# Chapter 6 Offering and Branding

## 6.1 What Composes an Offering?

### 6.1.0 Definitions

**Offerings:** Products/services delivering value to fulfil customer needs and wants.

-   **Product:** Tangible items delivering specific benefits.
-   **Service:** Adds value through intangible elements like warranties, delivery, or customer support.
-   **Price:** Cost paid, often considered alongside TCO
    -   **Total Cost of Ownership (TCO):  **The complete cost of owning a product or service, including the purchase price, maintenance costs, and any additional expenses over time.

### \*6.1.1 Product-Dominant and Service-Dominant

| **Aspect**               | **Product-Dominant Approach**                                | **Service-Dominant Approach**                                |
| ------------------------ | ------------------------------------------------------------ | ------------------------------------------------------------ |
| **Focus**                | Creating **better products at lower prices**                 | Integrating product, price, and service for better **customer experiences** |
| **Customer Perspective** | Product is the central focus; customers choose based on **quality and price** | Prioritizes **customer experience and value** over individual components |
| **Key Emphasis**         | Innovation and cost competitiveness                          | Seamless integration of offerings and customer satisfaction  |
| **Key Point**            | Product-focused thinking                                     | Encourages brands to think like customers                    |
|                          | 物品本身                                                     | 综合体验                                                     |

### 6.1.2 Technology Platforms and Product Lines

-   **Technology Platform:** Core technology used to create a product.
-   **Product Line:** A group of related products built on similar platforms.

### 6.1.3 Product Depth vs. Breadth

-   **Product Depth:** Number of **variations** in one product line.
-   **Product Breadth:** Number of different **product lines** a company offers.

## \*6.2 Types of Consumer Offerings

-   **Convenience Offerings**: Low effort, frequent buy, little brand differentiation.
-   **Shopping Offerings**: Require comparison between brands.
-   **Specialty Offerings**: Highly exclusive, specific preferences.
-   **Unsought Offerings**: Not actively sought by consumers.

## \*6.3 Types of Business-to-Business (B2B) Offerings

-   **Capital Equipment:** Long-lasting <u>tools</u> or machinery.
-   **Raw Materials:** Basic <u>resources</u> for production.
-   **OEM (Original Equipment Manufacturer) Offerings:** <u>Components</u> used in the final product.
-   **MRO (Maintenance, Repair, and Operations) Offerings:** <u>Maintenance</u> supplies for operational upkeep.
-   **Facilitating Offerings:** <u>Non-product services</u> like banking, logistics.

## 6.4 Branding, Labeling, and Packaging

### 6.4.1 Branding Strategies

#### 6.4.1.0 Definitions

-   **Brand:** A *brand* is a name, picture, design, symbol, or combination that identifies a company’s offering and differentiates it.
-   **Branding Strategies:** 
    Supporting an organization’s position.
-    **Brand Extension:**
    Using an existing brand to market new products.
-    **Cannibalization Issue:**
    New products may reduce sales of older ones.

#### *6.4.1.1 Branding Strategies

| **Branding Strategy**   | **Description**                                              |
| ----------------------- | ------------------------------------------------------------ |
| Brand <u>Differentiation</u> | Focus on unique features to stand out.                       |
| Emotional Branding      | Build emotional connections through storytelling.            |
| Personalized Branding   | Create customized, individual experiences.                   |
| Co-Branding             | Collaboration between two brands to create value.            |
| Consistency in Branding | Maintain uniform logo, messaging, and tone across platforms. |
| Social Responsibility   | Align with ethical or sustainability principles.             |
| Luxury Branding         | Emphasize exclusivity and premium quality.                   |
| Nostalgic Branding      | Tap into past trends or memories.                            |
| Rebranding                 | Refresh identity to align with market trends.          |
| Cultural or Viral Branding | Use trends/social media to engage customers.           |
| Cause-Driven Branding      | Associate with specific social causes or movements.    |
| Celebrity Endorsements     | Partner with celebrities or influencers for promotion. |
| Storytelling               | Share compelling stories to inspire and connect.       |
| Global Branding            | Use consistent identity across international markets.  |
| Experiential Branding      | Create unique, customer-engaging experiences.          |

### 6.4.2 Packaging

#### 6.4.2.0 Definitions

-   Packaging plays a critical role in **protection, promotion, and branding**.
-   Real-world examples show how packaging innovation creates a **market advantage**.

#### *6.4.2.2 Key Packaging Functions

-   **Protects the Product:** Prevents damage, contamination, or leaks during transportation and storage.
-   **Supports In-Store Display:** Creates attractive store setups and promotions.
-   **Communicates the Brand:** Logos, colors, and other branding elements capture attention.
-   **Meets Regulations:** Displays required labels or warnings.

#### *6.4.2.3 Types of Packaging

-   **Primary Packaging** *(Direct for Consumers)*
    -   Holds a single retail unit (e.g., Coke bottle, M&Ms bag, ream of paper).
    -   Functions: Protect, promote, get attention, and provide instructions.
-   **Secondary Packaging** *(For Retailers)*
    -   Contains multiple units (e.g., a case of Coke or M&Ms).
    -   Functions: Protect and support wholesale logistics.
-   **Tertiary Packaging** *(For Shipping)*
    -   Bulk-level packaging (e.g., products stacked on pallets and wrapped in plastic).
    -   Function: Efficient handling and mass transportation.

-   **Sustainable Packaging:** Materials and methods that minimize environmental impact.
-   **Cultural Packaging:** Design elements influenced by cultural preferences and traditions.

## 6.5 Managing the Offering

## 6.6 Discussion Questions and Activities

