Types of Consumer Products - A Level Business

Summary

The session explores consumer products, categorizing them into convenience, shopping, and specialty products. Convenience products are frequently bought with minimal thought, like crisps, and are marketed with mass promotion and wide distribution. Shopping products, such as smartwatches or furniture, are less frequently purchased and require more thought, with higher prices and targeted marketing. Specialty products, like new cars, are rarely bought, involve significant thought, and have high prices, often using exclusive outlets for branding and promotion. The session also touches on the importance of brand image and the distinction between consumer and industrial products in marketing strategies.

Takeaways

• 🛒 Consumer products are goods and services sold to consumers for personal use.
• 🔍 There are three types of consumer products: convenience, shopping, and specialty products.
• 🍟 Convenience products are purchased frequently with little thought, like bags of crisps.
• 📱 Shopping products are less frequently purchased and require more thought, such as smartwatches or furniture.
• 🚗 Specialty products are rarely purchased and involve a lot of thought, often being expensive, like a new car.
• 💰 The price of convenience products is typically low as a percentage of income.
• 📢 Mass marketing is often used to promote convenience products due to their widespread availability.
• 🛍 For shopping products, prices are higher, and marketing focuses on segmentation appropriate to the product.
• 🏬 Distribution for shopping products is more selective compared to convenience products.
• 🏷 Specialty products command a significant percentage of income and use highly targeted promotions.
• 🎨 Positioning for specialty products is well thought out to maintain brand image, often using exclusive outlets or websites.
• 🏭 It's important to note the distinction between consumer products and industrial products in marketing strategies.

Q & A

What are the three types of consumer products mentioned in the transcript?

The three types of consumer products mentioned are Convenience Products, Shopping Products, and Specialty Products.

How frequently are convenience products typically purchased compared to shopping and specialty products?

Convenience products are purchased most frequently, followed by shopping products, and specialty products are purchased rarely.

What is an example of a convenience product given in the transcript?

An example of a convenience product is crisps, which are purchased with little thought.

What might be a shopping product according to the transcript?

A shopping product could be a smart watch or furniture, where more thought is put into the purchase compared to convenience products.

What type of product would likely be considered a specialty product in the transcript?

A specialty product could be something like a new car, which involves a lot of thought and is very expensive.

How does the marketing mix for convenience products differ in terms of price, promotion, and distribution?

For convenience products, the price is low as a percentage of income, mass marketing is used for promotion, and distribution is widespread.

What are the characteristics of the marketing mix for shopping products?

Shopping products have a higher price compared to convenience products, focus on segmentation for promotion, and have a more selective place of purchase.

How is the marketing mix for specialty products adapted according to the transcript?

Specialty products take a huge percentage of income, have very targeted promotions, well-thought-out positioning, and may use exclusive outlets or websites for distribution.

Why is brand image important across all types of consumer products?

Brand image is important to varying degrees across all types of consumer products to maintain a consistent and recognizable identity in the market.

What is the distinction between consumer products and industrial products as hinted in the transcript?

Consumer products are goods and services sold for personal consumption, while industrial products are typically used in the production of other goods or services.

Why might it be useful to compare the marketing mix between consumer products and industrial products?

Comparing the marketing mix between consumer products and industrial products can provide insights into how marketing strategies differ based on the target market and the nature of the products.