MARKETING

New Products Development

By…Raghav jha (M.com / MBA)

INDEX

• Different types of new products.

• Different sources of new products.

• Stages in the new-product development process.

• New-Product Development Approaches

• Reason behind new product failure

Types of New Products /What’s New

New to the World Products

New Category Entries

Additions to Product Lines

Product Improvements

Repositionings

New-Product Development Process

Idea Generation

Idea Screening

Concept Development

& Testing

BusinessAnalysis

PrototypeDevelopment

Test Marketing

Commercialization

Idea Generation

• Idea Generation:– The initial stage for the new-product

development process.Custumer

Distributer

EMPLOYEE

management

R & D

competitor

Idea Screening

• Idea Screening:– Evaluate the idea and reduce it to a smaller

and more attractive set of potential new products.

Concept Development and Testing

• Concept Development:– The process of shaping and refining the idea into

a more complete product concept.

Prototype Development & Testing

• Prototype Development:– Converting the concept into an actual product.– It is a process of developing some sample

product .

Business Analysis

• Business Analysis:– Stage of the new-development process that

calls for preparing initial marketing plans for the product.

Test Marketing

• Standard Test Marketing:– Testing a new product and its marketing

strategy in actual market situations.

Commercialization

• Commercialization:– The firm introduces the product on a full-scale basis,

involving:• Understanding Consumer Adoption

• Timing

• Coordination

New-Product Development Approaches

NEW PRODUCT FAILURE..?

• Over-optimistic estimate of market• Poor timing of introduction• Product deficiencies• Weak positioning strategy• Unrealistic pricing strategy• faulty market test• Inadequate expenditure on initial

promotion