1. Ch5 Product Development & The Marketing Concept
Consumers and competitors
SHOULD BE CONSIDERED in every important business decision.
Product mapping, a marketing opportunity analysis, or a benefit analysis are all used to study the consumer and/or competitor’s place in the stages of your product development.

2. Product Mapping
Product mapping is used to determine common characteristics among a group of similar products
Common attributes emerge from the groupings that determine what consumers want
Product maps instruct the product development team as to what product to make and what features to include when manufacturing it

3. Product Mapping
One method of product mapping is to put a group of products on a table and ask research participants to group the items using the most common factors that they perceive.
Product mapping can also demonstrate the individual product attributes that consumers like or don’t like. (eg. Easy-to-open package versus difficult-to-open package)

4. Product Map for Frozen Novelties
Page 193 “Step 1”:
Participants asked to sort a variety of frozen novelties into groupings that represent the most desirable features of a frozen novelty
The following groups emerged:
Easy to eat
Ice cream sandwich
Frozen juice bar
popsicle
Healthy
Frozen juice bar
Frozen yogurt
Interesting flavour
Pkgd ice cream cone
Frozen juice bar
Least expensive
Ice cream sandwich
popsicle

5. Product Map for Frozen Novelties
Step 2: Participants were then asked to place the novelties on several rating scales:
Messy
Easy to eat
Ice cream bar packaged ice cream cone frozen yogurt ice cream sandwich frozen juice bar popsicle
Unhealthy
Healthy
Packaged ice cream cone ice cream sandwich ice cream bar popsicle frozen yogurt frozen juice bar
Boring/traditional
Fun/interesting flavour
Popsicle ice cream bar ice cream sandwich frozen yogurt frozen juice bar packaged ice cream cone
Expensive
Inexpensive
Packaged ice cream cone frozen juice bar ice cream sandwich frozen yogurt ice cream bar popsicle

6. MOA Market Opportunity Analysis
MOA is a situational analysis which defines the various opportunities for a specific brand.
The MOA is made up of 3 parts:
Overall Market
Indirect Competition
Direct Competition

7. Part 1: Overall Market (Category)
The MOA identifies the category under investigation that defines the brand.
This category is broad and will include every type of product that belongs in the category.
eg. Toothpaste is a broad category and all toothpaste brands would be listed including different package sizes.

8. Part 2: Indirect Competition
The MOA groups the competitive brands by features.
Each classification is further simplified.
(eg. Frozen desserts are classified as cake, cookies, pie, ice cream, etc. These are then further simplified into flavours, sizes, package types, etc.
Companies only consider pursuing a indirect opportunity after all direct opportunities are exhausted.

9. Part 3: Direct Competition
The MOA identifies all competitive brands that compete for a share of the SAME market.
eg. All brands of tartar-control toothpaste
Once the direct competition has been grouped together, the MOA looks for gaps.
eg. There is only one toothpaste with both a whitener and a tartar-control formula.
The questions are:
a) is the market not large enough for another brand? OR
b) is there an opportunity for a competitor?
The MOA can determine the market potential of a specific type of product.

10. BENEFIT ANALYSIS
Any feature of a product or service should add utility and provide some benefit to the consumer.
e.g. a resealable package adds package/form utility to the product
Benefit analysis can help you determine what features consumers want, how important each feature is and how much they would be willing to pay for each one.
Cost-benefit analysis is done to determine the features that could be included in the product without affecting its profitability & saleability.