To
understand what a product mix is I shall first define a few terms that
constitute the definition of a product mix.
Product family: All the product classes that can
satisfy a core need with reasonable effect.
Product class: A group of products within the
product family recognized as having a certain functional coherence. This is
also known as product category.
Product Line: A group of products within a product
class that are closely related because they perform a similar function, are
sold to the same customer groups and are marketed through the same outlets or
channels and fall within a given price range. A product line may consist of
different brands.
Product Mix: “The full set of products offered for
sale by an organization. The product mix includes all product lines and
categories. It may be defined more narrowly in specific cases to mean only that
set of products in a particular product line or a particular market”
---AMA
A product
mix has a certain width, length, depth and consistency.
Width: The width of a company's product mix
pertains to the number of product lines that a company sells. For example, if a
company has two product lines, its product mix width is two.
Length: Product mix length pertains to the
number of total products or items in a company's product mix. For example, ABC
company may have two product lines, and five brands within each product line.
Thus, ABC's product mix length would be 10.
Depth: Depth of a product mix pertains to
the total number of variations for each product. Variations can include size,
flavour and any other distinguishing characteristic.
Consistency: Product mix consistency pertains to
how closely related product lines are to one another--in terms of use,
production and distribution. It is possible that a company's product mix may be
consistent in distribution but vastly different in use.
Since Frooti
is a brand which belongs to the company Parle Agro we can estimate the product
mix for Parle Agro and not Frooti. A product mix always pertains to a company
not a brand.
Based on the chart above we can ascertain the product mix for Parle Agro
Product mix width: 3
Product mix length: 12
We
can however ascertain the product hierarchy for Frooti.
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