10. Time to Differentiate Time to Innovate

8/10/2019 10. Time to Differentiate Time to Innovate

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Dr. Dimitrios V. Nikolaidis

Bucharest, May 22 2014

Time to DIFFERENTIATE

Time to INNOVATE


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The University of Sheffield International Faculty

Head of Business Administration & Economics Department, 2010 Senior Lecturer in Marketing

Group of Companies of Dimitris Kontominas ALPHA Television: General Manager of N. Greece, 2002-09

ALPHA Digital TV: Marketing Manager of N. Greece, 2002

ARIS FC: Marketing & Administrative Director, 2000-01

Hellenic American AcademyDirector of an Educational Institution, 1992-99

Philadelphia Flames Soccer Club General Manager, 1993-1996

Director of Communications, 1992-1993

Philadelphia SixersNBA

Assistant to the Director of Information and Statistics, 1991-92

Work Experience


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Doctorate degree:Marketing & Management, Temple University,

USA 1995

Masters degree:Marketing & Management, Temple University,

USA 1991

Publications(30) in national and international journals

Speakerat seminars in: marketing, management, communication,

public relations, services marketing

Teaching:

The University of Sheffield (2001 - 2014)

VUZF University, Bulgaria (2010 - 2014)UAT University, Albania (2010 - 2013)

SNSPA University, Romania (2012 - 2014)

Aristotle University, Greece (2004 - 2006)

University of Macedonia, Greece (2007 - 2008)

New York College, Greece (1999)

Education

The University of Sheffield International Faculty, CITY College


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WHAT do you expect from this class?

HOW do you see your self in 5 years?

This session will ask you to

THINK!!!


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Crawford, C. and Di Benedetto, A. (2011)New Products Management. 10th

International edition, New York, McGraw-

Hill.

Textbook

SINGLEBook?

The DEATHof a teacher
http://localhost/var/www/2.%20IMC%20Fall%202010/IMC%202010/LINKS/Textbooks.ppthttp://localhost/var/www/2.%20IMC%20Fall%202010/IMC%202010/LINKS/Textbooks.ppthttp://localhost/var/www/2.%20IMC%20Fall%202010/IMC%202010/LINKS/Textbooks.ppthttp://localhost/var/www/2.%20IMC%20Fall%202010/IMC%202010/LINKS/Textbooks.ppt


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Innovation


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New Products


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TABLE OF CONTENTS

INTRODUCTION

1. OPPORTUNITY IDENTIFICATION AND SELECTION

1.1 Product Platform Planning............................................................................ 3

1.2 Product Innovation Charter - An Example.................................................... 4

1.3 The Product Innovation Charter - Preparatory Stage................................... 5

1.4 The Product Innovation Charter - Final Stage............................................... 6

1.5 Notes and Comments.................................................................................... 7

2. CONCEPT GENERATION

2.1 Initiating Creativity in your Organization..................................................... 8

2.2 Brainstorming............................................................................................... 9

2.3 Ideation Testing............................................................................................ 10

2.4 Dimensional Analysis.................................................................................... 122.5 GAP Analysis................................................................................................. 13

2.6 Writing the Concept Statement.................................................................... 14

2.7 Notes and Comments.................................................................................... 15

3. CONCEPT / PROJECT EVALUATION

3.1 ATAR Application.......................................................................................... 16

3.2 Evaluating the Concept - The ATAR model................................................... 17

3.3 Developing the Concept Test....................................................................... 18

3.4 The Full Screen............................................................................................. 20

3.5 The Product Protocol- An Example.............................................................. 213.6 The Product Protocol.................................................................................... 22

3.7 Notes and Comments................................................................................... 24

4. LAUNCHING A NEW PRODUCT

4.1 Defining your Target Market........................................................................ 25

4.2 Product Positioning....................................................................................... 27

4.3 Mental Maps................................................................................................. 29

4.4 The SWOT Analysis . . 31

4.5 The Advertising Brief . 32

4.6 Launching Strategies and Tactics.................................................................. 344.7 Notes and Comments.................................................................................... 36

Co-creation of Knowledge


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Defining the PRODUCT

Product FAILURE VsProduct SUCCESS

The PROCESS ofdeveloping products

BUILDING a strong

product

Introductoryconcepts

Positioning products

Why products fail

Key success factors

EncouragingCreativity

Generating ideas

How to position my

product? Why branding?


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Without a product, there is no firm.

Without new products, there is no growth.

No growth means no value.

Defining the Product

The University of Sheffield International FacultyCITY College

PRODUCT: of a company
http://localhost/var/www/apps/conversion/2.%20INTEGRATED%20MARKETING%20COMMUNICATIONS/LINKS/malamatina.ppthttp://localhost/var/www/apps/conversion/2.%20INTEGRATED%20MARKETING%20COMMUNICATIONS/LINKS/malamatina.ppt


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A marketing challenge:

Why should a customer buy from you?

The answer to this question?"Unique Sales Proposition (U.S.P.)



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"You get fresh, hot pizza delivered to yourdoor in 30 minutes or lessor it's free!"


Some other USP you will see in the market?

40 years of experience

or

Since 1960


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1 Stop promoting a wrong product

2 Develop a good, solid, UNIQUEproduct

3 Establish theUSP; create a VALUE

4 Market it based on USP

Wrong or Bad Product?

What Can I Do?

Is This Enough?

And

Wrong

or Bad

Product?

What

Can I

Do?

Is this

Enough?

And
http://localhost/var/www/apps/conversion/2.%20INTEGRATED%20MARKETING%20COMMUNICATIONS/LINKS/USP%20Case%20study.ppthttp://localhost/var/www/apps/conversion/2.%20INTEGRATED%20MARKETING%20COMMUNICATIONS/LINKS/USP%20Case%20study.ppthttp://localhost/var/www/apps/conversion/2.%20INTEGRATED%20MARKETING%20COMMUNICATIONS/LINKS/USP%20Case%20study.ppt


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14

Strategic Matrix

Base: Category Aware (n=800)

Relative Performance

Weak Average Strong

High

Medium

Low

I

m

p

o

r

t

an

c

e

Concentrated

Cuts grease

Lasts

Rinses off easily

Rich suds that last long

Cleans better

Removes odors

Hygiene

Pleasant odor

Variants perfume/colors

I would recommend

Gentle on the hands

Brand I trust

Less scrubbing

Innovative/modernAttractive packaging

Best for me/ family

Yields more than it costs

Best

Not expensive

USP: LastsGood At: Cuts grease, Brand I trust, cleans better, less

scrubbing, rich suds last longer, gives more than it costs,Innovative/modern


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It lasts up to 12 weeks


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16

High

Medium

Low

Im

p

o

r

t

a

n

c

e

Relative Performance

Weak Average Strong

Gentle on the handsRinses of f easily

Variants perfume/colors

Concentrated

Pleasant odor

Hygiene

Cuts grease

Removes odors

Rich suds that last long

Not expensive

Cleans better

Attractive packaging

I would recommend

Brand I trust

Understands my needs

Lasts

Less scrubbing

Best for me/ family

Best

Innovative/modern

Yields more than it costs

Strategic Matrix


USP: Gentle on handsGood At: Variant perfumes and colours

?


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18



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AugmentedProduct

Actual

Product

CoreProduct

Core Product:satisfies the basic need

(i.e. Recreation)

Actual (Tangible) Product:(.. Facilities, logotype, furniture,

uniforms, colors)

Augmented Product: enhances theexperience(i.e. cafe, free papers, freejuices)

It can make a difference in services




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New Products:We must provide an answer toWHY?

WHOwill buy it?

Can we make it?

Can we make money?


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Form

Technology

Benefit /Need

PRODUCT


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FailureNo unique

benefitsoffered

Me tooproduct

Unrealisticgoals for new

product

Poor

location /distribution

Incorrectpositioning A price too

high or toolow

Poorpromotion

WeakPackaging

NO NEEDanymore


WHYproducts fail?


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Familiar with.


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A very strong brand


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In the early 90s


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What happened?Board Killed the Deal (1 Year Later)

But in 1992


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.and the result!!!

BankruptIn 1995

4th

Largest Co.in the world

Acer ?Smith

Corona?


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for aSuccessful product?

Product differentiation New items

Superior features Good marketing

Excellent customer service

Good technical support

Quality products / services

What do we need...


H d
http://localhost/var/www/apps/2.%20INTEGRATED%20MARKETING%20COMMUNICATIONS/LINKS/NEW%20Product%20Differentiation.ppthttp://localhost/var/www/apps/2.%20INTEGRATED%20MARKETING%20COMMUNICATIONS/LINKS/NEW%20Product%20Differentiation.ppt


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Stevia!

Had nocalories

No side

effects

It is naturalsweeter

40 times

sweeterthan sugar

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What if you had

a PRODUCTthat:

Product


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CITY College - An International Faculty of the University of Sheffield

http://www.youtube.com/watch?v=Qinmsb5awm0

SOFT DRINKS 2012Overall market: -9%

: + 30%

DIFFERENTIATE!
http://www.youtube.com/watch?v=Qinmsb5awm0%CE%95%CE%A8%CE%91http://www.youtube.com/watch?v=Qinmsb5awm0%CE%95%CE%A8%CE%91http://www.youtube.com/watch?v=Qinmsb5awm0%CE%95%CE%A8%CE%91http://www.youtube.com/watch?v=Qinmsb5awm0%CE%95%CE%A8%CE%91


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New Product: Light Drops

4 drops = a spoon of sugar

30ml of Light Drops = 750 gr. of sugar

DIFFERENTIATE!


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Innovate!!!

Combine Think differently!!!


COMBINE!


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Innovate!!!

Combine Think differently!!!


COMBINE!


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Think differently!!!

GO BACK


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35


GO BACK

IN TIME!


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# 1 Reason for product success.(?)

AUNIQUE& superior product

# 1 Reason for product failure. (?)

NO NEED for the product


New Products

Conflicts of New Products


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Conflicts of New ProductsManagement

Three inputs to new products process:

the right quality,

at the right time, and

at the right cost.

Issues of concern:

How to optimize these relationships in

a new product situation?

WHAT are the main issues to consider?

Quality

TimeCost

Value



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Developing Products

LowV LUE

to Customer High

Ability toprovide aUNIQUE

product

Price

Not very

smart

Dotcom

products

http://www.fandango.com/#

Developing Products

http://www.youtube.com/watch?feature=player_embedded&v=73PRlgWblFo

http://quitnowapp.com/
http://www.fandango.com/http://www.youtube.com/watch?feature=player_embedded&v=73PRlgWblFohttp://www.youtube.com/watch?feature=player_embedded&v=73PRlgWblFohttp://quitnowapp.com/http://quitnowapp.com/http://www.youtube.com/watch?feature=player_embedded&v=73PRlgWblFohttp://www.youtube.com/watch?feature=player_embedded&v=73PRlgWblFohttp://www.fandango.com/


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NPD: A field for Careers?

Be a risktaker, determined to succeed

ThinklikeaGM.

Develop your creative skills.

ThinkLARGE

BeRemarkable



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The NPD Process



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Our success, as managers,

depends heavily on otherpeoples effort.

Develop a TEAMspirit.



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What is the PROCESS?

Phase 1 Opportunity Identification / Selection

Phase 2 Concept Generation

Phase 3 Concept Evaluation

Phase 4 Development

Phase 5 Launch

Assessing New Product


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Assessing New ProductFeasibility

Is it real?Is the market real?

Is there a need?

Will the customers buy?

Is the product real?

Will it satisfy the market?

Can it be made?

Can wewin?

Product competitive?

Differentiation?

Low cost position?

Company competitive? Industry structure?

Organizational effectiveness?

Is it worth

it?

Will it be profitable?

Is the return adequate?

Is the risk acceptable?

Satisfy other needs?

Supports company's objectives?

Other factors?


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IDEATION:

NEW PRODUCTS


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Some Hot New Products

Clorox Bleach Pen



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Kimberly-Clark adds a personal touchto

your tissue with MyKleenex Tissue 2.0.

Your next box of Kleenex can feature a

photo of you and your family on the boxwith your favorite baseball team's logo or

Disney cartoon character.

New Products

http://www.mykleenextissue.com/

http://www.mykleenextissue.com/http://www.mykleenextissue.com/


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New Products - 2012


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New Products - 2012



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P&G's new Tide Pods hopes to

transform the way you do laundry.

No more messing with measuring

out liquid and powder detergents.

Just pop in this pod, a combination

of cleaning, stain-fighting &

brightening detergentin a

dissolvable shell.

New Products

http://news.pg.com/press-release/pg-corporate-announcements/tide-puts-spin-laundry-

introduction-tide-pods

http://news.pg.com/press-release/pg-corporate-announcements/tide-puts-spin-laundry-introduction-tide-podshttp://news.pg.com/press-release/pg-corporate-announcements/tide-puts-spin-laundry-introduction-tide-podshttp://news.pg.com/press-release/pg-corporate-announcements/tide-puts-spin-laundry-introduction-tide-podshttp://news.pg.com/press-release/pg-corporate-announcements/tide-puts-spin-laundry-introduction-tide-podshttp://news.pg.com/press-release/pg-corporate-announcements/tide-puts-spin-laundry-introduction-tide-podshttp://news.pg.com/press-release/pg-corporate-announcements/tide-puts-spin-laundry-introduction-tide-podshttp://news.pg.com/press-release/pg-corporate-announcements/tide-puts-spin-laundry-introduction-tide-podshttp://news.pg.com/press-release/pg-corporate-announcements/tide-puts-spin-laundry-introduction-tide-podshttp://news.pg.com/press-release/pg-corporate-announcements/tide-puts-spin-laundry-introduction-tide-podshttp://news.pg.com/press-release/pg-corporate-announcements/tide-puts-spin-laundry-introduction-tide-podshttp://news.pg.com/press-release/pg-corporate-announcements/tide-puts-spin-laundry-introduction-tide-podshttp://news.pg.com/press-release/pg-corporate-announcements/tide-puts-spin-laundry-introduction-tide-podshttp://news.pg.com/press-release/pg-corporate-announcements/tide-puts-spin-laundry-introduction-tide-podshttp://news.pg.com/press-release/pg-corporate-announcements/tide-puts-spin-laundry-introduction-tide-podshttp://news.pg.com/press-release/pg-corporate-announcements/tide-puts-spin-laundry-introduction-tide-podshttp://news.pg.com/press-release/pg-corporate-announcements/tide-puts-spin-laundry-introduction-tide-podshttp://news.pg.com/press-release/pg-corporate-announcements/tide-puts-spin-laundry-introduction-tide-podshttp://news.pg.com/press-release/pg-corporate-announcements/tide-puts-spin-laundry-introduction-tide-podshttp://news.pg.com/press-release/pg-corporate-announcements/tide-puts-spin-laundry-introduction-tide-podshttp://news.pg.com/press-release/pg-corporate-announcements/tide-puts-spin-laundry-introduction-tide-podshttp://news.pg.com/press-release/pg-corporate-announcements/tide-puts-spin-laundry-introduction-tide-pods


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N P d t


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Consumers continue to want healthier

fare that doesnt take long toprepare.

Kashi Frozen Steam Meals has the

food in special pouches that steam in

the microwave in about 5 minutes

New Products

N P d t


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New Products


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http://www.bing.com/videos/search?q=bosu+ball+exercises&docid=1503487591993&mid=A6F021E683883D2ED659A6F0

21E683883D2ED659&FORM=VIRE1#

Bosu?

New Products


C t
http://www.bing.com/videos/search?q=bosu+ball+exercises&docid=1503487591993&mid=A6F021E683883D2ED659A6F021E683883D2ED659&FORM=VIRE1http://www.bing.com/videos/search?q=bosu+ball+exercises&docid=1503487591993&mid=A6F021E683883D2ED659A6F021E683883D2ED659&FORM=VIRE1http://www.bing.com/videos/search?q=bosu+ball+exercises&docid=1503487591993&mid=A6F021E683883D2ED659A6F021E683883D2ED659&FORM=VIRE1http://www.bing.com/videos/search?q=bosu+ball+exercises&docid=1503487591993&mid=A6F021E683883D2ED659A6F021E683883D2ED659&FORM=VIRE1


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Concepts


World's First Non-Contact


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Thermometer

The first thermometer to take body

temperaturereadingswithouttouching the body.

It can read infrared heat from a

person's forehead, and give results

as accurate as a rectal thermometer,and more accurate than an ear

thermometer.

Kidz-Med says you can also use the

Thermofocus to take the

temperatures bath water & food.


N P d t


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New Products

Technology known,

d diff tl


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used differently



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Technology known,used differently


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used differently

Smart shoes Help the Blind Navigate City Streets

The world's first-ever smart shoe is called Le Chal, ("let's go" in Hindi).

Designed by A. Sharma (MIT Media Lab), & K. Lawrence,

They work as a navigation devices that connect to a smartphone.


Technology known,used differently
http://gizmodo.com/these-smartshoes-help-the-blind-navigate-city-streets-1536067120http://gizmodo.com/these-smartshoes-help-the-blind-navigate-city-streets-1536067120


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used differently

Once you're on your way, the shoes vibratewhen it's time to turnon

the left side for a left turn and on the right for a right turn.

The vibrations become more intense as you get closer to your

destination.

Basic idea: You tell your

phone where to go usingthe app's voice recognition

software, and the app uses

GPS to plot the course

from your current location.

http://www.ka-business.gr/pages/Texnologia/5959/video-papoytsia-poy-

kathodhgoyn-osoys-exoyn-problhmata

http://www.ka-business.gr/pages/Texnologia/5959/video-papoytsia-poy-kathodhgoyn-osoys-exoyn-problhmatahttp://www.ka-business.gr/pages/Texnologia/5959/video-papoytsia-poy-kathodhgoyn-osoys-exoyn-problhmatahttp://www.ka-business.gr/pages/Texnologia/5959/video-papoytsia-poy-kathodhgoyn-osoys-exoyn-problhmatahttp://www.ka-business.gr/pages/Texnologia/5959/video-papoytsia-poy-kathodhgoyn-osoys-exoyn-problhmatahttp://www.ka-business.gr/pages/Texnologia/5959/video-papoytsia-poy-kathodhgoyn-osoys-exoyn-problhmatahttp://www.ka-business.gr/pages/Texnologia/5959/video-papoytsia-poy-kathodhgoyn-osoys-exoyn-problhmatahttp://www.ka-business.gr/pages/Texnologia/5959/video-papoytsia-poy-kathodhgoyn-osoys-exoyn-problhmatahttp://www.ka-business.gr/pages/Texnologia/5959/video-papoytsia-poy-kathodhgoyn-osoys-exoyn-problhmatahttp://www.ka-business.gr/pages/Texnologia/5959/video-papoytsia-poy-kathodhgoyn-osoys-exoyn-problhmatahttp://www.ka-business.gr/pages/Texnologia/5959/video-papoytsia-poy-kathodhgoyn-osoys-exoyn-problhmatahttp://www.ka-business.gr/pages/Texnologia/5959/video-papoytsia-poy-kathodhgoyn-osoys-exoyn-problhmatahttp://www.ka-business.gr/pages/Texnologia/5959/video-papoytsia-poy-kathodhgoyn-osoys-exoyn-problhmatahttp://www.ka-business.gr/pages/Texnologia/5959/video-papoytsia-poy-kathodhgoyn-osoys-exoyn-problhmatahttp://www.ka-business.gr/pages/Texnologia/5959/video-papoytsia-poy-kathodhgoyn-osoys-exoyn-problhmatahttp://www.ka-business.gr/pages/Texnologia/5959/video-papoytsia-poy-kathodhgoyn-osoys-exoyn-problhmatahttp://www.ka-business.gr/pages/Texnologia/5959/video-papoytsia-poy-kathodhgoyn-osoys-exoyn-problhmatahttp://www.ka-business.gr/pages/Texnologia/5959/video-papoytsia-poy-kathodhgoyn-osoys-exoyn-problhmata


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https://www.youtube.com/watch?v=5XKno_JZ_o4
https://www.youtube.com/watch?v=5XKno_JZ_o4https://www.youtube.com/watch?v=5XKno_JZ_o4


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https://www.youtube.com/watch?v=5XKno_JZ_o4
https://www.youtube.com/watch?v=5XKno_JZ_o4https://www.youtube.com/watch?v=5XKno_JZ_o4


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https://www.youtube.com/watch?v=yCeNbSzfHeU
https://www.youtube.com/watch?v=yCeNbSzfHeUhttps://www.youtube.com/watch?v=yCeNbSzfHeU


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Size closer to a laptop charger than a Smartphone charger. Company expects

the final product to be about the size of a typical Smartphone battery.

Still a prototype; the company hopes to begin production in "late 2016."

A battery that uses

nanotechnologyto charge your

Smartphone from 0%-100% in

just 30 seconds.

By Karissa Bell 2014-04-08
http://mashable.com/category/nanotechnology/http://mashable.com/category/nanotechnology/


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Encouraging

Creativity

Killer Phrases:

dbl k i i


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Roadblocks to Creativity

It simply wont work.

Are you sure of that?

You cant be serious.

Its against our policy.

Lets shelve it for the timebeing.

That wont work in ourmarket.

Lets think about that somemore.

I agree, but

Weve done it the other way forsome time.

Where are you going to get the

money for that?

We just cant do that.

Who thought of that?

Its probably too big for us.

I believe we tried that before.



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# 1Dont be afraid

of failures!


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#2Dont let the bozos

hold you back

or grind you down.

You dont need miserable; negative; unethical; pessimistic;

shallow people around you! Avoid parasites and lazy people!


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#3THINK SUCCESS!

Appreciate your self! Dont sell your self short!

The more SUCCESSFUL a person is, the less excuses hefinds for anything!


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So we went to Atari and said, ...Well give it to you. We just wantto do it. Pay our salary, well come work for you. And they said

no. So then we went to HP, and they said We dont need you, youhavent got through college yet.

Steve Jobs, co-founder, Apple Computers.


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Commercializing

your product!



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Great Products?

Stradivarius

3.1 million

Makes 1000

per Minute

Josh Bell

http://www.youtube.com/watch?v=B1QMwqDlDLA

The Significance of
http://www.youtube.com/watch?v=B1QMwqDlDLAhttp://www.youtube.com/watch?v=B1QMwqDlDLA


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PORTRAY YOUR

PRODUCT AS

AVERAGE

AND THIS IS ALL IT

WILL EVER BE.

POSITIONING

Your task.


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Create Value&

Communicatethis value

Make it availableto the target- market


Positionit

Strong BRANDS


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WHY branding? (Exp.)

Benefits (Exp.)


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Benefits (Exp.)

0.98

0.53

rand = A PROMISE


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rand = A PROMISE

Think for a moment some of the most

successful brands.What do they PROMISE?

What it is that makes us prefer


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the strong brands?

Consistency

Product

IdentityService

?

?

??

Whats in a Brand


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Brand: Treat it as an asset, which means

Manage it

Commodities: Competeon.

Cost + Price


Whats in a Brand


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Branding KnowledgeBrand Mantra

3 to 5 key words to describe your product or service

i.e. The Ultimate Driving Machine

: AuthenticAthletic Performance

PowerLuxury +????NIKE


Whats in a Brand


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Understanding Brand Meanings-When you think of this brand, what comesto your mind?

- List of 1015 dominant responses

Positioning

Whats in a Brand


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Mental Map confusingSnobbish / pretentious

predatory

trendy

convenient / everywhere

sophisticated

comfortable

relaxing

earth colors

quality

consistent

fresh

customized

expensive

exotic

variety

Whats in a Brand


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Mental Map Romanianour chocolate

tasty

???

convenient / everywhere

sophisticated

???

tradition

???

quality

consistent

Sweet

?????

chocolate

?????

???

New


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Trends

Marketsemerge

Trends inMarketing

Technology

TheConsumer


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What have I achieved sofar?

What do I know nowthat I did not know

then?

What can I do now that Icould not do then?

What am I missing?

Knowledge?

Skills?

Critical ability?

Knowledge?

Skills?

Plans? Problem solver?

How can I get it?

Top 10 skills employers want


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1. CommunicationSkills

2. Strong Work Ethic

3. Teamworkskills

4. Initiative

5. Interpersonalskills6. Problem-solvingskills

7. Analyticalskills

8. Flexibility/Adaptability

9. Computerskills

10. Technicalskills

Your aimOur aim


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To develop all around personalities with:

- Knowledge and Ethics

- Professionalism and Adaptability

- Eagerness to learn and improve

- Determination and focus

- Sense of the real world

- Good communication skills

- Flexibility

- A mentality of a team player

The University of Sheffield International Faculty, CITY College

Employability

HOWEVER

GOOD LUCK!


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Organize

your efforts

Value time

Stay

focused

BeRemarkable

GOOD LUCK!

If you would like to have this


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If you would like to have this

presentation send a message on

Facebook:

http://www.facebook.com/www.citybaed.gr

Dr. Dimitrios V. Nikolaidis

Head of Business Administration &Economics Department,

The University of Sheffield

International Faculty
http://www.facebook.com/www.citybaed.grhttp://www.facebook.com/www.citybaed.gr

Documents

10. Time to Differentiate Time to Innovate