New Product Development

A survey conducted by AMR Research, published in early 2007, indicates that the major cause of the failure of new product development and introduction, according to two-thirds of the executives surveyed, is that the process was not under strategic and financial control. On the other hand, studies done by AMR Research, Deloitte and IBM have ranked innovation and new product launch as a top strategic initiative.

 

 

What does new product development involve?

Companies need to undertake new product development on a regular basis to remain competitive. Exploring the possibilities of developing new products and services to tap into existing customer demand and gain new customers in new markets can be an extremely exciting and challenging process. It is completely different from expanding a product line that you already are familiar with and requires exploring a whole new domain and market. Assessment of new markets, technical and marketing feasibility and the opportunities for the new product is the first step in product development. Companies require additional funds during this stage and usually need financial services from an external source to successfully complete the process.

Analysis is also required to evaluate the strategic fit of the new product with your existing business model and benefits of development. This analysis stage involves considering the best and worst-case scenarios, as well as the risk and reward ratio. This in turn requires extensive data acquisition services either from an internal or external source.

Once the analysis stage is complete and the result is in the favour of new product development, financial services are required once again to generate opportunity and take care of the development and product promotion costs.

The final stage in new product development is the implementation of risk prevention actions and the final implementation plan. The entire new product development process can fail if the implementation of the final plan is faulty.

Several factors, such as capital costs, feasibility, government regulations and company strategy and priorities, can influence the success of a new product. Companies need to incorporate all these factors and the related uncertainties while planning for a new product.

 

Why do I need assistance in new product development?

Successful new product development requires flawless integration of all elements in the product development process, which can be quite a daunting task. This is where we at Strategy Corporate Finance step in. Our business funding solutions consultants bring with them a huge repertoire of experience in facilitating the product and service innovation process across a vast range of business sectors. We can help you sail through the challenging generation, assessment, development and implementation phases involved in the new product development process, irrespective of the size of your company. Our data acquisition services and financial services are available across all stages of the development process for a new product. Maximise the chances of a successful product launch with the services of our qualified data acquisition services and financial services consultants.

If you would like to know more about our range of corporate finance services contact us today on 0845 838 0936 or drop us an email.

 

 

If you would like to know more about our range of corporate finance services, contact us today on 0845 838 0936 or drop us an email.