Explain how a marketer delineates among durable goods, nondurable goods, and services when planning an appropriate market-mix strategy. Describe the strategies used for the different types of good 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, nondurable goods, and services).
Human Resource Management
Marketers consider durable goods as those that have longer usage & lifespan, those bought less often, and those that require a higher consumer investment during a purchase. The profit margins for each good are also important consideration in durable goods. This is what marketers use to delineate them from among other types of goods. Examples of durable goods include cars, refrigerators, Televisions, and other goods. When planning an appropriate market-mix strategy for durable goods, the marketer must consider approaches that allow close contact with consumers. As such, personal selling is the more preferable promotion method. Pricing is flexible and allows for a variety of options such as credit terms and discounts. The marketer earns large margins for every single sale.
Non-durable goods are those that have a shorter lifespan or are consumed in one go. They may last for a few uses before they become exhausted and the consumer have to make another purchase. Thus, the delineating factors that marketers use are the product’s lifespan or longevity, number of uses, frequency of purchase, and the margins expected from the sale of each product. Examples include soap, toiletries, food, and other goods. The marketer applies a wide market coverage strategy. In this strategy, a large number of convenient retail outlets help in moving the product to the consumer. The marketer makes small profit margins for every sale.
Services refer to the intangible activities that satisfy particular needs among consumers. Services are personal in nature. Examples include medical treatment, teaching, insurance, banking, and others. The personal nature of services enables the marketer to delineate services from the other types of goods. The market-mix strategy aims at building trust with the customer. The marketer aims at delivering the best services and at the most appropriate price.
Two examples of durable goods for the consumer market are refrigerators and cars. These goods should last for a relatively longer period. The consumer makes purchase less frequently while the marketer makes high profit margins for the sale of each item. Durable goods for the industrial market include computer systems, machinery, office furniture, and others. These are applied in the industrial market and should last for a long period. Nondurable goods for the consumer market include clothes and different type of foods. These are purchased frequently and have a shorter lifespan. Nondurable goods for the industrial market include raw materials such as gas, steel, timber, and others. Examples of services for the consumer market include teaching and insurance. On the other hand, examples of services for the industrial market include accounting and legal services, security and others.