NEW PRODUCT DEVELOPMENT DISRUPTION

1. NEW PRODUCT DEVELOPMENT DISRUPTION
J E E S O N J O S H Y
M B A ( B ) I 7 M G 3 0 2 0 4 1

2. CONTENTS
1
2
3
4
PRODUCT MEANING
NEW PRODUCT
DEVELOPMENT
PLC
DISRUPTION

3. THE MEANING OF “PRODUCT”
✔Aproduct is a set of tangible and intangible attributes, which include
packaging, color, price, quality, brand name and manufactures and
retailers services , all these that buyer accept as a want satisfaction.

4. Product Classification
On the basis of for which they are
bought.
Consumer product Business Product
Goods or Services
which are bought
by final consumer
for consumption.
Products which purchased for
further processing to produce
other products
Purpose

5. What is new Product
A new product is a product which is totally new in concept.
Any product which is perceived by the customer as being
new.
A new product can be categorize into :
✔Truly new
product.
✔Innovated
product from
the existing one.

6. Reasons for new product developing
 Computation:
To maintain or to gain the competitive image in the
market.
 Change the consumer needs:
To brings the changes in the consumer needs

7.  Technology:
Technology that in the favors to develop or to
take the risk of new product development
 Good Image:
Company good image in the Market ( in
the mind of customer) to take the risk of
new product development.

8. Methods used for developing new product
A firm can obtain new product through to ways
 By R &D Cell:
Developing new product
through R&D ,either from
entirely new product or
bringing innovation in the
existing products.
 By Acquisition
By this a firm
buy an other
firm wholly or
get licensee in
order to obtain
new product

9. Process of new product development
New product are develop through a
systematic process ,in which first the
product are find out and then it grows.
The whole process can be divide into many
stages, some Seven stages are given below.

10. IDEA
GENERATION
IDEA
SCRENNING
CONCEPT DEVELOPMENT &
TESTING
MARKETING STRATEGY
BUSINESS ANALYSIS
COMMERCIALIZATION
TEST MARKETING

11. 01
02
03
✔Thestarting stage for new product development in
which typically an organization develop a
number of ideas for new product
✔Such types of alternatives idea are develop into a
meeting called brain storming session
✔In this step one idea is selected from the alternative idea of the first stage
✔The basis for best idea are: Utilization
How much that product will be able by the Target customerwith the sense of that
product utilization.
✔Once the idea is selected in the idea
screening stage ,then in this stage the
concept of product is developed.
✔Some time alternative concept of the same product are
developed according to customer needs ,wants etc
Stage 1 Idea Generation
Stage 2 Idea Screening
Stage 3 Product Concept Development
SEVEN STEPS

12. ✔Developing
strategy that how
to introduce the product into
market.
✔Marketing strategy consisting
3 statements
Described the target market
Price ,Channel of distribution
✔Analysis the product with
the business point of view.
This analysis involve a
review of the sales,
cost ,profit.
✔The main aim of business
analysis is to find out
whether the product
satisfies the company
✔In this stage the product concept
is came into its physical form,
then this product is presented to
the market for testing.
✔Testing Marketing help the
organization in creating financial
decision about whether to launch
that product in the market or not..
✔After successful passing the
product from the “ testing market”
then the firm properly introduce
that product into market.
✔ After commercialization Stage
then that product's life cycle
( PLC) begin.
Stage4 Mrkg Strategy Development
Stage 5 Business Analysis
Stage 7 Commercialization
Stage 6 Product Development
SEVEN STEPS

13. 1
4
2
3
Stage -1
Introductio
n
Stage-4 Decline
Stage -2 Growth
Stage -3 Maturity
Product life Cycle
( PLC)
The commercialization stage of the new development
is consider birth stage for its life cycle
✔The whole PLC can be divided into Four stages

15. PLC 1st Stage Introductions

16. PLC 2nd Stage Growth
The second stage of PLC in which a
product's sales starts climbing quickly.
Hence this stage is termed as Market
Acceptance stage.

17. PLC 2nd Stage Growth
Characteristic Of this stage:
Increase in profit due to :
Sale Increase
Per unit cost
Competitor enter which push the firm:
Introduce new feature
Improve product quality
Giving Promotion & discounts
Introducing new channels of distribution

18. PLC 3rd Stage Maturity
The third stage of PLC in which Sales growth slow down.
Characteristic Of this stage:
The product growth begins to slow down (but at later stage of the
“Maturity Stage”

19. PLC 3rd Stage Maturity
This stage can be longest one if the company meet consumers. Needs
e.g. Baring extra features in their productivity.
If the firm don't brings extra features in in their product, then it possible
to enter into next stage, that is decline stage.

20. PLC 4th Stage Decline
Some firm out innovation in their declined product and this the product is
again enter into its life cycle
For example P&G has don with its several brands that where at decline
stage.
How a P&G has don with its several brands Principles of Marketing
Author P .Kottler Page

21. PLC 4th Stage Decline
The stage of PLC in which the product is became out of business
Characteristic Of this Stage:
Product sales decrease due to:
Shifting consumer tats
Technological Associated with product
Organization that failed to anticipate the decline stage in earlier may possible to go out of the
business

22. DISRUPTION
to prevent something,
especially a system, process,
or event, from continuing as
usual or as expected:Example :
Her speech was disrupted by a jeering group of protesters
at the front of the crowd.