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
Questions from New Product Tracking
Questions from New Product Tracking
Study (continued)
Study (continued)
Purchase Questions
Have you ever bought (brand)?
Figure 19.6
(cont’d.)
If "Yes":
How many times have you bought it?
How likely are you to buy (brand) again?
What did you like/dislike about (brand)?
What do you think of the price of
(brand)?
If "No":

Did you look for (brand) in the
store?
Why didn't you try (brand)?
How likely are you to try (brand)
in the future?
A Sample Launch Management Plan
A Sample Launch Management Plan
Potential Problem
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 held.
Figure 19.7
Another Problem Illustrated
Another Problem Illustrated
Potential Problem
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.
Figure 19.7
(cont’d.)
A Stepwise Product Deletion Process
A Stepwise Product Deletion Process
Recognition of the product to
be deleted
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. 41-56.
Figure 19.8