New products are the lifeblood of all businesses. Investing in their development isn’t an optional extra – it is crucial to business growth and profitability.
But embarking on the development process is risky. It needs considerable planning and organization.
This guide will outline the key stages in the lifecycle of products so you know when the time is right for your business to start the development process.
Key stages in the process of product development is the process involves eight key stages:
- Idea generation – brainstorming and coming up with innovative new ideas. See generating ideas for new products and services.
- Idea evaluation – filtering out any ideas not worth taking forward. See screening new product or service idea.
- Concept definition – considering specifications such as technical feasibility, product design and market potential. See researching new product and service ideas.
- Strategic analysis – ensuring your ideas fit into your business’ strategic plans and determining the demand, the costs and the profit margin.
- Product development and testing – creating a prototype product or pilot service. See concept development and testing.
- Market testing – modifying the product or service according to customer, manufacturer and support organisations’ feedback. This involves deciding the best timing and process for piloting your new product or service. See how to test the market.
- Commercialisation – determining the pricing for your product or service and finalising marketing plans. See pricing your proposed service or product.
- Product launch – a detailed launch plan can help ensure a smooth introduction to market.