The following story is intended to help small business owners navigate some of the trickiest aspects of managing their business. Product mix is defined as the set of all products and items that a particular seller offers for sale. A product line refers to a unique product category or product brand a company offers. A product mix is a group of everything a company sells. There are three approaches to stretching the product line, namely. Product mix decisions width, length, depth and consistency. The length of a product mix refers to the total number. Mar 14, 2020 the width of the product mix is equal to the number of product lines within a company. Retailers carry a mixture of products to satisfy various customers. A product mix is also referred to as a product assortment. The example of nike product line includes, footwear, apparel and sports equipment and every product line have similar products what is product mix. The development of the term constituted a step forward in the classification of interrelated marketing efforts. The total assortment of products and services marketed by a firm. A product mix is whole selection of product lines you offer.
A product line is too short if profits can be increased by adding items. Product mix planning is important aspect of companys overall strategy. The product mix of a company is generally defined as the complete set of all products a business offers to a market. Product line and product mix have direct relationship. The depth of the product mix refers to the total number of products within a product line. In each product group, a number of varieties are offered.
In section 2, we give a short introduction to software product lines using a running example and we present an overview on important software analysis that have been applied to soft. For example product mix of bajaj company has more than 100 items in various product lines, such as fans, bulbs and tubes, heaters, motorbikes, shooters, richshow, processing machines, and many other ranges. Pepsico product line delopment is closely relates to product mix because when product line is big then company product mix also developed. Diversifies risk and capitalizes on established reputations. However, the product line is a subset of the product mix. Product line is too short if profits can be increased by adding items to product line. Aug 03, 2014 discuss different productmix and productline strategies.
Thus, taking the above example, if there are 4 product lines within the company, and 10 products within each product line, than the product line width is 4 only. With an understanding of the product mix, businesses can develop a strategy to reach their. Here i am mentioning three most common definitions of product mix. For instance, the product mix of colgate consists of three product lines. The product mix is the variety of products a company produces or sells to the marketplace. Product mix product mix is the entire collection or assortment of products or product lines offered by an organisation. Product mix and product line understanding product.
A product line is a set of related products sold by a single company. For instance, colgate toothpastes come in several tastes and variations. Product mix or product assortment is a set of total number of products lines that a seller offers in the market to its. Product mix pricing strategies in marketing study lecture notes. A product line is a group of products that are closely related because they function in a similar manner, are sold to the same customer groups, are marketed through the same types of outlet, or fall within given price ranges. It refers to the total number of items in all the product lines in product mix.
The products in the product line can come in various sizes, colours, qualities, or prices. The next one of the product mix decisions is the product mix depth. In comparison to product bundling, which is a strategy of offering more than one product for promotion as one combined item to create differentiation and greater value, product lining consists of selling different related products individually. The breadth of a product mix shows the different kinds of product lines that firm carries. Thus, product line width is a depiction of the number of product lines which a company has. Product mix changes are frequently made for purposes of diversification. Stretching the product line the marketing study guide. Evaluate your product mix to increase your bottom line. Oct 02, 2017 this is where the concept of product mix and product line decisions occur, this article clearly explains the differences between product mix and product line in a detailed manner along with examples. The basic product policy strategy issues at the product line level cluster around the following questions. A product line is a group of products that are closely related either because they satisfy a class of need, are used together, are sold to the same customer groups, are marketed through the same type of outlets or fall within given price ranges. Simply, it shows the number of items in the product line.
A product line is a group of closely related products with similar functions, customer groups, outlets and same price ranges. Apr 08, 2020 a product mix is a group of everything a company sells. Analysis strategies for software product lines 3 we refer the reader to a recent survey benavides et al. A product line is a group of products that a company creates under a single brand. Product mix, branding, packaging, labeling, warranties, customer service. Jan 26, 2019 a product line is just a group of related products from a single manufacturer, like the cars on a dealers lot or the shampoos at your hairdresser. Product mix is the totality of all product lines and individual products sold by a company. The products are similar and focus on the same market sector. Maybe their function or channel distribution are the same or similar. In modem times on producer or distributor or retailer deals in a single product. Product strategy and product mix of britannia september 17, 2015 october 12, 2015 posted in product mix, product strategy a product is anything that can be offered to a market to satisfy a want or a need,including physical goods and services, experiences,persons,events,places,properties,organisations,information and ideas.
In order to analyse each product line, product line managers need to know two factors. Product mix or product assortment is a set of total number of products lines that a seller offers in the market to its buyers. As the organization can have a number of different types of products, it will have similar number of product lines. Product characteristics and marketing strategy 19 the term marketing mix suggests a relationship between interacting, elements. Number of different product lines carries by the company. The product mix sometimes called product assortment is made up of both product lines and individual products. It is collection of products manufactured or distributed by a given company. The product mix is the full list of all products offered for the sale by the company. What is product mix width product mix refers to the full range of products a company makes. Some companies have thousands of different products in their mix. For example, patanjali deals in different categories of products which include shampoo, flour, toothpaste, etc.
Nov 08, 2016 the product mix represents the collection of different products that a business offers its customers. Sep 27, 2018 as said before, a product strategy helps you prepare for the future of the product and to give the right targeted direction to the product. A product mix has certain width, length, depth and consistency the width of a product mix refers to how many different product lines the company carries. A good understanding of product mix is a key element of marketing management. A product line is a group of related products under a single brand sold by the same company. Product mix expansion is achieved by increasing the depth within a particular product line i. What is product line, product mix, line extension, line width. Although more is becoming known about the relationships among elements of the marketing mix. Each of these product lines, in turn, consists of several sublines. Product items, lines, and mixes flashcards quizlet. This dimension of the product mix represents the extent to which the activities of the firm are diversified. When you have a combination of multiple products and various product mixs, the product strategy becomes very critical to make sense and to have the right tactics up your sleeve for each product. Companys objectives also influence product line length. The product line manager typically select one or few items in the line to feature.
A product line often evolves, as manufacturers want to take advantage of a brands value and the success of other products in the mix. Each of these would be considered a separate product line and under each product line they could offer a broad range of different products designed for different needs. Get an answer for please tell me the example of product line, product mix, product extension and product filling of the particular company. As another example, if cocacola was to introduce some form of high quality gourmet soft drink that sold at very high prices, this would be also considered stretching the product line as they would be offering a premium product for the first time. What is product line, product mix, line extension, line. Managing product line and product mix free download as powerpoint presentation. That is if a company has 5 product lines and 10 products each under those product lines, the length of the mix will be 50 5 x 10.
The product strategy and mix in zara marketing strategy can be. Thus, product mix means total number of products items offered by the company. Width is one of the ways marketers describe the extent of a companys product mix. Line modernizing, featuring and pruning product line need to be modernized. The product line generally refers to a type of product within an organization. Product mix product mix is the entire collection or assortment of. This is where the concept of product mix and product line decisions occur, this article clearly explains the differences between product mix and product line in a detailed manner along with examples. Total number of items in the product mix of the company. An organisations product line is a group of closely related products that are considered a unit because of marketing, technical or enduse considerations. Product strategy and product mix of britannia britannia. Product line analysis is part of product line development.
Feb 06, 2019 a product line is a group of products that a company creates under a single brand. Discuss different productmix and productline strategies. Ch8 managing products, product lines, brands, packaging. Microsoft corporations marketing mix is a showcase of how rapid innovation combines with effective approaches to maintain a strong share of the market. Although product mix problems are seldom encountered in their simple textbook form in practice, they very frequently constitute important. A product line is a related set of products offered by a firm. Important and complex decisions are also made at the product line level, which tend to determine the length of a companys product mix. A product line is just a group of related products from a single manufacturer, like the cars on a dealers lot or the shampoos at your hairdresser. Companies sell multiple product lines under their various brands. Jun 27, 2012 line modernizing, featuring and pruning product line need to be modernized. Product line group of products that are closely related because. Before proceeding towards the main topic product mix pricing strategies in marketing first you should be aware of this common marketing terms product mix or product portfolio. For example, hmt company produces watches, machines, tractors, plants, tools, and equipments, and many other products.
Product mix width, length, depth, consistency with examples. As discussed in another article on this website, firms will have sets of products in what is known as a product line. Perhaps their physical attributes, prices, quality, or type of customers are the same. It is the full range of products offered by a firm. For example, apple offers computers, smart phones, tablets, mp3 players, smart watches, and online services. In offering a product line, companies normally develop a basic platform and module that can be added to meet different customer requirements. Product line product line refers to a group of products that function in a similar manner, sold to the same customer groups via same distribution channels and fall within the same price range. The product mix represents the collection of different products that a business offers its customers. Eliminating existing products items from an established product line due to being obsolete, declining sales, and new product line direction. Product line is too long if profit can be reduced by dropping items from product line. It refers to the number of versions offered for each product in the product line. Product mix breadth breadth the number of product lines an organization offers i.
In rapidly changing product markets, modernization is continuous. Product mix a product mix is the set of all products and items a particular seller offers for sale. The product mix, also called product portfolio, is the set of all product lines and items that a company offers for sale. The company may have one or several product lines and each product. A product line is a group of products that are closely related to each other. Product mix and product line understanding product length. Jun 25, 2018 the example of nike product line includes, footwear, apparel and sports equipment and every product line have similar products. A group of individual products that are closely related in some way. Hence, normally done by persons with experience with understanding of market oriented strategic planning. Managing product line and product mix business market. Marketing mix of zara analyses the brandcompany which covers 4ps product, price, place, promotion and explains the zara marketing strategy. Productmix is the composite of products offered for sale by a firm or business unit.
1171 269 61 475 1133 829 1006 700 127 1470 336 1144 604 925 193 315 605 460 893 942 771 504 448 577 437 779 1282 487 221 1090 1231 626