MKTG 3310 Exam #3 || with Accurate Answers 100%.
Product Life Cycle correct answers -stages a product goes through in the marketplace
-Introduction
-Growth
-Maturity
-Decline
-"A product is something that is made in a factory; a brand is something that is bought by a
customer. A product can be copied by a competitor; a brand is unique. A product can be quickly
outdated; a successful brand is timeless."
Channel Choice & Management correct answers -Factors affecting channel choice:
1.Environment - lifestyle changes, technology, regulatory change
-Walmart is largest cut flower retailer in world, due to technology in growing, transporting &
storing flowers
2.Consumers - appropriate channels
3.Product - very sophisticated, very new, very expensive, very individualized products or
services sold directly
4.Company - company's personnel, financial or technological capabilities
5.Profitability - cost includes distribution, advertising, selling
Kit Kat (shared), Snickers (horse), Hersheys (sour milk) correct answers Candies in Class
Mars correct answers -Snickers (most popular in US)
Hershey's correct answers Hershey's
Nestle correct answers Kit Kat (Most popular in our class)
Brand Contract correct answers -must be simple and honest, i.e. DELIVERABLE
-e.g. Motel 6 promises clean rooms, low prices, good service, but not expensive furniture or large
bathrooms
-Ritz-Carlton offers luxurious rooms, memorable experience, but does not promise low prices
Product Bundling correct answers -sale of 2 or more separate products in one package
,Packaging correct answers -container in which product is offered for sale
-first impression (usually)
-±15% of product cost
Communication benefits
-directions for use
-required information, e.g. nutritional info
Functional benefits
-protection, product quality, storage, tamper resistance
-convenience
Perceptual benefits
-brand recognition, image
-country of origin bias
Warranty correct answers -statement indicating liability of the manufacturer for product
deficiencies
Branding correct answers -using a name, phrase, design, symbol, or combination of these to
distinguish a product (or service) from others in the marketplace
-Brand name
-Brand personality
-Brand equity
-Brand extension
What is a New Product? correct answers Compared to Existing Products
-if a product is functionally different from existing products
Legal terms
-FTC: up to 6 months after product has entered 'regular' distribution
Organization
-indicated by level of innovation in company
Consumer's perspective
-degree of learning required by consumer
Product Mix correct answers -all, most or many product lines offered by an organization
Brand Name correct answers -word or device (or combination)
Brand Personality correct answers -set of human characteristics associated with a brand
,-differentiates product
-e.g. traditional, romantic, rugged, sophisticated, rebellious);
-consumers choose brands that gel with their own self-images
5 categories of adopters correct answers -Innovators
-Early Adopters
-Early majority
-Late Majority
-Laggards
Innovators (2.5%) correct answers -venturesome, higher educated, use multiple information
sources
Early Adopters (13.5%) correct answers -leaders in social setting, slightly above average
education
Early Majority (34%) correct answers -deliberate, many informal social contacts
Late Majority (34%) correct answers -skeptical, below average social status
Laggards (16%) correct answers -fear of debt, neighbors and friends are information sources
Brand Equity correct answers -added value from a brand name, beyond functional benefits
-results from careful building process
-high brand equity can help move into new markets
-Strong brand has power to increase sales and profits
Brand Positioning correct answers 1.) Attributes
2.) Benefits
3.) Beliefs and Values
Product attributes correct answers -e.g. toothpaste taste; weak because easy to copy
Desirable benefit correct answers -e.g. cavity prevention, teeth whitening
Trade name correct answers -commercial legal name under which company does business
Beliefs and Values correct answers -create surprise, passion, excitement around a brand
-e.g. Crest gives customers "healthy beautiful smiles for life"
, high learning product correct answers -microwave oven
-fancy camera
Brand Extension correct answers -the use of a well-established brand name for a new product
Low learning product correct answers -razor
-ketchup squeeze bottle
Examples of Successful Brand Extensions correct answers 1.)Shift the form: Starbucks
Frappuccino, Snickers Ice Cream Bars, Black & Decker Role Play Tool Toys, Clorox Bleach
Pen, Dial Hand Wash.
2.) Transfer a component: Crayola soap paints (creative color), Entenmann's "Fresh Baked"
Candles, Dr. Scholl's shoes, Ghirardelli Brownie Mix.
3.) Transfer a benefit: Arm & Hammer Car Litter Deodorizer, Mr. Clean Magic Eraser, Ziplock
Food Containers, Weight Watchers Ice Cream Bars.
4.) Leverage an expertise: Food Network cookware, Honda lawnmowers, Gold's Gym 7-in-1
Body Building system, Mayo Clinic Diet, Reebok Sports Club.
5.) Companion products: Coleman Sleeping bags, Coppertone Sunglasses, Harley Davidson
Apparel, Mr. Coffee Premium Coffee, Steinway Furniture Polish, Weber Seasonings.
6.) Leverage the customer base: Trix Yogurt, Smith & Wesson Tactical Police Mountain Bikes,
Sesame Street Toys, Barbie Scooter, Adidas Watches, Fisher-Price Diapers.
7.) Leverage a lifestyle: Biggest Loser Kitchen Scale, Coach Fragrance, Cover Girl Sunglasses,
Discovery Kids Telescope, ESPN Restaurants, Esquire Furniture, Porsche Kitchen Appliances,
Rolling Stone Restaurant.
8.) Leverage a celebrity expertise: Jack LaLanne's Power Juicer, Jack Welch Management
Institute, Jan Fonda Workout DVD, Martha Stewart Bedding, Ralph Lauren Paints, Wolfgang
Puck Frozen Pizza.
9.) Leverage a celebrity lifestyle: Cindy Crawford Jewelry, Donald Trump Signature Collection
Apparel, Eddie Bauer Baby Stroller, Jessica Simpson Luggage, Kelly Ripa Shoes, Lakers Bottled
Water, George Foreman Grill.
10.) Change the game by changing a brand image: Old Spice High Endurance Deodorant, V8 V-
Fusion Vegetable and Fruit Juice, Zagat Health Survey Doctor's Ratings
Fashion product correct answers -stiletto heels
-bell bottoms
