Differences Marketing philosophy

Product VS Production Concept | Key Differences |

Product VS Production Concept Key Differences

Product VS Production Concept. The premise of the Production Concept holds that consumers will buy products that are cheaper and widely available.  On the other,  the product concept assumes consumers will buy the product that provides the most features.

What is the production concept in marketing?

The production concept is a subset of marketing concepts whereby you focus on producing goods and services in such a way as to make them highly available and affordable to your customers.

On the basis of this philosophy, your business decisions will drive you to improve your production efficiency and find better distribution channels so you make more of your product and drive prices down. 

Also read: Production Concept in Marketing

The idea is the more your customers can readily find your product and benefit from lower prices achieved through your economies of scale. 

A company adopting the production concept is of the view that it can increase demand for their product by reducing costs.

The idea is the more your goods are affordable, the more people will want to buy them.

To decrease cost, in most cases, you’ll need to produce on the large scale.

By mass-producing your product, your company will attempt to reduce the cost per unit and benefit from economies of scale.

The production concept is a concept leading you to think strategically about your production and operations.

What is Product Concept?

The product concept holds that consumers will favor products that offer the most quality, performance, and innovative features.

Product concept is a mandatory concept in order to give the best possible product to the customer as per the demand and expectation.

A product is not complete in itself and requires other factors of business like marketing, distribution, sales, service, etc. to be successful.

Read: Theory of Product Concept | Pros and Cons

Product concept relies completely on the superiority and functional value of the product being sold to the customer and assumes that the customer would also demand and buy the product because of its value for the money offered.

Companies / Marketers focusing on this concept concentrate on making superior products and improving them over time.

They assume that buyers admire well-made products and can appraise quality and performance.

Product VS Production Concept

Parameter  Product Concept Production Concept
Preference of Consumers Products that offer the best quality, performance, and creative specifications are preferred by consumers Products that are broadly available and inexpensive are preferred by consumers
Meaning Improvements in quality products Easily accessible products
Business Goal To enhance the quality of the product, creating new features, etc. To enhance the quantity of production and to reduce the average cost.
Profit Gets profit by providing a good quality product Gets profit by expanding large scale production
Priority Gives priority on the product Gives priority on the production

Differences between product and production concept

In the product concept, even if the price of the product is high, a good quality product will sell itself. On the other hand, in the production concept, if the company produces in bulk, the production cost will be lower, so it will attract customers by its low cost and it will be easily sold.


In product concepts, consumers will always want products that offer the highest value in quality, performance, and innovative features. And in production concepts, consumers will favor products that are available around them and are inexpensive.


Customers can follow the product concept by improving the product. Under other conditions, the production concept will continue to improve product effectiveness and distribution coverage.


The aim of the product concept is to provide rich products of good quality, with creative characteristics and outstanding performance for customers. And the concept of production aims to achieve economies of scale, through a greater number of production and the improvement of the supply chain.


In a product concept, the product usually has the highest preference, and in the production concept, the production of goods will have the highest priority.


In the product concepts approach, the advancement of the product in terms of its characteristics, performance and quality are the means to achieve the final objectives. In production concepts, maximization projects, production must be done on a large scale, which will ensure the obvious availability and affordability of the product.


A product concept is known as the thought of an article or product. And a production concept is known as the concept of conceiving to create the product.


The concept of production is useful for companies when the demand for a product exceeds the supply and the cost of the product is too high. The product concept is nothing of a kind.

Product VS Production Concept


Production Concept is an old concept and at that time increase in production of goods was the major concern of the firms, as whatever the firms produce has worth for the customers.

In recent times, this concept is no longer in use as customers are quality sensitive. And, the demand for the product automatically increases, if it has the required quality and fulfills customers’ expectations thoroughly.

Indeed, if the company needs to survive in the long run, it must follow the product concept, by making the customers habitual with the quality products offered by the company.



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