Product Levels in Marketing, Definition, and Examples

Product level in marketing - Product level is a term used to classify a product based on the uses and benefits of the product. This is done to make it easier to develop a marketing strategy so that it can be more targeted. The level of a product certainly really needs a hierarchy that will be very useful for determining the positioning of a product to be marketed. You should also note that for a product level it is very different from the product life cycle commonly called the product life cycle.

Examples of Product Levels in Marketing

An example of the easiest product level is an analogy of buying a Smartphone. Of course, when you want to buy a Smartphone, the first step you will take is to look at the features of the Smartphone first. So that is what is called the level of a product.

This example is an illustration of a product level. And in the following, we will provide the following types of product levels in complete marketing. With an analogy when buying property.

1.Core Benefit or Main Benefits

Core benefit is the most basic benefit of a product. A product that promotes its product level in the core benefit. Usually, it will have a segment in the form of a more competitive price. For example, a property where the core benefit only offers a simple residence, the most important thing is that it can be used as a suitable place to live. By using such a positioning method, a property will be marketed at a very affordable price.

2.Basic needs

The basic need is a core benefit that you can choose from. So basically it has a basic benefit but several alternative options can be offered as well. However, customers, in this case, can certainly compare the products offered. When buying a property, the basic need for buying a property is about the location of the property. For example, from the same type of property, customers are still able to choose in which location the property will be selected.

3.Hope Products

The product of hope is a product that is based on a desire to own the product. Simply put, the product chosen will usually approach the imagination or expectation of a customer. For example, you want to buy or sell a property, and you have already imagined the distance from your house. , the width of the house, the design of the property. This product of hope can also be interpreted when you start doing a home renovation from standard to what you want.

4.More Value or Augmented Product

An augmented product is a product that is expected to be added with other values to make a customer more interested. The augmented product is a positioning that is most often done for products to be more innovative. Because a product that has innovative will be considered to have more value than a product. Products that have been on the market for a long time. Because most people want a product that is fresh and has more value.

An example of augmentation in purchasing a property is from the facilities provided beyond what is expected. Providing a complete facility, the design of a beautiful building, and adding a guaranteed security system is part of the product augmentation for a property.

5.Future Products or Potential Products

A potential product has a meaning that the product is hope in the future. This type of product will of course depend on how a marketing person can make customers more confident that the product has an investment value in the future.

A simple example is buying a property to be used as an investment for the long term. The purchased property is believed to be able to provide an advantage in the future. Not infrequently the purchased property is not directly occupied by the owner but is used as an investment item only. 

Thus the article is about product levels in marketing, understanding, and examples. Hopefully, the information we provide can be useful for all of you.

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