Which of the following steps of the new product development process would most likely use an R-W-W framework?
A) idea generation
B) idea screening
C) concept testing
D) test marketing
E) commercialization
The correct answer and explanation is :
The correct answer is B) idea screening.
Explanation:
The R-W-W (Real, Win, Worth It) framework is a tool used to evaluate new product ideas and concepts. It focuses on assessing whether a new product concept is viable by addressing three critical questions:
- Real: Is there a real customer need for the product? Does the product solve an actual problem or fulfill a demand in the market?
- Win: Can the company win in the market? Does the product have a competitive advantage or unique value proposition that will allow it to succeed in the market?
- Worth It: Is the product worth pursuing from a financial perspective? Does the potential return on investment justify the resources and effort required to develop the product?
The idea screening phase of new product development is the stage where the R-W-W framework is most commonly applied. This phase occurs after idea generation and involves evaluating the feasibility of the various ideas that were proposed. During idea screening, product managers and teams assess which ideas should move forward into the development process and which should be discarded.
The R-W-W framework is particularly useful here because it helps filter out ideas that are unrealistic or unlikely to succeed in the market. At this stage, companies want to ensure that only the most promising ideas, with a clear market need, competitive edge, and financial potential, proceed to the next phases of development.
For the other stages:
- A) Idea generation: This is a creative phase where ideas are generated without applying a strict evaluation framework like R-W-W.
- C) Concept testing: This is typically about gathering customer feedback on prototypes or concepts, not an evaluation of the product’s overall market feasibility.
- D) Test marketing: This is about testing the product in a real-world market setting, not focused on initial screening of ideas.
- E) Commercialization: This is the final launch phase, where the product is introduced to the market. By this point, decisions about feasibility and potential have already been made.
Thus, the R-W-W framework is most relevant during idea screening.