Posted in Marketing and Strategy Terms, Total Reads: 1898
Definition: Core Product
Core products are a company's products which are manufactured from the company’s core competencies. These core products are then integrated into other products by the same company or a company which produces the main end product from this core product and the end products are marketed to the end consumers.
In other words a core product is the main product which is made by the company for the customer.
A company’s performance will depend on the core product. They make most of the profit from the sales and success of this core product around which they build the other end products. The profitability of the core product becomes an important factor since it determines the profitability of the business.
Pepsi Cool drink
Generally core product gives the main benefit of the product. But many more things are added to it to add value to the product. This leads to the conversion of core product to actual product and then augmented product. So, augmented product gives final complete product to the customer.
The core product is not tangible physical product because the core product is the benefit of the product that gives core value for the customer.