Product Mix

Hierarchy:

Need Family: The core need that underlies the existence of product family. In the case of Quaker Oats, its personal health care.

Product family: All the product classes that can satisfy a core need with reasonable effectiveness. Need to stay healthy and fit. Reduce cholestrol levels and maintain a healthy heart.

Product class: Food (Easy and quick to cook)

Product Line: Quaker Oats

Product Type: Quaker Oats- Kesar flavour with Kishmish, Quaker Oats- Strawberry flavour with Apple, Quaker Oats- Homestyle Masala, Quaker Oats-Lemony Veggie Mix, Quaker Oats-Mild Pepper and Dal, etc.

Item: SKU- Stock Keeping Unit- 26gm packets for 10Rs each, 200gm  packets for Rs 41 each, 400gm packets for Rs 68 each, 600gm packets for Rs 85 each, 1Kg for Rs 165 each.

Customer Value Hierarchy:

Levels:

• Core Benefit: This section is linked with customer because the customer is able to get wholesome nutrition as its a digestive cereal. Thus, the services and benefits that its providing to the customers are being taken into consideration.

• Basic Product: The company claims to have helped people reduce cholestrol levels and lose weight in several weeks. It has low carbohydrate content and is easy to cook. This helps itself to stand out from the other available options in the market thus, increasing the competition for the other products.

• Expected Product: Since India is a land of spices, it expects Quaker Oats to come in several flavors such that it satisfies the taste of customers residing in all parts of the country. They could want more oats at cheaper rate. Thus, matching the set of attributes and conditions of the "buyers".

• Augmented Product: Quaker Oats being released in several flavors lately along with the appropriate spices and dried vegetable pieces inside such that it just needs to be boiled for 2-3 minutes and its ready to be eaten. Pepsico urges its customers to use its Quaker Oats to make idlis, dosas and upmas. Thus, standing out from the other oat packets in the market and giving a tough competition to others.

• Potential Product: It has the potential to leap three-fold by 2015. At first, it became popular because of its health benefits where as now, its becoming popular because of its taste. Brands are also investing in developing and customizing oats to the Indian palate. It has a great potential to tap the people of lower classes if gone by the custom and culture of consumption of oats in India.