Documentos de Académico
Documentos de Profesional
Documentos de Cultura
Developing New
Market Offerings
by
PowerPoint by
Milton M. Pressley
University of New Orleans
12-1
Copyright 2003 Prentice-Hall, Inc.
Kotler on
Marketing
Who should
ultimately design the
product? The
customer, of course.
12-2
Copyright 2003 Prentice-Hall, Inc.
Chapter Objectives
In this chapter, we focus on the following
questions:
What challenges does a company face in
developing new products?
What organizational structures are used to
manage new-product development?
What are the main stages in developing new
products, and how can they be managed
better?
What factors affect the rate of diffusion and
consumer adoption of newly launched
products?
12-3
Copyright 2003 Prentice-Hall, Inc.
New-to-the-world products
New product lines
Additions to existing product lines
Improvements and revisions of existing
products
5. Repositioning
6. Cost reductions
12-4
Copyright 2003 Prentice-Hall, Inc.
Challenges in New-Product
Development
Incremental innovation
Disruptive technologies
Challenges in New-Product
Development
The product is incorrectly positioned
in the market, not advertised
effectively, or overpriced.
The product fails to gain sufficient
distribution coverage or support.
Development costs are higher than
expected.
Competitors fight back harder than
expected.
12-6
Copyright 2003 Prentice-Hall, Inc.
Challenges in New-Product
Development
Factors that tend to hinder new-product
development
Organizational Arrangements
New-product deployment requires specific
criteria one company established the
following acceptance criteria
The product can be introduced within five years
The product has a market potential of at least
$50 million and a 15 percent growth rate.
The product would provide at least 30 percent
return on sales and 40 percent on investment.
The product would achieve technical or market
leadership.
12-8
Copyright 2003 Prentice-Hall, Inc.
Organizational Arrangements
Budgeting For New Product
Development
3Ms approach:
15% rule
Each promising idea gets an
executive champion
Expect some failures
Golden Step awards handed out
each year
12-9
Copyright 2003 Prentice-Hall, Inc.
12-10
Copyright 2003 Prentice-Hall, Inc.
Number
of Ideas
64
Pass
Ratio
1:4
Cost per
Product Idea
$
1,000
Total Cost
$
64,000
2. Concept testing
16
1:2
20,000
320,000
3. Product
development
1:2
200,000
1,600,000
4. Test marketing
1:2
500,000
2,000,000
5. National launch
1:2
5,000,000
10,000,000
$5,721,000
$13,984,000
12-11
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Organizational Arrangements
Organizing New-Product Development
Product managers
New-product managers
High-level management committee
New product department
Venture teams
12-12
Copyright 2003 Prentice-Hall, Inc.
Organizational Arrangements
Stage-gate system
Gatekeepers make one of
four decisions:
Go
Kill
Hold
Recycle
12-13
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12-14
Copyright 2003 Prentice-Hall, Inc.
12-15
Copyright 2003 Prentice-Hall, Inc.
12-16
Copyright 2003 Prentice-Hall, Inc.
Product
Score
Product
Rating
(a)
(b)
(c = a x b)
.40
.8
.32
.30
.6
.18
.20
.7
.14
.10
.5
.05
Total
1.00
.69
Rating scale: .00-.30 poor; .31-.60 fair; .61-.80 good. Minimum acceptance rate: .61
12-18
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Concept development
Category concept
Productpositioning map
Brand concept
12-19
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Figure 12.3:
Product
and
Brand
Positioning
12-20
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12-21
12-22
Copyright 2003 Prentice-Hall, Inc.
Conjoint Analysis
Example: five design elements
12-23
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Managing the
Development Process:
Concept to Strategy
Marketing Strategy
Business Analysis
Estimating Total Sales
12-24
Copyright 2003 Prentice-Hall, Inc.
12-25
Copyright 2003 Prentice-Hall, Inc.
Year 2
Year 3
$11,889
$15,381
$19,654
3,981
5,150
6,581
3. Gross margin
7,908
10,231
13,073
-3,500
5. Marketing costs
8,000
6,460
8,255
6. Allocated overhead
1,189
1,538
1,965
4. Development costs
Year 1
12-27
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Lands End
Japan Web site
12-28
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Customer tests
Alpha testing
Beta testing
Consumer preference measures
Rank-order
Paired-comparison
Monadic-rating
12-29
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Trial
First repeat
Adoption
Purchase frequency
Where (Geographic
Strategy)
12-32
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12-33
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The Consumer-Adoption
Process
Adoption
Consumer-adoption process
Consumer-loyalty process
Mass-market approach
Heavy-usage target marketing
The Consumer-Adoption
Process
Adopters of new products move
through five stages
Awareness
Interest
Evaluation
Trial
Adoption
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The Consumer-Adoption
Process
Personal influence