Marketing Chapter 8: Product 1: Innovation and new product development – Flashcards
Unlock all answers in this set
Unlock answersquestion
attributes
answer
include features, functions, benefits, and uses of a product. Marketers view products as a bundle of attributes that includes the packaging, brand, name, benefits, and supporting features in addition to physical good
question
good
answer
a tangible product that we can see, touch, smell, hear, and taste
question
core product
answer
all the benefits the product will provide for consumers or business consumers
question
actual product
answer
the physical good or the delivered service that supplies the desired benefit
question
augmented product
answer
the actual product plus other supporting features such as warranty, credit, delivery, installation, and repair service after the sale.
question
durable goods
answer
consumer products that provide benefits over a long period of time, such as cars, furniture, and appliances
question
nondurable goods
answer
consumer products that provide benefits for a short time because they are consumed (such as food) or are no longer useful (such as newspapers).
question
convenience product
answer
a consumer good or service that is usually low priced, widely available, and purchased frequently with a minimum of comparison and effort
question
staple products
answer
basic or necessary items that are available almost everywhere
question
consumer packed good (CPG)
answer
a low cost good that is consumed quickly and replaced frequently (also called fast moving consumer good).
question
impulse products
answer
a product people often buy on the spur of the moment
question
emergency products
answer
products we buy when we're in dire need
question
shopping products
answer
goods or services for which consumers spend considerable time and effort gathering information and comparing alternatives before making a purchase
question
specialty products
answer
goods or services that has unique characteristics and is important to the buyer and for which he or she will devote significant effort to acquire.
question
unsought products
answer
goods or services for which a consumer has little awareness or interest until the product or a need for the product is brought to his or her attention
question
equipment
answer
expensive goods that an organization uses in its daily operations that last for a long time
question
maintenance, repair, and operating (MRO) products
answer
goods that a business customer consumes in a relatively short period of time
question
raw materials
answer
products of the fishing, lumber, agricultural, and mining industries that organizational customers purchase to use in their finished products
question
processed materials
answer
products created when firms transform raw materials from their original states
question
specialized services
answer
services that are essential to the operation of an organization but are not part of the production of a product
question
component parts
answer
manufactured goods or sub assemblies of finished items that organizations need to complete their own products
question
innovation
answer
a product that consumers perceive to be new and different from existing products
question
creativity
answer
a phenomenon whereby something new and valuable is created
question
continuous innovation
answer
a modification of an existing product that sets one brand apart from its competitors
question
knockoff
answer
a new product that copies, with slight modification, the design of an original product
question
dynamically continuous innovation
answer
a change in an existing product that requires a moderate amount of learning or behavior change
question
discontinuous inovation
answer
a totally new product that creates major changes in the way we live.
question
convergence
answer
the coming together of two or more technologies to create a new system with greater benefits than its separate parts.
question
research and development (R&D)
answer
a well defined and systematic approach to how innovation is done within the firm
question
new product development (NPD)
answer
the phases by which firms develop products, including idea generation, product concept development and screening, marketing strategy development, business analysis, technical development, test marketing, and commercialization.
question
idea generation
answer
a phase of product development in which marketers use a variety or sources to come up with great new product ideas that provide customer benefits and that are compatible with the company mission.
question
value co-creation
answer
the process by which benefits-based value is created through collaborative participation by customers and other stakeholders in the new product development process
question
product concept development and screening
answer
the second step of product development in which marketers test product ideas for technical and commercial success.
question
business analysis
answer
the step in the product development process in which marketers assess a product's commercial viability
question
technical development
answer
the step in the product development process in which a company engineers refine and perfect a new product
question
prototypes
answer
test versions of a proposed product
question
patent
answer
a legal mechanism to prevent competitors from producing or selling an invention, aimed at reducing or eliminating competition in a market for a period of time
question
test marketing
answer
testing the complete marketing plan in a small geographic area that is similar to the larger market the firm hopes to enter
question
simulated test marketing
answer
application of special computer software to imitate the introduction of a product into the marketplace, allowing the company to see the packaging-or even to determine where in the store it should try to place the product
question
commercialization
answer
the final step in the product development process in which a new product is launched into the market
question
crowdfunding
answer
online platforms that allow thousands of individuals to each contribute small amounts of money in order to fund a new product from a startup company
question
product adoption
answer
the process by which a consumer of business customer begins to buy and use a new good service, or idea.
question
diffusion
answer
the process by which the use of a product spreads throughout a population
question
tipping point
answer
in the context of product diffusion, the point when a products sales spike from a slow climb to an unprecedented level
question
adoption pyramid
answer
reflects how a person goes from being unaware of an innovation through stages from the bottom up of awareness, interest, evaluation, trial, adoption, and confirmation.
question
media blitz
answer
a massive advertising campaign that occurs over a relatively short period of time
question
impulse product
answer
a purchase made without any planning or search effort
question
innovators
answer
the first segment (roughly 2.5 percent) of a population to adopt a new product
question
early adopters
answer
those who adopt an innovation early in the diffusion process but after the innovators
question
early majority
answer
those whose adoption of a new product signals a general acceptance of the innovation
question
late majority
answer
the adopters who are willing to try new products when there is little or no risk associated with the purchase, when the purchase becomes an economic necessity or when there is social pressure to purchase.
question
laggards
answer
the last consumers to adopt an innovation
question
relative advantage
answer
the degree to which a consumer perceives that a new product provides superior benefits
question
compatibility
answer
the extent to which a new product is consistent with existing cultural values, customs, and practices.
question
complexity
answer
the degree to which consumers find a new product or its use difficult to understand
question
trialability
answer
the ease of sampling a new product and its benefits
question
observability
answer
how visible a new product and its benefits are to others who might adopt it.
