Shopping Products shopping products the customer sees as basically the same and wants at the lowest price i e spray paint Heterogeneous Shopping Products shopping products the customer sees as different and want to inspect for quality ad suitability i e furniture clothing branding may be less important Specialty Products consumer products that the customer really wants and makes a special effort to find it s the customer s willingness to search not the extent of searching that makes it a specialty product Unsought Products products that potential customers don t yet want or know they can buy so they don t search for them at all Consumers probably won t buy these products if they see them unless promotion can show their value New Unsought Products products offering really new ideas those potential customers don t know yet Informative promotion can help convince customers to accept the product ending its unsought status i e Dannon s yogurt Regularly Unsought Products products like gravestones life insurance and encyclopedias that stay unsought but not unbought forever May be a need but potential customers aren t motivated to satisfy it Personal selling is very important i e Red Cross holds blood drives to remind prospective donors of how important it is to give blood XXXII Chapter 8 Concepts to Apply part 2 5 What are characteristics of a good brand name How do you protect a brand name a Short simple b Easy to spell and read c Easy to recognize and remember d Easy to pronounce e Can pronounce in only one way f Can pronounce in all languages g Suggests product benefits h Adapts to packaging labeling needs i No undesirably imagery j Always timely k Adapts to any advertising medium l Legally available for use m Protected by Lanham act you now have rights to this brand name and logo Even if it is registered you have to protect your name i e Disney sues anyone who uses Mickey Mouse They are ferocious in protecting it Linoleum didn t protect and lost its brand 6 What are the 4 different approaches to branding when does it make sense to use each a 1 Family Brand deals w stimulus generalization Coca Cola has positive brand quality So transition label on other products i e Diet coke When target will appreciate the associations b 2 Individual free standing brand Dasani does not use Coke label b c positives of coca cola don t translate to water c 3 Licensing Teddy Bear w Coca Cola scarf Way to promote Not your own product d 4 Generic We saw coca cola so we bought it for cheaper by buying cola drink Target brand 7 Give an example of the battle of the brands What can national brands do to hold shelf space distribution a the competition between dealer brands and manufacturer brands a question of whose brands will be more popular and who will be in control 8 Give three examples of how packaging can enhance a product a Heintz Ketchup bottle upside down to get every last bit b Pill bottle that is child locked face up But easy to open for arthritis patients upside down c Ikea packaging is unique and ships well