Custom «New Product Development» Essay Paper Sample

New Product Development

The product that is launched is a medicinal tissue of herbal nature.This is a tissue which is treated with herbal medicines and can be used for illnesses like cold, headache, minor body  aches and spraines.The tissue is very handy and can be carried anywhere and used in case when the illness is affected to a person.

These tissues are treated with various herbal medicine and when comes in contact with human body it releases all valuable properties of the medicine and give instant relief to the illnesses. When a person touch the tissue on nose or skin where there is trouble the herbal medicine react to the heat of the body and releases all medicinal properties.

Tissues are light green in co lour and rectangular in shape and comes in enclosed boxes. They come in different size of boxes as the count of tissues varies in each box. They are very soft in texture and lose the medicinal value if exposed for more than ten minutes in open air. It comes in varying intensity like mild, regular and strong. The box of the tissue looks decorative with green herbal images in white background.

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The name of the product is going to be “Herby Wipe” as it is a very apt name for the product. The tissue is herbal infused which make it very different from other tissue products. Since the person get relief once they wipe with the tissue on the affected area it make sense to call the tissues “Herby Wipe”.

Target Market

The target customer for the product is going to be the people of all age group. The product will but specifically concentrate on housewives and old age people who are especially in need of this product.  The families are a major customer pool as they consist of more members which can boost the sale of the product. The product can be used by any person so family will be very much in need of the medicinal tissues.

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Elderly people are also very much attractive group as they are constantly in need of medical care and often come across with sprain n body aches. Hospitals and medical centers are also aimed, as it is a product of medicinal value and would be of demand among patients.

As the product is of physical need, every human being can get needy of it. The market for the product can be on an international level as well. Every organization and offices can store the product as a first aid because it comes in aid for immediate relief.

 The target customers are picked by taking in consideration their needs and requirements. A market survey is carried out in order to understand how often people use such products for minor illness like cold, aches and sprain. Questionnaires are distributed evenly to houses and information is collected on the spot .This gives an idea about the need of the product in regular households.

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The target customer at the beginning can be the country in which it is produced and slowly move on to other nations as the product get popular. It can be an international product depending on its popularity and customer satisfaction.

Price Fixing

Pricing of the product has been fixed with much research in to the market and comparing the prices of other products of somewhat similar nature. Price has been set very competitive since the product needs much attention from customers. The price is set just to cover the production cost and to add up a small profit percentage. As we are entering a new market the attempt is to attract customers. They always notice products of lower cost and valuable benefits. It should be kept in mind that the price covers completely the overhead charges and also bring in a small percentage of profit.

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Products are usually sold through different mediums like wholesaler, retailer, discount chains, direct mail marketers etc. Different price should be set accordingly for different such sources. Since wholesaler buy products at greater quantity he has to be given products at al lower cost. Retailers usually cannot sell products at higher volume and as a result charged at a little higher price.

This product does not have a competitor as no one has introduced the same product into market. The price has to be set taking into consideration the value of herbal medicines used in the production of the tissues. Since herbal medicines are little costly the product can be of little higher price.

Place of Distribution

The product is distributed through wholesalers and retailers and selling points are mainly supermarkets, malls and stores. There would also be a special boutique in the name of the product which exclusively deals only with the product. There is also a very detailing website wherein the customers can find all information about the product. They can also order the product from website which would allow them purchasing from any part of the country or world.

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The product is warehoused at a specific area from where it is transported by wholesalers and retailers to their point of sale. The manufacturing is done in an industrial area and the ware house is adjacent to it. Raw materials for the production of tissue are shipped to the place from various countries at a very minimal cost. The main distribution channels are wholesalers, retailers and sales agents. Internet is also a very important channel which can gain in a major portion of customers as its ability to access customer is very high.

At first a sample is sent to all customers to distribute it to their customers approaching them in order to create an identity of the product among them. The malls and convenient stores are provided with some samples which can be used by the customers to experience the product and know its nature.

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Promotion Techniques

The promotions is planned to be done through three mediums. They are newspaper, television, internet and sales team. Since the main target is adults, the newspaper is a very good medium. Television is also a very popular way to convey the message to the entire targeted customers. Television gives more of visual description of the product and way it is to be used in order to bring maximum results. House wives are a main prospective customers and the message can be reached to them effectively through television. It also promotes the product by reaching all age groups and better conveys the information of the product to the people.

The website for the product also play a big role in the promotion of the procduct.An advertisement in the major search engine can lead to a great success in the marketing of the product. In the present age people are more active on computer and they can notice the product at work or home. Website can give them detail description and it is also accessible 24 hrs a day at any place. It gives pricing information and also allows enquiries and purchasing online.

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Sales team is also appointed to go door to door to circulate pamphlets and give direct information of product to house holders .Some are also deputed at major shopping malls to attract customers and supply samples. Finally it can be said that the promotion strategy for the product is very dynamic and would do the best to make marketing a success.

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