Production Classifications: Consumers Goods Product Strategy Production Classifications: Consumers Goods

Product Classifications Products are divided in two different ways: Most importantly, a product is classified according to the target market it is intended for It is classified according to the durability and tangibility it offers Products are also broadly classified into two groups on the basis of who buys them and why Consumer Goods Products and services purchased by consumers for their own personal use or benefit Industrial (Business) Goods Products and services purchased by industries, institutions, governments, etc that are used directly or indirectly in the production of another good or service resold

Durable and Non Durable Goods A Non Durable Good is a tangible good normally consumed after one or a few uses Examples include toothpaste, beer, coffee, milk, and detergent A Durable Good is a tangible good that survives many uses Examples include automobiles, appliances, personal computers, and athletic equipment These items are purchased less frequently Services are intangible , they are activities and benefits we take advantage of but do not take possession of Examples include banking and financial services, hotels, household-care services

Consumer Goods: Convenience Consumer goods are commonly classified into four categories: convenience, shopping, specialty, and unsought Convenience goods are those goods purchased frequently, with minimum effort or evaluation Typical examples include food items like bread, milk, cookies, chocolate bars, soap, deodorant, etc. Convenience goods are subdivided into three categories: Staples Impulse Emergence

Consumer Goods: Convenience Staple Good One that is regularly needed or used, such as orange juice, bread, deodorant, and headache medicine Often bought based on brand loyalty Impulse A good purchased in the spur of the moment Examples include candy bars, chewing gum, and magazines Availability is key issue, impulse items are usually available at checkout counters Emergency Purchased when an emergency occurs and item is needed Examples include a snow storm coming and someone needing a snow shovel

Consumer Goods: Shopping Shopping Goods are goods that consumers compare on such bases as sustainability, quality, price, and style before making a selection Other factors include dependability, service, functionality, guarantees, and warranties Examples include automobiles, clothing, appliances, major repairs, etc. Price of shopping goods is usually higher than convenience goods and are therefore researched more Marketing Considerations include being near competitors, having a consistent and attractive image, and having effective communications

Consumer Goods: Specialty Specialty Goods are goods that consumers make an effort to find and purchase because the goods possess some unique or important characteristic In effect, the consumer has already decided what item to buy it is simply the process of buying it that needs to take place Usually the considerations that are taken in this case are image, reputation, product quality, and availability The price is often high and is meant to be as to make it an exclusive piece

Consumer Goods: Unsought Unsought goods are goods that consumers are unaware they need or that they lack knowledge about Essentially an unsought good is an item that, although useful or valuable, is of a such a neighbor that the consumer lacks interest in purchasing it Examples include encyclopedias or life insurance (Items that are usually actively sold)