This document presents a new theory-model strategy for developing new flower crops. It summarizes the evaluation of plant species collected by the Balkan Botanic Garden of Kroussia to select species for commercialization. A case study of a Greek company's new product development process is also described and compared to models in literature to develop a customized NPD process. This process involves close cooperation between the company and laboratory and applies the proposed theory-model strategy to select 16 potential new flower crop species for further development.

1. A NEW THEORY – MODEL STRATEGY FOR NEW FLOWER
CROPS DEVELOPMENT
D. Zervaki, K. Papanastasi and E. Maloupa
National Agricultural Research Foundation,
Laboratory of Conservation and Evaluation of Native and Floricultural Species – Balkan
Botanic Garden of Kroussia
P.O. Box 60 125, GR – 570 01, Thermi, Thessaloniki, Greece
Keywords: Balkan Botanic Garden Kroussia, new product development, species
evaluation
Abstract
New Flower Crop Development procedures require innovation as the engine
of growth for every organization. In order to approach innovation for the
development of new products, a new theory – model for NFC Development is
presented. An inductive driven methodology was used to evaluate the NPD methods
and practices, which already exist worldwide. The observations made, led to the
construction of explanations and theories about what has been observed and what
should be applied. Two methods were used for collecting data for this qualitative
research; the first was based on primary data collection using a survey addressed to
business and the second one was the secondary data collection method, making a
comparison of the preceding data with the literature. A questionnaire was provided
to a Greek company that produced floricultural plants relating to the strategy used
to introduce plants to the market as New Ornamental Species. This strategy was
compared with other strategies used by companies and Research Organizations
worldwide and data analyzed based on successful models of theories and practices
found in the literature. The research strategy adopted was exploratory in
combination with a case study. Balkan Botanic Garden of Kroussia is following the
proposed theory – model for New Flower Crop Development and is currently using
representative Greek native species intending to endorse them in the market.
INTRODUCTION
The introduction of new products in today’s technology-driven markets carries
significant risk. Changes in legislation, health programs, agricultural policies and support
programs may alter the development of New Flower Products. In addition, consumers’
preference also is changing towards more “natural” and “environmentally-friendly”
products.
The lack of a general specified approach to New Product Development (NPD)
process designates that this process is complex with multiple perspectives. Supply-led and
producer demand-led models are applied in floricultural industry. The successful
introduction of new ornamental plants into the market frequently fails, due to
unprofessional ways and lack of good publicity (Von Henting, 1995). In addition the lack
of knowledge about scientific, technological, economic and market context do not allow
planning a research project appropriately and may limit profitable results regarding New
Flower Crops (Serra, 1994).

2. The Laboratory of Conservation and Evaluation of Native and Floricultural
Species – Balkan Botanic Garden of Kroussia (BBGK) currently preserves more than
2.500 accession numbers of native plants of Greek and Balkan Flora. Garden’s Botanic
Data Base provides the most relevant information about the plant species we have
collected. Evaluation of these species has commenced with the intention to develop
potential species and market them successfully into the floricultural trade. BBGK is
aiming to re-introduce these selected species, to ensure their long lasting conservation. In
addition, based on secondary data collected by the literature and in close co-operation
with Greek companies, which show special interest towards the introduction of New
Flower Crops (NFC) in the marketplace, a customized model for NPD process regarding
floral products was generated. This proposed model implemented by a company, in close
co-operation with the Laboratory – BBGK leading to the selection of certain native
species for commercialization.
MATERIALS AND METHODS
Evaluation of collected species
Two thousand five hundred (2500) accession numbers of native plants have been
collected, which correspond to 1200 taxa (species and sub-species), are maintained by
BBGK. Aiming at selecting and exploit certain native species, the evaluation of the above
mentioned accession numbers took place. The market sectors of interest are the
landscape/amenity sector, the pot plant sector and the cut-flower sector.
Evaluation started using a matrix model based on conservation and legal
protection status of the species. Conservation status indicated using data of the Red Data
Book of rare and threatened plants of Greece, the Red List of International Union for
Conservation of Nature and Natural Resources and the List of rare, threatened and
endemic plants of Europe (Phitos et al, 1985; Walter, 1999; Council of Europe, 1982).
Legal protection status indicated using data of Bern Convention, CITES - The Convention
on International Trade in Endangered Species of Wild Fauna and Flora, EU Habitats’
Directive annexes and the 67/1981 Presidential decree (Bern Convention, 1992; CITES,
1975; Daris et al, 1997; PD 67/1981).
New Product Development process for floricultural products
An exploratory research strategy was adopted to determine the best research
design, the data collection method and selection of subjects, in order to generate real
world experience as a basis for theory development (Gummesson, 2000; Van Aken, 2001;
Tranfield, 2002a; Tranfield, 2002b). Secondary research was conducted reviewing the
available data of the existing literature, based on primary – reports, theses, e-mails,
conferences reports, company reports, government publications- secondary – newspapers
books, journals, internet - and tertiary – indexes, abstracts, bibliographies and citation
indexes (Fig. 1) (Gummesson, 2000). In addition the research team used a case study.
This case study referred to the model strategy for NPD applied by “VITRO Hellas”, a
company operating in Greek floricultural sector which produces plant propagation
material (Robson, 1993; Gummesson, 2000; Danneels, 2003). The interview schedule
was focused on questions related to: (a) what is meant by the term NFC (Roh and
Lawson, 1987; Reimherr, 1989), (b) the usage of Product Innovation Protocol (PIC)
(Crawford and Di Benedetoo, 2000), (c) the kind of NPD process model (Hart, 1993), (d)

3. methods of NPD process (Crawford and Di Benedetoo, 2000) and (e) company’s
operational strategy model (Australian New Crops, 2000).
In the second step, this theory – model strategy was proposed to the company in
order to be implemented in close co-operation with the Laboratory. Following the first
four phases of NPD process, using the evaluation results, the company came up with a
preliminary suggestion of twenty species. The Laboratory reduced this list to 16 species
using certain horticultural criteria such as propagation, resistance to common pests and
diseases, speed of plant growth and aesthetic characters (Armitage, 1998). The
Laboratory produced adequate propagation protocols for these species in order to give
them to the company for final development and launch.
RESULTS AND DISCUSSION
Evaluation of collected species
Maintenance of the collected native species takes place by the Laboratory –
BBGK in the form of (a) living plant collection of mother plants, (b) seeds, (c) dried
specimens (herbarium) and (d) in vitro plantlets. Currently 1750 accession numbers of
mother plants and 284 accession numbers of nursery plants are maintained in pots. One
hundred and seventeen accession numbers of mother plants are conserved and planted in
the gardens. Of these, 72 accession are Orchidaceae and 3 accession are water loving
plants. BBGK has more than 750 accession numbers of dried specimens and more than
2000 accession numbers of seeds. Nine important species include Centaurea cithaeronea,
Centaurea subsericans, Achillea occulta, Lilium martagon, Astragalus maniaticus,
Campanula incurva, Aubrieta erubenscens, Origanum dictamus, Dianthus crinitus are
maintained in vitro.
Results showed that from the two thousand five hundred (2500) accession
numbers maintained by BBGK, three hundred ninety (390) are important according to the
endemism and the degree of threat as defined by IUCN criteria, corresponding to fifty
(50) families and one hundred thirty one (131) different taxa (Krigas et al., 2006).
New Product Development process for floricultural products
The hermeneutical approach was adopted for this study because our pre-
understanding of the subject was rather low which made it hard to adopt certain models
and theories from the beginning (Davenport and Prusak, 1998). The inductive research
based on observations and data collection has lead to the development of general
statements - theory about the subject under examination (Mayer, 1998).
Results showed that there is a problem in indicating what is meant with the term
NFC. VITRO Hellas, as well as other companies all over the world, considers the term
products new to the firm but not new to the market. Observations and answers of the
questionnaire indicated that as far as the new product strategy is concerned, companies
construct an incomplete form of Product Innovation Charter. The NPD model, which
currently used by VITRO Hellas is the sequential stage. Although such simple linear
models are not a true representation of reality, other findings showed that different
carriers implement the whole process. Research Institutes and Universities are taking part
in the process but also follow a sequential-stage model. Furthermore, VITRO Hellas does
not follow the exact steps proposed in the literature as far as the methods of NPD concern.
VITRO Hellas is really doing an unorganised market screening. Concept evaluation takes
place in the sense of consulting the growers are speaking with the marketing sector, but

4. not utilizing the application of a standard structured method. The origin of the mother
plant material is of great importance because it affects the procedure of concept
generation and development. Then a protocol is developed and the developmental phase
focus on investigating information related to control flowering time, manipulate plant
size, mass propagation and provide repeatable schedules of a new flower crop. In
contrast, prototyping and market testing are absent. With the assistance of a marketing
plan the commercialization phase starts. Market testing takes place in the form of small
test commodity loads to certain nursery firms. Finally regarding company’s operational
strategy model findings showed that it uses a mixture of supply-led and demand-led
model but not in a defined way.
Revising the findings of the current study and with the assistance of an established
theoretical framework, a customized theory-model strategy for New Flower Crop
Development is proposed. Therefore, innovation becomes successful by using an
integrated strategy, which joins together the “technology-push” and the “market-pull”
models or in other words the supply-led and the demand-led models. However, the
floricultural industry uses an interactive model, which will combine research with
technology and the customers’ needs and desires (Australian New Crops, 2000).
Networking of the involved carriers is an essential part of the road to success.
Communication has to flow across the whole network horizontally, from the customer
perceptions to the final product, involving all the functions of the process chain, as well as
vertically, from the top management to the last worker (Trott, 2002; Thomke and von
Hippel, 2002; Franke and Piller, 2003). A stage-gate model is the tool for innovation for
such an industry. In the end of each of the phases of NPD process, there is a gate, a
checkpoint (Trott, 1998). The project leader and the whole team must bring a set of
known deliverables to each gate, before the project is able to pass to the next stage. A
cross-functional team (consisting of marketers, researchers, design and manufacturing
engineers, component suppliers from other companies, production workers, accountants,
salespersons and service representatives) is required (Hart, 1993). The phases and the
methods of this customized theory – model are presented in Fig. 2 (Zervaki, 2001).
During the next step, VITRO Hellas applied this theory – model NPD process for
NFC in close co-operation with the Laboratory. The company based on the evaluation
results and having implement the first four phases of NPD process, arise to some
preliminary results of twenty (20) promising species. Further horticultural evaluation took
place by the Laboratory resulting in sixteen (16) species with potential for
commercialization (Table. 1) and specifically as pot plants and/or plants for landscape
use. The Laboratory developed propagation protocols for the above mentioned species
intending to give them to the company for mass production. In parallel field testing in
small scale is taking place for these species. The other sub-stages of the development
phase as well as the other phases of the proposed NPD process will be invoked in the near
future and the results will be presented.
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Tables
Table 1. List of proposed native species for commercialization.
1 Dianthus corymbosus
2 Dianthus crinitus
3 Dianthus gracilis subsp. gracilis
4 Astragalus maniaticus
5 Campanula incurva
6 Campanula garganica subsp. cephallenica
7 Centaurea huljakii
8 Potentilla detommasii
9 Satureja pilosa subsp. pilosa
10 Sempervivum marmoreum subsp. marmoreum
11 Silene fabaria subsp. domokina
12 Stachys cretica
13 Teucrium flavum subsp. hellenicum
14 Thymus thracicus
15 Thymus degenii
16 Thymus sibthorpii

7. Figures
Value NPD process + Innovation + Floricultural Industry
Conceptual
pre-understanding
NFC Development process
Literature review Data collection about
of NPD process NFC Case study research
in general
+ Development processes. + (exploration I)
Step 1
Towards the development of theory strategy
for NFCD process as innovation tool
Exploration of the NFCD process at VITRO Hellas (exploration II)
Step 2
Further research directions
Fig. 1. The exploratory research process.
Phases of NPD process for NFC development Methods of NPD process in NFC development
Market analysis for
background Product innovation charter
information
Market analysis Market research – to all stages of NPD process
of New Crops
Problem-based – Perceptual gap analysis –
Economic analysis of New Trade-off analysis – dimensional analysis –
Crops Relationship analysis
selected from market analysis
Formation of crop profile. Usage of
Concept testing to select the more scoring models such as Profile sheet
promising and Analytical Hierarchy Process.
Pre-screening to certain characteristics
Plant Prototype
Development: collection – propagation –
investigation of agronomic potential –
breeding and selection
for improved characteristics –
mass propagation – field testing
in small scale – field evaluation
Launch: marketing plan –
regional and commercial-scale testing
– final commercialization
Product lifecycle:
collection of lifecycle
data
Fig. 2. Phases and methods of NPD process for NFC.