1. Concept & Testing 1Dr. V. Winarto

2. GATETOPICDEADLINE 1Business Idea Evaluation 20 September 2Understanding the market – Research Plan 04 Oktober 3Understanding the market - Research Report 01 November 4Product Concept Test – Research Design 15 November 5Product Concept06 Desember 6Prototyping Plan20 Desember

3. Prototyping & Testing Value Proposition Concept Testing Bus. & Product Product Solution Product Prototype (Producer) Attributes (Producer) Apa yang ditawarkan : Core Product, Service, Experience, Ambience Product Mix: Single / Multiple Product Testing (Consumer) Hard (physical) Soft (style, beauty) Alpha Test Controlled context Beta Test Customer’s context (complete set) Elements (partial) Complete set Gate 5 Gate 6 Gate 6+ 3

4. Product & Product Attributes American Marketing Association Product: A product is a good, service, or idea consisting of a bundle of tangible and intangible attributes that satisfies consumers and is received in exchange for money or some other unit of value Product attributes: The characteristics by which products are identified and differentiated. Product attributes usually comprise features, functions, benefits, and uses 4Dr. V. Winarto

5. Product – Attributes /Characteristics - Quality Any product can be completely defined by its attributes / characteristics. Every attribute / characteristic of a product can be quantitatively measured Quality means the product meets all requirements Dr. V. Winarto5

6. Product – Attributes- Benefits Products & Attributes : developed by the company. Benefits: Reside in customer & abstract. A benefit is what that attribute means. Action steps: List all attributes – for each attribute, write the benefit(s) Use customers’ view: Prioritize each benefit (attribute) 6Dr. V. Winarto

7. Example: a spoon Feature: a shallow bowl, with a handle, material used, shape, pattern, etc Function: a holder or carrier of liquids, stirring hot liquid, etc Benefit: economy and neatness of consuming liquid materials, pride of ownership, table orderliness, status 7Dr. V. Winarto

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9. Tangible & Intangible Attributes Tangible (hard) attributes: Elements of a product that have physical dimensions or are discernible by the senses. Intangible (soft) attributes: The unobservable characteristics that a physical good possesses, such as style, quality, strength, and beauty. 9Dr. V. Winarto

10. Characteristics of products: aesthetics - sensory Feel (rasa sentuh) soft – hard warm – cold light – heavy flexible - stiff Texture (rasa sentuh permukaan) smooth – rough rubbery - slippery Form (bentuk) organic – angular – aerodynamic – flat – squared – rounded Smell (aroma) fresh – stale natural – artificial Optics opaque – translucent transparent – reflective Colour (warna) Taste (rasa lidah) sweet – sour – salty - bitter Sound (suara) muffled - ringing Dr. V. Winarto10

11. Ice Cream - Attributes Melts slowly Dense Smooth Rich creamy Classic and new flavor 11Dr. V. Winarto

12. Characteristics of products: perception - symbolic 1.Aggressive – Passive 2.Cheap – Expensive 3.Classic – Trendy 4.Clinical – Cozy 5.Clever – Silly 6.Common – Exclusive 7.Decorated – Minimal 8.Delicate – Rugged 9.Anonymous – Inviting 10.Elegant – Clumsy 11.Feminine – Masculine 12.Formal - Informal 1.Fragile – Robust 2.Friendly – Frightening 3.Functional – Ornamental 4.Futuristic – Historic 5.Handmade – Mass- produced 6.High-tech – Simple 7.Humorous – Serious 8.Mature – Youthful 9.Restrained – Extravagant 10.Temporary - Permanent 12Dr. V. Winarto

13. Cars - Some Attributes Comfort Performance Reliability Size Safety Style Image Equipment Handling Noise Running costs 13Dr. V. Winarto

14. Key Dimensions of Customer Value 1.Economic Value: lowest price or quality vs price 2.Functional Value: meeting the needs and wants 3.Emotional Value: the experiential aspects – feelings or affective states 4.Symbolic Value: self expressive aspects – convey meaning – attached to self or communicated to others 14Dr. V. Winarto

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16. Product Attributes Analysis Dr. V. Winarto16

17. Product Concept Dr. V. Winarto17

18. Developing Value Proposition Product + Services Solution Product Oriented Market Oriented 18

19. Developing Value Proposition Product + Services Solution Product Oriented Market Oriented 19

20. Prototyping & Testing Value Proposition Concept Testing Bus. & Product Product Solution Product Prototype (Producer) Attributes (Producer) Apa yang ditawarkan : Core Product, Service, Experience, Ambience Product Mix: Single / Multiple Product Testing (Consumer) Hard (physical) Soft (style, beauty) Alpha Test Controlled context Beta Test Customer’s context (complete set) Elements (partial) Complete set Gate 5 Gate 6 Gate 6+ 20

21. Market Type The Three Types of Startups

22. Three Types of Markets Existing Market Re-segmented Market New Market

23. Existing Market Definition Are there customers in the current market who: –Need the most performance possible? Existing Market –Faster/Better = High end

24. Re-segmented Market Definition Low End Are there customers at the low end who: –Would buy less (but good enough) performance –if they could get it at a lower price? Resegmented Market 1 –Cheaper = low end

25. Re-segmented Market Definition Niche Are there customers in the current market who: –buy the same product if it addressed their specific needs –if they could get it at the same price? –If it cost more? Re-segmented Market 2 –Niche = marketing/branding driven

26. New Market Definition Is there a large customer base who couldn’t do this before? –Because of cost, availability, skill…? New Market –Cheaper/good enough can create a new class of product/customer –Innovative/never existed before

27. Market Types Characteristics