Actual Product
This article covers meaning, importance & example of Actual Product from marketing perspective.
What is Actual Product?
Actual Product is the physical or tangible product which a consumer buys to get the core benefits that this product has in offering. Actual product is can be defined by its physical features, manufacturing quality, colors, style, branding, packaging etc.
Every product which is manufactured can be classified as the following three levels.
- Core product offers the actual benefit which the customer needs.
- Actual product includes elements like color, branding, packaging, quality, tangible features.
- Augmented product offers benefits like warranty, customer care, finance, delivery, installation etc.
Importance of Actual Product
The manufacturers keep in mind the core benefits before making the actual product. But since in almost every product category there is competition among the manufacturers, the companies usually differentiate their product from the rest. Some of the differentiating factors that the companies use are packaging, additional features, style, branding etc to attract the consumers to buy their product. Like in the case of the book the companies may differentiate themselves from the rest by providing a good quality paper, attractive cover, more colorful pictures in the book, a bookmark etc.
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Example of Actual Product
A few examples of actual product are as follows.
1. If the core benefit that a consumer seeks is reading then the content of the book is the core product. The physical or digital copy of book with the content is the actual product.
2. If a customer seeking for a benefit for long distance communication, telecom technology is the core product. The actual product here is the smartphone device which is a tangible device with features, branding, colors, quality etc.
Hence, this concludes the definition of Actual Product along with its overview.
Browse the definition and meaning of more similar terms. The Management Dictionary covers over 1800 business concepts from 5 categories.
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