Professor Sam Min

Lecture 2

New Product Concept
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Concept Generation

• Form (the physical thing created, or, for a service, the set of steps by which the service will be created) • Technology (the source by which the form is to be attained) • Benefit/Need (benefit to the customer for which the customer sees a need or desire)

Technology permits us to develop a form that provides the benefit.

Concept Generation

• Customer need firm develops technology produces form

• Firm develops technology finds match to need in a customer segment produces form

• Firm envisions form develops technology to product form tests with customer to see what benefits are delivered

Note: the innovation process can start with any of the three inputs.
New Product Concepts and the New Product
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You need at least two of the three inputs to have a feasible new product concept, and all three to have a new product.

The Soft Bubble Gum Example • Benefit: “Consumers want a bubble gum that doesn’t take five minutes to soften up.” • Form: “We should make a softer, more flexible bubble gum.” • Technology: “There’s a new chemical mixing process that prevents drying out of food and keeps it moist.”

[pic]Are the followings good concepts?

“Learning needs of computer users can be met by using online systems to let them see training videos on the leading software packages.”

“A new way to solve the in-home training/educational needs of PC users.”

“Let’s develop a new line of instructional videos.”

• Evaluation Process [pic]

PRODUCT MARKETING

Protocol Concept Basic Strategy Testing

Prototype Tactical Plans

Product Pilot Testing Complete Final