1. Warm-up  List five changes McDonalds made to improve their business.

2. Learning Targets 1. I can explain what's included in a value package. 2. I can explain the difference between a product line and product mix. 3. I can identify the three major classes of products and what they mean for marketers.

3.  Product Strategies Developing products and services to meet customers needs.

4.  Price  Package  Store atmospherics  Guarantee  Reputation of producer  Brand name  Service  Past experience  Accessibility What do you take into consideration when buying a product?

5. Developing a Value Package Value Package: Everything that consumers evaluate when deciding whether to buy something.

6. Standing Out Product Differentiation: The creation of real or perceived product differences.  Price  Features  Packaging  Image

7. Product Lines and the Product Mix Product Line: A group of products that are similar or intended for a similar market. Product Mix: The combination of product lines offered by a manufacturer. http://www.apple.com/

8. Classes of Goods Convenience Goods & Services Consumer want to purchase frequently and with minimum of effort  Examples: snacks, gas, banking, milk  Location, brand awareness and image are important.

9. Classes of Goods Shopping Goods & Services Consumers buy only after comparing value, quality, and price from a variety of sellers.  Examples: Computers, Vacations, Clothes  Price, quality, and service are important

10. Classes of Goods Specialty Goods & Services Products that have a special attraction to consumers who are willing to go out of their way to obtain them.  Examples: Sports cars, jewelry, fine chocolate  Reaching special market segments is important

11. Washing Machine

12. Batteries

13. Wood Oven Pizza

14. Product Development Lets learn from…. http://www.youtube.com/watch?v=JkHOxyafGpE

15. Cool Down  What do you feel are the keys to developing good products?