ba 315 chapter 8 new product planning
TRANSCRIPT
-
8/14/2019 Ba 315 Chapter 8 New Product Planning
1/22
BA 315 CHAPTER 8
NEW PRODUCT PLANNINGLPC
Many new products that aredeveloped never reach the
market!!!!!!
MOST NEW PRODUCTS FAIL!!!
-
8/14/2019 Ba 315 Chapter 8 New Product Planning
2/22
-
8/14/2019 Ba 315 Chapter 8 New Product Planning
3/22
product "newness"
The degree of newness to both thebuyer and the seller impacts the
amount of risk taken andinfluences the way the newproduct development process is
managed.
-
8/14/2019 Ba 315 Chapter 8 New Product Planning
4/22
Essentially there are sixtypes of new products.
New to the world products are products that createentirely new markets.
New product lines are products that represententries into existing markets that are new to the firm.
Line extensions are new products that allow thefirm to' extend its served market by offering different
benefits.
-
8/14/2019 Ba 315 Chapter 8 New Product Planning
5/22
-
8/14/2019 Ba 315 Chapter 8 New Product Planning
6/22
NEW PRODUCTS Improvements to existing products are
usually designed as replacements forexisting product offerings.
. Repositionings are modest technical
improvements that allow a product tooffer new applications and serve newneeds. 1
-
8/14/2019 Ba 315 Chapter 8 New Product Planning
7/22
ABSOLUTELY FAILED!!!!
Because of the high probability of newproduct failure and its consequences,most organizations have developedsome formalized system or structure formanaging the new productdevelopment process. Firms use eithera staged (phased)approach or parallel
development approach in new productdevelopment and. the use of teams iswidespread.
-
8/14/2019 Ba 315 Chapter 8 New Product Planning
8/22
There are seven, not sixstages in new product
development Idea Generation
Idea Screening Conceptual Testing
Business Analysis
Product DevelopmentTest Marketing
Commercialization
-
8/14/2019 Ba 315 Chapter 8 New Product Planning
9/22
Idea Generation
Idea generation stage includesalternative specifications for productconcepts utilizing end user analysis orproblem analysis. Focus groups anddirect observation provide insights for
product development.
-
8/14/2019 Ba 315 Chapter 8 New Product Planning
10/22
Idea Screening
BEGIN TO CONFIRM a newproduct concept. Productcandidates are evaluated oninitial estimates of potentialdemand and thechances/barriers to success.Market potential studies,
concept tests, and scoringmodels such as NewProd areused to evaluate the product
concept.
-
8/14/2019 Ba 315 Chapter 8 New Product Planning
11/22
Conceptual Testing
REMEMBER CHEWS EXAMPLES
AIR ONE MINUTE
MAID
STORY BOARD
QUESTIONAIRE
INTERVIEW
ANALYSIS
-
8/14/2019 Ba 315 Chapter 8 New Product Planning
12/22
Business Analysis RUN THE NUMBERS
CHECK OUT THE PRODUCEABILITY
MAKE RECOMMENDATIONS
comprehensive view of thefinancial consequences ofintroducing a new product.
-
8/14/2019 Ba 315 Chapter 8 New Product Planning
13/22
Product Development
converts the concept into a workingproduct by developing the product
architecture; design function, value, andappearance of the product; create anddevelop product specifications; andconsider manufacturing and operational
costs and operational constraints ortradeoffs (POLITICS)
-
8/14/2019 Ba 315 Chapter 8 New Product Planning
14/22
-
8/14/2019 Ba 315 Chapter 8 New Product Planning
15/22
planning and launch strategy for introducing the
product to the marketplace. Timing of theintroduction, the selection of a branding strategy,and coordinating the marketing program activitiesare all components of the launch strategy.
CHEW SAYS FULL LAUNCH!!!
COMMERCIALIZATION
-
8/14/2019 Ba 315 Chapter 8 New Product Planning
16/22
portrayed in Fig. 8-5
Is the relationship between productdevelopment programs othermarketing programs andcorporate, and marketing strategy
-
8/14/2019 Ba 315 Chapter 8 New Product Planning
17/22
WATER BABY by Dan Lauer
The worlds most popular doll of the 1990s.
A blend of condoms and water balloons
were sighted in room 206 ssb where DAN
studied marketing at UMSL
-
8/14/2019 Ba 315 Chapter 8 New Product Planning
18/22
Why do most new products fail??
ABSOLUTE
RELATIVE
80%+ FAIL
POOR PRODUCT POSITIONING
VAGUE CONSUMER DIFFERENCE
-
8/14/2019 Ba 315 Chapter 8 New Product Planning
19/22
NEW PRODUCTSHAVE YOU COMPLETED YOUR NET
PRESENT VALUE ASSIGNMENT????
OPPORTUNITYISNOWHERE!!
-
8/14/2019 Ba 315 Chapter 8 New Product Planning
20/22
ARE WE GOING TO ACHIEVE
OUR PAYOUT AND ROI????
TIME WILL TELL!!!
0
10
20
30
40
50
60
70
80
90
1st Qtr 2nd Qtr 3rd Qtr 4th Qtr
East
West
North
-
8/14/2019 Ba 315 Chapter 8 New Product Planning
21/22
LPC IS FINISHED
WE NOW
CONCLUDE
CHAPTER 8 .. ANY
QUESTIONS????
-
8/14/2019 Ba 315 Chapter 8 New Product Planning
22/22