Download Marketing-NPD_23

New product
development
NPD is a process which is design to develop,
test and consider the viability of products
which are new to the market in order to
ensure the growth or survival of the
organization.
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To replace declining products.
To take advantages of new products.
To maintain/increase market share.
To defeat rivals.
To keep up with rivals.
To maintain competitive advantage.
To fill a gap in the market.
To bring a new customers.
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Major innovations.
New product lines.
Product line extension.
Product improvements.
Repositioning.
Cost reductions.
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R & D department
Production department
Sales team
Employees
Customers
Competitors
External sources
Market research
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Screening of products to spot good ideas and
drop poor ones as soon as possible
Ideas are check for technical feasibility,
financial viability and marketability
The business analysis the product to evaluate
its demand, marketability and profit potential
Given ideas rating according to marketing,
production and strategic factors
1. Develop Product Ideas into
Alternative
Product Concepts
2. Concept Testing - Test the
Product Concepts with Groups
of Target Customers
3. Choose the Best One
Part One - Overall:
Target Market
Planned Product Positioning
Sales & Profit Goals
Market Share
Part Two - Short-Term:
Product’s Planned Price
Distribution
Marketing Budget
Part Three - Long-Term:
Sales & Profit Goals
Marketing Mix Strategy
Business Analysis
Review of Product Sales, Costs,
and Profits Projections to See if
They Meet Company Objectives
If No, Eliminate
Product Concept
If Yes, Move to
Product Development
Standard
Test Market
Controlled
Test Market
Full marketing campaign
in a small number of
representative cities.
A few stores that have
agreed to carry new
products for a fee.
Simulated
Test Market
Test in a simulated
shopping environment
to a sample of
consumers.
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Introducing a new product into the market.
Timing is critical for success.
There will be heavy promotional expenditure
at the launch.
Choice of skim or penetration rising.
The product has to be well targeted and
positioned.
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Develop innovative products.
Bring new ideas to market ahead.
Integrate regulatory compliance into product
lifecycle processes to reduce business risk
and sell products in global markets.
Effectively manage the global manufacturing
supply chain to ensure on-time, on-cost and
quality product delivery.
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Neglect of market research
Inaccurate market research
Poor marketing after launch
Poor distribution
Product performance below expectation
Market not ready for the products
Inadequate support for the market
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Daewoo was a major South Korean
conglomerate. It was founded in March
22, 1967 as Daewoo Industrial and was
dismantled by the Korean government
in 1999.
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The Daewoo Matiz is a city car produced by
the South Korean automaker G M Daewoo
marketed worldwide since 1998.
It has won the Best City car in the 1998
World's
Most
Beautiful
Automobile
competition.
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The main problem was the Matiz' positioning.
It was not much powerful for highways.
When the car was launched it was overpriced.
Suddenly brought down in prices created
very bad impression on public.
It was most difficult to repair.
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Nestlé India is a subsidiary of Nestle S. A. of
Switzerland, Beginning with its first
investment in Moga in 1961.
The Company insists on honesty, integrity
and fairness in all aspects of its business and
expects the same in its relationships.
Julius Maggi founded the company
Maggi.
 Maggi is a Nestlé brand of instant soups,
stocks, bouillons, ketchups, sauces,
seasonings and instant noodles.
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Maggi Noodles.
Maggi Vegetable Noodles.
Dal Atta Noodles.
Maggi Rice Noodles Mania.
Maggi Sauces.
Maggi Healthy Soups.
MAGGI MAGIC Cubes.
Maggi Pichkoo.
Maggi Cuppa Mania.
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Initially Nestle tried to position the Noodles
in the platform of convenience targeting the
working women.
Research.
'Fast to Cook Good to Eat‘
Distribution of free samples.
Gifts on return of empty packets
NPD is a process which is design to
develop, test and consider the viability
of products which are new to the market
in order to ensure the growth or survival
of the organization.