Final Summary Written Section - PRODUCT LAYERS Layers of...

PRODUCT LAYERS
• Layers of the product
o A product is everything a customer receives in an exchange
o 4 layers
 Core product – product features or attributes – actual core product that the
consumer is getting
• Example – soap with moisturizing cream
 Functional product – how the product functions – ease of application
 Augmented product – augmentation done to basic product – packaging
 Potential product – the true solution the customer gets from the product – consumer
looks younger, longer
• Example – Gatorade
o Core product – sports beverage with electrolytes
o Functional product – replaces electrolytes, rehydrates
o Augmented product – color, packaging, bottle shape
o Potential product – better performance
• Physical features (core product)
o Differentiated from others
 Wine tasting FDP
• Actual wine has a distinct taste differentiating it
o Offers unique feature/proposition
o Patent protection
 Have to have certain features to protect patent
o Focus on consumer benefit - benefits
 Gatorade and electrolytes
• Packaging

o As the marketer for the Le Whif, what things are important to consider with regards to
packaging?
 Colors
 String
 Shape
o Protect – need a
 Containing the product – need a container to protect/contain it
o Inform – what the product is, what it does, what are the ingredients
o Provide convenience – easy to transport
o Promote – eye catching, promotional strategy
o Advise on price – suggested price
o Meet language/consumer protection guidelines – regulations about what the company
has to communicate to the consumer
 Nutritional information
• Branding – name, term, sign, symbol, or design, or a combination of them intended to
identify the goods and services of one seller or groups of sellers and to differentiate them
from those of competition
o Color – “trade dress”
 Marlboro
 Visa
 Microsoft
 Coca-cola
o Term – might become part of the brand
o Symbol
 Nike
o Character

PRICING STRATEGY
• Pricing exercise
o For each product
 Identify your chosen target market
 Propose a retail price for your product
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