New Product Development

Presented by:-
Sneha Rathod
Roll No. 39
CONTENTS
• Introduction
• Factors influencing the new product development
• New product development process
• New product success
• New product failure
• Conclusion
• References
INTRODUCTION
• Companies need to grow their revenue over time by
developing new products & services and expanding
into new markets.
• New product development shapes company’s future.
New-to-the-world products & services can transform
industries or companies & change lives.
• But the low success rate of new product & services
points to the many challenges involved.
• Firms all over the world trying to come up with
creative ways to develop even better new products &
services, faster & more efficiently.
FACTORS INFLUENCING THE NEW
PRODUCT DEVELOPMENT
1) Resources of the business
2) Competition
3) Huge capital investment
4) Rate of product failure
5) Consumer resistance
6) Other factors
NEW PRODUCT DEVELOPMENT
PROCESS
1) Creation of new ideas
2) Screening of idea
3) Product development
4) Market testing
5) Launching of the product
6) commercialization
NEW PRODUCT SUCCESS
1) Innovation
2) Technologies
3) Unique & superior product
4) Well-defined product concept
5) Other factors
NEW PRODUCT FAILURE
1) Inadequate market analysis
2) Capital shortage
3) Defect in product
4) Competition
5) Poor timing
6) Social & Governmental constraints
7) Longer development time
CONCLUSION
• New product incur the greatest cost & risk because
they are new to both company & marketplace.
• Radical innovations can hurt the company’s bottom
line in the short run, but success can create greater
sustainable competitive advantage than more
ordinary products.
• Successful new product development requires the
company to establish effective organization.
Companies can decide to use new product managers,
new product committees, new product departments
etc
REFERENCES
• Marketing management
by-Philips Kotler
Kevin Lane Keller
Abraham Koshy
Mithileshwar Jha
• www.scribd.com
THANK YOU !
Questions?