Process of Product Development

The cycle of product development is start from idea generating, followed by idea screening, concept development and testing, business strategy development, product development, test marketing, commercialisation and introduced the product to public.

Product development can be said that have a close relationship with creativity, innovative, and insight. This is because to create a new product or adding some additional feature to product, it need of Creativity and Innovation. The need to creativity can let us to brainstorming about the idea thus generating some idea on how to develop a new product that can fulfilled the market needs and can upturn the market’s living standards. But at the same time, the idea must also come out with the way to produce it. And the product that been produce are easy to be use by all people. To develop a product, creativity is the main character in process of developing new product.

The idea of development must relevant and can be produced as a product. One of the way is use the old product and rebuild a new design on it. The advantage of use of modify and rebuild is able to cut the cost to do research because the previous product already in the market before. So, the cost of testing, research, and cost of materials can be cut down or decrease. Beside than rebuild on old product, another way is by making some research in the market sample to get the data. This is because to develop a new product, it is not enough if we only get the information or data from our friends and family, we need to get more data from other people like stranger that might be our potential customer in future. The advantage of using the research method is able the company to get know the latest trend of market or what do the market want and idea can be generated based on the data collected.

After brainstorming, one main idea need to be selected from the various idea that been generated while the other idea that are less attractive or unwanted idea will be takes out. The company will choose the idea that are most attractive, creative, and able to upturn the living standard. After that, company will find some “testers” to test whether they can be accept about the idea of new product or what they wish to be improve. The concept of product will be adjusted according to the comments of testers.

To find out the suitable business strategy development for new product, most of the company will use the concept of 4Ps’ which is include of Product, Price, Place and Promotion.

For Product, we need to think from few aspects so that we can be more understand about the new product that going to be sell. We can think from what is the function of this product? How this product can be solved the problem faced by customer? What the benefit that bring to customer if customer purchased this product? What is the disadvantage of this product? Who will be the main customer that will purchase this product? All of these questions can help us to determine the group of customers that most likely to purchase this product and get know the feature of product well. All of the products are not perfect. So, we need to narrow down the disadvantage or lacking of this product.

For Price, price is the amount that customer will pay for the product. To set a suitable price that the customer can be accept and at the same time company will get profit, many aspects need to be consider. As example, the cost of manufacture need to be considered before set the product price, because if the price is set lower than the cost of the product, then the company will suffer of a greater loss. Beside that, price of competitor need to be consider in setting the price. This is because if the price is setting too expensive, customer will purchase competitor product which is much cheaper. Thus, the company will gain lose. So, we need to consider of many aspects before set the price.

For Place, it can be say as an important issue because it will determine where the product will be sell. Is the product will be sell through online only or sell at the shop or sell it at both online merchants and shop? If sell at shop, the product should be sell at the shop that are famous or have a strategic location so that customer can find it easily. Nowadays, online shopping is very famous. Thus, the product can be also sell at the online store so those customers that unable to buy it from the actual shop, can purchased this product through online.

For Promotion, it is important because through promotion, the product can be well known by the public and the fame of product can be increase too. For promotion, we can either use it in a traditional way such as giving the flyer, give some sample, or have the make advertisement at the advertisement board to attract people. Beside that, we can also promote it through online promotion, such as make advertisement at social media or through the electronic media, radio and so on.

After settled down the business strategy development, product development will turn the prototypes or concept of product into a real product that have market value. In this process, research on piece materials will be carry on finding out those quality materials that suitable in manufacturing this product. After the product been produced, will use it for a market testing. Some of the company will give some free sample to testing market response see whether the product can be accepted by the customer or not. And come to the final step, which is introduce to public.