Creation
Brainstorming is the key to concept creation. You must also keep track of all the ideas that are generated. At this point all the ideas will be varied and potentially relevant. You must then review each idea to determine its appropriateness. Evaluate each idea and determine which one is most valuable and will generate the most profits.
Assessment
Concept assessment involves market research where information about your idea is collected and analyzed. It is essential for a small business owner to conduct market research to determine whether the concept is viable. The owner must understand his target market, what the market needs and is looking for and what the market is willing to pay for the product or service. You must assess all aspects of the idea before moving on to the next stage.
Planning
You must create a thorough business plan. Within your business plan, you must clearly identify your business’s goals. Provide information about your balance sheet, income statements and cash flow. A well-defined business plan will steer the business in the right direction and will increase the chances of having a successful product launch.
Development
During this stage, you will take your concept and put it into into concrete form. You will develop a prototype of your product that you can offer to the market. You should also create manufacturing and operations processes, plans for your marketing launch and your market testing plans.
Testing
This stage involves a test market that is as close to a real market situation as possible. You will release your prototype into the public marketplace. Your prototype is tracked and your market test results should confirm that this is a valid idea to move forward as a product.
Launch
A successful product launch should address whether the appropriate number of products exists, whether you have correctly planned and executed your marketing activities, whether all of the appropriate documentations have been developed and whether your employees are properly trained and ready to support the product.