The structure of the product has the following elements:
- Depth
- Width
- Consistency.
(1) Depth: The depth of product mix refers to the average number of items offered by the company within each product line. In other words, the depth is measured by assortment of sizes, colors, models, prices and quality offered within each product line.
(2) Width: By width of the product mix is meant the number of different product lines found within the company. In other words, breadth is measured by the number of product lines carried. For example, Bajaj Electricals manufacture bulbs, fluorescent lights, mixer and grinder, toasters, scooters, pressure cookers and a host of other electrical appliances.
(3) Consistency: The consistency of product mix refers to how closely related to the various product lines are in terms of consumer behavior, production requirements, distribution channels or in some other way. For example, the products produced by the General Electric Company have an overall consistency in that most products involve electricity in one way or the other.
Kotler stated that all three dimensions of product mix have a market rationale. By increasing the width of the product mix the company hopes to capitalize on its good reputation and skills in present markets. By increasing the depth of its product mix, the company hopes to enlist the patronage of buyers of widely differing tastes and needs. By increasing the consistency of its product mix, the company hopes to acquire an unparallel reputation in a particular area of endeavor.
The dimensions of the product mix, and the way in which they relate to each other are important for marketing management. Changing the product item involves the issues whether to modify, or add or drop product items. Changing the width of product mix involves altering policy at the product line level, whether to deepen or shorten an existing product line. Changing the product mix involves the issues what markets the marketer should enter or leave, and how to handle promotional communication for the various product lines or items.
Know more about the structure of product mix only at the University Canada West, one of the best universities in Canada, offering various business and management related programs.
|