Ch. 10 - Product Concepts

The Netflix streaming program can be considered a favorable product that a person receives in exchange of a paid subscription. Unlike other products like shoes, cell phones and clothes, the streaming program is not tangible, but can be defined as a service; at the same time the DVD rental option that Netflix offers, can be considered as a tangible product. In the classification of products, Netflix is classified as a consumer product, which in its case, is the option to be sold to individuals for personal wants and needs. 

Due to its low cost subscription, Netflix sells a convenience product, that requires not efforts from customers and satisfies them by being affordable; this makes Netflix a very valuable service even between competition. Netflix started as a small DVDs rental service, but grew stronger and requested over time; in its product line it now presents not only DVDs, but an online streaming program. 

Finally, Netflix, like all the businesses, presents its own brand, which is very important as it identifies the product, it helps and promotes sales. Netflix's brand has value, and customers are loyal to it, they make it valuable; moreover, Netflix's brand is going to be a global brand pretty soon, due as the expansion of the service outside its home country; soon the service will obtain its earnings from all around the world.