Consumer Product

A consumer product is generally any tangible personal property for sale and that is used for personal, family, or household for non-business purposes. The determination of whether a good is a consumer product requires a factual finding, on a case-by-case basis. This basis will vary from one jurisdiction to another. As an example, The United States Consumer Product Safety Act has an extensive definition of consumer product, which begins:

CONSUMER PRODUCT.

The term ‘‘consumer product’’ means any article, or component part thereof, produced or distributed,

 (i) for sale to a consumer for use in or around a permanent or temporary household or residence, a school, in recreation, or otherwise, or

 (ii) for the personal use, consumption or enjoyment of a consumer in or around a permanent or temporary household or residence, a school, in recreation, or otherwise but such term does not include any article which is not customarily produced or distributed for sale to, or use or consumption by, or enjoyment of, a consumer,

It then goes on to list eight additional specific exclusions and some further miscellaneous details.

One definition of a consumer product is a product you do not need, like candy, and iPod Touch, or a television. After WWW, America went into a recession after manufacturing many war products and having to pay off all of its debts to factories and the common people. At this time, Calvin Coolidge was sworn into the presidency and later introduced the Trickle Down Effect, and gave money to the businesses. This allowed the businesses to give American's jobs, and American's slowly had more leisure time than times past and more money. America started manufacturing consumer products to create more jobs and to get people to start spending money so the government can raise money. This is a simple explanation of a consumer product and how it happened.

Consumer products are products purchased for personal, family, or household use. They are often grouped into four subcategories on the basis of consumer buying habits: convenience products, shopping products, specialty products, and unsought products.

Consumer products can also be differentiated on the basis of durability. Durable products are products that have a long life, such as furniture and garden tools. Non-durable products are those that are quickly used up or worn out, or that become outdated, such as food, school supplies, and disposable cameras.

Convenience Products

Convenience products are items that buyers want to purchase with the least amount of effort, that is, as conveniently as possible. Most are non-durable products of low value that are frequently purchased in small quantities. These products can be further divided into three subcategories: staple, impulse, and emergency items.

Staple convenience products are basic items that buyers plan to buy before they enter a store, and include milk, bread, and toilet paper. Impulse items are other convenience products that are purchased without prior planning, such as candy bars, soft drinks, and tabloid newspapers. Emergency products are those that are purchased in response to an immediate, unexpected need such as an ambulance service or a fuel pump for the car.

Since convenience products are not actually sought out by consumers, producers attempt to get as wide a distribution as possible through various marketing channels—which may include different types of wholesale and retail vendors. Convenience stores, vending machines, and fast food are examples of retailers that focus on convenience products. Within stores, they are placed at checkout stands and other high-traffic areas.

Shopping Products

Shopping products are purchased only after the buyer compares the various products and brands available through different retailers before making a deliberate buying decision. These products are usually of higher value than convenience goods, bought less frequently, and are durable. Price, quality, style, and color are typically factors in the buying decision. Televisions, computers, lawnmowers, bedding, and appliances are all examples of shopping products.

Because customers are going to shop for these products, a fundamental strategy in establishing stores that specialize in shopping products is to locate near similar stores in active shopping areas. Promotion for shopping products is often done cooperatively with the manufacturers and frequently includes the heavy use of advertising in local media, including newspapers, radio, and television.

Specialty Products

Specialty products are items that consumers seek out because of their unique characteristics or brand identification. Buyers know exactly what they want and are willing to exert considerable effort to obtain it. These products are usually, but not necessarily, of high value. This category includes both durable and non-durable products. Specialty products differ from shopping products primarily because the price is not the chief consideration. Often the attributes that make them unique are brand preference (e.g., a certain make of automobile) or personal preference (e.g., a food dish prepared in a specific way). Other items that fall into this category are wedding dresses, antiques, fine jewelry, and golf clubs.

Producers and distributors of specialty products prefer to place their products only in selected retail outlets. These outlets are chosen on the basis of their willingness and ability to provide an image of status, targeted advertising, and personal selling for the product. Consistency of image between the product and the store is also important.

Unsought Products

Unsought products are those products that consumers are either unaware of or have little interest in actively pursuing. Examples are new innovations, life insurance, and preplanned funeral services. Because of the lack of awareness of these products or the need for them, heavy promotion is often required.

The distinction between convenience, shopping, specialty, and unsought products is not always clear. As noted earlier, these classifications are based on consumers' buying habits. Consequently, a given item may be a convenience good for one person, a shopping good for another, and a specialty good for a third, depending on the situation and the demographics and attitudes of the consumer.