Chapter 8, Marketing, An Introduction; Armstrong and Kotler, 12th edition

New product development
The development of original products, product improvements, product modifications, and new brands through the firm’s own product development efforts
Idea generation
The systematic search for new product ideas. First step of new product development process
Crowdsourcing
Inviting broad communities of people–customers, employees, independent scientists and researchers, and even the public at large–into the new product innovation process
Idea screening
Screening new product ideas to spot good ones and drop poor ones as soon as possible; second step of new product development process
Product concept
A detailed version of the new product idea stated in meaningful consumer terms
Concept testing
Testing new product concepts with a group of target consumers to find out if the concepts have strong consumer appeal; third step of new product development process, together with concept development
Marketing strategy development
Designing an initial marketing strategy for a new product based on the product concept; fourth step of new product development process
Business analysis
A review of the sales, costs, and profit projections for a new product to find out whether these factors satisfy the company’s objectives; fifth step of new product development process
Product development
Developing the product concept into a physical product to ensure that the product idea can be turned into a workable market offering; sixth step of new product development process
Test marketing
The stage of new product development in which the product and its proposed marketing program are tested in realistic market settings; seventh step of new product development process
Commercialization
Introducing a new product into the market; eighth step of new product development process
Customer-centered new product development
New product development that focuses on finding new ways to solve customer problems and create more customer-satisfying experiences
Team-based new product development
New product development in which various company departments work closely together, overlapping the steps in the product development process to save time and increase effectiveness
Innovation management system
Installed by a company to collect, review, evaluate, and manage new product ideas
Product life cycle (PLC)
The course of a product’s sales and profits over its lifetime
Style
A basic and distinctive mode of expression
Fashion
A currently accepted or popular style in a given field
Fad
A temporary period of unusually high sales driven by consumer enthusiasm and immediate product or brand popularity
Introduction stage
The PLC stage in which a new product is first distributed and made available for purchase
Growth stage
The PLC stage in which a product’s sales start climbing quickly
Maturity stage
The PLC stage in which a product’s sales growth slows or levels off
Decline stage
The PLC stage in which a product’s sales fade away