The five step new product development process includes: 1) idea generation through brainstorming and observing needs, 2) screening ideas by getting employee, customer, media, and government opinions and assessing competition, 3) evaluating concepts by estimating costs, revenue, and profits and doing market research and segmentation, 4) developing the product and business analysis by designing, prototyping, pricing, and testing based on the market, and 5) commercializing the product by manufacturing and distributing at scale and launching a promotional campaign.

1. New Product
Development
Process .... Five steps in the New Product Development Process, as understood by most marketing
textbooks
1. Idea Generation
brainstorming - thinking about it
creating a new product based on some observed need
thinking of a new product based on some accident or chance circumstance
2. Screening
getting opinions from
o employees
o potential customers
o media
o government
what are the weaknesses of existing products that are similar
is there any competition for a new product
What are the industry sales and market trends the product idea is based on
3. Idea Evaluation / Concept Development
estimate costs, revenue, profit,
do market research
target market segmentation
o describe the main group of people who will be the first customers
4. Development of Product / Business Analysis
physically design and manufacture the product
estimate likely selling price based upon competition and customer feedback
estimate sales volume based upon size of market
produce a physical prototype or mock-up
test the product (and its packaging) in typical usage situations
5. Commercialization
"make enough to sell"
o manufacture a large amount to send out to the stores that will stock the items so enough
inventory on hand for the public to buy
launch "promotion campaign"