What is product mix?
Product mix, also known as product assortment, refers to the total number of product lines a company offers to its customers. For example, your company may sell multiple lines of products. The four dimensions to a company’s product mix include width, length, depth and consistency.
What is product line and product mix decisions?
These are: width, length, depth, and consistency. The first of the product mix decisions refers to the product mix width. The width is all about the number of different product lines the company carries. It refers to the number of versions offered for each product in the product line.
Why are product mix decisions so important?
Your product mix is important in determining the image of your business and brand, as it helps you to maintain consistency in the eyes of your target market. For instance, if you’re a discount retailer, your target market likely consists of economy-minded shoppers looking for low prices.
What do you mean by product mix decision?
Product mix decision refers to the decisions regarding adding a new or eliminating any existing product from the product mix, adding a new product line, lengthening an existing line, or bringing new variants of a brand to expand the business and to increase the profitability.
Is product line and product mix the same?
Product Mix vs Product Line A product mix is a group of everything a company sells. However, the product line is a subset of the product mix. A product line refers to a unique product category or product brand a company offers.
Why is product line important?
A product line is a set of related products which are sold to consumers under a sole name or brand. Product lines are important for three primary reasons: familiarity, product and brand diversification through market penetration, and created value.
What are the four dimensions of product mix?
Four important dimensions of a product mix can be identified. These are: width, length, depth, and consistency. The first of the product mix decisions refers to the product mix width. The width is all about the number of different product lines the company carries.
Who decides product mix?
Product marketers must decide what products will be offered (i.e., the breadth and depth of the product line ). The product line breadth is one of the four dimensions associated with a company’s product mix.
What do you mean by product mix?
A product mix consists of the various product lines that are offered for sale by a particular seller.
What is product mix strategy?
The product mix is the collection of products and services that a company chooses to offer its market. Pricing strategies range from being the cost leader to being a high-value, luxury option for consumers.
What is an example of a product mix?
Product mix, also known as product assortment, refers to the total number of product lines a company offers to its customers. For example, your company may sell multiple lines of products. Your product lines may be fairly similar, such as dish washing liquid and bar soap, which are both used for cleaning and use similar technologies.
What is consistency in product mix?
Consistency. The consistency of product mix refers to how closely associated the products in the same product line are to each other, in terms of their use, production and distribution. A business’ production mix could be very consistent in distribution, yet extremely different in other areas such as use.