Principles of Marketing
With due respect to our honourable
course teacher...
Md. Rakibul Hassan
Spartan Marketers
Teammates :
Sumaia Haque Nira ; ID No : 1630 (L)
Tasniva Chowdhury Mumu ; ID No : 1611
Munmun Islam Mou ; ID No :1615
Md. Masum Billah ; ID No : 1653
Md. Hannan Mia ; ID No : 1652
Presentation On
New-Product
Development Process
What is New-Product
Development ?
Also known as NPD process.
Process of taking a product or service from
conception to market.
A journey leads to actual product to the market.
Begins with ideation and ends with commercialization.
Requires understanding customer needs,competitive
environment and nature of the market.
New-Product Development
Process
Every product goes through a number of stages before being introduced in
There are mainly eight stages in product development process.
the market.
3. 4.Market
2. Idea Concept ing
1. Idea
screeni develop strategy
generation ment & develop
ng
testing ment
6.Produ 7.Test 8.Com
5.Business ct
develop
market mercial
analysis
ment ing ization
Idea Generation
“ Think openly and let your imagination rebuild yourself ’’
First stage of the new product development process.
Knowledgeable, creative and systematic.
Develops from knowledge of the consumer, the market, and
the general environment.
Creates newness in product, production and marketing.
Sources of Idea Generation
Internal sources.
SWOT analysis.
Market research.
Customers.
Idea Screening
A process which is used to evaluate innovative product ideas,
strategies and marketing trends.
Idea screening criteria are used to determine compatibility
with overall business objectives and whether the idea would
offer a viable ROL.
Main objective is to eliminate unsound concepts prior to
devoting resources to them.
Factors in Idea Screening
Company’s strength.
Company’s weakness.
Customer needs.
Ongoing trends
Expected ROL.
Affordability.
Concept Development
& Testing
Here, the product idea is converted into product concept.
A detailed strategy or blueprint version of the idea.
Develop a working description and visualization.
Ideas are turned into concepts for testing purpose.
Test ideas with real customers.
Marketing Strategy
Development
Preliminary marketing strategy to introduce new product into
market.
Understanding customer.
Analyze the market.
Research distribution channels.
Define marketing mix.
Analyze the financials.
Review and revise.
Business Analysis
A review of sales, costs and profits for a new product.
Estimate product price.
Identify product’s market potential.
Identify break-even point.
Determine minimum sale price.
Forecast the lifespan of a product.
Product Development
Develop the product concept into a physical product.
Product idea turns into workable offering.
Creates a prototype product or service.
Undergo rigorous tests to make sure it’s performance safety
and effectiveness.
Test Marketing
Product and marketing program are tested in realistic market
settings.
Modifies the product or service according to customer’s
feedback.
Involves deciding the best timing and process for piloting
new product or service.
Commercialization
Commercialization involves implementing a total marketing
plan and full production
Works as a supply chain management process.
Provides structure for developing and bringing to market new
products.
Works jointly with customers and suppliers.
Conclusion
Developing new products with high growth potential is not simple task.
Around 10,000 new products are brought to the marketplace each year, but
many of them fail due to poor product development process. These eight
stages of process is expensive and time-consuming but helpful in avoiding
costly mistakes.
Any Query ?
Thank you
