Posted in Marketing and Strategy Terms, Total Reads: 1318
Definition: Convenience Goods
Convenience goods are the goods that are widely and easily available in the market and require minimum shopping efforts on part of the buyers. These goods basically include items that we use in our day to day life such as soaps, detergent, toothpastes, chocolates etc. The stores on which these goods are available are called as ‘convenience stores’. These goods are non-durable in nature. ‘Convenience’ is however a relative term and it also depends upon the context in which it is used. There are convenient procedures and convenient services as well. All these are aimed to save resources and make things readily accessible to the prospective buyers.
The main characteristics of convenience goods are:
• Non durability
• Readily available at convenience stores
• Involves less quantity as well as low price
• Generally, it includes standardized products only
• Marketing promotions and schemes are crucial for its sale
• Have constant demand
These types of goods form a significant portion of Fast Moving Consumer Goods (FMCG) sector which is a defensive sector. Defensive sector means that it is immune from cyclical changes that occur in economies.
Shopping goods are the goods that are purchased after careful comparison and selection based upon the quality, price, and availability from different sellers. It includes clothes, electronic equipment’s, furniture’s etc. The main characteristics of shopping goods are:
• Products are generally durable in nature
• Comparison plays a key role in the decision making process
• Retailers play an important role
• Purchase decision is generally pre-planned
• Price of shopping goods are high as compared to those of convenience goods
Specialty goods are the goods that require special attention of the buyer and also possess some special features.
It includes purchase of automobiles, jewelry, branded items etc. The main characteristics of specialty goods are as follows:
• Most expensive and also the demand is low
• Brand image and promotion or other various marketing schemes play an important role in decision making process