Explain the importance of an organized new-product development process and illustrate how it might be used for (a) a new hair care product, (b) a new children’s toy, and (c) a new subscribers-only cable television channel.
A new children's toy
An organized new-product development process is crucial for several reasons. Firstly, it helps the company to efficiently and effectively bring new products to market. It provides structure and clarity in the development process, ensuring that no crucial steps or activities are missed. Secondly, it increases the chances of success by incorporating market research, customer feedback, and a systematic approach to product design and launch. Lastly, an organized process helps the company to manage resources effectively, saving time and money.
Now, let's look at how an organized new-product development process might be used for three different examples:
a) New Hair Care Product:
1. Idea Generation: The process starts by generating ideas for a new hair care product, which can be done through brainstorming sessions, market research, or by observing customer needs and trends.
2. Idea Screening: The generated ideas are then evaluated to determine their feasibility and market potential, considering factors such as competition, customer preferences, and sales potential.
3. Concept Development: The selected idea is further developed into a detailed concept, including product features, target market, and unique selling proposition.
4. Design and Development: This stage involves designing and developing the hair care product, including formulating the product, packaging design, and conducting prototype testing.
5. Testing and Validation: The developed product is tested rigorously with potential customers and experts to gather feedback, identify any potential issues, and make necessary adjustments.
6. Commercialization: Once the product is refined and validated, it is ready for launch, including manufacturing, marketing, and distribution processes.
b) New Children's Toy:
1. Idea Generation: Gather ideas for a new children's toy by conducting market research, consulting child development experts, or analyzing trends in the toy industry.
2. Idea Screening: Evaluate the generated ideas based on factors like safety, feasibility, appeal to the target age group, and market size.
3. Concept Development: Develop the selected idea into a detailed concept, considering elements such as toy features, educational value, target market, and pricing.
4. Design and Development: Create prototypes and refine the design, ensuring the toy meets safety standards, durability, and interactivity.
5. Testing and Validation: Conduct extensive testing with children, parents, and experts to ensure the toy appeals to its target audience and meets their needs.
6. Commercialization: Prepare for production, develop marketing strategies to reach parents and children, and establish distribution channels to make the toy available to customers.
c) New Subscribers-Only Cable Television Channel:
1. Idea Generation: Seek ideas for a new cable TV channel by conducting market research, analyzing current viewing trends, and identifying gaps or underserved target audiences.
2. Idea Screening: Evaluate the generated ideas based on factors such as audience demand, profitability potential, and feasibility in terms of content acquisition and distribution.
3. Concept Development: Develop a detailed concept for the new channel, including target demographic, programming strategy, content mix, and projected revenue streams.
4. Content Creation: Develop and produce original programming or acquire existing content that aligns with the channel concept and audience preferences.
5. Testing and Validation: Conduct pilot testing or focus groups to gather feedback on the programming and make necessary adjustments based on audience response.
6. Commercialization: Secure distribution agreements with cable providers, develop marketing campaigns to attract subscribers, and launch the channel to the target audience.
By following an organized new-product development process, companies can address each stage systematically, ensuring that the final product meets market needs, maximizes its chances of success, and is efficiently brought to market.