STAGES OF

CONCEPT PRODUCT
DEVELOPMENT
ENVIRONMENT & MARKET – MODULE 2_ENTREPRENEURSHIP
Preliminary Activity: Tell Whether The Ff. Is NEEDS Or WANTS

1. A Ferrari or Posrché Sports Car

2. Clothes bought from an RTW
3. A gallon of water bought from a water-refilling station
4. Canned goods
5. A sack of rice
6. A Bvlgari wrist watch
7. A 3-day trip to Osaka. Japan
8. A bag of fruits and vegetables
9. A Condominium unit
10. Cup of coffee bought from Starbucks
HOW DOES A PRODUCT /SERVICE TO BE
OFFERED IS BEING DEVELOPED?
ARRANGE THE STAGES OF PRODUCT CONCEPT
DEVELOPMENT:
STAGES OF PRODUCT CONCEPT DEVELOPMENT
PRODUCT DEVELOPMENT PROCESS (VID)
GROUP WORK: PRESENT A CONCEPT DEVELOPMENT
FOR THE ASSIGNED BUSINESS ENTERPRISE:
• 1. FUNERAL SERVICE
• 2. COMPUTER REPAIR SHOP
• 3. WATER-REFILLING STATION
• 4. LAUNDRY SERVICE
• 5. COMPUTER PRINTING SHOP
• With complete details as: area where to put up the business, with pictures or
props related to the business assigned.
• To be placed in manila paper.
 SAMPLE PRODUCT CONCEPT DEVELOPMENT PLAN FOR
COMPUTER REPAIR SHOP
• Efficient, Reliable, Up-to-date Knowledge & Skilled Computer Technician
• Complete Tools & PPE
Identify • Complete Hardware Spare Parts (from old version to latest)
Customer’s • Complete CD drivers & Software Installers
Needs

Analyze
Competitor’s
Product

Target
Specifications
 SAMPLE CONCEPT DEVELOPMENT PLAN FOR
COMPUTER REPAIR SHOP
• [Text]
• [Text]]

Generate
Product
Concepts

Select
Product
Concepts

Refine
Specifications
 SAMPLE CONCEPT DEVELOPMENT PLAN FOR
COMPUTER REPAIR SHOP
• [Text]
• [Text]]

Economic
Analysis

Plan
Remaining
Development
Project
STAGES OF NEW PRODUCT (CONCEPT) DEVELOPMENT

• Stage 1: Generating Ideas
The first step counts on your performance of a SWOT analysis. In a SWOT
analysis, also known as a SWOT matrix, you perform a basic scan of your
organization’s Strengths, Weaknesses, Opportunities, and Threats. Strengths
and Weaknesses are internal to your company, whereas the Opportunities
and Threats are external.

• Things to consider during your SWOT analysis are the current marketing
trends, return on investment (ROI), and any notable costs such as distribution.
This step is where you develop the roadmap for the product. Many experts
advise developing more than one road map scaled to fit different risk levels.
STAGES OF NEW PRODUCT (CONCEPT) DEVELOPMENT

• Stage 2: Screen the Idea

• In this step, an objective group or committee reviews criteria that
you developed and decides to either continue or drop a project.
This step is done quickly so that you drop any ideas that do not
make the cut. Market potential, competition, ROI, and realistic
production costs should be part of the criteria
STAGES OF NEW PRODUCT (CONCEPT) DEVELOPMENT

• Stage 3: Test the Concept  

• In this step, you are testing the concept with your customers. This
is after the internal screening step, so the picture itself is more
firm. The customers should be able to display their understanding
of the product, and say whether they want or need it. Their
feedback gives your company some marketing ideas and potential
tweaks to the product itself.
STAGES OF NEW PRODUCT (CONCEPT) DEVELOPMENT

• Stage 4: Business Case Analysis / Economic Analysis

• In this step, you have a fully formed product; the concept has been
reviewed internally and externally. At this time, you can develop a
set of metrics and a business case. The metrics should include the
development time, the value of any launched products, the sales
figures, and other data that shows the utility of your process. The
business case should paint a complete picture of the product, from
the marketing strategy to the expected revenue.
STAGES OF NEW PRODUCT (CONCEPT) DEVELOPMENT

• Stage 5: Product Development

• This is the step where your product takes flight. You are getting
ready for consumer testing, so the technical team must complete
your design. During this step, you should complete beta versions,
settle on manufacturing methods, and address packaging.
STAGES OF NEW PRODUCT (CONCEPT) DEVELOPMENT

• Stage 6: Test Market

• In this step, the whole concept is together and pitched to your
consumer test group as the beta test. In this way, you validate your
concept. At this time, you should work out any technical issues
with the product.
STAGES OF NEW PRODUCT (CONCEPT) DEVELOPMENT

• Stage 7: Commercialization
• This is the step that finally takes your product to launch in the
marketplace. Complete final marketing and prices, and give the
finalized details to rest of your company - especially the sales and
distribution teams. Set up technical support to monitor customer’
needs.
• Includes the branding, logo, slogan/tagline (or other trends of
advertising products or services)
STAGES OF NEW PRODUCT (CONCEPT) DEVELOPMENT

• Stage 8: Launch!
• The launch plan should be comprehensive for maximum impact. At a minimum, include
these seven things in your launch plan:
1. Market research including who will buy your product
2. A competitive analysis outlining how your product is different and similar to the
competition, why customers may buy elsewhere, and how you will lure them to your
product
3. A marketing strategy and the test of the strategy with your focus group
4. A public relations program
5. A complete product
6. A marketing plan timeline
7. A trained and ready sales team
 QUIZ: ARRANGE THE STAGES OF NEW PRODUCT
CONCEPT DEVELOPMENT:

LAUNCHING GENERATING
of the new COMMERCIALIZATION IDEAS
Product
PRODUCT
DEVELOPMENT
SCREEN TEST ECONOMIC
THE THE ANALYSIS
IDEAS TEST THE
CONCEPT
MARKET