New Product Development Process (edit)
TYPES OF PRODUCT:
- Generic (market pull products)
- Technology push products
- Platform products
- Process incentive products
- Customized products
- High risk products
- Quick build products
- Complex systems
Source: https://www.slideshare.net/sk_prince/new-product-development-5677676
Source: https://www.slideshare.net/nusantara99/new-product-development-50378757
Source: https://www.slideshare.net/bravoram/09-47458617 (Product Life-Cycle Strategies)
EBook: https://pdfs.semanticscholar.org/8f2d/6bbc3c7593c8d87f0fe81154cfd35476e4b9.pdf
EBook: https://pdfs.semanticscholar.org/d7f9/a04a2f0ec9be6e109f41927a32319fd34f2b.pdf
Link: https://www.nibusinessinfo.co.uk/content/product-development-process
Link: https://www.smartsheet.com/all-about-new-product-development-process
Make a report: https://www.projectsmart.co.uk/how-to-report-status-on-a-project.php
Report: https://hbr.org/1996/03/getting-the-most-out-of-your-product-development-process
Performance Review Guide: https://7geese.com/performance-review-guide/
Stages in a New Product Development (NPD)
- Idea Generation
- Idea Screening
- Concept Development and Testing
- Marketing Strategy Development
- Business Analysis
- Beta Testing/Market Testing & Product Development
- Commercialization and Product Launch
New Product Development Process – Stage 1: Idea Generation
From Internal sources: - R&D in a organization, employees, trade shows, sales team etc.
From External sources: - Customers, competitors, distributors, suppliers, vendors etc.
New Product Development Process – Stage 2: Idea Screening
Ideas are evaluated against criteria; most are eliminated prior to devoting resources on them.
Product development cost increase substantially in later stages.
New Product Development Process – Stage 3: Concept Development and Testing
Develop the engineering and marketing details.
Product concepts provide detailed version of new product ideas in meaningful consumer terms.
Test the concept by asking target customers to evaluate product concepts.
Turning ideas into tangible products that consumers perceive as being valuable.
New Product Development Process – Stage 4: Marketing Strategy Development
Designing an initial marketing strategy for a new product based on the product concept
Market Research is carried out to assess the product’s market potential
New Product Development Process – Stage 5: Business Analysis
A review of the sales, cost and profit projections for the new product is carried out to find out if this matches with the organizations goals
Estimate potential sales, income, break-even point, profit and return on investment from the new product.
Projecting probable costs and sales; will profit reach the organization’s targets?
New Product Development Process – Stage 6: Beta Testing/Market Testing & Product Development
Create a physical prototype and test the product in typical usage situations
Conduct focus group customer interviews or introduce the new product in Trade shows
Releasing the product into a small but representative market where consumer reactions/marketing mix can be assessed and checked.
Make adjustments where necessary
Produce an initial run of the product and sell it in a test market area to check the customer acceptance
Commercialization/Product Launch
Timing is critical for success.
Introducing of a new product into the market.
Heavy promotional expenditure at the launch.
Pricing of the product should be skim or penetration pricing.
The product has to be well targeted and positioned in the market.
New Product Development Process – Stage 7: Stages in a New Product Development (NPD)
- Idea Generation
- Idea Screening
- Concept Development and Testing
- Marketing Strategy Development
- Business Analysis
- Beta Testing/Market Testing & Product Development
- Commercialization and Product Launch
