Developing Marketing Strategies and Plans

Explain how a marketer delineates among durable goods, non-durable goods, and services when planning an appropriate market-mix strategy. Describe the strategies used for the different types of goods and services. Provide two (2) example products for the consumer market and two (2) example products for the industrial market for each category (durable goods, non-durable goods, and services).

Developing Marketing Strategies and Plans

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Developing Marketing Strategies and Plans

Differentiating Durable Goods, Non-durable Goods, and Services when Developing Market-Mix Strategy

The creation and communication of a brand largely focus on the emotional drivers of consumerism (Kotler & Keller, 2011). In the process of ensuring that products achieve success in the market, marketing professionals face a major challenge with constant changes in customer perceptions about products. In the modern, highly-competitive, and dynamic market, consumers look for more than just product quality when making decisions on what products to purchase. According to Kotler and Keller (2011), customers seek additional experiences and attributes in products, besides quality, as their incomes continue to rise. Most consumers want products that have an emotional impact on them. They also want to use brands that are reputable and want to feel good about the brands that they use.

Consumers want to buy products from companies that understand them and the needs that they have. They want to buy from companies that have shared values with them. Attributes such as tangibility and durability also come into play when making purchase decisions. Products can be divided into three categories based on their tangibility and durability – non-durable goods, durable goods, and services. Non-durable goods are tangible products. These products are consumed in a single or a few uses. Products such as juice and beer fall in this category. Non-durable goods are frequently purchased. Therefore, it is appropriate to adopt a marketing strategy that ensures that they are available in multiple locations, advertises them heavily to build preference, and charge a small markup (Kotler & Keller, 2011).

Durable goods are tangible products that can be used for many uses or a long period before they are used up. Products such as electronics, clothing, and machines are durable goods. Durable goods need a personal selling and service strategy which includes seller guarantees and a higher margin (Kotler & Keller, 2011). The last category of products is services, which are inseparable, intangible, variable, and perishable products. Services require more adaptability, quality control, and supplier credibility. They include banking, legal advice, haircut, and car repair services. Marketers delineate durable goods as products that do not get used up quickly or as products that last for long periods. They are tangible products that survive many uses and require more seller or producer guarantees, higher margin, and personal service and selling (Kotler & Keller, 2011).

When it comes to durable goods, consumers can buy them today but may also wait and buy them in the future. Also, when consumers buy them, they do not need to buy them again tomorrow (Agarwal, 2017). The demand for durable goods is driven by the expectations of future price changes and the level of patience of customers. Marketing professionals are controlled by the number of consumers that do not purchase a durable good in a certain previous period (Agarwal, 2017). Consumers will postpone buying durable goods if they expect future prices to be lower. Decreasing the price is the only way to persuade consumers to buy today. For services and nondurable goods, consumers cannot postpone buying since they are needed today. Having a competitive price is the appropriate strategy to attract consumers to purchase services and nondurable goods from your company.

References

Agarwal, P. (2017, August 2). Durable & Non-Durable Goods. https://www.intelligenteconomist.com/durable-non-durable-goods/

Kotler, P., & Keller, K. (2011). Marketing Management (14th edition). Prentice Hall.