Nijssen, E.J., & Lieshout, K.F.M. (1995). Awareness, Use and Effectiveness of Models and Methods for New Product Development. European Journal of Marketing, 29(10), 27.

Format: Peer-reviewed article

Type: Experience

Experience level of reader: Fundamental

Annotation: The paper explores the extent to which companies are aware of the existence of new product design methods, and the extent to which they use them and why they use them. The article also explores the NPD stages in which these design methods are used, the company's experience with them, and the extent to which they contribute to company performance.

Setting(s) to which the reported activities/findings are relevant: Federal lab, Large business, Small business (less than 500 employees), University

Knowledge user(s) to whom the piece of literature may be relevant: Manufacturers, Researchers

Knowledge user level addressed by the literature: Organization

This article uses the Commercial Devices and Services version of the NtK Model

• Marketing-Mix Optimization in NPD applies five tools: Simulated Test Marketing; Mini-Market; Limited Roll-Out; Scanner Market; Test Marketing.
  Literature review and survey of forty-five manufacturers.
  Occurrence of finding within the model: Stage 7

• The Prediction stage in NPD uses three different tools: Computer Prediction Models; Diffusion Models; Economic Models (ROI/BE — analysis/pay-back time).
  Literature review and survey of forty-five manufacturers.
  Occurrence of finding within the model: Stage 7, Stage 8

• Product Optimization in NPD applies five tools: Conjoint Analysis; Quality Function Deployment; Concept Testing; Prototype Testing; Pilot Plant/In-Home Use Test.
  Literature review and survey of forty-five manufacturers.
  Occurrence of finding within the model: Stage 5, Stage 6

• Idea Generation in NPD applies multiple tools including three creative (Brainstorming; Synectics; Morphological Analysis) and seven non-creative (Focus Group; Interview/Survey; Observation of Users; Delphi Method; Scenario; Expert Opinion; Product Life Cycle).
  Literature review and survey of forty-five manufacturers.
  Occurrence of finding within the model: Stage 2, Stage 3, Stage 4

Model: The NPD Model is traditionally divided into phases: 1) Idea Generation; 2) Screening/Evaluation; 3) Concept Development and Testing; 4) Marketing Strategy Development; 5) Business Analysis; 6) Product Development; 7) Market Testing; 8) Commercialization.
Literature review and survey of forty-five manufacturers.

Method: Ten methods used in various Stages of the NPD Process are listed in the Appendix and discussed in the paper: 1) Brainstorming; 2) Morphological analysis; 3) Synectics; 4) Delphi Method; 5) Focus Group; 6) Product Life Cycle; 7) Concept Test; 8) In-home Use Test; 9) Quality Function Deployment; 10) Limited Roll-Out. While most manufacturers are familiar with many of these methods, they report using them in various and sometimes wrong stages — so they are not applying them properly and in a focused manner.
Literature review and survey of forty-five manufacturers.
Occurrence of finding within the model: Stage 2, Stage 3, Stage 4, Stage 5, Stage 6, Stage 7, Stage 8

Tip: Most of the methods have been developed to deal with specific problems of NPD and thus are meant to be used in specific Stages of the NPD process. Out of ten methods reviewed, all one (Limited Roll-Out) are used in stages for which they are not intended.
Literature review and survey of forty-five manufacturers.
Occurrence of finding within the model: Stage 2, Stage 3, Stage 4, Stage 5, Stage 6, Stage 7, Stage 8