creating and designing the new best seller new, entrepreneurial product design,new product design
DESCRIPTION
This is summary of how products are created/improved. The product redesign is customer centric. The aim is how to get a job done. The ultimate objective of new product is to be disruptive - to create new industry standards and rules. This presentation is intended for the use of present and future students of the presentor in Entrepreneurship Elective in Ateneo. a leading university in the Philippines for MBA education. Uploading at slideshare would provide convenience and accessibility for the body of knowledge that they acquired while enrolled. This updated lecture would enrich their learning,TRANSCRIPT
CREATING AND DESIGNING THE NEW BEST SELLER
Mesmerize and Magnetize the Buyers
E.G. Product Design Process Flow
Product Design – Starting Point of Value Chain
Creating Value
Value creation
Business adds value
Value is wealth creation
Product innovation adds value
Product design is the start:
VALUE CREATION
Product Design is Customer Centric
Creative process
A new backpack design
Car design sells; less dependent ontechnology
Objectives of product design
Differentiation and uniqueness. The design features must be COMPELLING; must MESMERIZE/MAGNETIZE BUYERS!
That the product sells by itself.
To get the job done – to deliver value to the to the customer.
Processes in product design
1. Creative process- artistic, appeal to
to the five senses.• ideation• brainstorming• mock up prototype
2. Technical process- the required inputs
BOM, machinery, manpower, and engineering process needed to produce
the product
3.Business processes – market research, FGD, UAI study, the COGS, GP, distribution, marketing, advertising, sales efforts needed to sell the product.
Factors to Consider in Product Design
Product variants – size, sku, color, style, seasonality, features.
How is the product actually used?
Substitute products/competitive products
Who actually uses the product?
Simplified steps in product design
What is the problem/job?
What are the many ways to solve the problem do the job?
What is the best way to do the job
Unique Selling Proposition(Differentiation)
Differentiate or die
Difference between a businessman and entrepreneur
BUSINESSMAN
Me too
Copier
Static
ENTREPRENEUR
The only one
Copier too with add-ons
Dynamic
How to be differentiated?
Naming the product:Easy to pronounce Zagu
Few syllables
Xerox
Exxon
Apple
Canon
How to differentiate?
Naming the product:Easy to pronounce
Easy to remember
The name must convey the MVP/product
features:
E.g. COAT SAVER
SWEET AND SOUR
QUICK FIX
Use of alliteration in names:
GERRY’S GRILL
BOOKAY UKAY
DUNKIN DONUTS
NISSAN
TOYOTA
NIKON
Value DeliveryValue is not = Price
Price is set by the enterprise
Value is determined by the customer
Thus customers will pay more for a product which is delivered fast vs a cheaper product
that is delayed.
Methods of New Product Design
Creating an entirely, never before made product-an invention, a breakthroughReformulating, tweaking, redesigning an existing tired old product.Rebranding an old product.
Improving an Existing Product
1.Magnify – make bigger and faster, examples:
AIRBUS 380
CONCORDE
FAMILY SIZE
MCLAREN
Product design
2. MINIFY (make smaller lighter)
for example:Nokia cellphone (vs older Motorola)MicrochipsNotebooksMiniskirtHatchbacks
Product design
3. CHANGE THE PROCESS (or even the inputs)
BREWED VS INSTANT COFFEE
GRILLED VS STEAMED
WOOD VS LPG COOKING
FAST VS SLOW COOKING
Product design
4. MUMIFY (lengthen shelf life)e.g Vacuum sealedFreeze blastPreserved in olive oil
5. MAKE IT THE FRESHESTCooked in front of youPick your own
The ultimate result of product design:
Not merely cosmetic nor skin (packaging) deep;
Must change industry rules;
Must be disruptive:
Usually results in lower costs
Displaces industry giants/leaders
Transfers value elsewhere
Examples of disruptive products
Encarta disrupted Britannica; in
turn, Wikipedia disrupted
Encarta.
Disruptive product
Disruptive Product
Disruptive – Cebu Pacific
Tata Nano - Disruptive
Disruptive
What’s the new disruptive product from this Class?
What is the next blockbuster, bestseller from your
imagination?
Product Design
Corporate Product Design Team
Product design drawings
Product Design Process
Product design drawings
Other product design process
A new bed design
