Factors which impact FPD
A company’s facilities, finances, and staff expertise are all examples of this type of factor influencing product development.
What are internal factors?
A supermarket launches its own cola that copies Coca-Cola but sells at a lower price. This is an example of what type of product?
What is a me-too product?
Creating and testing a model of the product before full-scale production happens at this stage.
What is developing a prototype?
The 4 Ps in a marketing mix are product, price, place, and…
What is promotion?
A SWOT analysis looks at a company’s strengths, weaknesses, opportunities, and…
What are threats?
This internal factor refers to the skills and knowledge of staff within a company, influencing its ability to create new products.
What is personnel expertise?
Smith’s releases a new flavour of potato chips under its existing brand name. This is an example of what type of product?
What is a line extension?
Brainstorming, mood boards, and screening ideas occur in this stage.
What is idea generation and screening?
A company initially prices a new product lower than competitors to gain market share.
What is penetration pricing?
This pricing strategy sets an initial high price to maximise profit while a product still has a competitive advantage, then lowers it over time.
What is price skimming?
Lobby groups, government policies, workplace health and safety, and labelling laws are part of this external factor.
What is the political environment?
Ready-to-eat meals, single-serve packaging, and frozen dinners are examples of products developed in response to this specific consumer demand.
What is convenience?
Collecting consumer feedback through surveys and taste panels is part of this step.
What is market research?
Price is altered and set to match that of the competition; price is same for all similar products
What is competitive pricing
This step in FPD acts like a detailed instruction sheet that outlines exactly what the company hopes to achieve.
What is design brief?
A company’s access to modern equipment and appropriate space to produce a new food product is this internal factor.
What are production facilities?
Innovations like High Pressure Processing (HPP), aseptic packaging, and UHT milk are examples of new products created in response to this driver of product development.
What are technological developments?
This assesses whether a new product idea is financially viable, safe, and practical to produce before moving forward.
What is a feasibility study?
The product life cycle (4 stages)
Intro
Growth
Maturity
Decline
The four common types of transport methods used in the distribution of food products
What is road, rail, sea and air?
Name the four external factors that impact food product development.
What are the economic environment, political environment, ecological environment, and technological environment?
A company develops a new snack range to secure a larger percentage of total sales, expand into Asian markets, and increase dominance over competitors. This reflects product development driven by what?
What is company profitability (increasing market share)?
What are the 7 steps in FPD (bonus point if its in order)
idea generation and screening
market research
product specifications
feasibility study
production process development
development of a prototype
testing product prototype
This distribution system is sold in very few retail outlets, usually because it is expensive & has an elite image (e.g. hand made chocolates, Bernard's Pot Pies onlt sold at their retail outlet.)
What is exclusive distribution?
The name of the 3 phases of FPD
1.Product Definition
2.Product implementation
3.Product introduction