Increased product

economic-dictionary

The augmented product is the level of a product where the consumer is offered services or benefits in addition to the basic and real product.

A product in general is a good or service that a company offers to satisfy a need. A consumer therefore finds in a product a set of benefits that help him to cover a need.

  • The augmented product contains a set of additional services and functions that add value to the good or service.
  • The more variables you add to a product, it will be easier to sell it, because when the consumer compares it with the competitor's proposals, they perceive it as something higher than expected.

How to achieve customer preference

To attract more buyers, companies can resort to hard selling or an augmented product.

Hard sell

Some companies to win more buyers in the market drastically reduce their prices, but this strategy only works in the short term.

  • By applying the hard sell strategy, they may buy once.
  • But if the product does not fully satisfy your needs, there is no buyback.

Increased product

If companies want to maintain a long-term relationship with their consumers, they use the augmented product strategy.

  • Because the more value they add to the product, the better it meets or exceeds consumer expectations.
  • This allows for a continuous buyback process.

What makes augmented product different

The increased or increased product has certain characteristics, added services or extra benefits that make the product appear completely different from the proposals of other sellers.

  • The basic product, the only thing that it achieves is to cover the minimum conditions of the consumer, but the increased one provides extra benefits. These benefits only give you a competitive advantage in the short term. Since over time the competition equals or exceeds these added values.
  • The moment they are matched, they become common benefits expected in a product, which forces constant innovation programs to be maintained for companies that want to be in a privileged position within the market.

Benefits of an augmented product

Among the additional benefits that we could find in an augmented product, we can mention after-sales services and guarantees.

After sales service

It involves following up after the purchase of the product, which implies not only giving assurance to consumers that they will have availability of parts, maintenance and repair services.

It is also necessary to establish a psychological bond with the client so that they feel calm and sure that they will be able to obtain what they need, if the product presents any difficulty in its use or operation.

After-sales service variables that make an augmented product

Involve the consumer or customer in the development of the product:

Companies take into account the requirements of customers and consumers, managing to create an increased product. Not only because the customer feels important in the decisions of the company, but also because the products respond better to the needs of the consumers.

Create a superior experience in the consumption of the product:

Giving an accompaniment in the after-sales service, which makes the customer feel special and important.

Technical support for the use and consumption of the product:

If a technician from the company teaches the consumer to use their product, the consumer will be able to maximize its functionality, because it will make the most efficient use of it. Some consumers do not take full advantage of a product because they do not know how to use it. It means that some products if not used properly do not produce all the expected benefits; And in the event that the product does not work properly, you can also find a solution.

Sometimes the after-sales service is provided by the distributor, for that reason it is important to find good intermediaries so that they continue to maintain the level of quality and efficiency of the product.

In these cases, the distributor is the one who receives the consumer's claims and requirements. In other words, the image that is maintained of the product will depend on the distributor's response, which could be positive or negative.

Warranty

It is the endorsement that a company gives a user about its product or services, this can be of various types such as guarantees

  • Good performance: It means that the product works as it says it works.
  • Maintenance: It is when the company undertakes to provide routine services so that the products perform correctly.
  • Product availability: The consumer is sure that they will always find the product at their disposal, which gives them peace of mind, especially if they are an institutional client and use this product as an input or raw material.
  • Parts supply: Especially when the user acquires a durable product, he needs to be sure that he will find the necessary parts and spare parts when required.
  • Repair: If the product breaks down during the estimated period within the warranty, the consumer is assured that the company will make the product work and will not lose their money.
  • Refund: It is the most important that a company can offer, since it undertakes to return the money, if a consumer does not like its product.

Guarantees that can exceed expectations

If you want to captivate the consumer, guarantees such as the following could be applied:

  • As long as the person owns the product
  • For unlimited time
  • Lifetime maintenance service
  • Composure at no additional cost
  • No need for justification

In summary, what we have seen in an augmented product is to put into practice all the creativity of the company, to give its consumers a superior delivery; which will make the customer see that what they receive far exceeds their expectations. In addition, it gives you the feeling of security and reliability towards the company, the brand and its products; which will affect a loyalty relationship for a very long term.

Tags:  comparisons finance bag 

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