3 Types of Products

Now in order to start a business you need to find a way to generate revenue. The whole point of running business is to make money. In order to make money though you will more than likely sell 1 of 3 kinds of products:

1. A Durable Good: This is a tangible item that you can see and feel. A product that lasts for an extended amount of time. This includes things such as televisions, cellphones and washing machines. A durable product will be used multiple times unlike the next item on this list: 

2. A Non-Durable Good: This is also a tangible item that you can see and feel. However, this is a product that can only be used a small number of time usually only once. This includes things such as food, gasoline and cigarettes. 

3. A Service: This is an intangible course of action and is not something you can see and feel. Services account for the majority of North America’s GDP. Services are essential to most of our lives. This includes things such as being represented by a lawyer, a surgeon performing surgery and a bartender making you a drink.

Note about these 3 types of product:

You in no way have to strictly pick one type of product to sell. Multiple businesses provide people with all three types of products sometimes all in one deal. For example, let’s say you go buy a brand-new dodge charger and for an extra $1,000 the car dealer will provide you with oil changes for the first 3 years you own the car. In that one deal with the car dealer they managed to sell you all 3 of the types of products. The car which is a durable good, the action of changing the oil which is a service and the new oil that is put in the car which is a non-durable good.

No matter which type of product you provide it is essential that you make sure the customer is happy. Happy customers are they key to running a successful business. The higher the quality of your product the happier your customers will be!