What is product

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It is a market strategy of giving a new name, symbol, or change in design for an already-established brand. The idea behind rebranding is to create a different identity for a brand, from its competitors, in the market. Description: There are several reasons for a company to go for rebranding. One prominent factor is t. Choose your reason below and click on the Report button. This will alert our moderators to take action. Nifty 18, Zomato Ltd. Market Watch. ET NOW. Brand Solutions. Video series featuring innovators.

ET Financial Inclusion Summit. Malaria Mukt Bharat. Wealth Wise Series How they can help in wealth creation. Honouring Exemplary Boards. Deep Dive Into Cryptocurrency. For some teams, this can be a rather fundamental question. After all, an organization cannot identify appropriate product owners, teams and roles without first knowing what its products are.

And if there is to be one product backlog per product, we need to know what our products are before creating a product backlog for each. For example, a watch manufacturer might think of each item they sell as a product. But even that could be oversimplifying things. And, some organizations have a much harder time identifying products.

Take for example, an airline. A few years back, I was doing some work with an airline when the question of what is a product came up. Some people in the company argued that an airline does only one thing: move people from one location to another.

They argued, therefore, that despite the company having over 40, employees, there should be only one product. Others argued that there were many products within the airline. They also had a system for monitoring and scheduling aircraft maintenance. And another that allowed crew members to select the flights they wished to work based on seniority. I define a product as something physical or not that is created through a process and that provides benefits to a market.

From that, a chair would be a product. Microsoft Office would be a product. Agile consulting services would be a product. A painting would be a product. A product can be a something physical the chair.

It can be a digital product Microsoft Office, an ebook or streaming videos. It also can be a service consulting on how to adopt agile. A product can even just be an idea a patentable algorithm or the secret to getting more right swipes on Tinder.

Each of these is created through a process or, more generally, one or more activities. Someone milled and assembled the chair. Microsoft Office was designed, coded and tested. The process that creates a product does not need to be formal or defined. The creators may not even be aware of the process. But some form of activity goes into creating every product. A product can exist within another product. A pen, for example, may have replaceable ink cartridges. A product can be physical or virtual.

Physical products include durable goods such as cars, furniture, and computers and nondurable goods such as food and beverages. Virtual products are offerings of services or experiences such as education and software. A product may be a hybrid and include both physical and virtual elements. Hybrid products are becoming more common, as traditionally analog products are incorporating digital technology as a way to better reach and serve customers.

Software can be considered both a product and a service. You can purchase a physical version of the software and install it on-premises, which is what was traditionally done. Many software products today are sold virtually.

This where the term software-as-a-service SaaS originates. This approach uses a web-based delivery model and customers pay a monthly or annual subscription fee to access the software. There is likely someone who is responsible for planning and maintaining a product throughout its lifecycle. This is often the product manager. The role of product management in technology companies is to think holistically about the customer experience.

This is because customers decide what they think and how they feel about a product based on the total set of interactions they have with a company — providing a good product at a competitive price is not enough to earn long-term loyalty. There are many additional ways to classify products. In this guide, we are going to focus on a few areas, including customer type, purchasing behavior, business products, and industry. You can start by splitting products among two major customer types — consumer and business.

Products are commonly categorized as business-to-business B2B or business-to-consumer B2C based on which type of customer they serve. There is a third category called B2B2C. This is where a company targets the consumer market via another business. OpenTable is an example of a B2B2C product. The company sells its online reservation booking software directly to restaurants, but it is used by consumers looking for available dining options.

A company can have both consumer and business customers, but understanding how each type of buyer will purchase and use a product is foundational to your product and marketing strategy. Consumer products are commonly further categorized by purchasing behavior. Each type of product has a distinct set of characteristics that influences the way customers buy them.

The table below explains the four major product classifications and the impact of technology on consumer behavior. Convenience products are purchased frequently and with little planning or effort. This type of product is widely available, easy to obtain, and typically has a low price.

Shopping products are purchased less frequently than convenience products and have a higher price. Buyers compare attributes such as quality, style, and price before making a purchasing decision. Widespread access to the internet makes it easier for customers to learn about a product, compare alternatives, and determine if it is the right product to meet their needs and wants. A specialty or niche product has features that appeal to a specific group of customers.

In technology, this category includes vertical market software such as real-estate or banking applications. This type of product requires more targeted promotion to reach the right people. Digital marketing approaches provide new ways for companies to successfully reach and engage specific target audiences.

Products that have little or no proactive customer demand are called unsought products. This category includes new products and products where the direct benefit to the customer is low. Because customers do not perceive a need for these products, the offer and its benefits must be directly promoted to potential customers to generate interest. New technology products focus on innovators and early adopters to gain momentum and influence others.

Business products on the other hand help companies create their own products or operate their business. Examples of business products include raw materials, equipment, component parts, supplies, and business services. Business software is used by companies to support key business functions. Examples of business applications include accounting, customer relationship management CRM , human resource management, and strategic planning software. Business applications are further categorized by the size of the company — small and medium businesses or enterprises.

Products are also described by the industry they serve. Industries are broad categories such as energy, healthcare, financial services, or information technology. However, the definition of product does not only involve tangible goods such as a car, a fridge or a phone.

The definition of product must be extended to include intangible objects as well, because they can be offered to a market as well. Therefore, the broad definition of product includes services, events, persons, places, organisations or even ideas. Thus, the definition of product leads us to a broad range of things: a car, a phone and a coffee can be a product.

But so can a trip to Paris and an advice from your doctor. Learn more about what a product is and different product types here. Special attention should also be given to the definition of service.