Part one
“Chevrolet has taken the wraps off the new Cruze hatchback, which will join the sedan in the compact’s U.S. lineup this fall” (Lorio 2016)
Steps Taken in the Development of the New Product by General Motors
T
he all-new 2017 Cruze hatchback is a new car that will offer a versatile cargo space as well as a cutting edge when it comes to the technology incorporated. This vehicle will be ready for adventure in few months.
General Motors have employed eight steps in the process of development of this new product. The main reason for using this development steps is to make sure that the product is successful in the market. First, the company has made use of SWOT together with other analyses of current market trends (Hundekar, 2010). This ensures that the product that will be produced has distanced itself from competition through generating ideologies like ROI, affordability, as well as other cost distribution. Secondly, the idea of developing the product has been screened thoroughly. This is where the company decides the idea to be incorporated and those to be dropped. The benefits that consumers expect from this new vehicle are put into consideration. Thirdly, after idea screening, concept testing has to be undertaken. This step is not similar to test marketing. It involves researching whether clients comprehend, want, or need the new product. Fourthly, a system of metrics is constructed to monitor the development process. The company examines and sets the time the vehicle will spend in every production stage and the output metrics that helps measure the value of the new finished product.
The fifth step is the marketability test or beta. The company has to undertake private tests on the product as well as launching the beta versions. The test panels provide valuable information to allow last minute perfections together with tweaks. The following step is technicalities and development of the product. General Motors has to ensure that the technical aspects of the vehicle are perfected with no alterations to the post-beta products to enable employment of the eighth developmental stage. Commercializing will be the seventh step of development (Kotler and Armstrong, 2001). The evolution of the new product will have gone mainstream, and customers will be buying the product. On the other hand, the technical team will be carefully monitoring the process and performance of the product. The distribution pipelines will be loaded with the new product. The last step is post launch reviews together with perfect pricing. The company will have to gauge the whole value that is relevant to the cost of goods sold to ensure that the internal costs are not overshadowing the profits of this new product.
Part two
Total product concept model
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he total product concept model applies to this general motor’s product. The product will come with car benefits that the company wants the product to offer buyers (Marketing Principles – The Marketing Mix, 2016). The company has listed the core benefits that the new car will offer its customers. For instance, always on guard features and stay connected features among others. The second level is translating the listed core benefits values into the actual product that will be released to the market (Brassington and Pettitt, 2003). There are many competitors in the automobile market. Thus, the company has designed the product in such a way that it will persuade buyers to purchase the product. The last level is the augmented product. This is where the company will decide on the extra non-tangible benefits that the product will offer. These will include sales services, warranties, help lines, as well as free delivery after purchase.
Final part
Elements of the product meet core customer want and needs. The all-new 2017 Chevrolet Cruze Hatchback is styled to stand out against other cars produced by General Motors competitors. Secondly, the car is spacious with room to carry what fuels the client’s passion. Thirdly, the vehicle will have a top-tier tech and has incorporated safety technologies that can scan road hazards giving its driver a heightened sense of security. These are the core needs of everyone who wants a vehicle.
References
Brassington, F. and Pettitt, S. (2003). Principles of marketing. Harlow, England: FT/Prentice Hall.
Hundekar, S. (2010). Principles of marketing. Mumbai: Himalaya Pub. House.
Lorio, Joe. 2016. "So Euro: Chevy Cruze Adds Hatchback to U.S. Lineup for 2017”. Blog.Caranddriver.Com. http://blog.caranddriver.com/so-euro-chevy-cruze-adds-hatchback-to-u-s-lineup-for-2017/.
Marketing Principles – The Marketing Mix. (2016). London: Home Learning College.
Kotler, P. and Armstrong, G. (2001). Principles of marketing. Upper Saddle River, N.J.: Prentice Hall.
