The document outlines the 8 stages of new product development: 1) Idea Generation, 2) Idea Screening, 3) Concept Development and Testing, 4) Market Strategy Development, 5) Business Analysis, 6) Product Development, 7) Market Testing, and 8) Commercialization. It describes each stage in the process, from generating new product ideas from various sources to commercializing the new product in the appropriate market(s) after testing. The overall process aims to develop and launch new products that satisfy customer needs and are commercially viable for the company.
Copyright:
Attribution Non-Commercial (BY-NC)
Available Formats
Download as PPTX, PDF, TXT or read online from Scribd
The document outlines the 8 stages of new product development: 1) Idea Generation, 2) Idea Screening, 3) Concept Development and Testing, 4) Market Strategy Development, 5) Business Analysis, 6) Product Development, 7) Market Testing, and 8) Commercialization. It describes each stage in the process, from generating new product ideas from various sources to commercializing the new product in the appropriate market(s) after testing. The overall process aims to develop and launch new products that satisfy customer needs and are commercially viable for the company.
The document outlines the 8 stages of new product development: 1) Idea Generation, 2) Idea Screening, 3) Concept Development and Testing, 4) Market Strategy Development, 5) Business Analysis, 6) Product Development, 7) Market Testing, and 8) Commercialization. It describes each stage in the process, from generating new product ideas from various sources to commercializing the new product in the appropriate market(s) after testing. The overall process aims to develop and launch new products that satisfy customer needs and are commercially viable for the company.
Copyright:
Attribution Non-Commercial (BY-NC)
Available Formats
Download as PPTX, PDF, TXT or read online from Scribd
The document outlines the 8 stages of new product development: 1) Idea Generation, 2) Idea Screening, 3) Concept Development and Testing, 4) Market Strategy Development, 5) Business Analysis, 6) Product Development, 7) Market Testing, and 8) Commercialization. It describes each stage in the process, from generating new product ideas from various sources to commercializing the new product in the appropriate market(s) after testing. The overall process aims to develop and launch new products that satisfy customer needs and are commercially viable for the company.
Copyright:
Attribution Non-Commercial (BY-NC)
Available Formats
Download as PPTX, PDF, TXT or read online from Scribd
Download as pptx, pdf, or txt
You are on page 1of 11
New Product Development
Process By
Matloob Hussain Mir
Kashif Iqbal Aamir Iqbal There are eight stages in the process of development of new product
1. Idea Generation 5. Business Analysis
2. Idea Screening 6. Product 3. Concept Development Development 7. Market Testing and testing 8. Commercialization 4. Market Strategy Development Idea Generation
The new product development process starts with
the search for ideas. The search should not be casual. New products ideas come from many sources: Customers, Scientists, Competitors, Employees, Channel members and top management. Customers needs and wants are the logical lace to start in the search for new product ideas. Companies also rely on their scientists, engineers and other employees for new product ideas. Idea Screening
The purpose of screening is to drop poor
ideas as early as possible. The rationale is that product development costs rise substantially with each successive development stage. When products reach later stages, management feel that they have invested so much in developing the product that it should be launched to recoup some of the investment. Concept Development and Testing
Attractive ideas must be refined into testable product
concepts. Customers do not buy product ideas, they buy product concepts. Concept testing calls for testing these competing concepts with an appropriate group of target customers. The consumers are presented with an elaborated version of each concept and are asked certain questions about the concept. The respondents answer are summarized to judge whether the concept has a broad and strong consumer appeal. Market Strategy Development
The new product manager must now develop
a marketing plan for introducing this product into the market. The marketing strategy plan consists of structure and behavior of the target market, the planned product positioning. The products planned price, distribution strategy, the long run sales and profit goals and marketing mix strategy over time. Business Analysis
Now it can evaluate the business proposal’s
attractiveness. Management needs to prepare the sales, cost and profit projections to determine whether they satisfy the company’s objectives. Product Development If the product passes the business test, it moves to R & D and /or engineering to be developed into a physical product. The stage will answer whether the product idea can be translated into a technically and commercially feasible product. The R & D department will develop one or more physical versions of the product concept. Market Testing Now the product is ready to be dressed up with a brand name, packaging and a preliminary marketing programme to test it in more authentic customer settings. Commercialization Market testing presumably gives management enough information to decide about launching of the new product. In commercializing a new product market entry timing can be critical. The company must decide whether to launch the new product in a single locality, a region, several regions, the national market or the international market. If you have any questions please don’t ask…..