NEW PRODUCT DEVELOPMENT. MARKETING PRESENTATIONpptx

NEW PRODUCT DEVELOPMENT

1. PRODUCT PLANNING Product planning is the process of creating a product idea and following through on it until the product is Introduced to the market . Product planning consists of the following: Development and introduction of new products Modification of existing lines, as required in terms of changing consumer needs and preferences Discontinuance or elimination of marginal or unprofitable products

2. ELEMENTS OF PRODUCT PLANNING: Research before production Possibility of production method Modification in existing lines Elimination of the product Improvement in the product Price determination Commercialization of product Co-ordination

3. NEW PRODUCT DEVELOPMENT In step 1, marketers generate ideas by looking inside and outside the company. In step 2, marketers screen the ideas and then select the most promising ones for further analysis. In step 3, the best ideas are analyzed further to define the product concept to understand how the new products would relate to other products in the line and to determine how much of the company‘s resources it would require.

4. In step 4, marketers begin to develop the product, which can be an internal or external activity. In step 5, the new product is test marketed and a variety of marketing mixes are evaluated. Finally, in step 6, marketers commercialize the product by starting production and implementing the preferred marketing mix.

5. BASIC REQUIREMENT OF A NEW PRODUCT Customer or consumer acceptance Satisfactory performance Economical production Adequate distribution in depth and breadth Effective packaging and branding Adequate servicing, where required after the product is sold Ultimate replacement