M2: Defining Product Management

What is Product Management?

Product Management is an organizational function within a company that deals with new
product development, business justification, planning, verification, forecasting, pricing product
launch and marketing of a product or products at all stages of the product life cycle.

Product Management is an occupational domain which contains two professional discipline

The two (2) Domains of Product Management:

2.1. Product Planning is defined as the on-going process of identifying and articulating market
requirements that define a product's feature set. Product functionality is built based on the
product planning process.

2.2. Product Marketing is defined as outbound activities aimed at generating product

awareness, differentiation, and demand. The product value is presented to the buyers by means
of solutions to the problem identified by the users and buyers of our product.

Product Management is focused on getting what the users and buyers need. The creation of
the product is a focus intended for the engineering team. Therefore, Product Management
consists of product planning and product marketing and thus product management
resides solely in the problem space.
M3: Determining the Process of Product Development

Identify the process of Product Management

Product Management is an interdisciplinary role that reaches across teams to plan, design, and
continuously bring better products to market.

The role evolved from responsibilities traditionally held by lead developers and engineers, such
as identifying user problems and making critical product decisions

Since then, it has become clear that successful product leadership and shipping successful
products goes beyond the scope of a development team it is a separate function that requires
business sharpness a deep understanding of UX (User Experience) design, and product
knowledge

Proud Managers are responsible for setting a production tethering a product strategy Ring a
raamaths both company goals and user rends

The primary question they are out to answer is this. How do we bring the best possible product
to market and grow our business?

The Process of Product Management

Phase 1. Opportunity Identification and Selection

Generate new product opportunities as spinouts of the ongoing business operation, new
product suggestions, changes in marketing plan, resource changes, and new seeds/wants in
the marketplace Research, evaluate, validate, and rank them (as opportunities, not specific
product concepts). Give major needs a preliminary strategic statement to guide further work on
them.

The process of creatively recognizing such opportunities is called opportunity identification

The opportunities are carefully and thoroughly described then analyzed to confirm that a sales
potential does dood exist.

Phase 2: Concept Generation

Select a high potential/surgery opportunity and begin customer involvement Collect available
new product concepts that fit the opportunity and generate new ones as well.

Creating new product ideas, usually called product concepts by new product people is not the
simple lun-and-games thing it might appear. The most fruitful ideation involves identifying
problems people or businesses have and suggesting solutions to them.
Phase 3: Concept/Project Evaluation

This phase focuses on screening and selecting the most promising new product
concepts. Initially, ideas are evaluated based on technical feasibility, market potential, and
financial viability. This pre-technical evaluation often uses a scoring model (the "full screen") to
decide whether to proceed with development. If an idea is approved, the focus shifts to project
evaluation, where the proposed plan for capitalizing on the idea is assessed. This involves
defining what the new product is expected to achieve and setting the stage for development.
Key deliverables for proceeding include a clear product definition, team budget, a preliminary
development plan, and a finalized Product Innovation Charter.

Phase 4: Development

The Development phase is where the new product takes tangible form. This involves a series of
technical tasks, including:

●​ Resource Preparation: Gathering the necessary materials and capabilities.

●​ Prototype Creation and Testing: Designing and building initial versions of the product
and rigorously testing them against established protocols.

●​ Production Process Design: Developing and validating the manufacturing process for
the best prototype.

●​ Comprehensive Business Analysis: Further refining the business case for the product.

During this phase, the marketing plan is also drafted and elaborated, laying the groundwork for
how the product will be introduced to the market. Production begins a slow, gradual scale-up as
needed for subsequent testing.

Phase 5: Launch

The Launch phase, also known as commercialization, marks the decision to market the product.
This involves:

●​ Distribution and Sales: Beginning to make the new product available to consumers,
potentially on a limited basis initially.

●​ Launch Program Management: Executing the marketing and sales plans to achieve
the goals set in the Product Innovation Charter.

A crucial step, if undertaken, is the market test. This "dress rehearsal" allows the company to
observe how the product and marketing program interact in a real-world setting, providing an
opportunity to identify and fix any issues before a full-scale rollout. This phase culminates in the
full commercialization of the new product.
M4: Engaging into Product Life Cycle

The Four (4) Stages of Product Life Cycle

The term 'Product Life Cycle' refers to the period from when a product is introduced to
consumers until it is removed from the shelves. The life cycle of a product is broken into four
stages-introduction, growth, maturity, and decline. This concept is used by management
and marketing professionals to decide whether to increase advertising, reduce prices, expand to
new markets, or redesign packaging. The process of strategizing ways to continuously support
and maintain a product is called Product Life Cycle Management.

●​ A product life cycle is the amount of time a product goes from being introduced into the
market until it is taken off the shelves.

●​ There are four stages in a product's life cycle-introduction, growth, maturity, and decline.

●​ The concept of Product Life Cycle helps inform business decision-making, from pricing
and promotion to expansion or cost-cutting.

●​ Newer, more successful products push older ones out of the market.

1. Introduction Stage

The introduction phase is the first time customers are introduced to the new product. A company
must generally include a substantial investment in advertising and a marketing campaign
focused on making consumers aware of the product and its benefits, especially if it is broadly
unknown what the item will do.

2. Growth Stage

If the product is successful, it then moves to the growth stage. This is characterized by growing
demand, an increase in production, and expansion in its availability. The amount of time spent in
the introduction phase before a company's product experience.

3. Maturity Stage

The maturity stage of the product life cycle is the most profitable stage, the time when the costs
of producing and marketing decline. With the market saturated with the product, competition
now higher than at other stages, and profit margins starting to shrink, some analysts refer to the
maturity stage as when sales volume is "maxed out".

4. Decline Stage

As the product takes on increased competition as other companies emulate its success, the
product may lose market share and begin its decline. Product sales begin to drop due to market
saturation and alternative products, and the company may choose to not pursue additional
marketing efforts as customers may already have determined whether they are loyal to the
company's products or not.
M5: Understanding Product Line

Define the product line

A product line is a group of related products all marketed under a single brand name and
sold by the same company. Companies sell multiple product lines under their various
brand names, seeking to distinguish them from each other for better usability for consumers.

Companies often expand their offerings by adding to existing product lines because
consumers are more likely to purchase products from brands with which they are already
familiar.

●​ A product line is a group of connected products marketed under a single brand

name by the same company.

●​ Companies sell multiple product lines under their various brand names, often
differentiating by price, quality, country, or targeted demographic.

●​ Companies often expand their offerings by adding to existing product lines because
consumers are more likely to buy products from brands they already know.

How Product Lines Work

Companies create product lines as a marketing strategy to capture sales from consumers
who are already buying the brand. The operating principle is that consumers are more likely
to respond positively to brands they know and love and will be willing to buy the new products
based on their positive experiences with the brand in the past.

For example, a cosmetic company that is already selling a high-priced product line of makeup
(that might include foundation, eyeliner, mascara, and lipstick) under one of its well-known
brands might launch a product line under the same brand name but at a lower price point.
Product lines can vary in quality, price, and target market. Companies use product lines to
gauge trends, which helps them to determine which markets to target.

The Evolution of Product Lines

Companies add new items to their product lines, sometimes referred to as a product-line
extension. to introduce brands to new customers. Consumers who have no interest in a
company's sporting goods products, for example, might be more interested in buying its product
line of energy bars or sports beverages. Extending product lines allows companies to
maximize their reach.
The way that companies use product lines is clearly evident in the auto industry.
Auto-manufacturers famously produce various product lines of vehicles to reach the widest
possible range of consumers.

For this reason, they produce lines of economy vehicles, environmentally-friendly vehicles, and
luxury vehicles all under their leading brands. Some are marketed to families, some to
individuals, and others to the young. Expanding product lines enables a company to target
consumers who are either already buying the brand or are likely to buy the brand.

Special Considerations

Product lines allow companies to reach regions and socioeconomic groups sometimes even
worldwide. In some cases, such as the cosmetic industry, companies also launch product lines
under their best-selling brands to capture sales from consumers of various ethnic or age groups.
Multinational corporations, such as restaurants, often launch product lines specifically for the
countries in which they operate, as is the case with fast food restaurants operating in Asia

Examples of Product Lines

Microsoft Corporation (MSFT) as a brand sells several highly recognized product lines including
Windows, Office, and the Xbox. Nike Inc. (NKE) has product lines for various sports, such as
track and field, basketball, and soccer The company's product lines include footwear clothing,
and equipment PepsiCo (PEP) owns, among many other lines globally, Frito Lay Gatorade
Quaker Oats, and Tropicana The various product lines for Starbucks Corporation (SBUX)
include coffee, ice cream, and drinkware.

Explain how Product Line strategy change smart decisions

A product line strategy is a coherent approach to advance related products. It guides

managers to improve the performance of their products and services, and to avoid
disjointed actions and investments.

A good strategy will respond to change, whether major disruptions or incremental. It does this
by tying directly to Responsive Roadmapping to create and carry out strategy moves, pivots,
and recasts. A smart strategy works across products to enhance customer satisfaction
while maximizing total income and fending off competitors. And it does this in the near term
and over the long run.

Good product line strategies help manage many interrelated challenges that fall into three
groups:

●​ Product creation and development,

●​ Leverage and alignment.

 ●​ And In-market management.

Product Line Strategy genius matches bundles of technologies to bundles of customer needs
over time and repeatedly.

To form a product line strategy, managers must think beyond a common single-product
mindset. Instead, they must coordinate how multiple products relate to each other and to
different market segments. This may involve strategy moves, pivots and multi-generational
product planning.

Innovating at a product line level is notably more powerful than innovating single, independent
products

How a strategy is formed and carried out is best communicated through a product line
roadmap. These graphics are different from single-product roadmaps. They demand teams to
think through how they intend to coordinate many activities and strategy parts related to
technologies and markets, and to internal and external contributions.

Making a product line strategy and its execution responsive to market, technology and
organizational change demands smart decisions and deliberate work. This on-going practice is
best orchestrated through Responsive Road Mapping, This practice deconstructs the strategy
into a system of parts and places keen sensitivity on their interplay.
M6: Identifying the Product Mix

Explain the product mix and its dimensions.

What is a Product Mix?

The Product Mix, also known as product assortment or product portfolio, refers to the complete
set of products and/or services offered by a firm. A product mix consists of product lines, which
are associated items that consumers tend to use together or think of as similar products or
services.

Dimensions of a Product Mix

1. Width

Width, also known as breadth, refers to the number of product lines offered by a company. For
example, Kellogg's product lines consist of: (1) Ready-to-eat cereal, (2) Pastries and breakfast
snacks, (3) Crackers and cookies, and (4) Frozen/Organic/Natural goods..

2. Length

Length refers to the total number of products in a firm's product mix. For example, consider
a car company with two car product lines (3-series and.5-series). Within each product line series
are three types of cars. In this example, the product length of the company would be 6.

3. Depth

Depth refers to the number of variations within each product line. For example, continuing with
the car company example above, a 3-series product line may offer several variations such as
coupe, sedan, truck, and convertible. In such a case, the depth of the 3-series product line
would be 4.

4. Consistency

Consistency refers to how closely related the product lines are to each other. It is in reference to
their use, production, and distribution channels. The consistency of a product mix is
advantageous for firms attempting to position themselves as a niche producer or distributor. In
addition, consistency aids with ensuring a firm's brand image is synonymous with the
product or service itself.

Product Mix Illustration

In the illustration above, the product mix shows a:

●​ Width of 3

●​ Length of 5

●​ Product Line 1 Depth of 2

●​ Product Line 2 Depth of 1

●​ Product Line 3 Depth of 2

The mix is considered consistent if the products in all the product lines are similar.

Importance of a Product Mix

The product mix of a firm is crucial to understand as it exerts a profound impact on a firm's
brand Image. Maintaining high product width and depth diversifies a firm's product risk
and reduces dependence on one product or product line. With that being said, unnecessary
or non-value adding product width diversification can hurt a brand's image. For example, if
Apple were to expand its product line to include refrigerators, it would likely have a negative
impact on their brand image with consumers.

In regard to a firm expanding its product mix:

●​ Expanding the width can provide a company with the ability to satisfy the needs or
demands of different consumers and diversify risk.

●​ Expanding the depth can provide the ability to readdress and better fulfil current
consumers

Example of a Product Mix

Let us take a look at a simple product mix example of Coca-Cola. For simplicity, assume that
Coca-Cola oversees two product lines: soft drinks and juice (Minute Maid). Products classified
as soft drinks aré Coca-Cola, Fanta, Sprite, Diet Coke, Coke Zero, and products classified as
Minute Maid juice are Guava, Orange, Mango, and Mixed Fruit.
The product (mix) consistency of Coca-Cola would be high, as all products within the product
line fall under beverage. In addition, production and distribution channels remain similar for each
product.
M7: Determining Brand, Package and Label - Brand and Branding, Packaging and
Labelling

Discuss the role of brand in creating value for the consumers and companies

The product mix is a part of the marketing mix. While understanding the concept of
marketing-mix, we have already studied and understood as if what product-mix means and what
are the variables of product-mix namely, product-line and product range, product design,
product package, product quality, product labelling, product branding, after-sales services and
grantees and so on.

Almost every concern wants to name its products. These names given are brand names.
Branding plays more of a role than a mere name. It is because; brands name is quite different
from ordinary names.

A brand is a symbol, a mark, a name that acts as a means of communication which

brings about an identity of a given product. Brand is product image, brand is quality of
product; brand is value; it is personality.

It is nothing but naming the product; and naming the product is like naming a child. Parents
know that the success and happiness of their children is primarily dependent on the
development of their character, intelligence and capacity and not on their name. But they,
nonetheless, take care in naming their children for the identification.

Products are children of manufacturers, unlike human children products are not brought into the
world by accident. There is a conscious decision to give birth Once a product takes birth, if it
needs an identity and that is brand and recognizes it as branding.

Product differentiation is the noteworthy feature of manufactured goods, one such

device of product differentiation is branding the products. A brand is a symbol, a mark, a
name, that acts as a means of communication which brings about an identity of the product.
Brand is the quality of a product. Brand is the value

The aims of branding are to give personality to the product to make its existence known to the
public to create preference for the branded product, to control the price of commodities, to
impress about product performance

While branding, the dealer or producer must select a mark name or symbol that is easy to
remember and appealing to the eyes of cars and brands. It must be short, sweet and attractive

Role of Branding

None finds a pragmatic concern aloof from this branding Brand names came to create identity to
distinguish one product from another Identifying is essential to competition because, without
means of identification there is no way of making a choice except by happenstance. Brand
names not only facilitate choice but they spur a responsible action

The 5 Components of a strong brand

Creating a strong brand involves five important parts that work together like puzzle pieces.
They're like building blocks that help a brand show its personality, stand out from others, tell its
story and connect with people in a memorable way. Think of these components as the essential
ingredients that make a brand unique, trustworthy and unforgettable to its audience. When
these elements come together well. They create a brand that people recognize, understand and
love

Following points pin down a brand precise roles

1. Brand is a Massive Asset

Brand is considered as a major intangible asset because all the physical assets such as plant,
equipment, inventory, building, stocks and bounds can be duplicated or copied very easily
however it is almost impossible to duplicate brand name. It has been proved, as there are many
cases where the firms have gone to hell and the brand remained high in the sky.

2. Brand is a Promotional Tool

Sales promotion is founded on the idea of product identification or product differentiation. This
difference is done by a brand. A major weapon of product popularization is advertising. And it is
futile to advertise a product without a brand name. Even the work of a salesman would be a
failure in absence of a brand name. Thus, branding plays a highly creative role in
determining the success or failure of a product.

3. Brand is a Weapon to Protect Market

Once a consumer has tried and liked a product the brand enables him to identify so well that he
is tempted to levy it again. That is, the product earns goodwill. In other words, absence of
brand name will make repeated purchases stand still.

4. Brand is Antidote for Middlemen's Survival

If a product wins consumer reputation, the manufacturers gain control over product distribution.
The class of middlemen always tends to go in for a successful brand That is, without brand
identification, these middlemen find it difficult as to what to buy and sell. In fact, brand
names can be so strong and penetrating that the very survival of middlemen rests on their
efforts and ability to sell a powerful branded product.

5. Brand as a Means of Identification for Customers

Brand is the easiest way of identifying a product or service that a customer likes. For him
brand is value, quality, personality, prestige and image. A branded product is a distinct product
in his eyes. Again, branded products tend to have improvement in quality over the years. It is
naturally out of competition

A Good Brand Name

Factors that make a good brand name good one

1. It must be easy to pronounce and remember

For instance, "HOECHST is difficult to pronounce. On the other hand, "Murphy Baby' and 'Click
"are fine examples.

2. It should be short and sweet

The name must be short yet sweet, appealing to eyes, ears and brain. Mukund and Mukund.
Panama. DCM. Bombay Dyeing. Bata. Tata, etc., are of such kind

3. It should point out the product, producer

The name or symbol should be given connotation of the product, producer, etc.

4. It should be legally protectable.

The brand name must lend them for legal protection. A brand name, legally recognized, is
known as a trade mark Normally, it depends on the will and discretion of a producer,
middlemen than on brand name

5. It should be original

The brand name selected must not be general but specific. It must be such that it is not easily
copied by others. Hardly does one find the use of brand "Philips" by imitators On the other hand,
"Gluco end "Glucose" biscuits are different

6. It should reflect product dimensions

A good brand name is one which reflects directly or indirectly some dimensions, say
product benefit. function, results and so on. For instance EZEE of Godrej Company is really
easy to use for better results another brand GOOD-NIGHT of a mosquito repellant pad implies
the user says 'good-night to mosquitoes as he is going have good and sound sleep for at least
eight hours PUMA brand shoes are the symbol of speed as panthers are shown.
Brand success is the ability to retain a reasonable market share despite market redefinitions

●​ Professor David Arnold gives four criteria for the success of a brand These are:

(1) At the product level, it should deliver benefits.

(2) It should offer some intangibles besides tangible benefits

(3) The benefits it offers must be consistent with its personality and

(4) The benefits offered must be relevant to the customer

A brand fails if the product displays one or more of the three features:

(1) Insignificant price or performance disadvantage

(2) Lack of difference from the existing brands

(3) A pretty old tried idea

Therefore, according to him brand success is based on factors

(1) Changing duration of consumption of the product

(2) Evolving new occasions for the use of the product

(3) Changing sharing habits of the product

(4) Changing buying habits of the product

(5) Doing now things

(6) Changing the frequency of consumption of the product

According to him the key to success lies in the ability to change habits or usage or buying
or both habits. This statement or finding goes against what is already experienced That is a
consumer will not change his habits unless sufficient and convincing reasons are provided to
him or her for shifting over Instead Mr. Chibba Rajan should have said that products that assist
consumers functionally and psychologically are the ones that achieve success "Brand Equity”
refers to "a set of assets and liabilities linked to brand, its name and symbol that add to or
subtract from the value provided by the product or service to a firm and or that firm's
competitions" as clearly defined by Professor Arnold
 The brand's assets can be categorized into the five groups as listed by Professor David
A. Aakar namely

(1) Customer loyalty

(2) Brand name awareness

(3) Brands perceived quality

(4) Brand association in addition to the perceived quality and

(5) Other proprietary brand assets like patents, trademarks, channel

relationships.

Differentiate Packaging from Labelling

Packaging is important because it physically protects the product while also visually presenting
it to attract consumers.

Packaging can be understood as the range of activities associated with the designing and
manufacturing of an appropriate package, i.e. container or wrapper for the product, which is
used to protect, transport promote, store and identify the product.

●​ Safeguards and contains the product.

●​ Acts as a physical barrier for the product.

●​ Contributes to the product's physical appearance and presentation.

●​ Attracts consumer attention.

●​ Ultimately influences buying choices.

Labeling is important as it provides essential information and messaging directly on the

product, enabling consumers to make informed purchasing decisions.

Labelling is mainly used to provide all the relevant information about the product to the customer
such as quality, quantity, features, price, product name, producer name, contents of the product,
batch number, manufacturing and expiry date, instructions for use, storage and disposal, legally
mandated information, quantity, weight, barcode, etc.

●​ Provides facts about the product (ingredients, usage guidelines, branding).

●​ Includes necessary legal information (barcodes, safety warnings).

●​ Delivers targeted information and messaging.

●​ Helps customers make informed decisions about the product.

●​ Informs consumers.

●​ Ultimately influences buying choices.