Five Pillars – Part 5 – Product Idea / Secret Sauce
Any idea, service or any physical good that is saleable and which serves the purpose of
both the buyer and seller can be termed as a product. A lot of intangible as well as tangible features of the product is screened at the idea screening stage and the product must also be in line with objectives and values promoted by the company.
Product development is series of steps that involve designing, creating, testing and marketing of a new product or service for the benefit of the customers. It has a systematic method involved in the development of new product. New product development can be seen as identifying and transforming a market opportunity into a saleable product. To identify this market opportunity, a keen observation and understanding, of the need and discomforts of the customers with the current available products or discomforts of customers in general, is needed. For the success of the new product the competitive environment in the market and the way the market functions needs to be analyzed in detail. While developing a new product, a company is actually undertaking a major risk. Better communication and use of best practice methods, as tried and tested in the industry, should be used to minimize the risk.
So, after understanding the need, the information gathered should be synthesized. One should actually imagine new customers using the new product and based on this create a beta version or a prototype of the product, which can be tested internally. Further to the designing of the prototype, the product should be improvised, several times, before it is handed over to the customers.