Product Classification

Product classification can be done in a variety of perspectives

1. Consumer-Goods ClassificationClassified on the basis of shopping habits

2. Durability and Tangibility

3. Industrial-Goods ClassificationClassified in terms of their relative cost and

how they enter the production process

Inexpensive, frequently purchased. Little effort needed to purchase them. Staples, impulse and emergency goods. Ex. Milk, Bread, Eggs, Umbrella, Sweaters,

Jackets etc.

Convenience Goods

Not as frequently as convenience products. Costly Consumer does research before purchase Eg. Washing Machine, Fridge, Interiors

(Wood, Steel, Modular Kitchens)

Shopping Goods

Unique features Consumer is prepared to pay a premium

price

Ex. Luxury cars, Expensive paintings etc.

Speciality Goods

Goods that the consumer does not know about or does not normally think of buying, and the purchase of which arises due to danger or the fear of danger and lack of desire.

The classic examples of known but unsought goods are funeral services, encyclopaedias, fire extinguishers and reference books.

In some cases even an airplane/helicopters can be cited as examples of unsought goods. 

Unsought Goods

1. Non-Durable Goods: Tangible goods consumed in one or few

uses Purchased frequently Strategy : availability, low priced, heavily

advertised

Durability & Tangibility

2. Durable Goods: Tangible goods that survive many uses Require more personal selling and service Higher margins and requires seller

guarantee

Intangible products Requires more quality control and credibility

Services