O slideshow foi denunciado.
Utilizamos seu perfil e dados de atividades no LinkedIn para personalizar e exibir anúncios mais relevantes. Altere suas preferências de anúncios quando desejar.
Idea Generation 
Idea Screening 
Concept Testing Tools 
Ehsan Riahi 
Baran Emam 
Neda Jafarian 
Azadeh Shomali 
Mahdi yazh...
2 
Importance of NPD 
> The existence of a business linked with the course of its products. 
> Products’ life cycle. event...
3 
Importance of NPD 
rapid 
development 
of new 
technologies 
forced business 
to adopt (NPD) 
as a necessary 
and unavo...
4 
Importance of NPD 
> David S. Hopkins and Earl L. Baily 
> research has shown that 40% of new consumer products, 20% of...
5 
Comparisons of the Process of NPD
Kotler Commonly presented linear NPD model 
6
Comparison of the idea mortality curve 
obtained from the survey of previous studies 
7
8 
The First 3 Steps 
Idea 
Generatio 
n 
Idea 
Screening 
Concept 
Testing 
Tools 
Develop 
Marketing 
Strategy 
Business...
9 
The Importance of First 3 Steps
10 
Cash flows and new product development 
The First 3 stages of NPD represent the formation and development of an idea p...
11 
Idea Generation 
Idea 
Generation 
Idea 
Screening 
Concept 
Testing Tools
12 
Idea Generation 
> Idea Generation is the Systematic Search for New 
Product Ideas Obtained Internally or Externally 
...
13 
Characteristics of a good Idea Generation Process 
1. should be on - going 
2. have a specific purpose 
3. involve the...
14 
Sources for Idea Generation 
Customer 
Scientific 
research 
Competitors 
dealers and 
representativ 
Miscellaneou 
s ...
15 
Sources for Idea Generation 
> 1. Customer-defined needs and wants 
These are the result of several actions: 
• Direct...
16 
Sources for Idea Generation 
> 2. Scientific research 
This method generally occurs as a result of a scientific breakt...
17 
Sources for Idea Generation 
> 4. Company dealers and representatives 
These sales channels can feed back customer ide...
18 
Sources for Idea Generation 
> 5. Top management 
This can be a valuable source or a destructive influence in product ...
19 
Sources for Idea Generation 
> 6. Miscellaneous sources 
Some of the miscellaneous sources are: 
Inventors 
patent cou...
20 
Tools For Idea Generation 
Ideas for new products can easily come from any sources. When all data is 
collected a seri...
21 
Key Factors for Successful Idea Generation 
> Time Pressure 
> Try smart incentives 
> trying harder and providing mor...
22 
Key Factors for Successful Idea Generation 
> Try smart incentives
23 
Idea Screening 
Idea 
Generation 
Idea 
Screening 
Concept 
Testing Tools
24 
Idea Screening 
> Once all viable ideas are gathered and managed, they must be 
further developed, examined, prioritiz...
25 
Idea Screening 
> Actually, The second step in the new-product development process is 
idea screening which involves s...
26 
Idea Screening 
> Two potential risks in screening 
> Dropping ideas too early means missed opportunities! 
> Developi...
27 
Idea Screening 
> An initial screening is the first decision to commit resources to the 
idea and to decide whether a ...
28 
Idea Screening 
> Screening Ideas Against Company's Marketing Strategies 
> Screening Ideas Against Company Sales and ...
Idea Screening 
> Alignment with your Product Innovation Strategy 
> Degree of compatibility with the company’s values & p...
30 
Idea Screening 
> The challenge at this gate is to identify and decide on the 
"right" ideas for further exploration. ...
31 
Tools and Solutions 
> Assessing New Product Feasibility 
Is there a need? 
Is it real? 
Will the customers buy? 
Will...
32 
Tools and Solutions 
> Qualitative Research 
> Dot Sticking (voting) 
> Delphi Method 
> Discussion Boards 
> PMI Anal...
33 
Qualitative Research 
> an original company research tool on a subject such as new product 
ideas or concepts, which i...
34 
Dot Sticking (voting) 
> Step 1. Each concept or idea must be presented in a similar 
way having the same amount detai...
35 
Dot Sticking (voting) 
> Step 4. After all participants have used their corresponding dots, 
dots for each concept or ...
36 
Dot Sticking (voting) 
> a concept or idea selection tool that engages a wide number of 
people in the process. 
> It ...
37 
Delphi Method 
Structuring of 
information flow 
Regular feedback 
Anonymity of the 
participants
38 
Delphi Method 
Advantageous 
> free expression of opinions 
> encourages open critique 
> and facilitates admission of...
39 
Discussion Boards 
> A discussion board is an asynchronous communication tool that 
allows one individual to post a co...
40 
PMI Analysis (weighting) 
> an improvement of the weighting the pros and cons technique. 
When one has selected a cour...
41 
PMI Analysis (weighting) 
Plus Minus Implications 
More going on (+5) 
Have to sell house (- 
6) 
Easier to find new 
...
42 
SWOT Analysis 
> a very effective way of identifying one's Strengths and 
Weaknesses, and of examining the Opportuniti...
43 
SWOT Analysis 
> Strengths: 
> What are your advantages? 
> What do you do well? 
> What do other people see as your s...
44 
SWOT Analysis 
> Opportunities: 
> Where are the good opportunities facing you? 
> What are the interesting trends you...
45 
SWOT Analysis 
> Threats: 
> What obstacles do you face? 
> What is your competition doing? 
> Are the required specif...
46 
Product portfolio analysis 
> In this process, new projects are evaluated, selected, and 
prioritized. Existing projec...
47 
Goals of Portfolio Management 
1. Value Maximization 
2. Balance 
3. Business Strategy Alignment 
The three main appro...
48 
FMEA (Failure Modes and Effects Analysis), 
> a structured approach to the analysis of route causes of product 
failur...
49 
Concept Testing Tools 
Idea 
Generation 
Idea 
Screening 
Concept 
Testing Tools
50 
Concept testing definition 
> Process of using quantitative and qualitative methods to evaluate 
consumer response to ...
51 
Product development process
53 
Problems Solved with Concept Tests 
• Modifications and upgrades can reformulate and 
add new life to existing product...
54 
Problems Solved with Concept Tests 
•Many products and services offer upgrade or 
migration paths. For the customer, i...
55 
Problems Solved with Concept Tests 
• Identify which benefits are most important to customers 
and which features are ...
56 
Problems Solved with Concept Tests 
•The most effective concept tests assess the use experience of a 
specific product...
57 
What is a Concept Test? 
> For Product Marketing, a product concept test is conducted when 
the product is in the conc...
58 
Types of “Concept” Tests 
(I) Concept Screenings 
(II) Concept Test-Positioning - Demand Analysis 
(III) Pre-Market Co...
59 
Type I: Concept Screening 
> Identifies concept ideas that are sufficiently promising to merit further 
consideration ...
60 
Type II: Concept Test-Positioning - Demand 
Analysis 
Selected measures from the Type I Concept Test, plus measures th...
61 
Type III: Pre-Market tests 
> Measures attractiveness of a new product or service before its launching 
into the marke...
62 
Considerations in the Concept Test 
 Core Idea vs. Positioning/Commercial Concept Statement 
 New Brand vs. Old Bran...
63 
How can concepts be tested? 
> Focus Groups 
> One-on-One Personal Interviews 
> Mall Intercept 
> Phone Interviews 
>...
64 
Ask the right people... 
time 
The Chasm Sales 
Early Market Mainstream Market 
Technology 
Enthusiasts 
Visionaries P...
65 
Ask the right questions... 
> How important is the product “experience”? 
Does the customer have to “touch & feel” the...
66 
Concept Testing Process 
> Define the purpose of the test 
> Choose a survey population 
> Choose a survey format 
> C...
67 
Concept Testing Example: 
Electric Scooter
68 
Scooter Example 
> Purpose of concept test: 
What market to be in? 
> Sample population: 
College students who live 1-...
69 
Communicating the Concept 
> Verbal description 
> Sketch 
> Photograph or rendering 
> Storyboard 
> Video 
> Simulat...
71 
Sketch
72 
Rendering
73 
Storyboard
74 
3D Solid CAD Model
75 
Appearance Model
76 
Working Prototype
77 
Beta Prototype
78 
Survey Format 
> PART 1, Qualification 
How far do you live from campus? 
• <If not 1-3 miles, thank the customer and ...
79 
Survey Format 
> PART 3, Purchase Intent 
If the product were priced according to your 
expectations, how likely would...
80 
Survey Format 
> PART 4, Comments 
What would you expect the price of the scooter to be? 
What concerns do you have ab...
81 
Interpreting the Results: 
Forecasting Sales 
Q = N x A x P 
> Q = sales (annual) 
> N = number of (annual) purchases ...
84 
Production Product
85 
Summary of Concept Testing 
> Advantages 
relatively easy to get customer input 
can be used as an early screen for ne...
86
Próximos SlideShares
Carregando em…5
×

Npd idea generation & idea screening & concept testing tools

  • Entre para ver os comentários

Npd idea generation & idea screening & concept testing tools

  1. 1. Idea Generation Idea Screening Concept Testing Tools Ehsan Riahi Baran Emam Neda Jafarian Azadeh Shomali Mahdi yazhari Kermani New Product Development Dr. Sadeghi
  2. 2. 2 Importance of NPD > The existence of a business linked with the course of its products. > Products’ life cycle. eventually dies out. > So long-term operation of a business depends on the on going development of new products.
  3. 3. 3 Importance of NPD rapid development of new technologies forced business to adopt (NPD) as a necessary and unavoidable business practice. gradual increase of the competition the shift change in customer needs and attributes
  4. 4. 4 Importance of NPD > David S. Hopkins and Earl L. Baily > research has shown that 40% of new consumer products, 20% of new industrial products and 18% of new services related products have failed completely as products. > To avoid development of a new product that will not be a success in a market and to minimize the costs of such a development a NPD Roadmap can be used. > through a series of logical steps, starting from the process of idea generation and ending at the launch of the product into a market.
  5. 5. 5 Comparisons of the Process of NPD
  6. 6. Kotler Commonly presented linear NPD model 6
  7. 7. Comparison of the idea mortality curve obtained from the survey of previous studies 7
  8. 8. 8 The First 3 Steps Idea Generatio n Idea Screening Concept Testing Tools Develop Marketing Strategy Business Analysis Product Developm ent Test Marketing Commerci alization Idea Generation Idea Screening Concept Testing Tools
  9. 9. 9 The Importance of First 3 Steps
  10. 10. 10 Cash flows and new product development The First 3 stages of NPD represent the formation and development of an idea prior to its taking any physical form. In most industries it is from this point onwards that costs will rise Significantly. It is clearly far easier to change a concept than a physical product.
  11. 11. 11 Idea Generation Idea Generation Idea Screening Concept Testing Tools
  12. 12. 12 Idea Generation > Idea Generation is the Systematic Search for New Product Ideas Obtained Internally or Externally > Idea generation is a process in which creative thinking is used to produce large amount of ideas for new products. > It is very important that all ideas no matter how ludicrous or extreme may sound, to be gathered.
  13. 13. 13 Characteristics of a good Idea Generation Process 1. should be on - going 2. have a specific purpose 3. involve the whole of the company 4. use a variety of methods 5. have one person in charge 6. not evaluate the gathered ideas 7. one should not criticize the ideas of others 8. should be freewheeling and generate as many ideas as possible the problem of this level is to generate as many ideas as possible and manage them in such a way that it will be possible and easy for screening them later on.
  14. 14. 14 Sources for Idea Generation Customer Scientific research Competitors dealers and representativ Miscellaneou s sources es Top management
  15. 15. 15 Sources for Idea Generation > 1. Customer-defined needs and wants These are the result of several actions: • Direct customer surveys. to solicit feedback and to obtain information in a directed manner. • Focused group discussions. multiple-person input and prompted discussion to generate ideas. • Suggestion systems and communication from customers. unsolicited feedback from users and relatively anonymous input from stakeholders of the company. • Customer complaints. an excellent feedback system for those who truly listen to the customer complaint for what it actually is and take the additional step to correct it through a product implementation.
  16. 16. 16 Sources for Idea Generation > 2. Scientific research This method generally occurs as a result of a scientific breakthrough of totally new technology or, more often, from applied research. Scientific research is usually responsible for breakthrough products or processes. 3. Competitors Watch what your competitors are doing in the way of new product development and introduction. They are a yardstick measurement of marketplace activity .
  17. 17. 17 Sources for Idea Generation > 4. Company dealers and representatives These sales channels can feed back customer ideas and also generate ideas of their own. However, this medium must be evaluated in light of any individual agendas that may exist. The sales function is market-share driven. This is not necessarily the best source of new product ideas because feedback may be slanted to make their sales job easier, rather than toward what may be in the best interest of the firm in total.
  18. 18. 18 Sources for Idea Generation > 5. Top management This can be a valuable source or a destructive influence in product development. Top management has the largest bat with which to drive a new product development idea through the organization. A program can be initiated and implemented in short order and with amazing results. However, less-than-constructive results can occur in cases in which supporting data, primary customer feedback, and due diligence are not practiced in favor of exercising executive privilege.
  19. 19. 19 Sources for Idea Generation > 6. Miscellaneous sources Some of the miscellaneous sources are: Inventors patent counsels university laboratories government agencies industrial consultants marketing research firms industry journals and periodicals.
  20. 20. 20 Tools For Idea Generation Ideas for new products can easily come from any sources. When all data is collected a series of tools can help the company quantify these needs and translate them into new product ideas. I. Brainstorming II. Competitive Intelligence III. Conjoint Analysis IV. Delphi Technique V. Morphological Charts VI. Six Thinking Hats VII. TRIZ - Idea generation using a problem-solving tool
  21. 21. 21 Key Factors for Successful Idea Generation > Time Pressure > Try smart incentives > trying harder and providing more “meat” around each idea > following instructions more accurately > actual number of ideas
  22. 22. 22 Key Factors for Successful Idea Generation > Try smart incentives
  23. 23. 23 Idea Screening Idea Generation Idea Screening Concept Testing Tools
  24. 24. 24 Idea Screening > Once all viable ideas are gathered and managed, they must be further developed, examined, prioritized and evaluated so that a single product idea is selected for further development into a product concept. This whole process is called screening and is the main problem to solve in this Level using different tools and techniques.
  25. 25. 25 Idea Screening > Actually, The second step in the new-product development process is idea screening which involves screening new product ideas in order to spot good ideas and drop poor ones as soon as possible. Because product-development costs rise dramatically in later stages, companies must proceed only with product ideas that will turn into profitable products. One way to keep information organized is to have executives write up new-product ideas on a standard form that can be reviewed by a new-product committee. A well-designed system for rating and evaluating new-product ideas prevents problems at latter stages.
  26. 26. 26 Idea Screening > Two potential risks in screening > Dropping ideas too early means missed opportunities! > Developing the "wrong" ideas means wasted resources in terms of time, financial investments and may risk your activities with your current portfolio
  27. 27. 27 Idea Screening > An initial screening is the first decision to commit resources to the idea and to decide whether a NPD project starts or not. This gate is a "gentle" screen of certain "must meet" and "need to/should meet" criteria. > Must meet criteria: corporate policy, strategic fit, magnitude of market opportunity, product advantage, project feasibility, availability of resources, regulations, impact on corporate image. > Need to/should meet criteria: synergy (with product portfolio, production lines and capacity etc.), market attractiveness, competitive advantage, organizational and operational issues. > .
  28. 28. 28 Idea Screening > Screening Ideas Against Company's Marketing Strategies > Screening Ideas Against Company Sales and Profitability Minimums > Screening Ideas Against Key Customers and Buyers
  29. 29. Idea Screening > Alignment with your Product Innovation Strategy > Degree of compatibility with the company’s values & principles (ex: 29 moral, health, environmental) > Market attractiveness / opportunity > Project feasibility > Degree of product advantage over other options > Ability to leverage existing company resources
  30. 30. 30 Idea Screening > The challenge at this gate is to identify and decide on the "right" ideas for further exploration. Your task is to strike a balance between what is desirable (especially from a consumer point of view) and what is feasible both in technical and market terms. A good strategy is also to keep a balanced portfolio of NPD projects in the pipeline with varying degrees of risk (low, medium and high) and rewards (short-, medium- and long-term). > As precise information about market responses and technical requirements is not present at this stage you also need to rely on your intuition or gut feeling.
  31. 31. 31 Tools and Solutions > Assessing New Product Feasibility Is there a need? Is it real? Will the customers buy? Will it satisfy the market? Is the product real? Can it be made? Differentiation? Can we win? Low cost position? Industry structure? Company competitive? Organizational effectiveness? Is the return adequate? Is it worth it? Is the risk acceptable? Supports company's objectives? Satisfy other needs? Other factors?
  32. 32. 32 Tools and Solutions > Qualitative Research > Dot Sticking (voting) > Delphi Method > Discussion Boards > PMI Analysis (weighting) > SWOT Analysis
  33. 33. 33 Qualitative Research > an original company research tool on a subject such as new product ideas or concepts, which is concerned with getting a "feel" for the research topic without doing a numerical and statistical measurement. One can think of Qualitative Research as an in - depth - interview or conversation with a target of potential users of the new product.
  34. 34. 34 Dot Sticking (voting) > Step 1. Each concept or idea must be presented in a similar way having the same amount detail > Step 2. The participants must be then selected > Step 3. Dots are allocated to each of the participants. Depending on the number of concepts or ideas these can be 3 to 5. Different colored dots can be used to indicate different things such as performance, functionality, design etc. Participants can use his or her dots to indicate choice, by sticking them next to the concept or idea drawing.
  35. 35. 35 Dot Sticking (voting) > Step 4. After all participants have used their corresponding dots, dots for each concept or idea are summed and the best concept is declared. Also a second round of dot sticking can take place by selecting the best 2 or 3 strongest concepts or ideas. > Step 5. It is sometimes helpful and necessary to understand the reason of the voting or dot sticking. In this case the participants are required to indicate or note likes and dislikes about the concepts by using post-it notes. This enables the design team to keep strong features of rejected concepts in mind. > .
  36. 36. 36 Dot Sticking (voting) > a concept or idea selection tool that engages a wide number of people in the process. > It is a simple tool and easy to administer but does not provide rich feedback on the reasons or motivations of the people involved in the process. > It can be a powerful tool if the target customers are involved in the process. The tool is extremely useful when there are a lot of potential or competing ideas on the table.
  37. 37. 37 Delphi Method Structuring of information flow Regular feedback Anonymity of the participants
  38. 38. 38 Delphi Method Advantageous > free expression of opinions > encourages open critique > and facilitates admission of errors when revising earlier judgments.
  39. 39. 39 Discussion Boards > A discussion board is an asynchronous communication tool that allows one individual to post a comment or question online. Other individuals who are members of the same discussion board may read that comment/question, and respond with their own remarks over time.
  40. 40. 40 PMI Analysis (weighting) > an improvement of the weighting the pros and cons technique. When one has selected a course of action, PMI is a good method of evaluating this course. This method can be used in any case when decision-making plays a great role in the success of a project. In the case of NPD it can be used in any Level but can be extremely helpful during Level 2 where screening and evaluating new product ideas take place and a decision for the best one must be made.
  41. 41. 41 PMI Analysis (weighting) Plus Minus Implications More going on (+5) Have to sell house (- 6) Easier to find new job? (+1) Easier to see friends (+5) More pollution (-3) Meet more people? (+2) Easier to get places (+3) Less space (-3) More difficult to get own work done? (-4) No countryside (-2) More difficult to get to work? (-4) +13 -18 -1 scores the table as 13 (Plus) - 18 (Minus) - 1 (Implications) = - 6
  42. 42. 42 SWOT Analysis > a very effective way of identifying one's Strengths and Weaknesses, and of examining the Opportunities and Threats one can face. Carrying out an analysis using the SWOT framework can help focusing activities into areas where the company is strong, and where the greatest opportunities lie. By Performing a SWOT analysis, one can use the analysis results to screen new product ideas against the characteristics of one's company and ultimately its strategic goals.
  43. 43. 43 SWOT Analysis > Strengths: > What are your advantages? > What do you do well? > What do other people see as your strengths? > Weaknesses: > What could you improve? > What do you do badly? > What should you avoid?.
  44. 44. 44 SWOT Analysis > Opportunities: > Where are the good opportunities facing you? > What are the interesting trends you are aware of? > Useful opportunities can come from such things as: > Changes in technology and markets on both a broad and narrow scale > Changes in government policy related to your field > Changes in social patterns, population profiles, lifestyle changes, etc. > Local Events
  45. 45. 45 SWOT Analysis > Threats: > What obstacles do you face? > What is your competition doing? > Are the required specifications for your job, products or services changing? > Is changing technology threatening your position? > Do you have bad debt or cash-flow problems?
  46. 46. 46 Product portfolio analysis > In this process, new projects are evaluated, selected, and prioritized. Existing projects may be accelerated, killed, or de-prioritized and resources are allocated (or reallocated) to the active projects
  47. 47. 47 Goals of Portfolio Management 1. Value Maximization 2. Balance 3. Business Strategy Alignment The three main approaches are: top-down (strategic buckets); bottom-up (effective gate keeping and decision criteria) and top-down and bottom-up (strategic check). 4. Pipeline Balance 5. Sufficiency
  48. 48. 48 FMEA (Failure Modes and Effects Analysis), > a structured approach to the analysis of route causes of product failure > the estimation of the severity of impact to the product > the effectiveness of strategies for prevention. The output of the analysis: > the generation of action plans to prevent, detect or reduce the impact of potential modes of product failure.
  49. 49. 49 Concept Testing Tools Idea Generation Idea Screening Concept Testing Tools
  50. 50. 50 Concept testing definition > Process of using quantitative and qualitative methods to evaluate consumer response to a product idea prior to the introduction of a product to the market
  51. 51. 51 Product development process
  52. 52. 53 Problems Solved with Concept Tests • Modifications and upgrades can reformulate and add new life to existing products and services. Again, identifying the optimal bundle of features is a priority. Differentiating those features that are "need to haves" vs. "nice to haves” is critical in creating products or services that are truly “New and Improved” “New Release” and “Upgrade” worthy Product Modificatio n/Upgrade
  53. 53. 54 Problems Solved with Concept Tests •Many products and services offer upgrade or migration paths. For the customer, it is a reflection of a need for the next level of sophistication. Understanding the key features and benefits is critical in mapping consumer needs to the likelihood of upgrading an existing product or adopting a new technology. Migration path
  54. 54. 55 Problems Solved with Concept Tests • Identify which benefits are most important to customers and which features are most likely to lead to the fulfillment of that promise. Features can be categorized into those which are "need to haves" vs. "nice to haves." Customer need must be identified and prioritized for product development and advertising. New Product Concepts
  55. 55. 56 Problems Solved with Concept Tests •The most effective concept tests assess the use experience of a specific product or service and determine how that experience can be improved Product Usability- Serviceability •No one underestimates the importance of price expectations in new product adoptions. Pricing and Incentives
  56. 56. 57 What is a Concept Test? > For Product Marketing, a product concept test is conducted when the product is in the conceptual stage, where only the core concept is defined, through a story board, sketches, graphics, or even a product mock-up. The concept should be developed to the point that it conveys the product attributes, the desired positioning and the intended brand personality. > The concept test is pre-design, and differs from a pre-test or test market, which are conducted later in the development cycle - based on a finalized product design. Pre-tests and test-markets are a final check point at avoiding a major market error.
  57. 57. 58 Types of “Concept” Tests (I) Concept Screenings (II) Concept Test-Positioning - Demand Analysis (III) Pre-Market Concept Tests
  58. 58. 59 Type I: Concept Screening > Identifies concept ideas that are sufficiently promising to merit further consideration and development > Believability, Relevance > Perceived Uniqueness, Value > Trialability: Potential for trial > Relative Attribute Performance Advantages > Integration of multiple measures, leading to a more sensitive forecast. > Provides trial potential based on multiple measures that go beyond purchase intent.
  59. 59. 60 Type II: Concept Test-Positioning - Demand Analysis Selected measures from the Type I Concept Test, plus measures that… > Presents consumers with test concepts defined to include the concept and competing brands in product consideration sets. > Identify potential opportunity size for a chosen concept, including preliminary sales estimates. > Strengths/Weaknesses analysis based on attributes/benefits
  60. 60. 61 Type III: Pre-Market tests > Measures attractiveness of a new product or service before its launching into the market by identifying its strengths and weaknesses. > Allows to evaluate the level of agreement between the concept and the specific brand attributes. > Detects communication problems that may interfere with appropriate comprehension by the target segment. > Provides purchase intention indicators, with scenarios varying from most optimistic to most conservative. > Minimizes the risk of failure in the market by allowing product and communications adjustments before launch. > Possible with both qualitative and quantitative techniques.
  61. 61. 62 Considerations in the Concept Test  Core Idea vs. Positioning/Commercial Concept Statement  New Brand vs. Old Brand vs. No Brand  Concept statement: narrative, drawing, model?  Respondent group: Lead users? Large users?  Response situation: Where? How?  Purchase Measure Decisions:  Buyer Intent  Frequency  Price  Product Diagnostics  Attribute Diagnostics
  62. 62. 63 How can concepts be tested? > Focus Groups > One-on-One Personal Interviews > Mall Intercept > Phone Interviews > Postal Surveys > Internet Surveys > Hybrids (e.g., phone-mail-phone) > Prototyping & Rapid prototyping > Alpha, Beta & Gama Tests
  63. 63. 64 Ask the right people... time The Chasm Sales Early Market Mainstream Market Technology Enthusiasts Visionaries Pragmatists Conservatives See (1) Rogers (1995) Diffusion of Innovations (2) Moore (1991) Crossing the Chasm (3) www.chasmgroup.com
  64. 64. 65 Ask the right questions... > How important is the product “experience”? Does the customer have to “touch & feel” the product to understand the benefits offered? “Simulate” the Experience
  65. 65. 66 Concept Testing Process > Define the purpose of the test > Choose a survey population > Choose a survey format > Communicate the concept > Measure customer response > Interpret the results > Reflect on the results and the process
  66. 66. 67 Concept Testing Example: Electric Scooter
  67. 67. 68 Scooter Example > Purpose of concept test: What market to be in? > Sample population: College students who live 1-3 miles from campus Factory transportation > Survey format: Face-to-face interviews
  68. 68. 69 Communicating the Concept > Verbal description > Sketch > Photograph or rendering > Storyboard > Video > Simulation > Interactive multimedia > Physical appearance model > Working prototype
  69. 69. 71 Sketch
  70. 70. 72 Rendering
  71. 71. 73 Storyboard
  72. 72. 74 3D Solid CAD Model
  73. 73. 75 Appearance Model
  74. 74. 76 Working Prototype
  75. 75. 77 Beta Prototype
  76. 76. 78 Survey Format > PART 1, Qualification How far do you live from campus? • <If not 1-3 miles, thank the customer and end interview.> How do you currently get to campus from home? How do you currently get around campus? > PART 2, Product Description <Present the concept description.>
  77. 77. 79 Survey Format > PART 3, Purchase Intent If the product were priced according to your expectations, how likely would you be to purchase the scooter within the next year? I would definitely not purchase the scooter. I might or might not purchase the scooter. I would definitely purchase the scooter. I would probably not purchase the scooter. I would probably purchase the scooter. “top box” “second box”
  78. 78. 80 Survey Format > PART 4, Comments What would you expect the price of the scooter to be? What concerns do you have about the product concept? Can you make any suggestions for improving the product concept? > Thank you.
  79. 79. 81 Interpreting the Results: Forecasting Sales Q = N x A x P > Q = sales (annual) > N = number of (annual) purchases > A = awareness x availability (fractions) > P = probability of purchase (surveyed) = Cdef x Fdef + Cprob x Fprob “second box” “top box”
  80. 80. 84 Production Product
  81. 81. 85 Summary of Concept Testing > Advantages relatively easy to get customer input can be used as an early screen for new product ideas > Limitations not that helpful for the design and development of specific product forms not as reliable for discontinuous innovations
  82. 82. 86

×