Product Planning and Development Marketing Co


Product Planning and Development

Marketing Co-Op

Product Planning

Making decisions about _______________ that are needed to ___________ a business’s products, services or ideas

Product Features

 Packaging

 ________________

 Branding

 ________________

 Warranties

Allows a business to

 Coordinate existing products and features

 ________________________________________

 Delete products that are no longer attracting customers

Product Mix

All the different products that a company makes or sells


KRAFT Company:

 Kraft

 Kool-Aid

 Nabisco

 Maxwell House

 Oscar Mayer

 Post Cereal products

To determine a company’s product mix, a business needs to identify:

 Its ______________________________

 Its competitors

 The __________ it wants to _________________

Product line – a group of ___________________________ products sold by a business

Product items – a _______________ model, brand, or size of a product within a


Product Width and Depth

The width and depth of a company’s product offerings defines the ___________________

Product Width

The number of different ____________________ sold by one manufacturer

Product Depth

The number of ________________________ within each specific product line

 From one brand name

Product Mix Strategies

Develop _______________________________ products for existing lines

Drop ___________________________ to allow room for _________ products

Expand or _______________ existing product lines

Product Life Cycle

A representation of the stages that a product goes through during its life

There are 4 stages of the life cycle

 Introduction

 _____________________

 _____________________

 Decline

Managing the Introduction

Company is focused on

 _________________________________________________________________

 Getting the customers attention

 _________________________________________________________________

 Costs in this stage are high, therefore this is the least profitable stage

Managing the Growth

There is an increase in sales and profits

Most of the target market knows about and buys the product

Company now focuses on

 Customer ________________________

 Competing with _________________ companies

Managing the Maturity

Sales ____________________ and ___________________

More _________________________ exists

Most _______________________ owns the product

Company starts to think of ways to _____________________________________

Developing Existing Products

Companies constantly ____________________ their product mix to see if they can further ________________ their product lines or ________________ existing products to keep them from moving into the ______________________________

Helps to reach _______________________ and increase ____________________

Can be very expensive

 Increased inventory

 _________________________________

 Additional storage and distribution

Line Extensions

Introducing new __________________________, or services to meet customer needs

Product Modifications

An ___________________ in a company’s _________________ products

Managing the Decline

Sales ____________ and there is ________________________

Ways to keep the product alive

 __________ or _______________ the product

 _____________________ to the product line – try to increase advertising and promotion

 ________________________________________

 Regionalize the product – sell only in areas with strong customer loyalty

 _______________________ or alter the product

 ________________ the product from the line

Deleting a Product

There are several reasons why a company may decide to eliminate a product item or line

 ____________________________________

 Loss of Appeal

 Change in __________________________

 Replacement with new products

 ____________________________________

 Conflict with other products in the line