Marketing Mix Product planning in detail - 1 (Step 2 – ideas generation ( …
Marketing Mix Product planning in detail - 1
Step 1 – new product planning
Analysis of competitive positions of the organisation and competitors
Analysis of the micro and macro environment
Analysis of differential advantage
Analysis of marketing information
Ansoff’s matrix, e.g. Apple’s development of an electric iCar (Painter, 2016) would fit into diversification cell in Ansoff’s growth matrix
Step 2 – ideas generation
periodic reviews of products and product portfolios
Open calls for product suggestions internally or externally, i.e. customer creations and feedback (Lego, 1999)
Serendipitous suggestions from staff members, suppliers, distributors or customer feedback
competitors or other organisations (innovations that can be copied often are, sometimes even when protected by patents or trademarks)
Collaboration – for example, Walkers and Heinz teamed up to launch a range of limited-edition sandwich-flavoured crisps (Hinde, 2016).
Step 3 – idea screening
Selecting the most promising ideas for further development and screening out less promising ones, using a set of criteria
A set of criteria for screening is the ‘real, win, worth it’ (R- W-W) screen proposed by Day (2007), which consists of three sets of nested questions. Day advocated that screening teams include members from across functional areas, such as research and development, marketing and manufacturing.
Step 4 – concept testing
The next step is to test a more detailed idea as a product concept with target consumers to gauge their reactions to it.
product concept might be described in words and/or images and sometimes using physical representations, with target consumers’ feedback sought to a set of questions.
questions might cover product attractiveness, benefits, uses and purchase intentions.
Focus groups have traditionally been used to collect feedback, but other means of data collection such as online forums and online brand communities may also now be used (Dibb et al., 2016)
Concept testing allows product ideas to be refined before expensive further development is pursued for promising products.