2014 productline mgmt
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Product-Line Management
Dr. Sanjay Patro
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Role of a Product Manager
Managing Current Products
Planning for New Products
Managing Internal Coordination to obtain specific product objectives (Volume, Value and Profit )
Sole person responsible for the health of the Product
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Key Elements In the Evaluation of Product-line
1. Sales Benefits From Greater Variety
2. Role in expanding the customer base
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Can you think of cases where new variants / new services have expanded markets significantly?
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4. Fixed Costs Associated With the Line Extension
5. Cannibalization Effect
6. Complementarity Effect
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What happens when a firm does not act
quickly in terms of launching variants?
Anticipated Lost Sales From Inaction
Case of Intel
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FMCG s like Food Products, Biscuits, Confectionaries.
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In Banking/Insurance sector what is
the cost of a lengthy product line?
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What are the problems of a lengthy Product-line?
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Pitfalls of a Lengthy Product-line
Weaker Line Logic
Lowers Brand Loyalty
Costs of Over-extension can Remain Hidden
Jeopardizes Trade Relations
P&G
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Range Management
Builders
Parasites
Wobblers
Product-line auditing
Product-line Pruning
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Rollout of Intergenerational Products
Pricing of those –Case of PS3, Xbox 360,Wii
iPhone 4
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April 20, 2023 Sanjay Patro 17
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April 20, 2023 Sanjay Patro 18
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Product-line strategy is a time based conditional plan for the sequence of developing products within a product-line.
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Purposes of a Product-line Strategy
Defines product variations aimed at specific market segment coverage
Provides a blue print for branding the diff.
variants
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Schedules the rollout of the product within
a product-line
Provides guidance to product development
teams
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Thank You