Wednesday, June 2, 2010

THREE factors that Contribute to the Success of a New Service Product

1) Market Synergy:
the new product fit well with the existing image of the firm was better than competitors at meeting customers' known needs and received strong support during and after launch from the firm and its branches. In addition, the firm had a good understanding of its customers' purchase decision behaviour.

2) Organizational factors:
Strong interfunctional cooperation and coordination. Development personnel were fully aware of why they were involved and of the importance of new products.

3) Market Research Factors - detailed and properly designed market research studies were conducted early in the development process. A clear idea of the type of information to be obtained. A good definition of the product concept was developed before undertaking field surveys.

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