Researching the Consumer Market and Develop New Product - Case Study Example

Executive Summary Development of a new product and designing a prototype for the product is important as it helps to understand the features, the attributes and the augmented benefit that the product provides. This paper presents the development of a new product which is names the “Find Master” and has been developed to help people trace their things which get easily lost. This product is aimed at a different section of people who have a tendency of forgetting the place where the product has been kept and pressing the buzzer will help to solve the problem as the person will be able to find the product easily. The necessity of the product was identfied on the backdrop of a market research which was carried out in the same direction which highlighted the need of developing a product which helps to find the lost product. The product has been tested under various conditions and pressing the buzzer has ensured that the product is found. Knowledge and awareness about the product has been spread through advertisement in newspaper and displays at various shopping malls along with the use of internet which has ensured deep penetration. Table of Contents Introduction 3 Details of the New Product 3 Research Justifying the Product Need 4 Potential Market 4 Market Segment Analysis 5 Reason for success of the product 5 Core and Augmented benefit of the product 5 Financial 6 Recommendations 6 Conclusion 6 References 8 Introduction Development of new products has become an important aspect especially in the fast revolving world which is very competitive. This requires that the developer of new products creates an idea about the product and then test the prototype of the product to judge the chances of success. This helps to understand the augmented and core attributes of the product from the consumer point of view. This report thereby looks towards developing a new product which has been judged on different attributes so that the target potential market and the attributes that the product has can be identified. The product has been developed based on a research which highlighted the demand for such a product and has been tested through a prototype which ensures the derived benefit for which it has been developed Details of the New Product It is seen that a large section of the population forget the place where they have kept their valuable items and then spend a lot of time in searching for it. This results in a wastage of effort and time which could have been used for some other productive activities. This created an idea of developing a product which helps to find missing objects. A research carried out in the same field showed the demand for such a product and was tested by creating a prototype of the product. This developed a new product called the “Find Master”. The product will help the purchaser to find their misplaced valuables easily. To reduce the chances of misplacing the product a beeper needs to be placed on the product which will be pressed through the buzzer and the beep sound will help to find the product. This will help the person to find the product easily and doesn’t have to search for the product everywhere. This product will aim at people who have a high tendency of forgetting things and waste a lot of time in searching for the item. Since, the product is developed in a manner that it is small in size it will ensure that it can be attached to any product without providing any weight to the product. This will thereby be very acceptable and attractive to the customers as it will provide the user benefits which other products in the market don’t provide (Luther, 2001). Research Justifying the Product Need To gauge the requirement of such a product a research was conducted. The findings of the research showed that there is an increased demand for such a product. A prototype was hence developed which was tested and it worked as the beeper and the beep souns helped people find the products which were kept at a different place. The prototype of the product looked at different design and after keeping in mind the fact that customer wont prefer a bulky product which when attached to the product spoils its look a product was developed which is small and light weight. This prototype was successful as customer acceptance was high and people accepted the product easily. Potential Market The new product will be aimed at the working population and the mothers in different household across the country and will be specifically aimed at people who have a tendency of forgetting things very easily. This beeper will be of immense help to the identified target customer as it will help the working class to ensure that they are able to find the products easily due to the fact that they don’t have enough time to look for various products which has been misplaced. This will be of help to the mother as it will help them to find the misplaced products easily especially the one that has been misplaced by their children. Thus, it will help to simplify the lives of people who use the product. Market Segment Analysis The product looks towards all the segment of the people due to the low cost associated with the product. The product has been priced low so that all segment of the customer are able to purchase it. Further, the fact that people belonging to the lower segment of the population have limited money to afford a new product like a watch which has been misplaced this new product will be beneficial to them. This will also allow deeper penetration into the market and will thereby ensure that the chances of acceptability of the product are high. Reason for success of the product The product will be accepted by the public and will succeed because of different reasons which are as follows Low price which will ensure that all section of the population are able to purchase it Will help the working class and the mothers to locate the product which has been misplaced Low weight will ensure no additional weight on the product to which it is attached Small size will have no effect on the look of the product to which it is attached There is no other similar product in the market Core and Augmented benefit of the product The new product “Find Master” looks towards providing different core and augmented benefits to the users which has been shows below Core Benefit: The core benefit is that it will save time and energy to search for products which have been misplaced (Stapleton, 1997) Augmented Benefit: The new product “Find Master” will provide additional benefits as it will ensure that the product is not lost and attaching it to the product will neither increase its weight nor affect the look of the product (Stapleton, 1997) Financials The company will be benefitted greatly due to the demand that the product will help as seen from the research. Further, the company will be able to ensure that it is able to have a return of around 30% due to low cost in manufacturing the product. Further, the huge demand will ensure that there is economies of scope and the same goods are produced at a lower cost. The prototype will also ensure minimum chances of failure and will thereby translate into increased profit and acceptance of the product. Recommendations The new product “Find Master” sounds a good proposal and increases the chances of acceptance of the product. The market research has highlighted the demand for the product and developing a prototype has ensured that the product will be accepted. This thereby develops the importance of developing a prototype of a product where few products will be developed and distributed as free samples to understand the manner in which the customers accepts the product (Westwood, 2002). This will thereby help to ensure that the product is launched and will help to ensure that all the changes that will be required are done in the beginning and will thereby ensure that the launch of the product is successful. Thus, the new product will be accepted due to the varying features that the product will provide. Conclusion The new product “Find Master” will be successful in the market due to the nature and difference the product has in comparison to other product in the market. This paper thereby highlights the manner in which “Find Master” will help the person to find the product and thereby reduces the chances of misplacing the product. Further, the company has looked towards targeting the working class and mothers which will further ensure the chances of the product being successful due to the different augmented and core benefit that the product tends to provide. This thereby increases the chances of the product being successful and will ensure easy acceptability of the product. References Luther, W.M. 2001.The marketing plan: how to prepare and implement it (3rd ed).New York: AMACOM; London: McGraw-Hill Stapleton, J. 1997.How to prepare a marketing plan: a guide to researching the consumer market (5th ed.), Hampshire: Gower Westwood, J. 2002.The marketing plan: a step-by-step guide. (3. ed) London, Kogan Page. Read More