Question

You are planning to sell a range of fashionable surgical face masks. Evaluate the processes you plan to use to develop your new product proposition. （20 marks）

Answer 1

A proposition indicates a clear and definite statement reflecting the benefits of the product or solution that the specific group of customers would get. These benefits help in addressing the needs and wants of the customers and differentiates the product from that of the competitors. Thus, developing the proposition for a new product consists of three fundamental steps:

Gaining insight- The first step of proposition development involves indentifying the features and benefits of the product that provide value to customers and understanding the competitors’ offers. This helps in forming a clearly defined, differentiated and customer-oriented proposition. Thus, this step requires gaining information about target markets, potential offers of product and competitors to evaluate the current situation.

Optimizing- This stage involves making a comparison of the draft proposition and the understanding of competitors’ offers. These draft propositions are prepared for appealing to the target markets by building differentiation into the products. The primary aim of this step is to develop an in-depth understanding about the features, benefits or values that motivate customers and drives them to buy the products.

Communication- This involves preparing a document or presentation consisting of the proposition that describes how the product benefits and features meet the requirements of the target customers. It helps in quantifying the value of the product features in customers’ perceptions by differentiation or comparison with competitors.

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