Technology and product

The product element of the marketing mix covers what a business sells and what that product is like: its design, quality and features. Technology can affect this by making new products possible and by improving the features of products a business already sells.

New products. Technology lets a business sell something it could not offer before. A business that runs paper treasure trails for tourists could launch a phone app that guides people around a town with maps and clues. The app is a different product to sell, and it may attract customers who prefer using their phone.

Improved features. Technology can also upgrade an existing product. A small firm making plant pots could add a sensor that changes colour when a plant needs water. The pot still does its main job, but the extra feature makes it more useful and gives customers a reason to choose it instead of a plain one.

A technology-enabled change only helps if it meets a real customer need. Adding complicated features that customers do not want can make a product harder to use and less attractive, so the money spent on the technology is wasted. Features that customers do value, such as a pot telling them when to water a plant, make the product easier to sell.