Exam 13: Setting Product Strategy

________ describes the service program for helping customers keep purchased products in good working order.

Moving ________ carries risks. The new brand can cannibalize core brand sales and lower the core brand's quality image.

The four product-mix dimensions (length, width, depth, consistency) permit the company to expand its business.

If the variants within the Tide product under P&G's detergent line included Tide with Acti-Lift, Tide Plus Febreze Freshness Sport, Tide Plus Febreze, Tide Free, Tide Plus Downy, Tide Coldwater, Tide TOTALCARE, and Tide Free for Coldwater, and all were available in Pods, Liquids, Liquids for HE machines, and Powder formats, the width of the product mix would be 32 because there would be 32 distinct variants.

Firms should design the highest performance level possible for their products.

________ branding is a special case of co-branding involving creating brand equity for materials, components, or parts that are necessarily contained within other branded products.

What are the situations in which guarantees are most effective?

In ________, the seller offers goods both individually and in bundles and often charges less for the "bundle" than for the individual products.

Various factors have contributed to the increased importance of packaging as a marketing tool. List and briefly describe these factors.

A pricing system in which there is a "fixed" fee and then a variable "usage" fee is called bundling.

Price-setting logic must be modified when the product is part of a product mix.

Because ________ are purchased frequently, marketers should make them available in many locations, charge only a small markup, and advertise heavily to induce trial and build preference.

Which of the following factors is one of the contributors to the growing use of packaging as a marketing tool?

A winning formula for many ________ brands is craftsmanship, heritage, authenticity, and history, often critical to justifying a sometimes extravagant price.

You have been asked to create a product system for your company's personal digital assistant. Before starting, you must define the term product system to the engineers to enable them to start design and production of the aligned items. Define the concept of a product system.

Outline three guidelines for correctly implementing a bundling strategy.

Pure bundling occurs when a firm offers goods both individually and in bundles.

Labels can identify the product and must contain legal statements that under various Federal laws cannot be misleading, false, or deceptive.

________ are formal statements of expected product performance by the manufacturer.