New Product Development Executive

New Product Development (NPD)

1 Idea Generation

• Market research (consumer trends, competitor analysis)
  
• Distributor & sales team feedback
  
• Gap analysis in portfolio
  
• Premium / Value / Health / Convenience trends
  

2 Concept Development

• Define Target Audience (Urban / Rural / HORECA / Modern Trade)
  
• Define USP (price, quality, taste, packaging innovation)
  
• Product positioning (Mass / Premium / Economy)
  

3 Feasibility Study

• Raw material sourcing availability
  
• 3P (Third Party Manufacturing) feasibility
  
• Costing & margin structure
  
• Regulatory compliance (FSSAI, labeling norms)
  

4 Product Development

• Sample trials & testing
  
• Shelf-life testing
  
• Packaging development
  
• Internal approvals (QA, R&D, Finance)
  

5 Commercialization

• Finalize vendor & procurement contracts
  

• Production planning
  
• SKU finalization
  
• MRP & pricing strategy
  

Go-To-Market (GTM) Strategy

1 Market Segmentation

• General Trade (GT)
  
• Modern Trade (MT)
  
• HORECA
  
• E-commerce / Quick Commerce
  

2 Pricing Strategy

• Competitive pricing vs brands like ITC Limited, Tata Consumer Products, MDH Spices
  
• Distributor margin structure
  
• Introductory schemes & trade discounts
  

3 Distribution Planning

• Appoint super stockists / distributors
  
• Define beat plan & outlet coverage
  
• Target numeric & weighted distribution
  

4 Marketing Launch Plan

• Trade launch vs soft launch
  
• In-store branding & POSM
  
• Influencer / digital marketing campaigns
  
• Sampling & consumer activation
  

5 Sales Strategy

• Primary & secondary sales targets
  
• Scheme design (slab scheme, quantity discount)
  
• Sales team incentive plan
  

6 Performance Tracking

• ROI measurement
  
• Sell-through tracking
  
• Repeat order cycle monitoring
  
• Market feedback loop
  

Key KPIs for NPD & GTM

• Time to Market (TTM)
  
• Gross Margin %
  
• Distribution Reach %
  
• Market Share
  
• Repeat Purchase Rate
  
• Break-even timeline
  

Example: FMCG Spices / Coffee Launch Flow

1. Identify demand for premium filter coffee.
   
2. Develop product with strong aroma differentiation.
   
3. Price 810% lower than category leader.
   
4. Launch in Tier 1 cities first.
   
5. Run retailer scheme + sampling campaign.
   
6. Expand distribution based on response.