Chapter 10 Flashcards
1.New to the world products (uber)
2.new category products (McDonalds going into coffee)
3.Product line extensions (new flavors)
4.Product improvements (new iPhone)
5.Product repositioning (same product but change how they talk about it? (old spice Terry crews talking about it)
6.Cost reductions (companies who do things to profit more than before like take out something of the product)
The six types of new products and services
What are the six types of new products and services ?
1.new to the world
2.new category products
3.product line extension
4.product improvements
5.product repositioning
6.cost reductions
what percent of new products fail ?
95 %
What are the factors to predict success of new products ?
- relative advantage
- compatibility
- complexity
- trialability
- observability
the degree to which the consumers perceive the new product as having superior benefits
which factor to predict success of new products is this ?
relative advantage
the extent to which a new product is consistent with existing cultural values, customs, or practices
which factor to predict success of new products is this ?
compatibility
the easier the product is to use, the more intuitive the product, the faster the adoption process
which factor to predict success of new products is this ?
complexity
how easy it is for me to actually try your product or service
which factor to predict success of new products is this ?
trialability
how easy is it to observe the benefit of this product or service
which factor to predict success of new products is this ?
observability
a process that allows teams and organizations to be able to get people and send them off to go and evaluate ideas, do some research, but then to bring them back and to share them with a cross functional team to ver them and see if this has the probability of being successful what is this ?
stage gate process
- develop & scope
- business case
- develop
- test and validate
- launch
the 5 stages of stage gate process
identify new business opportunities, generate and refine new product/service ideas
This is the 1st step in the stage gate process, what is it ?
develop and scope
validation of new product concepts via research, build financial forecasts and P&Ls
this is the 2nd step in the stage gate process, what is it ?
business case
design the product and process to commercialize the product
this is the 3rd stage in the stage gate process, what is it ?
develop
design the product and process to commercialize the product
this is the 4th stage in the stage gate process, what is it ?
test and validate
execute the production, marketing, and sales plans
begin the lifestyle management process
this is the 5th stage in the stage gate process what is it ?
launch
a good, service, or idea consisting of a bundle of tangible and intangible attributes that satisfies consumers needs and is received in exchange for money or something else of value
what is this ?
product
an item consumed in one or a few uses, such as food products and fuel
what is this ?
nondurable good
item that usually lasts over many uses, such as appliances, cars, and smartphones
what is this ?
durable goods
intangibles activities or benefits that an organization provides to satisfy consumers needs in the exchange for money or something else of value
what is this ?
services
products purchased by the ultimate consumer
what is this ?
consumer products
products organizations but that assist in providing other products for resale
what is this ?
business product
items that the consumer purchases frequently, conveniently, and with a minimum of shopping effort
what is this ?
convenience products
items for which the consumer compares several alternatives on criteria such as price, quality, or style
wha is this ?
shopping products
items that the consumer makes a special effort to search out and buy
what is this ?
specialty products
items that the consumer does not know about or knows about but does not initially want
what is this ?
unsought products
sales of business products frequently result from the sale of consumer products
what is this ?
derived demand
industry to which they belong
what is this ?
product class
a group of product or service items that are closely related because they satisfy a class of needs, are used together, are sold to the same customer group, are distributed through the same outlets, or fall within a given price range
what is this ?
product line
consists of all the product lines offered by an organization
what is this ?
product mix
incremental improvement of an existing product line the company already sells
what is this ?
product line extension
putting an established brand name on a new product in an unfamiliar market
what is this ?
a brand extension
a statement that, before product development begins, (1) identifies a well defined target market (2) specific customers needs, wants, and preferences; and (3) what the product will be and do to satisfy consumers
what is this ?
protocol
based on the conviction that new products and consumer solutions can successfully emerge only from inside the organization
what is this ?
closed innovation
consists of practices and processes that encourage the use of external as well as internal ideas and internal as well as external collaboration when conceiving, producing, and marketing new products and services
what is this ?
open innovation
the seven stages an organization goes through to identify opportunities and convert them into salable products or services
what is this ?
new product development process
the stage of the new product development process that defines the role for a new product in terms of the firms overall objectives
what is this ?
new product strategy development
the stage of the new product development process that internally and externally evaluates new product ideas to eliminate those that warrant no further effort
what is this ?
screening and evaluation
external evaluations with consumers that consists of preliminary testing of a new product idea rather than an actual finished product
what is this ?
concept tests
