Page 143 - DMGT509_RURAL MARKETING

Rural Marketing

Notes Introduction

The product, from a marketing point of view, is a batch of benefits that a company offers to its
customers in order to satisfy their needs and requirements (the product is not just the metallic or
non-metallic material assembly). The product is approached form the customers’ satisfaction
point of view, considering that they buy satisfaction, not just material objects.
8.1 The Product Concept

The product concept proposes that consumers will prefer products that have better quality,
performance and features as opposed to a normal product. The concept is truly applicable in
some niches such as electronics and mobile handsets.
Two companies which stand apart from the crowd when we talk about the product concept are
Apple and Google. Both of these companies have strived hard on their products and deliver us
feature rich, innovative and diverse application products and people just love these brands.
One problem which has been associated with the product concept is that it might also lead
to marketing myopia. Thus companies need to take innovations and features seriously and
provide only those which the customer needs. The customer needs should be given priority.

In the past several of Microsoft’s product have been brought under the hammer with people
feeling more and more disgruntled with the operating systems because of lack of innovation
and new features. Each Microsoft operating system appears almost similar with just few tweaks.

On the other hand, innovating too soon becomes a problem. Several innovative products are
marked as experimental in the market instead of being adopted as a result of which these
products have less shelf life and might have to be taken off the market.
Thus companies following the product concept need to concentrate on their technology such
that they provide with excellent feature rich and innovative products for optimum customer
satisfaction.
The product is the offer of a company, addressed to the market in order to captivate their interest
so that the customers purchase it, use it or consume it for a specific need or desire.
Therefore, the products can be material goods, services, persons, organizations, places, ideas.
In order for the product to be better understood, it needs to be analyzed on more levels, beginning
with its essence to all the other features that can be added to the product so that it generates a
maximum satisfaction.
A 3 level product analysis reveals the following aspects:
 The product essence is the benefit that the product provides

 The actual product consists in the tangible and intangible features of the product, that can
also meet customers’ needs
 The completed product has a series of extra intangible traits, that influence the purchasing
decision and contribute to customer satisfaction (extra services, brand image, strong
customer support)
Considering the various classification criteria, a product typology can be made:

1. Classification regarding the destination
 Individual consumption
 General use products

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