NPD is a process which is design to develop, test and consider the viability of products which are new to the market in order to ensure the growth or survival of the organization.

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To replace declining products.
To take advantages of new products.
To maintain/increase market share.
To defeat rivals.
To keep up with rivals.
To maintain competitive advantage.
To fill a gap in the market.
To bring a new customers.

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Major innovations.
New product lines.
Product line extension.
Product improvements.
Repositioning.
Cost reductions.

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R & D department
Production department
Sales team
Employees
Customers
Competitors
External sources
Market research

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Screening of products to spot good ideas and drop poor ones as soon as possible
Ideas are check for technical feasibility, financial viability and marketability
The business analysis the product to evaluate its demand, marketability and profit potential
Given ideas rating according to marketing, production and strategic factors

1. Develop Product Ideas into
Alternative
Product Concepts
2. Concept Testing - Test the
Product Concepts with Groups of Target Customers
3. Choose the Best One

Part One - Overall:
Target Market
Planned Product Positioning
Sales & Profit Goals
Market Share
Part Two - Short-Term:
Product’s Planned Price
Distribution
Marketing Budget
Part Three - Long-Term:
Sales & Profit Goals
Marketing Mix Strategy

Business Analysis
Review of Product Sales, Costs, and Profits Projections to See if
They Meet Company Objectives
If No, Eliminate
Product Concept
If Yes, Move to
Product Development

Standard
Test Market
Full marketing campaign in a small number of representative cities.
Simulated
Test Market
Test in a simulated shopping environment to a sample of consumers.
Controlled
Test Market
A few stores that have agreed to carry new products for a fee.

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Introducing a new product into the market.
Timing is critical for success.
There will be heavy promotional expenditure at the launch.
Choice of skim or penetration rising.
The product has to be well targeted and positioned.

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Develop innovative products.
Bring new ideas to market ahead.
Integrate regulatory compliance into product lifecycle processes to reduce business risk and sell products in global markets.
Effectively manage the global manufacturing supply chain to ensure on-time, on-cost and quality product delivery.

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Neglect of market research
Inaccurate market research
Poor marketing after launch
Poor distribution
Product performance below expectation
Market not ready for the products
Inadequate support for the market

 Daewoo was a major South Korean conglomerate. It was founded in March
22, 1967 as Daewoo Industrial and was dismantled by the Korean government in
1999
.

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The Daewoo Matiz is a city car produced by the South Korean automaker G M Daewoo marketed worldwide since 1998 .
It has won the Best City car in the 1998
World's Most Beautiful Automobile competition.

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The main problem was the Matiz' positioning.
It was not much powerful for highways.
When the car was launched it was overpriced.
Suddenly brought down in prices created very bad impression on public.
It was most difficult to repair.

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Nestlé India is a subsidiary of Nestle S. A. of
Switzerland, Beginning with its first investment in Moga in 1961 .
The Company insists on honesty, integrity and fairness in all aspects of its business and expects the same in its relationships.

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Julius Maggi founded the company
Maggi.
Maggi is a Nestlé brand of instant soups, stocks, bouillons, ketchups, sauces, seasonings and instant noodles.

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Maggi Noodles.
Maggi Vegetable Noodles.
Dal Atta Noodles.
Maggi Rice Noodles Mania.
Maggi Sauces.
Maggi Healthy Soups.
MAGGI MAGIC Cubes.
Maggi Pichkoo.
Maggi Cuppa Mania.

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 Initially Nestle tried to position the Noodles in the platform of convenience targeting the working women.
Research.
'Fast to Cook Good to Eat‘
Distribution of free samples.
Gifts on return of empty packets

NPD is a process which is design to develop, test and consider the viability of products which are new to the market in order to ensure the growth or survival of the organization.