What are the different types of consumer goods?
Consumer goods are products that are purchased by individuals or households for their personal use or consumption. These goods are designed to satisfy the needs, wants, or desires of consumers and are typically sold through retailers, wholesalers, or directly by manufacturers.
Consumer goods can be divided into four main categories based on consumer behavior and purchasing habits:
Convenience goods: Convenience goods are a type of consumer product that is purchased frequently and with little effort, typically because they are readily available in many retail locations. These goods are usually low-cost items that consumers can easily find and purchase without much thought or consideration.
Examples of convenience goods include:
a. Food items such as snacks, soft drinks, and candy
b. Personal care items like shampoo, soap, and toothpaste
c. Household supplies such as cleaning products, paper towels, and trash bags.
d. Office supplies such as pens, paper, and sticky notes
e. Small electronics like phone chargers or earbuds.
Convenience goods are often placed in prominent positions within stores to encourage impulse buying. They are typically branded and marketed with a focus on convenience and availability rather than on unique features or quality. These goods often have low involvement in the purchase of convenience goods and are not likely to engage in extensive information search or evaluation of alternative options. As a result, convenience goods are often sold at low margins and in high volumes to generate revenue.
2. Shopping goods: Shopping goods are a type of consumer product that consumers generally buy less frequently than convenience goods and will typically research and compare before making a purchase decision. Shopping goods are often more expensive than convenience goods, and consumers are more likely to spend time evaluating options before making a purchase.
Examples of shopping goods include:
a. Furniture, such as couches, tables, and chairs.
b. Electronics, such as TVs, computers, and smartphones.
c. Clothing, such as shoes, dresses, and suits.
d. Appliances, such as refrigerators, ovens, and washing machines.
e. Vehicles, such as cars, trucks, and motorcycles.
Shopping goods are often sold in stores or online, and retailers will typically provide consumers with detailed information about the product's features, benefits, and pricing to help them make informed decisions. Shopping goods often have a higher profit margin for retailers compared to convenience goods.
Consumers' purchasing behavior for shopping goods typically involves more planning and consideration, with consumers evaluating different options based on factors such as quality, brand reputation, and price. As a result, marketers of shopping goods often rely on advertising, promotion, and branding to differentiate their products from competitors.
3. Specialty goods are a type of consumer product that have unique characteristics or brand identification, and are typically purchased by a small segment of consumers who are willing to make a special effort to obtain them. Specialty goods are often associated with high quality, exclusivity, and premium pricing.
Examples of specialty goods include:
a. Luxury goods, such as designer handbags, jewelry, and watches.
b. High-end electronics, such as premium smartphones, cameras, and sound systems.
c. Fine art, such as paintings, sculptures, and photographs.
d. Vintage or collectible items, such as rare books, stamps, and coins.
e. Bespoke or custom-made products, such as tailored suits, shoes, and furniture.
Specialty goods are often sold through exclusive channels, such as luxury department stores, boutiques, or specialty shops. Marketing for specialty goods typically focuses on creating a unique image or brand identity that emphasizes the product's unique features, quality, and exclusivity.
Consumers who purchase specialty goods are often highly motivated by the desire for quality, uniqueness, and exclusivity. They are willing to pay a premium price for a product that they perceive as having a high level of quality or uniqueness. As a result, manufacturers of specialty goods often rely on a limited distribution network, high pricing, and a focus on branding to differentiate their products from competitors.
4. Unsought goods are a type of consumer product that consumers are not actively seeking to purchase, either because they are unaware of the product's existence or because they do not have an immediate need or desire for it. Unsought goods typically require extensive marketing and promotion to create awareness and generate demand among consumers.
Examples of unsought goods include:
Funeral services and related products, such as coffins and headstones.
Insurance products, such as life insurance, disability insurance, and long-term care insurance.
Medical products and services, such as hearing aids and cosmetic surgery.
New and innovative products, such as virtual reality headsets or self-driving cars.
Marketing for unsought goods typically involves creating a need or desire for the product through advertising, sales promotion, or other marketing efforts. Marketers may also use personal selling, direct mail, or other targeted marketing techniques to reach potential customers.
Consumers' purchasing behavior for unsought goods typically involves a high level of involvement and decision-making. Consumers may require extensive information search, evaluation of alternatives, and consideration of the potential risks and benefits of the product before making a purchase decision.
Overall, unsought goods can be challenging for marketers to sell because they require significant effort to generate demand among consumers. However, they can also offer significant opportunities for innovation and differentiation and can be highly profitable if marketed effectively.
Hope that was helpful in understaanding the classification of consumer goods. Reach out to Pacific Data if you have any retail projects you need assistance with.