SOME SCHOLARY DEFINITION OF PRODUCT

Philip Kotler and Gary Armstrong: "A product is anything that can be
offered to a market for attention, acquisition, use, or consumption that
might satisfy a want or need. It includes physical objects, services,
persons, places, organizations, and ideas."

Theodore Levitt: "Products are bundles of attributes, which are brought

to life by the imagination of the customer."

.William J. Stanton, Michael J. Etzel, and Bruce J. Walker: "A product

is anything that can be offered to a market to satisfy a want or need. It
includes physical objects, services, persons, places, organizations, and
ideas."

Karl T. Ulrich and Steven D. Eppinger: "A product is a bundle of

attributes that satisfies a customer need or demand. It may be a physical
artefact, a service, or a combination of both."

Robert F. Lusch and Stephen L. Vargo (Service-Dominant Logic

perspective): "A product is a platform for value creation, consisting of
goods, services, experiences, and other resources that are integrated and
customized to meet the unique needs and preferences of individual
customers."

In summary, these definitions provides an insight of a product

not only physical goods but also service, experiences and other
offerings that customer needs and desires.

Generally, in marketing a product is considered a bundle of attributes. The attributes are both
tangible and intangible. Tangible attributes are those related to the technical performances of the
product (i.e., speed, safety, acceleration, driveability, or roadholding of a car). Intangible attributes
are related to symbolic characteristics of the product such as style, design, status symbol, ability to
have a communicative role towards others and themselves. An important role in this symbolic
sphere is played by the brand.
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SOME GENERAL FEATURES OF A PRODUCT

What are product features in marketing?

A product feature is a specific function or characteristic of a product that provides value to
customers
Marketing plays a huge role in product development and features.
By building product features that consumers want and your
competitors don’t have, a marketing team will have an easier time
creating sales messages that portray the value of new features. If
your marketing team can’t convey why a feature will solve a
customer’s problem or is desirable, it may be an indication that your
feature isn’t aligned with your customer needs.

1. Function
2. Design
3. Quality
4. Added value
5. Intangible value
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I. Function
Functionality usually refers to how a person can use a product or
what they can do with it. The goal is to consider how a product can
help a person accomplish a task and remove pain points. While
some products can create new functional features, some
functionalities are standard.
II. Design
Design is another type of product feature based purely on
aesthetics. Design or style is one way to differentiate yourself from
competitors making similar products. The way a phone case looks
may win over a potential customer, and it’s important to consider
how a product looks in these situations.

III. Quality
Quality can relate to both tangible and intangible attributes. Quality
is also a reference point for the perceived value of a product. For
example, you may expect high-quality
IV. Added value
Added value product feature type’s centre on what a product comes
with. It can give your product a higher perceived value when
customers think they are gaining more features for the same price.
Some eCommerce stores may accomplish this by adding gifts when
people order. SaaS products could offer free set-up of their product.

Now that we know what a product is and what goes into it as in

features and characteristics, we then start with the product
development.
SOME SCHOLARY DEFINITION OF PRODUCT

PRODUCT DEVELOPMENT PROCESS

Developing a new product can be a very exciting yet overwhelming process. There
are many different elements that need to be considered. In this post, we will explain
the seven steps you need to follow to develop a product, helping product teams to
enjoy a smooth and efficient development process.

The product development process encompasses all steps needed to take a product
from concept to market availability. It include.

1. Idea generation
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2. Idea screening

3. Concept development and concept testing

4. Marketing strategy development and Business analysis

5. Product development

6. Test marketing

7. Commercialization

 Idea Generation

Idea generation, often known as the methodical search for new product ideas, is the
first step in the process of developing new products. During this phase, businesses
will conduct extensive research into their users and what they are looking for, as well
as evaluate market trends

There are two ways that you can go about generating new ideas, and these are as
follows:

Internal idea generation – Internal ideas come from various areas within your
business, for example, the sales team, customer support, marketing, or the technical
department.
External ideas generation – External ideas come from outside sources, for
example, getting feedback from your target audience or studying the competition.

 Idea screening

The production of a significant number of ideas is the objective of the idea-generating

process. Now, we are at the point whereby you need to screen the ideas that you
have generated, ensuring that you only focus on the ideas that have the highest
chance of being a success. When you are screening a product, there are a lot of
SOME SCHOLARY DEFINITION OF PRODUCT

different elements you need to look at. For example, you must assess the risks
associated with developing the product in question and you also need to calculate
how feasible the product is.

Concept development and concept testing: Once an idea has passed the
screening stage, it needs to be developed into a concept. This is basically a
detailed description of the product.
What should be included in your concept?

 The target market for the product

 The proposed price for the product
 The benefits of the product
 The features of the product and how they may appeal to the consumer
You may want to consider developing two or more different product concepts. This
will help you to get a better understanding of how each concept attracts different
types of customers, and it can help you to understand what is going to bring the most
value.

 Marketing Strategy Development and Business Analysis

You are also going to need to put together an initial marketing strategy for your
product. This will act as a guide for the promotion, pricing, and positioning of your
new product. Once you have planned the marketing strategy, you will be in a better
place in terms of assessing just how attractive the idea is. When you are building
your marketing strategy, you need to consider your target audience and the sort of
mediums they use when searching for new products today. For example, if your
audience is females between the age of 18 and 24-years-old, you may want to
consider marketing on TikTok, as your demographics line up. However, this may not
be suitable for a retired man. Therefore, the target audience you are attempting to
reach is going to play a monumental role in terms of the strategies you decide to
adopt. A business analysis involves reviewing the profit projections, expected costs,
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and sales forecasts for the product. If they satisfy your objectives as a business, you
can move the product onto the development phase.

 Product development; you have now reached the product development

stage. This involves developing the product concept and creating a product that
is 100 percent finished and ready to market. At this point, creating a prototype is
the next logical step. You can then test your prototype with potential users to
observe how they interact with the product and to gather valuable feedback.
Prototype testing is important because it means that your product teams can
really understand the item in action. They can validate some of the design
decisions they have made. At the same time, if there are any usability problems
or flaws, they can recognize this and make the required changes before the final
design is handed over and made available for public consumption.

 Test marketing : Test marketing is a critical part of the process. This involves
releasing the finished item to a sample market so that you can see how the
product performs under the marketing strategy that you have predetermined.
There are two testing methods that you can employ when it comes to releasing
the product to a sample market. These are alpha testing and beta testing. Beta
testing involves actual users getting to try out the product and give their honest
opinion on the product. Alpha testing involves testing that is carried out by
software to identify any issues or bugs before the product is released to the
public.

 Commercialization: At this time, you need to make sure that everything is

in place to guarantee that your launch is a success, i.e. your customer support,
sales, marketing, and product teams. Continue to monitor the performance of
your product, so you can make adjustments as and when needed.
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Levels of Product
A product is more than what you see, touch and feel. A product is actually a multi-
layer concept. Even if they are not always obvious, the three levels of products are
nearly always present: the Core Value, the Actual Product and the Augmented
Product. Each level adds more customer value to the total product.

The diagram illustrated above shows the level of product and how it is
arranged. The small inner circle represents the Core product, the second
circle represent the Actual product and the last circle represent the
Augmented product.

Core product: A core product refers to the fundamental or essential benefits

and features a product or service provides its customers . In order to identify the core
customer value of a product, you need to answer a simple question: What is the
buyer really buying? In other words, what is the customer really looking for? In
most cases, the core value is the basic need that is satisfied by the product. This
basic need differs depending on the person and the specific demand.
SOME SCHOLARY DEFINITION OF PRODUCT

The Actual Product: Marketers should turn the core benefit they
identified into an actual product. This involves developing product
features, design, a quality level, a brand name and even a packaging. The
actual product offers the best and easiest options for differentiation.

The Augmented Product: While the actual product offers most differentiation
potential, the augmented product adds further options to differentiate. It is usually
built around the core value and the actual product. It simply offers additional
consumer services and benefits.

Let’s consider an example. If you buy a tablet device, you get more than the core
customer value (e.g., communication), and also more than the actual product
(brand, design, features, etc.). You also get the augmented product, which turns
the product into a complete solution to your connectivity problems as defined by the
core customer value. This complete solution might take the form of a warranty,
after-sale service, product support, instructions on how to use the device and so
further.

A product is more than what you actually see when you buy it. Three levels of
product are involved in any purchase. The levels of product include the core
customer value, the actual product and the augmented product. What you buy is a
complex bundle of benefits that aim to satisfy your needs. This also means that
when marketers develop products, they first must identify the core customer value.
What is the problem the product will solve? Then, they must design the actual
product and in addition find ways to augment it in order to create customer value
and the most satisfying experience.

Product classification
Product classification is the process of categorizing products based on certain
characteristics. There are various reasons for doing this, such as understanding
consumer buying behaviour. These classification consist of (Consumer product and
Industrial product).

Types of consumer products

Consumer products are goods that people buy for personal or household use. This
include convenience product, shopping product, specialty product, unsought product.

Convenience goods
SOME SCHOLARY DEFINITION OF PRODUCT

Convenience goods are products that consumers frequently purchase with little
thought or effort. These items typically are low-cost and widely available, making
them easy to buy on the go. Many businesses rely on convenience products for
reliable sales and profits. However, since they’re so widely available, businesses
have difficulty developing a differentiation strategy for convenience goods.

Examples of convenience goods

 Milk
 Toothpaste
 Soap
 Laundry detergent
 Magazines
 Snack foods
 Water

Shopping goods

Shopping products are items bought less frequently. They often are more durable
and expensive than convenience goods and are geared toward a specific niche.

For example, when buying a new car, a shopper will look at different models to find
the one with the best combination of price, fuel efficiency, safety features, and so on.

Shoppers compare products on multiple dimensions, so your products must stand

out. The best way to do this is with effective marketing and branding highlighting the
product’s most attractive features. Examples of shopping goods

 Clothing
 Cars
 Appliances
 Furniture
 Phones

Specialty goods

These are product with a specific brand name or characteristics by which a specific
group of people make a purchase. The consumer perceives specialty goods as
something different and unique from other products. Because they offer something
no other product can, they are worth the consumer’s premium price.

Businesses need a strong brand identity to convince consumers that their specialty
products are worth the price. This involves differentiating the product, creating a
sense of exclusivity, and fostering brand loyalty.
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Examples of speciality goods

 Designer clothes
 Luxury cars
 Gourmet foods and beverages
 High-end cosmetics
 Custom jewellery

Unsought goods

Unsought products are goods that the consumer does not know about or does not
think to buy. They are often expensive, risky, or complicated products.

Because unsought goods are not top of mind for consumers, businesses must work
harder to generate interest and awareness. They can do this through creative
marketing efforts, personal selling, and other forms of advertising.

Examples of unsought goods

 Fire extinguishers
 Medical kits
 Home security systems
 Life insurance
 Funeral services

Industrial products

Industrial goods are used to create other products. They are used in manufacturing
or in maintaining and repairing machinery and equipment.
SOME SCHOLARY DEFINITION OF PRODUCT