New Products Management - CHAPTER 19 LAUNCH MANAGEMENT potx

CHAPTER 19 CHAPTER 19 LAUNCH MANAGEMENT LAUNCH MANAGEMENT McGraw-Hill/Irwin Copyright ©2006 The McGraw-Hill Companies, Inc. All right reserved. Launch Management Concept Showing Launch Management Concept Showing Remedial Action Remedial Action % aware who have tried As of now Goal Launch Now 6 months Time Plan Actual With action Without action Figure 19.1 The Launch Management System The Launch Management System  Spot potential problems.  Select those to control.  Consider expected impact/damage.  Develop contingency plans for the management of problems.  Design the tracking system.  Select variables.  Devise measuring system.  Select trigger points. Adage: in driving a car, it is the potholes you don’t know about (or forget about) that cause you damage. Spotting Potential Problems Spotting Potential Problems  Problems section from the situation analysis.  Role-play what competitors will do.  Look back over all the data in the new product's "file."  Consider hierarchy of effects needed to result in a satisfied customer (A-T-A-R). A-T-A-R Hierarchy: Where Does the A-T-A-R Hierarchy: Where Does the Problem Lie? Problem Lie? Aware Unaware Tried Not Tried Reused Not R. Does the problem lie in awareness, trial, or repeat? Figure 19.2 Decision Model for Building Launch Decision Model for Building Launch Control Plan Control Plan Figure 19.3 Select the Control Events Select the Control Events  Of all potential problems,  Which have enough impact to warrant investigation?  Which of these ought to be given special consideration?*  Which of these should be given contingency planning?  And which of these need to be tracked? *Basis: Consider potential damage and likelihood of occurrence. Develop Contingency Plans Develop Contingency Plans  "Is there anything we can do?"  E.g.: competitive price cut or product imitation.  Base contingency plan on type of problem:  1. A company failure (e.g., inadequate distribution)  2. A consumer failure (e.g., low awareness or trial) Designing the Tracking System Designing the Tracking System  Select the tracking variables  Relevant, measurable, predictable  Select the trigger points  Consider the nontrackable problems Questions from New Product Tracking Questions from New Product Tracking Study Study Category Usage Questions In the past six months, how many times have you bought (product category)? What brands of (product category) have you ever heard of? Have you ever heard of (brand)? (Ask for 4 to 6 brands) Have you ever bought (brand)? (Ask for 4 to 6 brands) About how many times have you bought (brand) in the past six months? Advertising Awareness Questions Do you recall seeing any advertising for (brand)? (ask all brands respondent is aware of) Describe the advertising for (brand). Where did you see the advertising for (brand)? Figure 19.6 [...]... try (brand) in the future? A Sample Launch Management Plan Potential Problem Figure 19. 7 Salespeople fail to contact general-purpose market at prescribed rate Tracking Track weekly sales call reports (plan is for at least 10 general-purpose calls per week per rep) Contingency Plan If activity falls below this level for three weeks running, a remedial program of one-day district sales meetings will be... Figure 19. 7 (cont’d.) Potential customers are not making trial purchases of the product Tracking Begin a series of 10 follow-up calls a week to prospects There must be 25% agreement on product's main feature and trial orders from 30% of those prospects that agree on the feature Contingency Plan Special follow-up phone sales calls to all prospects by reps, offering a 50% discount on all first-time purchases... Deletion Process Recognition of the product to be deleted Figure 19. 8 Analysis and revitalization stage Evaluation and decision formulation stage Implementation stage Source: George J Avlonitis, Susan J Hart, and Nikolaos X Tzokas, “An Analysis of Product Deletion Scenarios,” Journal of Product Innovation Management, Vol 17, No 1, January 2000, pp 4 1-5 6 ...Questions from New Product Tracking Study (continued) Figure 19. 6 (cont’d.) Purchase Questions Have you ever bought (brand)? If "Yes": If "No": How many times have you bought it? How likely are you to buy (brand) again? What did you like/dislike . CHAPTER 19 CHAPTER 19 LAUNCH MANAGEMENT LAUNCH MANAGEMENT McGraw-Hill/Irwin Copyright ©2006 The McGraw-Hill Companies, Inc. All right reserved. Launch Management Concept Showing Launch Management. Action % aware who have tried As of now Goal Launch Now 6 months Time Plan Actual With action Without action Figure 19. 1 The Launch Management System The Launch Management System  Spot potential problems.  Select. "file."  Consider hierarchy of effects needed to result in a satisfied customer (A-T-A-R). A-T-A-R Hierarchy: Where Does the A-T-A-R Hierarchy: Where Does the Problem Lie? Problem Lie? Aware Unaware Tried Not Tried Reused Not