This document discusses key concepts related to new product development and product management. It defines a product as anything that can satisfy a want or need in the marketplace. New products are described as new to the world, new product lines, additions to existing lines, or improvements/revisions to existing products. Reasons for developing new products include growth, competition, excess capacity, and profitability. However, reasons for new product failure include being a "me too" product, lacking superiority, price resistance, poor market research, and rushing to market with defects. Product management involves product planning, development, branding, and the product lifecycle. The goal is to identify opportunities and create, deliver, and retain value for customers.

2. 1.What is a Product?
 It is anything that can be offered to a mkt. for
attention, acquisition, use or consumption that
might satisfy a want or a need.

3. PRODUCT COMPONENTS
Supporting
Service
components
Core component
Packaging component

4. Significance of New Product
 Growth.
 Response to competition.
 Excess capacity.
 To increase cash flow/ profitability.
 Cost reduction.
 Creativity of management.

5. WHAT IS A NEW PRODUCT?
 New to the world.
 New Product Lines.
 Addition to existing product lines/product mix.
 Improvements in/ Revision to existing product.
 Repositioning.
 Cost reduction.

6. FIRM’S POINT OF VIEW
Strengthen
Mkt
No Mkt
Change
No. Tech.
Change
New Mkt.
Increasing Market Newness
Objecti
Increasing Technological Newness
--
Remerchandising
New use
Improved
Technology
Reformulation
Improved
Product
Mkt. Extension
New Technology
Replacement
Product line
Extn.
Diversification

7. REASONS FOR NEW PRODUCT FAILURE
 “Me Too” product.
 Lack of genuine superiority.
 Price resistance.
 Poor Mkt.Research.
 Rush to the Mkt. with defective product.
 Ahead of time.
 Ignoring the competition.
 Over Promise.
 No adequate resource to support.

8. BENEFIT STRUCTURE ANALYSIS
 What is the actual operation?
 What ingredients are used in this operation?
 What are the attributes of the product?
 What are the benefits sought from this operation?
 How is the operation done?
 When is the work done?

9. THE NATURE OF THE PRODUCT
a.
b.
c.
d.
e.
f.
g.
h)
i)
j)
k)
What type of product is it?
What is it primarily used for?
Are there any other applications for the product?
Who uses this product?
Why do customers use it?
What benefits are customers seeking?
Any thing customers / potential customers don’t
like about the product?
Does the product have any other favorable
property positions? (patent/design, etc.).
How is it priced/ promoted / distributed?
What is the competitive environment?
Does the company produce any related products?

10. WHAT IS PRODUCT MANAGEMENT?
 It is part of Mktg. mgt. which concerns with product
plg. & development & is now extended to Brand
building.

11. SCOPE OF PRODUCT MANAGEMENT
Prod.
Mgt.
Corp.,Mkt.plg.
Compt.,Ind.ana.
Brand. Mgt.
PLC
Prod.plg.& Dev.

12. VALUE CREATION
Oppo.
identified
Oppo
Developed
Value
Developed
Value
Added
Value
Retained