In their article, the authors propose a method for introducing new products or technologies to the market in a manner that ensures customer acceptance. They argue that even the most innovative and technologically advanced product can fail if it lacks utility. Therefore, they advise managers to prioritize creating products or services with exceptional utility for the buyer. To help managers assess the utility of existing products, the authors introduce the “Buyer Utility Map”.
As a manager, I have knowledge of the levers and stages in the market introduction of a new product. Nevertheless, I perceive this approach to be excessively theoretical and limited. Essentially, the initial factor that potential buyers take into account is the necessity and utility of a product. In simpler terms, there needs to be a demand for the product and if so, there must also be a reasonable price or acknowledgment of its value. As a manager, I am uncertain whether Starbucks Coffee customers genuinely contemplate the appropriate disposal or production methods related to their purchases.
It is essential to assess if a product has negative impacts on the environment, and those that don’t should be prohibited from being sold. Although I question the effectiveness of the authors’ approach in introducing an groundbreaking product, I do agree with their idea of “Strategic Price”. Offering buyers fair pricing is crucial for retaining or attracting loyal customers. If buyers perceive exploitation, they will not come back.
The authors present the notion of the “Price Corridor of the Mass” as a means to classify prices into low, medium, and high according to product protection and services provided. However, I hold a contrasting perspective on this matter. Various other elements influence a product’s price, such as competition, ease of replication, development expenses, and consumers’ perceived value. Moreover, the brand itself holds significant importance in the luxury brands market since customers may be inclined to pay elevated prices based on their faith in the inherent worth of the product.
Regarding market adaptation, I believe that the buyer holds the ultimate power in determining their preferences and that firms have limited possibilities for action. Nevertheless, fostering a culture of open and transparent communication within a company towards employees, business partners, and the general public can make a difference. Overall, this article has expanded my comprehension of introducing innovative products to the market; however, I am skeptical about the claim that this framework will significantly simplify and predict innovation in business as they propose.