New product concept development and screening
Carefully plan the steps involved in testing your new product development (NPD) ideas. For every 7 new product ideas developed, 1 becomes successful. Defining your new product concept and testing it with your market will help you determine whether your new product idea will be a success.
The concept development and testing stage of NPD can be time-intensive, but it will help you avoid unnecessary costs later by ensuring you pursue the best new product concept in your market.
Create a product concept
A product concept is a detailed description of an idea, which you describe from the perspective of your customer. Taking your customers' viewpoint when describing your product concept will help you test and evaluate how responsive your market will be to your product.
Do your sums carefully
Make sure your idea can be designed, manufactured and delivered within your financial, resource and time constraints.
Talk to the people who will buy it
Take your idea to your target audience to determine what they think and where any gaps might lie. Market researchers can help you run focus groups and surveys to determine how customers will respond to your product.
Refine your target market
Detail your customer targets as accurately as you can. Your focus groups or conversations with your target audiences will help you determine whether you're targeting the right market segments.
Examine intellectual property (IP) issues
Find out whether another business or individual has already patented your idea by searching for a patent.
If your idea was the combined result of several members of your team, consider how you will recognise their contributions to the intellectual property when you protect your idea.
Identify the features
Based on the information you have gathered to date, list the features and benefits of your proposed product from highest market importance to least.
Take your time
Define your product concept clearly, test it with your audience and don't make any assumptions. Many NPD ventures fail because businesses rush through concept development and testing.
- Use the online IP info kit to help you understand Australia's IP system and find ways to protect your business's IP.
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