This document provides an overview of key marketing management topics including product classification, product mix, new product development, and product life cycle. It discusses the three levels of a product - core, actual, and augmented products. It also covers product attributes, new product development process, organizing for new product development, generating and screening new product ideas, physical product development, pre-test and test marketing, stages of product life cycle, commercialization, product hierarchy, importance and role of brands, brand identity, equity and power.

1. MARKETING MANAGEMENT
PRESENTED BY
NEERAJ BHANDARI
BINIT PANT
KUNAL GURUNG
NIVESH SHRESTHA
SAILENDRA SHRESTHA
AVISHEKH BUDHATHOKI
SUNIL SHAH

2. TOPICS
• Product classification
• Product mix
• New product development,
• Product life cycle
• Brand decisions

3. PRODUCT: BUNCH OF BENEFITS
• anything that is offered to a market for attention, acquisition, use or
consumption and satisfies a want or need. It includes physical
objects, services, persons, places, organizations and ideas.

4. BASIC 3 LEVELS OF A PRODUCT
• Core Product: The problem-solving services or core
benefits that consumers are buying when they obtain the
product. (Mobile phone)
• Actual Product: a product’s parts, quality, features,
design, brand name, packaging, staling etc., that
combine to deliver core product benefits. Mobile Charger,
Head Phones
• Augmented product: additional consumer services and
benefits built around the core and actual products
(installation, delivery etc. – for example , the Sony
Camcorder, one year warranty on mobile)

5. Core Benefit
Or service
Installation
Delivery
and
Credit
Warranty
After
Sales
service
Packaging
Brand
name
Quality
Staling
Features
AUGMENTED
RPODUCT
ACTUAL
PRODUCT
CORE
PRODUCT
The three levels of a product

6. PRODUCT ATTRIBUTES
• Product quality: the ability of a product to perform its functions; it includes the
product’s overall durability, precision, ease of operation and repair, and other
valued attributes.
• Total quality management (TQM) (Improve all product/process quality in every
phase of production)
• Conformance quality
• Freedom from defects/consistency in delivering a targeted level of performance.
• Product features: features are a competitive tool for differentiating the
company’s product from competitors’ products. Being the first producer to
introduce a valued new feature is one of the most effective ways to compete.
• Product style and design: how a product is designed and how it appears.
Companies may have many designs for a product (i.e., Nike shoes – 500
footwear designs each year)

7. commercialization
Concept
Development
And testing
Test
marketing
Product
development
Business
analysis
Marketing
strategy
New Product
Strategy
Idea
generation
Idea
screening
THE NEW PRODUCT DEVELOPMENT PROCESS

8. ORGANIZING FOR NEW PRODUCT
DEVELOPMENT
Special organizational arrangements are to be made for
NPD which can answer three important questions-
1) Who is to be responsible for NPD.
2) What are the tasks to be accomplished.
3) How the tasks will be accomplished.
The Brooks, Allen and Hamilton Study of NPD suggests
that “the organizations which encounter the greatest
success in NPD are the ones that have given the
greatest care to organizing NPD”

9. GENERATING, SCREENING & DEVELOPMENT OF NEW
PRODUCT IDEAS (NPI)
• Generating New Product Ideas.
• NPI generating sources .
• Internal Recourses- Sales Personnel,Marketing personnel, R&D, top
Management Executives, Production Departments, Purchase
Department, Customer service division, employee suggestion
systems.
• External Recourses- customers, competitive products, foreign products,
consultants, advertising agencies,
researchers/investors,distribution channels,

10. METHODS OF GENERATING NEW
IDEAS
• Direct Methods.
Individual Techniques- Morphological analysis, Consumer Surveys
Group Techniques- Brain Storming, focus groups, interviews,
• Indirect Methods- Consumer, engineering magnitude, estimations
,Quadrant Analysis.

11. CONCEPT GENERATION
• Generating concept is a creative process and there is
mechanism in concept generation which is categorized in
two segments-
• Problem based ideation.
• This is the most simple method of progress, where someone has found a
problem and as a result, solves it.
• Attribute based ideation.
• As we know that product is a bundle of attributes and to alter a attribute in an
analytical method is attribute based ideation.

12. PHYSICAL DEVELOPMENT OF
PRODUCT.
• Product architecture.
• Industrial Designing in Product
Development.
• Product prototyping
• Concurrent engineering

13. PRETEST MARKETING & TEST
MARKETING
• Test Marketing is Penultimate step in NPD but as its
costly ,time consuming and exposes product to
competitors hence pre test marketing is the solution.
Wide PTM we simulate market conditions under a
controlled environment which helps in understanding the
key market impacts and forces.
• Various Models Of PTM-
• Assessors Model.
• Preference Model.
• Trail repeat Model.

14. THE PRODUCT LIFE CYCLE
Product
development
Introduction
Growth
Maturity
Decline
SALES
PROFITS
PRODUCT LIFE CYCLE: SALES AND PROFITS

15. PLC STAGES-PROFITS
• The product life cycle is the course of a product’s sales and
profits over its lifetime. It involves the 5 stages below:
• Product development: the company finds and develops a new
product idea – costs mount,
• Introduction: the product is being introduced in the market – profits
are absent
• Growth: a period of rapid market acceptance – increased profits
• Maturity: the product has achieved acceptance – profits start to
decline
• Decline: the period when sales fall off and profits drop.

16. WHY PLC ?
• Products have a limited life,
• Product sales pass through distinct stages, each
posing different challenges, opportunities, and
problems to the seller,
• Products require different marketing, financing,
manufacturing, purchasing, and human resource
strategies in each life cycle stage.

17. STAGES OF PLC
• Product Development- When the new idea is being
converted into a product
• Introduction- When developed product is introduced in
markets.

18. PLC STAGES-SALES
• Growth: the product life cycle stage at which a product’s
sales start climbing quickly. Here we have high market
share or high current profit.
• Maturity: the stage where sales growth slows or levels
off. (market development, product development or
innovation)

19. SUCCESS RATE OF NEW PRODUCTS
• The success rate of new products is very low – less than
5%. ‘You have to kiss a lot of frogs to find a prince.”
• Product obsolescence is rapid with improvements in
technology
• Shorter PLCs

20. COMMERCIALIZATION
• When? (Timing)
• Where? (Which geographical markets)
• To whom? (Target markets)
• How? (Introductory Marketing strategy)

21. PRODUCT HIERARCHY
• Need
• Product family
• Product class
• Product Line
• Product type
• Brand
• Item

22. THE IMPORTANCE OF BRANDS
• “Consumers are starved for time and
overwhelmed by the choices available to them.
They want strong brands that simplify their
decision making and reduce their risks”
• Are there other good reasons?

23. BRAND
• A name becomes a brand when consumers
associate it with a set of tangible and
intangible benefits that they obtain from the
product or service
• It is the seller’s promise to deliver the same
bundle of benefits/services consistently to
buyers

24. Defines the differential features of a
product or service:
• Real or Imaginary
• Rational or Irrational
• Tangible or Intangible
DEFINITION OF A BRAND

25. (2) Constitutes an image that creates a personal experience:
• Own
• Third party
• Imaginary
DEFINITION OF A BRAND CONTD...

26. (3) With conscious and unconscious contents that the consumer projects
and deposits on it;
(4) Constitutes part of and builds up his/her identity;
(5) Generates certain perceptions, attitudes and behaviors and enables
fulfillment in their lives
DEFINITION OF A BRAND CONTD...

27. In a highly competitive world, where
manufacturers are losing their pricing power,
branding is seen as a way of clawing back
some of the lost influence.
ROLE OF BRANDS: FOR THE COMPANY

28. BRAND IDENTITY
• Mind share (cognitive level)
• Heart Share (Emotional relationship)
• Buying intention share
• Self share (self-expression and self-design)
• Legend Share (cultural-sociological proposition;
legendary; mythological)

29. BRAND EQUITY
• When a commodity becomes a brand, it is said to
have equity.
• The premium a brand can command in the
market
• The difference between the perceived value and
the intrinsic value

30. BRAND POWER
• Customer will change brands for price reasons
• Customer is satisfied. No reason to change.
• Customer is satisfied and would take pains to get the
brand
• Customer values the brand and sees it as a friend
• Customer is devoted to the brand

31. ADVANTAGES OF BRANDING
• Easy for the seller to track down problems and process
orders
• Provide legal protection of unique product features
• Branding gives an opportunity to attract loyal and profitable
set of customers
• It helps to give a product category at different segments,
having separate bundle of benefits
• It helps build corporate image
• It minimises harm to company reputation if the brand fails