M370 Session 7
I-Core
Stylish Advertisements.
Design incorporated into the products.
Exclusive Distribution
Great Service
Premium Pricing
Extremes
Vertical Differentiation
Chiquita vs. Bananas
Horizontal Differentiation
HP vs. Compaq computers
True ______________ is in the MIND of the consumer
Marketers use methods to influence consumer perception –they sometimes refer to this as
“________________ products”
Positioning Statement
Who are the Customers
What needs are fulfilled
Why is the offer the best to fill the needs?
______________ Map = a.k.a. Perceptual Map
______________ Map = a.k.a. Perceptual Map
Positioning Map = a.k.a. Perceptual Map
Positioning Statement
“Lite Beer is the Best Tasting beer among all low calorie beer offerings because Miller didn’t sacrifice
taste to save calories.”
Positioning
USP (Unique Selling Proposition)
Tastes Great!
Less Filling
Positioning Strategies
Which Differences to Promote (Page 189)
Important
Distinctive
Superior
Communicable
Preemptive
Affordable
Profitable
Value Proposition (Page 190)
More for More
More for the Same
More for Less
The Same for Less
Less for Much Less
Communicate in a Positioning Statement
Product &
Product Layers
Product Layers
Product Classifications
Consumer Products
Convenience
Shopping
Specialty
Unsought
Mix Considerations by Product Type
Managing the Mix
According to Armstrong and Kotler: “Building and managing brands are perhaps the marketer’s most
important tasks”
Brands: A Method of Distinction!
Brands are the tip of the iceberg. The visible, memorable element of a product’s benefits and
reputation. The positive perception of these is built over time. But can be destroyed very quickly.
Branding Terms
Brand Recognition: McDonalds
important for products where there is little differentiation. Built through advertising.
Brand Preference: Stage where consumer will prefer one brand over another but will not demand that
brand every time.
Brand Insistence: stage where no alternatives will suffice.
Product Line
Product Mix
Brand Equity
Branding Strategies
There are Other Branding Strategies
each of these involves one brand on a product that the brand is not usually
associated with
Licensing
One firm sells another the right to use a brand name for a specific purpose and for a specific time
period.
Examples: Jurassic Park movie Jurassic Park candy, key chains & toys.
Oreo Cookies Oreo Cereal
Co-branding
Two brand names on one package
Example: DQ Oreo Cookies and Cream Blizzard.
Co-branding 2 (or more) brands on one product package
e.g. the 2008 Explorer Eddie Bauer and the 2008 Expedition
Characteristics of
Services