UNIT 1: INTRODUCTION TO PRODUCT AND

BRAND MANAGEMENT

Sanjay Kumar
School of Management
Presidency University
 What is a Product?
Product- first ‘P’ of marketing.

In marketing terms, a product is anything that can be offered to a market

to satisfy a want or need.

In other words, a product is the item(s) or service(s) that you are

offering your customers. A product can be a physical object or a service
and may refer to a single item or unit, a group of equivalent products or
a group of goods or services.
Product Levels (Philip Kotler)
Product Levels (Philip Kotler)
 Product Line

Product Line: A group of products within a product class that are

closely related because they perform a similar function, are sold to
the same customer groups, are marketed through the same
channels or fall within given price range. For instance, Laptops of
various configurations and names.
 Product Mix

• Product Mix: An organizations' product line is a group of closely

related products that are considered a unit because of marketing,
technical or end-use considerations. In order to analyze each
product line, product- line managers need to know two factors.
These are:
i. Sales and profits
ii. Market profile
Product Width/Depth/Length/Consistency
A product mix or assortment is the set of all products and
items that a particular seller offers for sale. A company‘s
product-mix has some attributes such as.
1. Width: This refers to how many different product lines the
company carries.
2. Depth: This refers to how many variants, shades, models,
pack sizes etc. are offered of each product in the line
3. Length: This refers to the total number of items in the mix.
4. Consistency: This refers to how closely the various product
lines are related in end use, production requirements,
distribution channels or some other way.
Partial Product Assessment
Branding
 What is a Brand?
According to American Marketing Association (AMA) brand is a:

“name, term, sign, symbol or design, or a combination of them,

intended to identify goods and services of one seller or group of
sellers and to differentiate them from those of competition.”

Therefore, a brand is something that helps the consumers to

identify the product and the company behind it.
Examples: Apple, Rolex, Nike etc
 Brand Elements
According to the AMA definition, is to able to choose name, logo, symbol,
package design or other characteristic that identifies a product and
distinguishes it from others.

These different components of a brand that identify and differentiate it are

brand elements.

The main purpose of branding is to differentiate the products and services of

one product or business from those of competitors. The key advantages to
having a strong brand include: Successful brand-building helps profitability
by “adding values” that customers are prepared to pay for.
 Product Vs Brand
Product Brand
Distinguishes a product from other
An item ready for sale in the market
products
It is what customers need It is what customers want
Can be copied Cannot be copied
Produced by manufacturers Created by consumers in their mind
Can easily be replaced Cannot be replaced
Product is tangible A brand is intangible
Product performs specific functions A brand offers value
A product can be replaced with time. Brand remains forever
 Naming the Brand

• Product benefits
• Product qualities
• Easy to pronounce
• Should be distinctive
• Should not have poor meanings in other languages and countries
New Products & Brand Extensions

ANSOFF’S GROWTH MATRIX

 New Products & Brand Extensions
When a firm introduces a new product, it has three choices for branding.

1. It can develop a new brand, individually chosen for the new product.
2. It can apply one of it’s existing brands.
3. It can use combination of a new brand and an existing brand.
A brand extension occurs when a firm uses a established brand name to introduce
a new product (2 or 3), When a new brand is combined with an existing brand the
brand extension can also be a sub-brand(3).

An existing brand that gives birth to a brand extension is the parent brand. If the
parent brand is already associated with multiple products through brand
extensions, then it may also be called a family brand (Umbrella Brand).
 New Products & Brand Extensions

• Brand extensions fall into two general categories:

Line Extension: Marketers apply the parent brand to a new product that targets a
new market segment within a product category the parent brand currently serves.
A line extension often adds a different flavor or ingredient variety, a different form
or size, or a different application for the brand (Like Head & Shoulders Dry Scalp
Shampoo).

Category Extension: Marketers apply the parent brand to enter a different product
category from the one it currently serves (Like Fast Track Watches)
New Products & Brand Extensions
 New Products & Brand Extensions

• Line extension – existing brand name extended to new sizes in the

existing product category
• Brand extension – brand name extended to new product categories
• Multi brands – new brands in the same product category
• New brands – new product in a different product category
Product Line Extension
Brand Extension
Multi Brands
New Brands
 Why do brands matter to consumers
1. Identification of source of product.
2. Assignment of responsibility to product maker
(search goods, experience goods and credence good)
3. Risk reducer
(Functional, Financial, Physical, Social, Psychological and time Risks)
4. Search cost reducer
5. Promise, bond or pact with maker of product
6. Symbolic device
7. Signal of quality
 Why do brands matter to manufacturers

1. Means of identification of simplify handling or tracking

2. Means of legally protecting unique features
3. Signal of quality level to satisfied customers
4. Means of endowing products with unique associations
5. Source of competitive advantage
6. Source of financial returns
 Can Anything be branded?
1. Physical goods (Mercedes Benz)
2. Services (FedEx)
3. Retailers and Distributors (Marks & Spencer)
4. Online Products and Services (Google, Facebook & Twitter)
5. People and Organizations (Oprah Winfrey & UNICEF)
6. Sports, Arts and Entertainment
(Rugby World Cup, Music & Books, Harry Potter)
7. Geographic Locations (Singapore, Dubai)
8. Ideas and Causes (NGOs, AIDS ribbon, Pink Ribbon)
 INDIVIDUAL ASSIGNMENT 1
Submit a 10 page report on how the following are branded with suitable examples preferably an Indian
brand. (Font: Times NewRoman, Font Size: 12, Line Spacing: 1.5 inches.

1. Physical goods
2. Services
3. Retailers and Distributors
4. Online Products and Services
5. People and Organizations
6. Sports Arts and Entertainment
7. Geographic Locations
8. Ideas and Causes
Deadline: 05-02-2020, Marks: 20, Weightage: 10%, -2 marks per day for late submission.
If time permits each student has to present their report in the class in the form of ppt.
 Branding challenges and opportunities

1. Savvy Customers
2. Economic Downturns
3. Brand Proliferation
4. Media Transformation
5. Increased Competition
6. Increased Costs
7. Greater Accountability
Strategic Brand Management Process