Introduction to New Product Development Process What you’ll learn to do: describe the new-product development process We have considered the role of new products throughout this module. It is important to introduce new products in order to have a balanced portfolio containing products at the various stages of the product life cycle. We have not yet focused on ways of creating successful new products. In this module we will discuss a standard,… Read More »New Product Development Process

Role of New Products in the Portfolio New products bring greater risk to the product portfolio but also greater potential reward. The goal of portfolio management is to balance risk in order to create strong performance today and in the future. Though new products can drain resources in the short run, they are positioned to generate new sales in the long run—and to take off when other products are entering stages of… Read More »Role of New Products in the Portfolio

New Products in the Portfolio LEARNING OBJECTIVES Explain why new products are crucial to an organization’s success Factors Influencing the Pace of Product Development New-product introductions are an important component of the product portfolio. This has always been the case, but there have been a number of changes since 2000 that have increased the pace of new-product development and, with it, the importance of new products in the portfolio. The Internet… Read More »New Products in the Portfolio : why new products are crucial to an organization’s success

Product-Line Decisions A product line can contain one product or hundreds of products. The number of products in a product line refer to its depth, while the number of separate product lines owned by a company is the product line width. There are two overarching strategies that deal with product line coverage. With a full-line strategy the company will attempt to carry every conceivable product needed and wanted by the target customer. Few full-line… Read More »Product-Line Decisions

Marketing Mix Strategies When a product is introduced, it’s not locked down forever. Marketers continually gather market data about products so they can refine the product and its position in the marketplace. Product Modification It is normal for a product to be changed several times during its life. Certainly, a product should be equal or superior to those of principal competitors. If a change can provide superior satisfaction and win… Read More »Marketing Mix Strategies

Achieving Portfolio Objectives LEARNING OBJECTIVES Identify marketing strategies and tactics used to achieve portfolio objectives Introduction In our discussion of the product life cycle we saw that competition generally increases as more competitors are drawn to high-growth markets. As more brands enter the marketplace and lock into a particular share of the market, it becomes more difficult to win and hold buyers. Apart from these competitive factors, other market factors can shift, too. For… Read More »Identify marketing strategies and tactics used to achieve portfolio objectives

Organizing for Effective Product Marketing Before we dive into the product portfolio it is important to understand how products are organized in most businesses. Johnson & Johnson has hundreds of products. They sell baby shampoo to new parents and knee systems to surgeons who perform knee-replacement surgeries. Imagine trying to understand all of the different products and their target buyers. It would be impossible to span all of those products… Read More »Organizing for Effective Product Marketing

The Product Portfolio LEARNING OBJECTIVES Define the product portfolio and explain its use in marketing Throughout this course we have discussed a number of ways that organizations market products successfully. How does an organization decide which products to offer? When should a company add new products, and when should it discontinue existing ones? Product portfolio management answers these questions. Organizing for Effective Product Marketing Before we dive into the product… Read More »product portfolio and explain its use in marketing

Introduction to Product Portfolio Management What you’ll learn to do: explain product portfolio management and how it relates to the organization’s marketing strategy and tactics Our last example showed the importance of marketing a diverse set of products and using new products to gain strategic advantage. Defining and managing this collection of products is called product portfolio management. Think of an artist’s portfolio. The artist will use her portfolio to… Read More »Introduction to Product Portfolio Management

Challenges in the Product Life Cycle LEARNING OBJECTIVES Identify challenges of using the product lifecycle in marketing Introduction In theory, the product life cycle follows a predictable path that is easy to understand. This might suggest that the marketer just needs to gear up for the ride and be ready to adjust tactics as the product moves through its life cycle. To the contrary, a marketer’s job is much less… Read More »Challenges in the Product Life Cycle