1. Discuss the proper preparation aspects of new product development. Deduce why companies are feeling the pressure to bring new products to the market quickly. Compare and contrast the advantages and disadvantages of early versus late market testing. Evaluate how the decision should be made. Does it depend on market demographics and/or products?
Preparation for a new product development sets a base for product sales, dominance of a potential marketing and product positioning. Proper preparation is critical for the interest of long-term success. Advertising is the most critical aspect in the preparation of a new product development, for it provides opportunities that help overcome customer mistrust through exposure of the new product. By first examining the potential customers in order to know the reactions of the customers would help set the proper advertising message. Samples should also be provided for proper exposure and usage know how of the new product.
Companies are feeling the pressure of bringing new products in the market quickly to help compete with other companies, satisfy the customer’s demand and keep up with the new and advance technology. New products introduced by companies in the market are of better quality than the old ones, which help satisfy the needs of their users and consumers.
In early marketing, products are introduced into the market before they are released. It usually applies to services or product lines that are new. It is done in order to help in creating a market for them, obtain a customer input that is not cost oriented and drive sales. It is aimed at creating a product that will not require readjustments, since the customers will have already given their views about the product before it is released. This form of marketing offers a chance for rewards but is also risky, as compared to late marketing.
Late marketing is the kind of marketing that involves marketing a product that is already in the market, but which is not performing well in the market, or as a way of maintaining the market grip of a product. This works better in sustaining the market penetration of a product. It is beneficial in that it markets a product that consumers have interacted with.
There are various techniques that are used to attain speed in a new product project. Quality is the number one technique of attaining speed in a new product project. A product can only move fast if it is of the best quality offered. It is advisable for companies to invest more efforts and time on products to be released in the market for quality purposes. Quality on new products creates a long-term impression of quality on the customer.
Advertising, promotions and marketing is a technique that works best in speeding up a new product projects, advertising is done by posting the new product in the internet, where internet users can see it, by use of media, which are television, radio and newspapers and word of mouth. Promotions are done by offering free samples, and price discounts. Marketing is done through E-marketing that is over the internet, the use of media and flairs.
Sponsoring events is also a technique used in speeding up a new product project. By sponsoring events in the community, offers an advertising foundation to the local people, thus a showcase of the new product. Most of the event attendees try and sample the new products, speeding up the sales.
2. Analyze the techniques used to attain speed in a new product project. Discuss how these techniques might be used to bring a new beverage division in an established food company. Deduce the potential risks in a speed to market approach for this company.
Producing quality beverages that are of different taste and flavor will bring a new division between the older beverages that are produced by the company. Advertising, promotions and marketing provide a clear distinction between the old products and the new products, in spite if the fact that they have been produced by the same company. Events sponsoring allows users to differentiate between the old and the new beverage, bringing a beverage division among products of the same company.
The potential risk in speed to market approach for the company is the risk of selling the new product more, leaving the old products for long on the shelves, which may lead to wastage and losses due to the expenses incurred during their production.
3. Your company manufactures personal computers. As a way to grow the company, it will now introduce a new service: repairing the computers. The company uses the new product development process for the computers, but it is wondering how to use it for the new service. Analyze the differences between product and services and how you would modify the process based on those differences. What are two things that you would do to be sure the service is performing up to customers' expectations?
A product is a tangible commodity that is offered to a consumer for money. A product’s value is based on its durability as well as its depreciation characteristics. A service is an intangible commodity that is offered to a customer for money. In a computer manufacturing business, the products can be modified to suit specific consumer requirements, say for example to suit accounting operations. The services involved in a computer manufacturing industry may include customizing software after a consumer has bought the product; say for example offering free service for one year after the time of buying, or installing free antivirus programs. This is usually referred to as after sales service. In order to identify whether the service is meeting customers’ expectations, the company can do market surveys.
4. When is the PIC used in the evaluation process? Using the product from your Course Project, write a PIC that would allow it to pass to the next phase. Remind your instructor of the topic of your Course Project.
Process Improvement Committee (PIC) is used in later stages of a process to help improve on the processes for better results. It operates under a committee who start by evaluating the process against the objective of the process improvement. The committee determines the data to be collected and improve on the mistakes.
5. There are several techniques used to make sure that design is properly integrated. Describe the two techniques that have been enabled by technology, and describe the technology. Compare and contrast the techniques that complement each other.
Integrating a market strategy and technology has been proven as the best way of ensuring that marketing strategies used penetrate the marketing arena. This can therefore be done without compromising on the design elements. The two major ways of enhancing this is through use of teamwork, where teams are sent out there into the market, and out of their experiences, a marketing strategy can be either improved or maintained. In the modern world, the two technologies that are used in market integration are use of database services, where businesses are able to acquire, track and retain its customers. Use of consultancy services is also practiced in helping integrate markets.
6. Compare and contrast test marketing and roll out. Describe two forms of roll out for a new vacuum cleaner.
Test marketing is the kind of marketing where different marketing designs are rolled out, as a way of identifying which one works the best for a given product. It involves use of pairs of market that are split into control and test groups. It can be done through evaluating changes to brands that are already established in the market. Test marketing can be done using controlled market tests, matched market test and electronic store tests. Roll out is the initial exhibition or inauguration of a new product, policy or service. The roll out is scheduled, and how well it is done determines how the consumers will embrace the product. Roll out incorporates a number of activities, such as advertisement, promotions and marketing.
