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Problem

Distinguish among catalog items, custom-built items, custom-designed items, and services. Explain how marketing requirements vary across these classifications.

Step-by-step solution

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Step 1/2

Industrial products differ from consumer packaged goods firm. Industrial products lines are divided into four types; catalog products, custom- built products, custom- designed products and industrial services.

Step 2/2

The following are the product lines of industrial firms:

1. Catalog products – These products are offered based on certain configurations and anticipation of orders. The product line decisions concerning adding, deleting or repositioning of products comes under catalogue products.

For example, automobile spare parts are produced based on specifications and received orders.

2. Custom- built products - These products are offered with accessories and other options. Customers can make alterations to their requirements.

For example, the marketer provides with many facilities in a workstation from purchase to checkout rather than offering one single service.

3. Custom –designed products – These products are designed to meet the requirements of particular group of customers. A product can be a unique item made according to the company’s capability and the consumer buys it according to their capability.

For example, companies order small tools according to their requirement and specifications.

4. Industrial services – The Company provides services like maintenance, technical service to the consumer rather than offering the original product. Customers buy these services.

For example, services of repairs to machines and cars are offered to the customers.

Each product gives a unique problem to the business marketer. Product management can be described as management of capability. Therefore on the basis of the product category the marketing capabilities should be designed and offered to the customers.