Understanding the three levels of product in marketing is essential because it will help you evaluate what is most important for your business. It will also help you better understand how these products can influence your company, customer experience, and even pricing.
This article will go through each level and discuss its importance to marketing and marketing strategy.
What Are The Three Levels Of Product In Marketing
“Product” refers to physical goods, services, or ideas. Marketing and product management must consider all three levels of product to create a successful strategy.
There are three levels of product in marketing: the core product, the actual product, and the augmented product.
The core product is the first level. This is the basic need or wants that the customer is trying to satisfy. For example, a customer might want a phone that allows them to make calls and send texts. The core product would be the function of making and receiving calls and texts.
The second level of the product is the actual physical product or service. In our example, this would be the phone itself. The phone would have certain features that appeal to the customer, such as a camera, music player, etc.
The product’s third level is known as the augmented product. This includes everything else that surrounds the physical product or service, such as warranties, customer service, packaging, etc.
Product managers and marketers must consider all three levels of the product when creating a marketing strategy. This will ensure that the strategy can address the customer’s needs at every stage of their journey.
How Do The Levels Affect Your Business?
Your business is affected by the levels of product in marketing in a few ways. First, you need to make sure that your core product is something that your target market wants or needs.
Second, you need to ensure that your actual product meets the needs of your target market. If it’s not, your business will have difficulty succeeding. If it doesn’t, you’ll likely lose customers to competitors offering a better product.
Finally, you must ensure that your augmented product provides value to your target market. If it doesn’t, customers may not be willing to pay more for your product than they would for a similar one from a competitor.
Product levels in marketing can have a significant impact on your business. Make sure that you understand how they work and how they can affect your bottom line.
The Product’s Marketing Mix And Sales Objectives
The product’s marketing mix and sales objectives are the main elements determining its success in the marketplace. The marketing mix is the product, price, promotion, and place (4Ps) the company uses to market the product. The sales objectives are the goals the company hopes to achieve by selling the product.
The marketing mix is critical to any product’s success in the marketplace. The four Ps of marketing is product, price, promotion, and place. It is essential to carefully consider each element of the mixture and how it will impact the overall marketing strategy.
What are you selling? Product: The first P is for a product. This includes not only the physical product but also its intangible benefits. For example, if you’re selling a new toothbrush, your product might be more effective at cleaning teeth than other brands.
Price: How much will your product cost? This is an important consideration because you need to find a balance between what consumers are willing to pay and what it costs you to produce the item. If your price is too high, you’ll miss out on potential sales; if it’s too low, you might not make enough profit to sustain your business.
Promotion: How will you let people know about your product? Many options are available, including advertising, public relations, social media, and word-of-mouth. It’s important to choose a mix of tactics that will reach your target audience.
Place: Where will your product be sold? You must ensure that your product is available where your target customers are likely to shop. This includes physical locations (stores and online retailers) and distribution channels (wholesalers and distributors).
The sales objectives are the goals the company hopes to achieve by selling the product. These might include targets for revenue, market share, or profitability. Specific, measurable, achievable, relevant, and time-bounded (SMART) goals must be established.
The Five Steps Of The Product’s Marketing Process
1. The first step in the product’s marketing process is to create a market for the product. This can be done through market research and target marketing.
2. The second step is developing a product marketing mix. This mix should include elements such as promotion, pricing, and distribution.
3. The third step is to launch the product into the market. This includes making the product available to consumers and creating demand for it.
4. The fourth step is to grow the product in the market. This involves continued promotion and selling of the product to maintain and increase its market share.
5. The final step is to harvest the product from the market. This means withdrawing it from the sale or no longer promoting it actively.
When it comes to marketing, you need to be aware of three different levels of product. These levels are the core product, the actual product, and the augmented product. By understanding these three levels, you can market your products or services more effectively and ensure that your customers get what they need.