New Product Development
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New product development (NPD) is the term used to describe the complete process of bringing a new product or service to market. This can be complicated, involving everything from idea generation and market research, through product design, development and testing, to marketing and branding. The failure rate is high but, in the fast-moving food and drink industry, companies are constantly under pressure to innovate and offer their customers something new.
To increase your chances of success, it makes sense to know as much as possible about what your potential customers want before you start. Not just the actual product, but also the format, quantity, packaging, labelling and delivery schedules required. Working jointly with your supply chain partners, including your end customer, to an agreed quality product specification, will cut down a lot of wasted effort.
Learn how Mackie's and Taypack; Argyll Food Producers; David Sands Ltd and Laura's Chocolates; approached this issue
Key points from this case study:
- both parties must be able to see a clear opportunity for growth
- a joint venture can increase the scale and volume of a new product at an early stage
- you may have to develop new skills and products to enter a new market
- testing the market can help the producer and retailer to develop successful products which benefit both
Download the full case study as a PDF
