Products and services are the essence of a company. It is vital that the organization has a systemic vision of its portfolio. “Perhaps one of the most relevant issues in marketing is the very definition of the product. Specifically: What are they really buying from you? Or What are you selling? Do both dimensions coincide? While these questions seem easy to answer, my experience shows that many entrepreneurs and managers encounter serious difficulties when it comes to crunch time.
Starting from the needs and wants of consumers is an excellent first step. And although it seems like a somewhat abstract exercise, this will help us make future decisions regarding the assembly of the product portfolio and the strategies to follow. Recently, advising an important chain of photographic laboratories, the president of this company tested a very good definition of the business: “People give us something very delicate, which is their privacy. We do not sell film, cameras, or even accessories. We provide a service, which is to give our clients the possibility of preserving their memories and images ”.
On the other hand, I would like to point out that the product is everything. This means that one must commit to every component part of it. The product is its essence (basic benefit), but also its physical architecture. The product is the packaging it has and the price it has, the distribution channels in which it is found and the television commercial that is on the air. The product is also manufactured by salespeople and service personnel, each time they add value to it with their work. And basically this is so, because the customer of flesh and blood, perceives these components as an integrated whole.
The rule of B
There is an effective formula when it comes to thinking about our products, or when we want to carry out actions that enhance the line. I've called it the "B" rule. Do you want to be successful in your market? Check these three points:
- GOOD: The product must be effective, or it must provide solutions to customer needs. It must be a serious satisfier. The key is quality, quality and quality. From the physical and tangible components, to the symbolic characteristics. If you and your people are on the details, chances are you will find a good product as the end result. Don't neglect the service component in your product. Think about warranties, delivery, customer service, installation, follow-up. There is usually a lot to do here. PRETTY: One point to check is if your product is CUTE. It's that simple. One must ask: Can its design, its packaging, its characteristics, or other factors that make up aesthetics be improved? These factors produce an effect of excitement and delight in the client, which results in income.Learn from those who do it very well: Levi's jeans, perfume bottles, Toblerone chocolate, Mc's happy meal. Donalds, the Ax deodorant, and so many others that seduce us from the gondolas and the windows.BARATO: What I mean here is that one must be competitive in price. Give a superior product at a convenient price. Whatever market you are in, providing value at a fair price is a winning strategy. But if you want to go a little further, position your product even if it were a few pennies less than the competition. Surely he will have taken an advantage.What I mean here is that one must be competitive on price. Give a superior product at a convenient price. Whatever market you are in, providing value at a fair price is a winning strategy. But if you want to go a little further, position your product even if it were a few pennies less than the competition. Surely he will have taken an advantage.What I mean here is that one must be competitive on price. Give a superior product at a convenient price. Whatever market you are in, providing value at a fair price is a winning strategy. But if you want to go a little further, position your product even if it were a few pennies less than the competition. Surely he will have taken an advantage.
Most of the time I try not to get confused among so many tangle of strategies, recommendations and management models. The business is not about having a beautiful results chart, or an enviable planning system. Companies do not sell financial statements or financial indicators. Those who really know how to do things, those who will succeed in the troubled markets of this new millennium, will offer customers excellent products.
