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NEW PRODUCT DEVELOPMENT
IF YOU BUILD IT, WILL THEY ACTUALLY COME?
EXPAND YOUR CONCEPT OF "PRODUCT"
TRADITIONAL
Tangible items and services that your organization offers to its customers and clients.
While this definition is true,
it is not complete.
EXPANDED
In addition, your "products" include internal offerings to stakeholders: staff benefits packages, technologies that make work easier and safer, real-time financials, and other improvements.
Listen to how a self-made businessperson who is grooming his son as his successor approaches the task of expanding his son's view of "products" to include services and organizational improvements.
RESEARCH SHOWS
that products designed for an international market achieve on average a 85% success rate in the world market as opposed to 43% for domestically designed products aimed at a domestic market.
Moreover, "international new products aimed at foreign markets also do better in the home market--almost double the domestic market share versus domestic products."
Robert Cooper, Elko Kleinschmidt, Winning at New Markets:
Accelerating the Process from Idea to Launch. (Perseus Publishing, 2001), 67.
Are you producing the right new product?
You could be missing out on your best new product or service options and not know it.
A group of non-competing business owners met each year to share tips on best practices.
One member was leaving the group, so the remaining members produced a list of 17 potential replacements.
Almost immediately, they were ready to choose their replacement.
Upon the suggestion to hold off for a couple of days to give themselves time to come up with more names, they added 12 additional options on day two and 3 more options on day three.
Their list climbed to 32 names.
After screening the candidates on their list, their final two contenders ended up being names #31 and #32.
Begin with the
100 > 7 > 3> 1
concept described in this video.
LESSON: Had the group rushed through on the first day, they never would have considered their best idea!
DID YOU KNOW...
that best organizations expect close to half of all sales to come from new products commercialized in the last three years?
Developing your next winning product or service can't be left to chance.
BEGIN WITH AWARENESS
Does this sound like your organization?
For many reasons, decision makers don't always choose the product idea that they believe is best for development.
For example, when office politics come into play, selections can be based on who presents ideas rather than on the merits of ideas themselves.
Leaders who continually determine projects based on personalities, positions of authority, or persuasive sales pitches increase risks, invest in product ideas that deliver lower returns, and can--over time--weaken their organization to the point where survival is at stake.
THE SOLUTION: A RELIABLE PROCESS LIKE THE ET DEVELOPMENT FUNNEL FROM PAID TO THINK. (See below for diagram.)
