Module 4
Module 4
DELIVERING THE
PRODUCT
DEFINING PRODUCT
- A product is a bundle of attributes
(features, functions, benefits, and uses) that
a person receives in an exchange. In essence,
the term “product” refers to anything offered
by a firm to provide customer satisfaction,
tangible or intangible.
- Broadly speaking, products fall into one of two
categories: consumer products and business products
(also called industrial products and B2B products).
The product fills an important role in the marketing mix
because it is the core of the exchange.
- Often companies become excited about their
capabilities, technologies, and ideas and forget the
perspective of the customer. This leads to investments in
product enhancements or new products that don’t
provide value to the customer—and, as a result, are
unsuccessful.
Four Levels of the Product
• The Core Product
• The Tangible Product
• The Augmented Product
• The Promised Product
1. THE CORE PRODUCT
The core product satisfies the most basic need
of the customer. For example, a consumer
who purchases a healthy snack bar may be
seeking health, convenience, or simply
hunger relief.
2. THE TANGIBLE PRODUCT
Once the core product has been identified, the
tangible product becomes important. Tangible
means “perceptible by touch,” so the tangible
aspects of a product are those that can be
touched and held.
3. THE AUGMENTED PRODUCT
Every product is backed up by a host of supporting services. The
augmented product includes the tangible product and all of the
services that support it. Often, the buyer expects these services
and would reject the tangible product if they were not available.
For example, if you shop at a department store, you are likely
focused on a core and tangible product that centers on the
merchandise, but you will still expect the store to have restrooms,
escalators, and elevators.
4. THE PROMISED PRODUCT
The outer ring of the product is referred to as the promised product.
Every product has an implied promise, which is a characteristic that
is attached to the product over time. The promised product is the
long-term result that the customer hopes to achieve by selecting the
product. The promised product may be financial—the resale value of
a car, home, or property, for example—but it is often more
aspirational. The customer hopes to be healthier, happier, more
productive, more successful, or enjoy greater status.
MANAGING PRODUCT DELIVERY
The Purpose of the Managing Product
Delivery process is to manage and control
the work between the Project Manager and
the Team Manager by placing certain formal
requirements on the accepting, executing,
and delivery of products.
The Objective of the Managing Product Delivery
process is to ensure that:
• Products assigned to the team are authorized and agreed
upon.
• The team is clear about what has to be produced and
understands the effort, time and cost.
• The planned products are delivered to the expectations
and within tolerance.
• Accurate Progress information is provided to the
Project Manager by the Team Manager.