Philip Kotler's 5 Product Levels

Philip Kotler’s 5 Product Levels describe how a product offers value beyond just its tangible features. The core level is the fundamental benefit the customer seeks. The next level is the basic product—its essential features and design. Then comes the expected product—what customers anticipate buying. The augmented product includes additional services or benefits that differentiate it, like warranties or support. Finally, the potential product encompasses all future improvements or transformations, representing growth opportunities. This framework helps businesses understand how to enhance their offerings at each level to better meet customer needs and create competitive advantage.