Exam 8: Elements of Product Planning for Goods and Services

Services

Consumer product classes are based on

Product class does not vary by country.

It is usually necessary for a firm to use a family brand rather than individual brands if it plans to offer products at different quality and price levels to different target markets.

For different people, the same product might be a convenience product, a shopping product, or a specialty product.

Business product classes are based on how buyers think about products and how the products will be used.

Services, as opposed to physical products:

Personal selling is extremely important for sellers of:

Regarding the organization of the product classes, an impulse product is to an emergency product as

During a heavy rainstorm, Louie Hirasawa stepped into a drugstore and bought an umbrella-just like the one he had at home-for $15.00 plus tax. In this case, the umbrella is:

Wu Chen frequently travels to Caracas, Venezuela where the only hotel he will stay at is the Crown Prince Hotel. His level of brand familiarity toward the Crown Prince Hotel is ______

A firm which makes stereo radios and CD players for car manufacturers who install them directly in their new cars is selling:

Procter and Gamble buys unprocessed logs which are handled as little as needed to move them to its plant. Eventually, they become part of P and G's disposable diapers and are considered an expense item on P and G's income statement. For P and G, logs are:

A Xerox photocopy machine in the university chancellor's office is an example of what type of business product?

If a trademark is to be used in foreign markets, it is wise to register it under the Lanham Act.

Sumitomo Bank, a large bank in southern California, has just purchased 120 high-speed telephone fax machines (costing about $1,300 each) to speed communications among its many offices. The purchase was made by the purchasing manager, who expects the machines to last about five years. In this case, the fax machines are:

Use this information for question that refer to the Sunny Day Foods (SDF) Case. For six months, Kim Wu has been working for Sunny Day Foods (SDF), a fast-growing manufacturer of organic foods. After graduating college, she worked for four years as a sales rep for a nationally known food company. But, she jumped at the chance when SDF contacted her about becoming marketing manager for its breakfast foods division, which sells dry cereals and a pancake mix. Kim spent the first few months on the job trying to better understand SDF, its product line, and marketing strategy. She reviewed the company's past marketing research, commissioned new research, and talked to both consumers and retailers. Now, the CEO of the company wants her thoughts on what the company's marketing strategy should be for the next few years. Her research indicates that among cereal customers, there are at least five segments of customers who use SDF products. A. One segment, the loyalists, has a strong preference for one or two of the SDF cereals. These customers often go out of their way to visit a store with their favorite SDF cereal and buy only that product at the store. B. Another segment, the regulars, buys SDF cereals without much thought. For them it is just part of their routine and, if you ask them why they pick the cereal, they'd say it's just a habit. C. A third segment, the deal prone, sees SDF cereals as just another organic cereal. They view all organic cereals as pretty much the same and buy whichever brand seems to offer the best deal that week. D. A fourth segment, the politicos, consists of former buyers of SDF cereals. A few years ago the company took a strong stand in a presidential race-and these customers resented it. Now, they boycott all SDF foods because of that incident. E. A fifth segment, SDF who?, is made up of consumers who buy organic cereals but who don't have much awareness of particular organic brand names. In reviewing how SDF currently brands its products, Kim sees that it is using several different approaches. The Sunny Day Foods brand is used on most products the company sells. But a few years ago the company brought out an instant organic oatmeal with the Hot 'n Healthy name. SDF also makes cereal sold by a health food chain; the package for that chain uses the store's own name, Nature's Foods, as the brand name for the cereal. Which of the following terms best describes the "Hot 'n Healthy" brand?

______________ are products a consumer needs but isn't willing to spend much time and effort shopping for.

Family brands may cut promotion costs because the goodwill attached to one or two products may help the others.

Multiple-buying influence would be most likely for: