Woo Audio is a small company in New York that makes high-quality headphone ampli

Question

Woo Audio is a small company in New York that makes high-quality headphone amplifiers. The company makes each amplifier by hand using premium audio components and vacuum tubes. Recently, the owner of the company noticed a trend in the headphone community toward using portable, high-quality headphone amplifiers. These new units combine a digital-to-analog converter with a high-power amplifier in a package small enough to put in a pocket.

Review the three-phase, eight-stage, new product development process:

Phase I: Generating and Screening Ideas
Stage 1: Generating New Product Ideas
Stage 2: Screening Product Ideas
Stage 3: Concept Development and Testing

Phase II: Developing New Products
Stage 4: Business Case Analysis
Stage 5: Technical and Marketing Development

Phase III: Commercializing New Product
Stage 6: Test Marketing and Validation
Stage 7: Launch
Stage 8: Evaluation

Select one of the phases and explain how Woo Audio would proceed through that phase to develop a conceptual new product that will generate excitement in the headphone community.

Explanation / Answer

Phase III - Commercialising the new product

Stage 6 - Test marketing and validation is the process of analysing the market and interact with prospective customers to find out if the new concept is the suitable proposition for them and how it will fare in the market when launched on full scale. On the basis of inputs from market, the decision on the timing, scale and positioning of the new product in the market will be taken.

The first step involves reaching out to the right prospective customers, analysing their needs and aspirations and finding out if your product is solving those needs, the indicative price they are willing to pay, the brand perception of your existing product etc. The choice of right sample is crucial in the process, because it will give most appropriate results.

Stage 7- When you get encouraging inputs from the market and determine who is your customer, what he /she wants, and what are his /her unmet or implied needs, and ensure that the new product fulfills above requirements and will be received well in the market, it is the time to go full throttle. The launch includes decisions on geography, timing, number of outlets, initial inventory, strategic partnerships, human resource management, logistics management among others. Before launch, the comprehensive marketing efforts need to put in. It involves the choice of channels according to the nature of target market. (For example, for wooing youngsters, social media and modern digital marketing techniques will work better.) timing of campaigns, coverage, frequency and vigour. It will also be essential to include more and more prospective customers creating a buzz in the marketplace by offering them some great initial packages to boost sales and increase acceptance and recognition.

Stage 7- after launch, the outcomes need to be evaluated against the expectations. It includes number of enquiries generated and matured through promotions, sales leads generated, event footfalls, social media effectiveness and ultimately the sales generated goegraphy wise, segment wise,its timings and the measurement against the expectations. The post launch evaluation provides vital insights for the future strategy and direction to the efforts to support growth.

Related Questions

Navigate

• Browse (All)
• Browse W
• Subjects

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.