1 / 18

Developing & Managing Products

Developing & Managing Products. Chapter 11. New Product Development. New-product Strategy. Link product development to MKT strategy 3M Identify markets and strategic roles Environmental scanning SWOT analysis. Source: http://www.logotecs.com. Idea Generation. Customers Employees

salena
Download Presentation

Developing & Managing Products

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Developing & Managing Products Chapter 11

  2. New Product Development

  3. New-product Strategy • Link product development to MKT strategy • 3M • Identify markets and strategic roles • Environmental scanning • SWOT analysis Source: http://www.logotecs.com

  4. Idea Generation • Customers • Employees • Distributors • Vendors • Competitors • Research & Development • Consultants Source: http://www.clker.com/clipart-9721.html

  5. Idea Screening • First filter • Committee Reviews • Concept test

  6. Business Analysis • Last checkpoint before capital is committed • Look at product and marketing strategy needed to commercialize it • Preliminary figures

  7. Development • “Paper into prototype” • Testing against standards • Work on marketing mix • Team-based analysis • Internet • Customer panels

  8. Market Testing • Company chooses a specific market, based on criteria • Advantages • Disadvantages • Internet

  9. Commercialization • Positioning and launching a product • Most expensive step • Slotting fee • Failure fee

  10. Diffusion of Innovation • Innovators (2.5%) • Early adopters (13.5%) • Early majority (34%) • Late majority (34%) • Laggards (16%) Source: http://tutor2u.net

  11. Diffusion of Innovation • Factors for Adoption • Complexity • Compatibility • Relative advantage • Observability • Trialability • Implications

  12. The Product Life Cycle • Introduction Stage • Growth Stage • Maturity Stage • Decline Stage Source: www.johnashcroft.co.uk

  13. Introduction Stage • Create awareness and encourage customers to try the product • Advertising • Primitive demand • Distribution issues • Pricing issues

  14. Growth Stage • Rapid increases in sales • Competition • Advertising • Selective demand • Who is buying? • Distribution

  15. Maturity Stage • Slowing sales and decreasing profits • Marketing strategy • Hold market share

  16. Decline Stage • Sales and profits drop • Marketing strategy • Deletion • Harvesting

  17. Product Cycle Dimensions • Length • Shape • Generalized product • High learning product • Low learning product • Fashion product • Fad product Source: www.your90s.com

  18. Why do New Products Fail? • Insignificant “point of difference” • Incomplete market and product definition before development starts • Too little market attentiveness • Poor execution of marketing mix • Bad timing • No economical access to buyers

More Related