The document discusses the process of product development from concept to market release. It covers identifying customer needs, establishing target specifications, analyzing competitors, generating and selecting product concepts, refining specifications, performing economic analysis, and planning development. Key aspects of product development include identifying market needs, designing product traits, incorporating a product's journey from start to finish, and modifying or creating new products to satisfy customer needs and differentiate from competitors. The document also provides questions to consider around product development and outlines the typical stages in the process.

1. Product Development

2. refers to all of the stages involved in bringing a
product from concept or idea, through market
release and beyond.
It incorporates a product's entire journey, including:
Identifying a market need, Conceptualizing and
designing the product traits of a successful entrepreneur
in order to be successful in a chosen career.
Product development

3. a process of making a new product to be sold by a
business or enterprises to its customers. It may be
involved modification of an existing product or its
presentation, or formulation of an entirely new product
that satisfies a newly-defined costumers needs, wants
and/or a market place.
Product development

4. Question that you can ask yourself about product
development.
1. For whom are the products/services aimed at?
2. What benefit will the consumers expect from
product/service?
3. How will the product/service differ from the existing
brand? From its competitor?

5. Needs and wants of people within an area should also be
taken into big consideration.
1. basic commodities for consumption
2. clothing and other personal belongings
3. shelter, sanitation and health, and
4. education.

6. In this stage, the needs of the target market are
identified, and competitive products are reviewed
before the product specifications are defined. The
product concept is selected along with an economic
analysis to come up with an outline of how a product
is being developed.
Concept of Product development

7. Concept of Product development

8. 1. Identify customer needs
Using survey forms, interviews, researches, focus group
discussions, and observations, an entrepreneur can
easily identify customers’ needs and wants.
Process of product development Stages

9. 2. Establish target specifications
Based on customers’ needs and reviews of competitive
products, you can now establish target specifications of
the prospective new product and/or services. A target
specification is essentially a wish -list.
Process of product development Stages

10. 3. Analyze competitive products
It is imperative to analyze existing competitive products
to provide important information in establishing product
or service specifications.
Process of product development Stages

11. 4. Generate product concepts
After having gone through with the previous processes,
you may now develop a number of product concepts to
illustrate the types of products or services that are
technically feasible and will best meet the requirements
of the target specifications.
Process of product development Stages

12. 5. Select a product concept
Through the process of evaluation between attributes, a
final concept is selected.
Process of product development Stages

13. 6. Refine product specifications
In this stage, product or services specifications are
refined on the basis of input from the foregoing
activities.
Process of product development Stages

14. 7. Perform economic analysis
Throughout the process of product development, it is
very important to always review and estimate the
economic implications regarding development expenses,
manufacturing costs, and selling price of the product or
services to be offered or provided.
Process of product development Stages

15. 8. Plan the remaining development project
In this final stage of concept development, you can
prepare a detailed development plan which includes list
of activities, necessary resources and expenses, and
development schedule with milestones for tracking
progress.
Process of product development Stages

16. It is essential for the entrepreneur to identify their
potential customers.
In identifying you can choose to see everyone as your
potential customers or focus on a specific segment or
group of people to be more effective.
Grouping consumers allow you to identify which group
is the most appropriate target for your products. You
can efficiently and effectively use marketing activities to
engage them and convert them into your customers

17. First, you will need to identify how the market is divided
for the product that you are providing. Think along the
following variables to help you identify the different
customer groups:
1. Geography : region , population, climate
2. Demographics : age, gender, income, family size, family lifecycle
3. Psychographics : lifestyle, personality, interests, habits, values
4. Behaviour : usage, loyalty, readiness to purchase, attitude
towards product, buying decision
5. Benefits : social status, health, emotions

18. Next, evaluate these different market segments and your
own goals to find out which is the most appropriate
segment for your product. Customer group’s overall
attractiveness
1. Is the potential segment attractive based on market
size, growth potential,
2. Profitability, scale economies and risk?
3. Company’s objectives and resources
4. Is it worth investing in this customer group given the
firm’s objectives, competencies, and resources?

19. Identify Your Best Customers Now that you have
identified the different groups of customers in the
market, you need to select your best customers.
These are customer groups with needs that you are able
to meet adequately. Develop your value proposition for
each of them.

20. Identify Your Best Customers Now that you have
identified the different groups of customers in the
market, you need to select your best customers.
These are customer groups with needs that you are able
to meet adequately. Develop your value proposition for
each of them.

21. People buy products for many reasons. There must be
something in your products/services that have satisfied
or impressed the consumers. In short, when you meet
their expectations, they will continue patronizing your
products/ services.
Finding Value

22. The value that you incorporate to your product is called
value proposition. Value proposition is “a believable
collection of the most persuasive reasons why people
should notice you and take the action you’re asking for.”
Value is created by fulfilling deep desires and solving
deep problems. This is the reason why people spend for
your products/services.
Finding Value

23. The introduction of something new in your
products/services. This may be a new idea, a new
method or a new device. If you want to increase your
sales and profit, you must innovate. Some of the
possible innovations for your products include changing
of packaging, improving of taste, color, size, shape and
adjusting the prices. Some of the possible innovations in
providing services are application of new improved
methods, additional featured services and freebies.
Innovation

24. A factor or consideration presented by a seller to explain
why one product or service is different from or better
than the other competitors. Before selling your product
or service to your target customers, you have to sell
yourself to it.
USP would require careful analysis of other businesses’
ads and marketing messages. If you analyze what they
say or what they sell, not just their product or service
characteristics, you can learn a great deal about how
companies distinguish themselves from competitors.
Unique Selling Proposition (USP)

25. 1. Use empathy
Put yourself in the shoes of your customers. Always
focus on the needs of the target customers. Always
remember, you are making and providing these
products/services for the target customers to eventually
increase sales and earn profit. Essential questions such
as what could make them come back again and ignore
competitions should be asked to oneself. Most possible
answers may be focused on quality, availability,
convenience, cleanliness, reliability and friendliness of
the products/services.
Ways to discover your USP to
increase your sales and profits:

26. 2. Identify Customer’s Desires
It is important that you understand what drives and
motivates your customers to buy your
products/services. Make some efforts to find out,
analyze and utilize the information what motivates the
customers in their decisions to purchase the product or
service.
Ways to discover your USP to
increase your sales and profits:

27. 3. Discover customer’s genuine reasons for buying
the product.
Information is very important in decision making. A
competitive entrepreneur always improves their
products or services to provide satisfaction and of
course retention of customers. As your business grows,
you should always consider the process of asking your
customers important information and questions that
you can use to improve your product/ service is
Ways to discover your USP to
increase your sales and profits:

28. 1. How did the successful entrepreneurs identify their customers?
2. What were their considerations in selecting their customers?
3. Explain their product or service became unique to other products.
4. Did they consult somebody before they engaged in their business?
Cite sample insights that they gained from their consultation.
5. What were their preparations before they started the actual
business?
6. What are their creative and innovative techniques they adapted to
their product or service? What was the effect of the innovative
techniques to the sales and profits of their business?
7. What strategy did they consider to have a unique selling proposition
to their products/services?
ACTIVITY